Bright Health Group slimmed its losses year over year as it prepares to shed the last of its insurance business.
The company reported a $125 million loss in the second quarter, down from the $284.1 million loss posted in the second quarter of 2022. The insurtech lost $311.9 million through the first six months of 2023, which also decreased from a $488.3 million loss in the first half of 2022.
Revenue, meanwhile, was up significantly from the prior-year quarter, according to the earnings report. Bright posted $278 million in revenue for the second quarter, up from $149.3 million in the second quarter of 2022. Revenues in the first half of 2023 were $598.5 million, compared to $330.1 million through the first six months of 2022.
The company's top brass did not take questions from analysts on its earnings call Wednesday morning and instead offered brief prepared remarks.
CEO Mike Mikan said the pending sale of its California Medicare Advantage (MA) plans and ongoing withdrawal from the Affordable Care Act's (ACA's) exchanges have the company in a strong position to continue building on its care delivery and value-based care services.
"With the sale of the Medicare Advantage and discontinuation of ACA insurance businesses, the company will have a singular focus on value-driven care and the results we can drive with our aligned partners," he said.
Pulling out of the insurance market ensured the company can simplify its business, and, now, it's putting a focus on securing key payer partners for its remaining segments.
While Bright Health posted a loss in the quarter, it did reach a notable milestone on its quest to achieve profitability: It turned an earnings before interest, taxes, depreciation and amortization profit for the first time, according to the report.
Mikan said the company is currently serving about 371,000 patients through its value-based programs, including 65,000 enrolled in its ACO REACH model.
The past year has been a turbulent one for the insurtech. Earlier this week, Bright secured a critical credit facility that will allow it to stay afloat as it completes the sale of its MA plans to Molina Healthcare. It was also threatened with a potential delisting of its stock from the New York Stock Exchange.
Bright Health also came under fire several months ago as its top executives banked significant bonuses amid the financial turmoil.