DECONSOLIDATION OF BRIGHT HEALTHCARE INSURANCE COMPANY OF TEXAS (Tables)

3 Months Ended

Mar. 31, 2025

Discontinued Operations and Disposal Groups [Abstract]

Schedule of Balance Sheet of BHIC-Texas

The table below presents the balance sheet of BHIC-Texas on November 29, 2023, the date the Deconsolidated Entity was placed into receivership.

Cash and cash equivalents	$	60,560
Prepaids and other current assets	1,522
Risk share receivable	123,981
Total Assets	$	186,063
Accounts payable	$	135
Medical costs payable	3,283
Other current liabilities	1,523
Risk adjustment payable	89,638
Total Liabilities	94,579
APIC	204,753
Accumulated Deficit	(113,269)
Total Equity	91,484
Total Liabilities and Equity	$	186,063

The financial results of discontinued operations by major line item were as follows (in thousands):

	Three Months Ended March 31,
	2025		2024
Revenue:
Premium revenue	$	(322)	$	(215)
Investment income	942		1,568
Total revenue from discontinued operations	620		1,353
Operating expenses:
Medical costs	(1,203)		(3,759)
Operating costs	2,004		6,206
Total operating expenses from discontinued operations	801		2,447
Operating loss from discontinued operations	(181)		(1,094)
Interest expense	9,251		8,765
Loss from discontinued operations before income taxes	(9,432)		(9,859)
Income tax (benefit) expense	(22)		6
Net loss from discontinued operations	$	(9,410)	$	(9,865)

The following table presents cash flows from operating and investing activities for discontinued operations for the three months ended March 31, 2025 and 2024 (in thousands):

	Three Months Ended March 31,
	2025		2024
Cash used in operating activities - discontinued operations	$	(16,868)	$	(37,958)
Cash provided by investing activities - discontinued operations	61,130		198,451
Supplemental disclosure of cash flow information:
Cash paid for interest	$	33	$	2,628

Assets and liabilities of discontinued operations were as follows (in thousands):

	March 31, 2025		December 31, 2024
	Total		Total
Assets
Current assets:
Cash and cash equivalents	$	86,729	$	102,110
Short-term investments	7,526		7,533
Consideration due from Molina	—		61,139
Prepaids and other current assets	212		2,224
Current assets of discontinued operations	94,467		173,006
Total assets of discontinued operations	$	94,467	$	173,006
Liabilities
Current liabilities:
Medical costs payable	$	2,046	$	7,031
Accounts payable	5,232		9,052
Risk adjustment payable	271,839		276,835
Other current liabilities	56,064		51,733
Current liabilities of discontinued operations	335,181		344,651
Total liabilities of discontinued operations	$	335,181	$	344,651

The following is a summary of our investment securities (in thousands):

	March 31, 2025
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Carrying Value
Cash equivalents	$	70,207	$	—	$	—	$	70,207
Held to maturity:
U.S. government and agency obligations	7,426		—		—		7,426
Corporate obligations	100		—		—		100
Total held-to-maturity securities	7,526		—		—		7,526
Total investments	$	77,733	$	—	$	—	$	77,733

	December 31, 2024
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Carrying Value
Cash equivalents	$	82,043	$	6	$	—	$	82,049
Held to maturity:
U.S. government and agency obligations	7,430		—		—		7,430
Corporate obligations	103		—		—		103
Total held-to-maturity securities	7,533		—		—		7,533
Total investments	$	89,576	$	6	$	—	$	89,582