Segments

12 Months Ended

Dec. 31, 2024

Segment Reporting [Abstract]

Segments

20.Segments

The Company determined its operating segments in accordance with ASC 280, “Segment Reporting” (“ASC 280”). Factors used in determining the reportable business segments include the nature of operating activities and the type of information presented to the Company's chief operating decision makers to evaluate all results of operations. The Company currently has three reportable segments consisting of: 1) Care Partners; 2) Care Delivery; and 3) Care Enablement (See Note 1—“Description of Business”).

The Company’s Care Partners segment is focused on building and managing high-quality and high-performance provider networks by partnering with, empowering, and investing in strong provider partners with a shared vision for coordinated care delivery. Under relevant accounting guidance, while the Company’s Care Partners—IPAs and Care Partners—ACO are two operating segments, they share similar economic characteristics and meet other criteria, which permits the Company to aggregate them into a single reportable segment, which the Company has done. Revenue for this segment is primarily comprised of capitation and risk pool settlements and incentives. Cost of service for this segment is primarily capitation and claims expenses.

The Company’s Care Delivery segment is a patient-centric, data-driven care delivery organization focused on delivering high-quality and accessible care to all patients. The Care Delivery segment provides primary care, multi-specialty care, and ancillary care services. Revenue is primarily earned based on fee-for-service reimbursements, capitation, and performance-based incentives. Cost of service for this segment is primarily medical supplies costs and salaries expense related to medical staff and clinic employees.

The Company’s Care Enablement segment is an integrated, end-to-end clinical and administrative platform powered by the Company’s proprietary technology suite, which provides operational, clinical, financial, technology, management, and strategic services to enable success in the delivering of high-quality, value-based care for providers and payers. Revenue for this segment is primarily comprised of management and software fees, charged as a percentage of gross revenue or on a per-member-per-month basis. Cost of service for this segment is primarily MSO salaries expense.

The Company's chief operating decision makers (“CODMs”) are its Chief Executive Officer and the Chief Financial Officer. The CODMs evaluate the performance of the Company’s operating segments based on segment revenue growth and operating income. The CODMs use revenue growth and total segment operating income as a measure of the performance of operating businesses separate from non-operating factors. The Company’s operations are based in the United States. All revenues of the Company are derived from the United States. The CODMs do not evaluate the Company’s segments using asset information.

In the normal course of business, the Company’s reportable segments enter into transactions with each other. While intersegment transactions are treated like third-party transactions to determine segment performance, the revenues recognized by a segment and expenses incurred by the counterparty are eliminated in consolidation and do not affect consolidated results.

Corporate costs are unallocated and primarily include corporate initiatives, corporate infrastructure costs, and corporate shared costs, such as finance, human resources, legal, and executives.

Certain amounts disclosed in the prior periods have been recast to conform to the current period presentation. Specifically, reclassifications were made between cost of services and general and administrative expenses in the accompanying segment table for the years ended December 31, 2023 and 2022, and the segments are presented net of intrasegment eliminations. The significant segment expenses that comprise operating income as a measure used by the CODMs in evaluating operating segment performance do not differ from the operating expenses as presented on the consolidated statements of income.

Additionally, for the prior periods, certain amounts are presented in a column for Other to represent other affiliates of the Company that primarily consisted of real estate operations, that were spun-off on December 26, 2023, and do not represent a reportable segment. On December 26, 2023, APC completed a restructuring transaction to spin-off its real estate investments, a component of Excluded Assets that were solely for the benefit of the APC shareholders. To effect the restructuring, APC contributed its real estate investments to a wholly owned subsidiary in exchange for 100% of the subsidiary’s membership interest units, which membership interests were then distributed to holders of APC’s outstanding common stock as a dividend, with each such stockholder receiving one membership interest unit for each share of outstanding APC common stock held.

The following table presents information about our segments (in thousands):

	Year Ended December 31, 2024
	Care Partners		Care Delivery		Care Enablement		Other		Intersegment Elimination				Corporate Costs			Consolidated Total
Revenue
Third Party	$	1,949,033	$	70,000	$	15,507	$	—	$	—			$	—		$	2,034,540
Intersegment		—		66,668		139,941		—		(206,609	)			—			—
Total revenues		1,949,033		136,668		155,448		—		(206,609	)			—			2,034,540
Cost of services		1,633,021		109,672		83,720		—		(63,261	)			—			1,763,152
General and administrative(1)		174,774		26,893		53,461		—		(143,433	)			70,343			182,038
Total expenses		1,807,795		136,565		137,181		—		(206,694	)			70,343			1,945,190
Income (loss) from operations	$	141,238	$	103	$	18,267	$	—	$	85		(2)	$	(70,343	)	$	89,350

	Year Ended December 31, 2023
	Care Partners		Care Delivery		Care Enablement		Other			Intersegment Elimination				Corporate Costs			Consolidated Total
Revenue
Third Party	$	1,284,081	$	61,600	$	40,227	$	753		$	—			$	—		$	1,386,661
Intersegment		—		56,343		95,597		184			(152,124	)			—			—
Total revenues		1,284,081		117,943		135,824		937			(152,124	)			—			1,386,661
Cost of services		1,075,631		90,570		59,075		296			(53,869	)			—			1,171,703
General and administrative(1)		116,729		21,500		57,672		3,752			(102,479	)			33,171			130,345
Total expenses		1,192,360		112,070		116,747		4,048			(156,348	)			33,171			1,302,048
Income (loss) from operations	$	91,721	$	5,873	$	19,077	$	(3,111	)	$	4,224		(2)	$	(33,171	)	$	84,613

	Year Ended December 31, 2022
	Care Partners		Care Delivery		Care Enablement		Other			Intersegment Elimination				Corporate Costs			Consolidated Total
Revenue
Third Party	$	1,051,464	$	49,806	$	42,023	$	870		$	—			$	—		$	1,144,163
Intersegment		—		45,970		78,177		115			(124,262	)			—			—
Total revenues		1,051,464		95,776		120,200		985			(124,262	)			—			1,144,163
Cost of services		869,238		70,890		51,531		258			(47,232	)			—			944,685
General and administrative(1)		97,004		15,915		41,628		2,681			(81,328	)			19,313			95,213
Total expenses		966,242		86,805		93,159		2,939			(128,560	)			19,313			1,039,898
Income (loss) from operations	$	85,222	$	8,971	$	27,041	$	(1,954	)	$	4,298		(2)	$	(19,313	)	$	104,265

(1)Balance includes general and administrative expenses and depreciation and amortization.

Income from operations for the intersegment elimination represents rental income from segments renting from other segments. Rental income is presented within other income that is not presented in the table.