Claritev Corporation · NYSE:CTEV
Claritev — MultiPlan — Q1 2023 Earnings Presentation
15 slides from Claritev's earnings presentation, May 4, 2023
Slide 1: MultiPlan Q1 2023 Results and Business Update
MultiPlan Q1 2023 Results and Business Update May 4, 2023
Slide 2: Disclaimer
Disclaimer Forward-Looking Statements This presentation includes statements that express our management’s opinions, expectations, beliefs, plans, objectives, assumptions or projections regarding future events or future results and therefore are, or may be deemed to be, “forward-looking statements”.
Slide 3: Q1 2023 Highlights
Q1 2023 Highlights ▪ First Quarter 2023 Results: – Revenues of $236.6 million – Adjusted EBITDA1 of $156.3 million and adjusted EBITDA2 margin of 66.0% – Operating cash flow of $64.2 million ▪ During the first quarter, we: – Delivered results in line with our Q1 2023 guidance; reaffirming full-year
Slide 4: Q1 2023 Results
Q1 2023 Results $ in millions Quarter-over-Quarter Year-over-Year Q4 2022 Q1 2023 Q1 2022 Q1 2023 Revenues (1.9)% (20.6)% (3.3)% (30.7)% Adjusted EBITDA1 Adjusted EBITDA 67.0% 66.0% 75.6% 66.0% Margin2 4 1 See reconciliation of non-GAAP measures included in Appendix 4 2 Adjusted EBITDA Margin is def
Slide 5: Revenue by Service Line
Revenue by Service Line $ in millions Current Sequential Quarter Prior Year Quarter Quarter Service Line Q1 2023 Q4 2022 % Change Q1 2022 % Change Network-Based $57.2 $54.4 5.2% $68.6 (16.7)% Analytics-Based $152.4 $160.4 (5.0)% $196.1 (22.3)% Payment & Revenue Integrity $27.0 $26.3 2.5% $33.3 (19.0
Slide 6: Medical Charges Processed and Identified Potential Savings
Medical Charges Processed and Identified Potential Savings1 $ in billions Current Sequential Quarter Prior Year Quarter Quarter Q1 2023 Q4 2022 % Change Q1 2022 % Change Commercial Health Plans Medical charges processed $18.4 $18.1 2% $19.5 (6)% Potential medical cost savings $5.3 $5.1 3% $5.5 (5)%
Slide 7: MultiPlan Share of Savings
MultiPlan Share of Savings1 $ in millions Key Drivers of Identified Savings Volume and Revenue as a % of Savings, Q1 2023 Q1 2023 Q4 2022 Q3 2022 Q2 2022 Q1 2022 Identified potential savings - Total $5,570 $5,404 $5,412 $5,657 $5,783 Revenues - Total2 $237 $241 $250 $290 $298 ◦ Identified savings fr
Slide 8: Executing Our Growth Plan
Executing Our Growth Plan • During Q4 2022, we conducted a comprehensive review of our growth strategy and enacted a new Growth Plan ▪ We identified numerous opportunities to expand products within our core service lines and add new service lines in 2023 ▪ In 2024 and beyond, we intend to execute se
Slide 9: Reaffirming 2023 Guidance
Reaffirming 2023 Guidance $925-975M $600-650M Revenues Adjusted EBITDA1 $325-340M $335-345M $175-215M Interest expense Intangible amortization Operating cash flow2 $100-115M $70-75M 25-28% Capex Depreciation Tax rate 1 We have not reconciled the forward-looking Adjusted EBITDA guidance included abov
Slide 10: Q2 2023 Guidance
Q2 2023 Guidance $220-235M $140-155M Revenues Adjusted EBITDA1 1 We have not reconciled the forward-looking Adjusted EBITDA guidance included above to the most directly comparable GAAP measure because this cannot be done without unreasonable effort due to the variability and low visibility with resp
Slide 11: Appendix
Appendix 11
Slide 12: Balance Sheet
Balance Sheet $ in millions, as of March 31, 2023 Debt Structure 3/31/2023 Rate Maturity Revolving credit facility - Revolver B Undrawn LIBOR +3.75% Aug-26 Term Loan B $ 1,305 LIBOR +4.25% Sep-28 5.5% Senior Secured Notes $ 1,050 5.50% Sep-28 First lien debt, secured $ 2,355 (A) 5.75% Senior Unsecur
Slide 13: Reconciliation of GAAP and NON-GAAP items
Reconciliation of GAAP and NON-GAAP items $ in thousands except per share data Three Months Ended 3/31/2023 12/31/2022 9/30/2022 6/30/2022 3/31/2022 Net income (loss) $ 209 $ (650,138) $ 19,736 $ 13,512 $ 43,978 Adjustments: Interest expense 83,428 82,173 77,087 72,696 71,445 Interest income (3,239)
Slide 14: Reconciliation of GAAP and NON-GAAP items, continued
Reconciliation of GAAP and NON-GAAP items, continued $ in thousands Three Months Ended 3/31/2023 12/31/2022 9/30/2022 6/30/2022 3/31/2022 Net cash provided by operating activities $ 64,215 $ 27,689 $ 109,036 $ 40,702 $ 194,844 Purchases of property and equipment (23,101) (25,526) (20,810) (18,945) (
Slide 15: Medical Charges Processed and Identified Potential Savings
Medical Charges Processed and Identified Potential Savings1 ($ in billions) Three Months Ended 3/31/2023 12/31/2022 9/30/2022 6/30/2022 3/31/2022 12/31/2021 9/30/2021 6/30/2021 3/31/2021 Commercial Health Plans Medical charges processed $ 18.4 $ 18.1 $ 17.9 $ 18.6 $ 19.5 $ 20.0 $ 19.2 $ 19.0 $ 18.5