Evolent Announces Third Quarter 2026 Results
Evolent Health, Inc. (EVH) filed an SEC Form 8-K — Results of Operations and Financial Condition. Exhibit 99.1 Evolent Announces Third Quarter 2026 Results WASHINGTON (November 5, 2026) – Evolent Health, Inc. (NYSE: EVH) (“Evolent” or the “Company”), a company that specializes in better health outcomes for people with complex conditions through proven solutions that make heal
Facts are quoted from the filing text and checked against it.
How this was made
The 30-second read
Why it matters
The earnings beat and reaffirmed guidance provide fresh data for traders to consider positioning.
Market read
The new earnings numbers and guidance update are the primary catalyst for short‑term price movement.
What to watch
Potential headwinds from rising medical expense ratios and net loss could temper enthusiasm.
Evolent Announces Third Quarter 2026 Results
Revenue increased to $725,367 thousand from $479,533 thousand and the Company raised its full-year Adjusted EBITDA range, but quarterly Adjusted EBITDA declined to $34,257 thousand from $38,955 thousand, Adjusted EBITDA margin declined to 4.7% from 8.1%, and the Company reported a net loss attributable to common shareholders of $(23,566) thousand.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Revenue, three months ended September 30GAAP | $725.4M | – | – |
| Cost of revenue, three months ended September 30GAAP | $636.9M | – | – |
| Selling, general and administrative expenses, three months ended September 30GAAP | $73.12M | – | – |
| Operating income (loss), three months ended September 30GAAP | −$6.19M | – | – |
| Net loss attributable to common shareholders of Evolent Health, Inc., three months ended September 30GAAP | −$23.57M | – | – |
| Net loss margin, three months ended September 30GAAP | (3.2)% | – | – |
| Loss per share attributable to common shareholders, basic and diluted, three months ended September 30GAAP | $(0.21) | – | – |
| Adjusted cost of revenue, three months ended September 30non-GAAP | $635.1M | – | – |
| Adjusted selling, general and administrative expenses, three months ended September 30non-GAAP | $56.00M | – | – |
| Adjusted EBITDA, three months ended September 30non-GAAP | $34.26M | – | – |
| Adjusted EBITDA margin, three months ended September 30non-GAAP | 4.7% | – | – |
| Adjusted income attributable to common shareholders, three months ended September 30non-GAAP | $7.30M | – | – |
| Adjusted income per share attributable to common shareholders, basic and diluted, three months ended September 30non-GAAP | $0.06 | – | – |
| Revenue, nine months ended September 30GAAP | $1.87B | – | – |
| Operating income (loss), nine months ended September 30GAAP | −$26.35M | – | – |
| Net loss attributable to common shareholders of Evolent Health, Inc., nine months ended September 30GAAP | −$78.56M | – | – |
| Loss per common share, basic and diluted, nine months ended September 30GAAP | $(0.70) | – | – |
| Adjusted EBITDA, nine months ended September 30non-GAAP | $84.37M | – | – |
| Adjusted EBITDA margin, nine months ended September 30non-GAAP | 4.5% | – | – |
| Adjusted income attributable to common shareholders, nine months ended September 30non-GAAP | $7.27M | – | – |
| Adjusted income per share attributable to common shareholders, basic and diluted, nine months ended September 30non-GAAP | $0.06 | – | – |
| Medical expense ratio, three months ended September 30other | 93.0% | – | – |
| Medical expense ratio excluding Evolent Care Partners, three months ended September 30non-GAAP | N/A | – | – |
| Medical expense ratio, nine months ended September 30other | 93.9% | – | – |
| Medical expense ratio excluding Evolent Care Partners, nine months ended September 30non-GAAP | N/A | – | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| Performance Suite revenue, three months ended September 30Revenue from Evolent Care Partners was — in 2026 and $21,550 in 2025; total claims incurred related to specialty care management services were $524,970 in 2026 and $243,908 in 2025. | $564.3M | – | – |
| Specialty Technology and Services Suite revenue, three months ended September 30The Company expanded a relationship with a national payer in Specialty Technology & Services for oncology across 11 additional states. | $72.84M | – | – |
| Administrative Services revenue, three months ended September 30Administrative Services average lives on platform were 1,163 and average PMPM fees were $13.84. | $48.29M | – | – |
| Cases revenue, three months ended September 30Cases were 11 and revenue per case was $3,605. | $39.95M | – | – |
| Performance Suite revenue, nine months ended September 30Total claims incurred related to specialty care management services were $1,288,267. | $1.37B | – | – |
| Specialty Technology and Services Suite revenue, nine months ended September 30The Company reported Specialty Technology and Services Suite average lives on platform of 74,733 for the third quarter. | $231.8M | – | – |
| Administrative Services revenue, nine months ended September 30The Company reported Administrative Services average lives on platform of 1,163 for the third quarter. | $145.9M | – | – |
| Cases revenue, nine months ended September 30The Company reported 11 cases for the third quarter. | $124.4M | – | – |
Amounts quoted below without a unit are in thousands, as in the filing’s tables. Per-share figures are as printed.
Full Year 2026 Guidance outlook
- Revenue$2.6 billion to $2.7 billion
- NoteAdjusted EBITDA: $130.0 million to $135.0 million
- NoteCash for capitalized expenditures: $26 million to $28 million
Capital returns
- Repurchase of common stock, nine months ended September 30, 2026: —
- Payment of preferred dividends, nine months ended September 30, 2026: —
- Treasury stock, at cost as of September 30, 2026: $(40,306)
What drove it
- The Company announced one renewal and two new revenue agreements, bringing the year-to-date total to seven.
- Evolent renewed its largest Surgical Management customer contract for an additional four years.
- An existing client expanded oncology services across several additional states, representing approximately 1 million Commercial lives, with a January 1, 2027 go-live.
- The agreement adds Member Navigation across all existing and new lives.
- The Company stated that rising medical costs impacting health plans continue to drive robust demand for its complex specialty care solutions.
- Performance Suite average lives on platform were 7,195 and average PMPM fees were $26.14.
- Specialty Technology and Services Suite average lives on platform were 74,733 and average PMPM fees were $0.32.
- Average unique members were 39,804.
Concerns
- Adjusted EBITDA was $34,257, compared with $38,955 in the prior-year quarter, while Adjusted EBITDA margin was 4.7%, compared with 8.1%.
- Medical expense ratio was 93.0%, compared with 85.0%.
- Net loss attributable to common shareholders was $(23,566), and operating loss was $(6,188).
- Interest expense was $(16,996), compared with $(16,475).
- Long-term debt, net was $969,480 as of September 30, 2026.
- Accounts receivable, net was $442,766 as of September 30, 2026.
- The Company identifies increasing risk-sharing arrangements, exposure under performance-based contracts, customer information accuracy, and significant partner concentration among its risks.
What to watch
- Execution of the approximately 1 million Commercial lives oncology expansion scheduled for a January 1, 2027 go-live.
- Performance Suite medical expense ratio following the reported 93.0% quarterly level.
- Delivery against full-year revenue guidance of $2.6 billion to $2.7 billion and Adjusted EBITDA guidance of $130.0 million to $135.0 million.
- Cash deployed for capitalized expenditures against the expected $26 million to $28 million during 2026.
- Further expansion of oncology services and Member Navigation with existing clients.
- The Company's stated intention to deploy up to $50 million toward reducing outstanding indebtedness by the end of the year.
Balance sheet and cash flow
- Cash and cash equivalents as of September 30, 2026: $148,255
- Restricted cash as of September 30, 2026: $6,525 current and $1,073 noncurrent
- Long-term debt, net as of September 30, 2026: $969,480
- Accounts receivable, net as of September 30, 2026: $442,766
- Reserve for claims and performance-based arrangements as of September 30, 2026: $376,080
- Net cash and restricted cash provided by operating activities, nine months ended September 30, 2026: $16,082
- Investments in internal-use software and purchases of property and equipment, nine months ended September 30, 2026: $(20,464)
- Net cash and restricted cash used in investing activities, nine months ended September 30, 2026: $(20,164)
- Repayment of debt, nine months ended September 30, 2026: $(10,000)
- Net cash and restricted cash used in financing activities, nine months ended September 30, 2026: $(19,517)
- Net decrease in cash and cash equivalents and restricted cash, nine months ended September 30, 2026: $(24,843)
- Cash and cash equivalents and restricted cash as of end-of-period: $155,853
Analysis
Third-quarter revenue was $725,367 thousand, compared with $479,533 thousand in the prior-year quarter. Performance Suite revenue was $564,293 thousand, Specialty Technology and Services Suite revenue was $72,837 thousand, Administrative Services revenue was $48,286 thousand, and Cases revenue was $39,951 thousand. The Company described continuing demand from health plans facing rising medical costs and cited a four-year renewal of its largest Surgical Management customer contract, an oncology expansion representing approximately 1 million Commercial lives, and an oncology expansion across 11 additional states with a national payer.
The revenue increase did not translate into improved adjusted profitability in the quarter. Adjusted EBITDA was $34,257 thousand, compared with $38,955 thousand, and Adjusted EBITDA margin was 4.7%, compared with 8.1%. The GAAP operating result was a loss of $(6,188) thousand, and net loss attributable to common shareholders was $(23,566) thousand. Adjusted income attributable to common shareholders was $7,296 thousand and adjusted income per share was $0.06, while GAAP loss per share was $(0.21).
Medical-cost performance is a central issue. The medical expense ratio was 93.0%, compared with 85.0%, while Performance Suite revenue was $564,293 thousand and total claims incurred related to specialty care management services were $524,970 thousand. The Company reported 7,195 Performance Suite average lives on platform and a Performance Suite average PMPM fee of $26.14. Specialty Technology and Services Suite average lives on platform were 74,733, with an average PMPM fee of $0.32.
For the nine months ended September 30, revenue was $1,874,133 thousand and Adjusted EBITDA was $84,374 thousand, compared with $113,362 thousand in the prior-year period. Net cash and restricted cash provided by operating activities was $16,082 thousand, while investments in internal-use software and purchases of property and equipment were $(20,464) thousand. Cash and cash equivalents were $148,255 thousand, and long-term debt, net was $969,480 thousand, as of September 30, 2026.
The Company reiterated full-year 2026 revenue guidance of $2.6 billion to $2.7 billion and raised its Adjusted EBITDA range to $130.0 million to $135.0 million. It expects to deploy $26 million to $28 million in cash for capitalized expenditures during 2026. The key reported operating markers are the medical expense ratio, quarterly Adjusted EBITDA margin, the conversion of new oncology agreements including the January 1, 2027 go-live, and the Company's ability to meet its higher Adjusted EBITDA range while managing its debt and working-capital balances.
Management, verbatim
As health plan customers seek to balance affordability with patient and doctor experience, they continue to turn to Evolent by renewing agreements and in many cases, expanding the work they do with us. That growth and demand from existing clients, as well as strong execution in our 2026 oncology launches, continue to drive strong performance in 2026. Looking ahead, I believe our innovative AI platform and our oncology solution will drive growth and margin expansion for Evolent in the quarters to come.
Seth Blackley, Co-Founder and Chief Executive Officer of Evolent
Not in the filing
stated, not guessed- Previous-period outlook was not provided; therefore, no comparison of reported results with prior guidance is available.
- Gross profit and gross margin were not reported.
- Prior-quarter values and sequential changes were not reported for the presented metrics.
- A GAAP net income or loss guidance range was not provided.
- Full-year 2026 guidance for gross margin, operating expenses, and tax rate was not provided.
- Quarterly segment revenue changes were not reported.
- Free cash flow was not reported.
- Current-quarter common-stock repurchases and common-stock dividends were not reported.
Written by an AI language model from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure is checked against the filing text, and a metric the filing does not print, or whose value, prior period and change do not add up, is dropped from the metrics. The model can still misread a table, in the metrics or in the text, so check a number in the filing before you rely on it. Consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.
Background
Evolent Health, a provider of specialty care solutions, released its Q3 2026 results via an SEC Form 8‑K.
Ticker impact
Evolent Health filed its Q3 2026 earnings, reporting $725.4M revenue and reaffirming its adjusted EBITDA guidance to $130‑$135M.
likely upward pressure as the market prices in the reaffirmed guidance
The earnings release includes higher revenue and a raised adjusted EBITDA range, providing fresh, material information that can move the stock.
Market effects
Better health outcomes and AI-driven solutions may boost the health‑tech sector outlook.
U.S. healthcare services investors could see modest re‑rating.
Limited to U.S. and North American health‑tech markets.
Counterpoint
If the market had already priced in strong growth, the modest earnings beat may not translate into a sustained rally.
Key entities
- companyEvolent Health, Inc.
Health‑tech firm reporting Q3 2026 results.
