Alignment Healthcare reported a net loss of $8.1 million in the third quarter amid higher-than-expected medical costs, according to its Oct. 29 earnings report.
The company’s medical loss ratio was 89.5%, an increase of about 240 basis points year over year, which the company attributed to elevated appeals and disputes and increased costs in catastrophic cases and skilled nursing.
Revenue was $1.36 billion, a 36.7% increase year over year. Medicare Advantage membership reached approximately 301,200 at the end of the quarter, up 31.2%.
The insurer projected full-year adjusted EBITDA of at least $100 million, down from its prior guidance range of $133 million to $163 million set earlier this year. The company also projected a fourth-quarter adjusted EBITDA loss of at least $28 million. Full-year revenue guidance was raised to at least $5.2 billion, with year-end membership of at least 305,000.
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