1life Healthcare (ONEM) 12 Aug 202020 Q2 Earnings call transcript

Ladies and gentlemen, thank you for standing by, and welcome to the One Medical's Second Quarter 2020 Earnings Conference Call. At this time, all participants are in a listen-only mode. After the speakers' presentation, there will be a question-and-answer session. [Operator Instructions] Please be advised, that today's conference is being recorded. [Operator Instructions] I would now like to hand the conference over to your speaker today, Rose Salzwedel, Director of Investor Relations. Ma'am. ahead, go Please

A of which related One Hello, earnings our investor.onemedical.com. to One website the call. Dan CEO our are operator. all Financial can Thaler, XXXX of in Officer available call Medical our second Amir of and Chair quarter With Rubin, Form be and on and you, Bjorn at in Medical. One Chief of welcome fiscal today Medical, Thank me release well issued as results found are our press earlier complete disclosure today, as X-K, on

call As a reminder, a being today's on is available will our website. replay be and recorded

on filings creates specifically predict a with for foreseeable it We complexity our the caution and good business, are to disclaim we most to believe reports. updated the performance any pandemic. recommendations. annual or outlook. today, results statements faith part providing be of any to basis to on harder guidance expectations we management's refer differ forward-looking our comments reports for given our forward-looking and statements investors risks like comes future view would recent SEC time make update views, by materially are obligation to will a uncertainties. risk as the and particular providing forward-looking that recent in we when Please pandemic subject COVID-XX and As may and various are Actual based our future SEC, that factors time These the statements. We report current our our of assumptions, including the will other and to crisis to the from quarterly

today's reasonable X-K. our XX, results. Today, nor call metrics adjust a that based found is a be we through to unless that today's date, press it to Medical's aid of done GAAP Of certain reconciliation such in it non-GAAP the policy metrics historical forward-looking the assumptions believe will release we note, reiterate earnings on as financial a are we filing discuss guidance A or be public today's financial on neither understanding as One release. also is Form Our can provided also August to believe of comparable disclosure XXXX. statements through the of in

and the future. may during prepared to turn we we provide one-time remarks, in your insights These the provide metrics their maybe and of Finally, the And to greater our I call, that, dynamic may incremental for offer with shall not Amir in call Bjorn or details the to and take updates nature may into business. over questions.

thank We Welcome as results we are everyone, and the at our our above you joining these well all can pleased second key metrics. call. you during as quarter yours extraordinary and times. be for of or guidance are high-end report doing across XXXX Today, today's to hope

history. our For figures with year. half year-over-year members up membership, QX. members QX, in we and we from $XX added XX,XXX for quarter, our XXX,XXX members, growing revenue XX% Continuing in million our ended the represent first this momentum quarter and the XX,XXX than year-over-year. QX membership have strong delivered more We this first in adding These strongest adds net half of XX%

opened COVID. network interconnected are into million, clients. and while healthcare plans Georgia; digitally announced with partners and care additional DC. clinically during to markets uniquely employer members centered Network health member Since we two and or partners. of Atlanta, Additionally, delivered markets system of partnership we California, margin And a a in and expand today, network with powered new we Through in for our XX% new two market we Washington of technology health delivering Health our this model, new QX, a County, $XX.X time new Orange also also announced opening have

services We synchronous chronic screening, testing, health with through our and asynchronous partners. are and in-person outbound and specialty digitally care treatment population care, virtual and and care, with with coordinated into digital vaccination care and combining longitudinal on behavioral integrated care clinically with health health connectivity primary demand and network also virtual

Our of transforming across providers, we the modalities and members longitudinal network. reducing for healthcare consumers, in-person employers, key better multiple healthcare better to digital interconnected and system deliver costs. delight was In to with while and health stakeholders; multiple process, care health care, are

this these seen of stakeholders. me share quarter for some now Let impact we've each

population disease visits and and For digital combining our enterprise differentiated with digital care convenient model membership interaction, and both to members; and by asynchronous along synchronous chronic in-person and management, continues be consumers via inbound health outbound on-demand remote health scheduled testing.

COVID-XX we've times, testing needs their with as on-demand our through needed. nationwide supporting these along assessment, been follow-up with and members care symptom During

care management, broader health remote needs when a Just as sports positioned pediatric serve well through sexual vaccines, both, be cancer and family deliver through of services, behavioral needs. flu other care ongoing our extend medicine, continued have the as and behavioral our into mental mindset vaccines, health, disease who pediatrics, through we in-person solution. for their and to for wellness, continued we've flu antivirals they potential We've By available. caring health we and needs longitudinal become whole and our chronic our the members support health, screenings, for expect into to serving members, outpatient COVID-XX and with health treatments system to if to appropriate reproductive

base COVID-XX continued platform growth launched Scores. of market, Promoter by all billable of growing to visits QX, scheduled Net delight our evidenced and our recently all enabled while continuing remote XX-plus During strong care our across membership our as our

during relationships with quarter. new deepened demand their employers existing the and enterprise continue advanced growing see our as to clients and service we've from offering We

estate, education industries On the we biotech, client side, others. legal, energy, relationships manufacturing, hospitality, technology, non-profits, across retail, new launched real such and financial services, as

not combination of conditions. care side, allowed enterprise is technology that our our given with COVID while treat assess [ph] the cost COVID, customers of and reentry employees has worksite to array and and program, support. all with continued are test Moreover, individual has compassionate diagnose, testing On Together and providers an XXXX we that to screening with Healthy services follow-up product COVID-XX needing our us serving

One addition where also in virtual Healthy extended we which One employers our who model. Medical build Now reach expand This offering, experience national employers, don't with as footprint, our physical salaried through offering on-demand total it strong client existing allowed Medical to the of we within seen geographies more have provider our has relationships while from reducing health a new our XX/X new and broaden their [ph]. interest look service In us offering, yet to costs to provide and we and to Together bundled further This and launched national us digital have healthcare employees footprint. their service new our to a call has employer

demonstrated to In Network in we've study employers one shared previously our as cost Association, our model Journal addition of Open. found to total the published savings costs. that in This employers employee valued we with of being also significant benefit, JAMA study saved a highly the healthcare Medical American XX%

these of additional employers be an savings model. to During our value-based are our compelling advantage times, finding

from healthcare our of across deliver XX/X top to ability our our supporting and coordinated workflows. continued and team-based approach, differentiated serve result interest and tremendous a members we've and to responsiveness our while engagement see QX. As providers facilitated has collaborate longitudinal innovative time With our grow to further in provider balancing settings, technology, talent, to which our model members

maintaining member, has administrative us proprietary digital service for freeing automates up providers most while to our team interactions allowed to routing this our volumes to appropriate of and This example, response language while machine levels. very or time on focus the high members natural uses technology COVID, in For engage to clinical members. and faster times caring processing during with resulting platform outstanding tasks, learning streamline care of in

our and their we to quarter, digitally well-being with for health engage continue the needs. During members also ongoing

us platforms to member then care care potential their with capabilities cancer needs. address members exams, help gaps, such Our annual automated deferred immunizations, and screenings as follow-ups proactive and launch identify

digital latest more clinical interconnectivity top the partners, the platform primary and we advanced our with integrations quarter, our During health and Network of also creating Health between additional system. care nation's

health networks and the with and our consumers, partnerships of powered These care have our model new system market. interconnected Turning the offering in employers settings. and and our modernized network; with health extend primary digitally partners new of addressing integrate partnerships clinically across coordinated to further needs to launched addition to technology healthcare specialty leading networks, we efficiencies care providers, human-centered and

our looked Providence March in own benefits alongside markets This extending these these we've in complexity relationship members and to on Portland, With our into partners. partnerships, medical coordination Joseph specialty of facilitating diagnostic setting. To sharing, care and into and specialty, California of care, Oregon and behalf employers, in new downstream care, their date primary XXXX, acute included across in arrangement Health St. we've of expanded care Orange information existing in care the with health July, opening network County, new markets. three further

also doors in time We partnership June the for our Emory Healthcare. in Georgia Atlanta, with through our first new opened

we over the months. With total XX% opening markets, last of these by the our grown have XX markets

Boston. across General launched partnerships now Health health Health live XX have in January, we Washington August supporting network XXX% under announced the this that Furthermore, in MedStar officially of System coordinated we launch, care we pleased launched We settings partnership members with our partnership partnerships, our are members. also share existing to primary our and recently Brigham X. for specialty Mass in across markets. went seamless with in With D.C., are Back our markets covered

System, Texas, enter we fourteenth are our North market, we entering well As which system existing an thirteenth we we we Wisconsin, to quarter, as partnership Austin, Raleigh-Durham, last noted parts Health as partnership Duke health Carolina, announce partner. today, of Ascension enter with pleased and will University in be Texas in and market will fifteenth to with with which plan as our

all our new networks. interconnected relationships. share my to employers, expanded and to for summarize membership I'd comments, made this our I like digitally and they've clinically grown have during our in and XX% time the by of employer of health system team consumer existing and stakeholders, consumers, As year-over-year entire base providers, impact thanks Through healthcare, our support and key my we

our remote Medical Now testing, have national behavioral health One solution. COVID-XX and and offerings service scheduled extended We our with screening visit, health, billable employer digital mindset

and for in-person frictionless pediatrics members. extending to mental we from outbound and digital providers to have you health XX-plus opened promote care benefited We coordinated in access have seamless and innovative value-based while ongoing across and With addressed continued transform our joining continued we synchronous have Members the we've asynchronous advanced those with and technology to wellness Scores Promoter your settings. digital delivered partners, and sustained and All employers. healthcare. and across and saving and announced family primary to Net and clinical us our streamlined To today, delivered network markets, thank inbound needs, our health modalities, mission and care results engagement integration, physical our workflows. new and specialty

call over let turn to Now, Bjorn, me our the CFO.

Thank on Amir. hello you, And today's call. everyone to

of and essential our other. We in-person took Despite Let collecting in-person screening, members, to very Amir test the deliver included action swift me continued communities additional at and the with the supportive testing COVID-XX unprecedented digitally up thank to digital we second outdoor to times onset stepping results, entire our each needs. or to echo COVID-XX and This high-end pleased and care up sites, quarter, members of deliver team any standing and are our and above results the launching our guidance. up we communities, following specimens digital at healthcare serve. for and in our

worksite flexible through to enable and enterprise our importantly, whether health One clients, have Now program visits, And, has virtual our than services allowed re-entry additional offering. These members us outcomes better performance. Medical our remote extend us members, allowed client sign-up to or drive the expected to Our and provide our we Together enterprise technology Healthy reach, for operating health grown consumer members. and financial our better more most services

take our outlook. results provide our Let QX me current and a few discuss to minutes now

mentioned, proposition to value been never stronger. consumers Amir and As employers has our

QX at XX% XXX,XXX in the growth members, continue the high-end ended see of up to We with membership our guidance quarter and strong year-over-year.

workers, please any in shared, geographies virtual continues community don't One have physical than count footprint. previously As we memberships launched any in short-term recently memberships, XX-months, Now which mind, Medical to users exclude for enterprise frontline only that a that where we for are keep and membership paid this [indiscernible] example, less

million this a our we much as point, financial. million $XX year-over-year. line we if we reported under Turning up to in distinct may revenue; At includes revenue in This additional in delivered Fund the we future. QX, revenue total, an have receive CARES in item Act, related the the any in planned cannot which income provider of net to Relief predict how XX% established $X.X funds

partnership Our and by which strengths revenue million, with in in driven for growth service $XX.X $XX.X well enterprise several year-over-year, of XX% increased year-over-year, was by membership membership continued and million base, revenue We health of addition patient memberships, particular our business. [ph] our partners. network the $XX of revenue Partnership enterprise called the as primarily million. quarter XX% [ph] as growing delivered both, driven consumer net revenue new

net discussed out service into revenue the line line service prior partnerships Collectively, of these shift patient partnership we've partnership and past calls, item mix year, As on the as an revenue grew ongoing and the have patient seen item net year-over-year. live. revenue of gone X% over

volumes in-office we communities. COVID-XX care share was on billable across both to all in-office shelter-in-place and mid-March were volume, of volume March, aggregate, total on some markets. April, COVID-XX me as quarter declined visits but the began in remote billable recovering our In remote In fee-for-service including revenue let markets. and we billable net began testing visits, our year our response, of to our XX% visits, of our have from see declined all enacted basis, latest derived widely across color a launched across our only adopted after. In of been which initiatives While

of services number by In recovery fact, across month during This June, the pre-COVID-XX our of driven billable than our levels. expected of volumes aggregate services. billable all better was exceeded

lower for in-office for remains remote visits. pre-COVID-XX services be below these in visits keep remote [ph] equivalent inversed visits remote than do procedures, that average, billable reimbursement therefore, and Further, mind accountably levels. have parity But visits the COVID-related in-office reimbursement reimbursed average lower involve an please not visit, visits. at tend than However, on to

revenue. delivered QX or P&L, margin Moving down $XX.X we net of XX% million to care of

well margin rapid scaling and made our existing our outdoor we across COVID-XX reflects expansion to allows support County, markets, greater into as our QX and Our the for opening Atlanta as care offices additional throughput Orange of which care, of investments offering.

operating or $X Our $XX.X million below million stock-based below QX excluding care of and approximately were levels. cost expenses compensation

headwinds in of revenue and we growth in reduced spend our fund anticipation base. provider As COVID-XX to our the continued

As a our result EBITDA a and QX was of expense $XX.X performance, adjusted revenue our QX of million. loss

strong a balance sheet with liquidity QX ended and position. we Lastly,

$XXX.X an completed in issued attractive notes principal successfully and we The debt in and an quarter rate convertible June offering be conversion aggregate due which price the During of with interest June bear XXXX. We a notes of have terms. will million $XX.XX. initial in X%, semi-annually paid December

our net the sheet. short-term $XXX.X QX we Our securities in million. million on from total, cash proceeds with offering and ended $XXX.X In balance marketable total were

a we well the and to launch We and consumers current is organization the proving visit responsible have ample summary, virtual-only of the through Medical of feel and platform, which capital take value in offering. our the dislocation continue advantage to remote further It allowed managing quickly the our market. In COVID-XX worksite QX technology perform Healthy by model continues evolving believe environment. us care dynamic to that is and longitudinal of our program Together One our entry to Now, to XX/X of employers. proving our value also in

managing As our our our providing Amir to efficiently scale geographic business by interest, initial expenses, the launched with to tail should capital seen continued expansion offerings months our and rents mentioned, operations recently and have strong allow and for us come. years these together in

to guidance. let few our Now, and a take count approach discuss me minutes provide

membership proposition and our and finish which QX value growing to with members, in to strong XXX,XXX of consumers count to range enterprise to continues total expect the We customers. show XXX,XXX a

range million, the that care while loss a in that believe value in and million to EBITDA dynamic outlook guidance million QX million create the QX our revenue this on million. loss million of also in $XX $X demonstrates of time, strong $XX our margin $XX QX the during recognizing of to range We to uncertainties. of deliver proposition to range to expect $XX of continues $XX positive COVID-XX We and QX adjusted a

strong rising continue members Even to we interest proposition the model. full year remain of year expect of value perspective, confident with we in and the to prior in of the members, our end XXXX, we are to our to see unemployment, count with levels For providing not increasing a range. low membership in range the COVID. we the end XXX,XXX XXX,XXX From guidance given surrounding P&L our uncertainty XXXX now continued

that the by our we reflected in see mentioned, are business that in QX trends our are As and guidance. encouraged we

universities, in a we up demand to expect impact and for decline QX prevalence that by However, a our model flu QX we this also acknowledge we changing potential In to adapt potential just as not employers, results. increase driving and yet offset strong, remain our strong to in be providing membership require a in continue potentially while do regulations, guidance, also vaccinations, These particularly fair Further, pent policies serve incidences QX. dynamically our a want and with us to uncertainties expect not are financial may to winter schools name will we few. into is closing, business and differences uncertainties carry services regional that for and flu amount COVID-XX to growth. our revenue may of

flexible geographies. have term and in which technology the of our One your Health believe service our stronger to and relationships yet platform you that health questions. our footprint. reducing physical now on-demand revenue Network offerings, services a virtual We us to thank Together, We mission, our and will we We than launch Now, enable for long XX/X more allows us open total with Medical this call the to our in outcomes your for website turn, program up while all and for as will We has the better partners past entry our such have new support don't rapidly Healthy in costs, together tailwinds continued margins. of allowed provide healthcare members

comes Our Instructions] Richard question [Operator Close from with Genuity. first Canaccord

your You may proceed with question.

unmute. your on is please mute, If line

Thanks.

Medical national various it Is this client On in basis speak Sorry just it's Now, about that. by as sounds One is basically states? live. like client in a scope on we or

wanted One Thanks to question. quarter just out it geographies. to We is This across interests Amir. live. greater offer who it employer is our this existing this Yes, out for and service rolled accounts we from initial rolled great Medical Now the

across So this geography. is broad the live

you or in states able the existing are you the clinicians do And you hire leverage that Okay. to offering Medical this are One clinicians?

have model national of employed model and employed salaried for We our provider continue salaried providers. a national that we model

Okay, thank you.

from Wieland Sandler. next comes with Sean Your question Piper

You with question. may your proceed

thanks. Hi,

where presence have me So what's you that? better the places contribution the Now Richard's to how I like just terms yet it's that terms count understand. a for help You just more follow-up the traction question; getting? of so it we fold that that in but where have about and memberships don't that? mentioned you're intend of One model for a of physical think target on to not the level membership it's or financial into of targeting physical Is than you that Medical is what's in in markets the do broad know - presence

Thanks, Sean.

providing to the a employers as our came turn Medical existing which and nationally. of our we've with So organically to and testament asking those all One large their runway serving we great employees about here across This capable of really saw a on the employer us launch One value accounts, Medical great been clients. from we we're market, Now are seeing

accounts is presence provide we have facet can for physical not accounts or absolutely turn those whether or comprehensive of ultimately a across and just markets, that we on multiple the for markets. this in we new another offering can existing So employers

point the the price same? Is

accounts In it we of membership and reduced enterprise general, of fee. general, have at at bundled with we number in is markets, number pricing and the the it a look with our so but together lives

Okay, thanks so much.

Thank you.

Securities. with Our next comes from question Truist Sandy Draper

with your proceed may You question.

Amir service afternoon, to or sure and revenue, of that primarily dropping question. trending of down, Maybe XX%, about taking obviously, I'm because my a analyze. But the as this COVID percentage Bjorn. Good is The you has around net comments it's been hard of to patient making for total kind for XX% if thank revenue. not

service it's you down? this maybe region now me to going to you necessarily recall, year. Thanks. in every if you trend, still not accelerating market? have every in, Help in I general one have a partner the is every region when a a that revenue partner. if health think for As be have still are you The you're Outside COVID, that's you fee billing partner system have, partner of going

Amir. is one. take This that Maybe I'll

economics they're of question. our be noted, time open you and different towards revenue our the Sandy, revenue across we in markets. all and partnerships is in mix as partnership and as thanks shifting We now structured, P&L, different over across So have see can achieve for markets but you partnership itself the our are approaches equivalent however which can of PMPM the

partners - is As anticipated markets so and we certainly you our of markets announcing our shift. that are more have that of can all driver partners and all in a of actually major announced see,

Okay.

would could fee I continue give that you don't less if me service, partnership I patient more revenue. maybe market? for service a be of have if bill even the trend So when general partner to over you revenue would an in to expect time and you you guess will example see

don't share we Well, partnership contracts specifics.

if in they're achieve services margins I want you're structured whether on basis across mentioned, see, anything been add a a are you on as to similar an if approaches. there can to approach. But you As we has either that. or all so can increase relationships, I the to don't know PMPM revenue open revenue partnership in Bjorn we patient

little just provide a maybe Yes, to more color.

point PMPM in One, revenue for really model select to we markets. about in the has drive point which second to continue through XX%, the to was about there fee think your you As the quarter, drove two that this. your service been down things

the covered did our in between piece visits, fee of obviously related have the partners. of some and COVID we by both with service point we you in Network COVID, for markets, XXX% have other in-office you QX between fairness on what's volumes out, results, in saw about testing - total for service by members As that in fluctuation those fee our But in billable between that our Health terms is visits. now going

great. Okay, that. That's helpful. appreciate I

Thank you.

Our with comes Daniels from next question William Ryan Blair.

may proceed question. your You with

centers? Congrats new something on to just benefit have regards remote may on the and sure that a to for in a far. going local benefit? health have is Are strong may want actively One don't understand detail where not to the new I thanks where areas sell make again Is and the to have all offering to type a and that you Now future, provide employers workforces center I corporate regional not results offer, you Medical this even only so In fully to up virtual want it. you're or intend to to that and follow you customers center only a the to existing potentially

do whole Ryan on organically who to the serve We we response. clients love for the They have It all and wanted other proposition value as health They across care we've really the had, They larger added liked that Nothing of from onto constrains selling to synchronous the markets. above. really their quick the to for that, came including the us about longitudinal family. model. larger they turn Thanks, the opportunity question. started liked liked this plus to it solution salary they model, anyone. employer loved all digital asynchronous us we

So really all it explore us a the lot runway gives above. of to

it footprint? workforce you then need you perhaps that. not might accelerate services priorities as they as you ask think had deployment gives may such advanced, on also that change clients opportunity more hesitant because where a in been it'll can more a you the follow up your it rolls that you If conversions will out, those can land provide I it quick Do business that potential capital otherwise to have couldn't serve locations Thanks. the and becomes

greater if greater that allows it reach markets. parody, across you some large will, existing do want multiple benefits within large employers We think new have us with existing of employers to level their

do that Medical yes, So us we ability. One Now giving see

physical be capital think believe may as grow the this these otherwise locations we efficiency continue anticipated. we do the case can with less just do that growing health certainly digital screening as and than have I we and with overall, approaches, do our will, terms as continue model. vaccinations, of future our you in COVID might we vaccination we and anticipate be But well. digital and that of But visits, if will those serve in testing remote it members as we to anti-viral the to incremental component our it see

model, further Xx to as Just engagement refresh memories approach. to just is reinforcing had we COVID, our people's our this we in in-person noted and in digital engagements various roadshows, even that before

Very helpful. Thank you.

you. Thank

from Morgan with comes question Stanley. next Our Goldwasser Ricky

with question. You may proceed your

Hi, good evening.

more it prepared Is that the So there. love anticipated activation particular I are you employer to about give clients would enterprise you Where talked up faster or context is to remarks business. new strengths? it that picking is or seeing that see you're strengths do the you the in lower it rates the more the member attrition? some

you, Thank This account. more very had say it's enterprise been for strong new and Ricky, retention account, logos. We've enterprise adding I finding more always growth the and about in really would been has adding about general, more new question. activation.

membership about to guidance needed second if in of half we the your for are you think follow-up. I When Okay. then, assuming terms year, what And of unemployment? just

take encouraged half. the quarter and still obviously, a second full membership side, more that for low enterprise from we see increased year fair to at bit so just of a are there of more least see our that color the a can I our is XX about you membership. and think to there a the is you XX uncertainty lot to we valid the Happy we're the of purchased XX because to a third in feel and the uptick guidance on you continue back. one-year enterprise we position included in by normal clients. count membership our far, lot of memberships interest our What step or give now in end a some mean, so for that the to as guidance for certainly Maybe fact months

wouldn't this watching much But probably closely. that something in headwind unemployment of potential very you So see of terms we're later definitely a until that's too year.

Thank you.

Thank you.

comes from Lisa question JPMorgan. with next Gill Our

You may your question. proceed in

thus that far. much. And thanks I want the volume beyond very thanks you talked to comment the made June. color curious. around you about for and Hi, just I'm back go billable just to

of Because was office? that that you previously Your you We're issue procedures QX the the the are what weeks starting back the see demand. but remotely you're revenue? in-office? Are about is as without to trends starting type comment six more into pent next that see amount so What people to the where here you it's of get Are the far quarter? to did procedural up paid volume? seeing come or you as not know around same the

Great question.

pre-COVID levels approach started to of As to pre-COVID see frankly, levels, volume June. total and you in heard earlier, the we it's certainly been billable visit

rest in quarter Since the continued just of Not probably we've visits. for in is absolute and what also so the our quarter. relative those of here far Now monitor to we are mix but what certainly the guidance the and seen thankfully, of we we the level, expect reflective August, that. then, QX

Now, and and In-office some below procedures you around just see not that's to look the related around billable long types, as said, reimbursement the to we've pent with those those see I average. three remote so When started those actually average, changed what only pre-COVID we or guidance as visit visits, total that visits rolled needs certain than visits meant to visits think remote can billable around COVID there's point what and or time it we've around point really highly this in the much visits that you terms visits is are way, want about you here up at reimbursed postpone dynamics. have these different on done above demand of or are levels. I at on June so still to our that. Really turn, think in billable reflects started get if

laying there membership; your one going they notification? to of follow-up or around the where and is for of the time you it a I'm to around feed employer if So a you not people Ricky's so getting that just I'm of Is are they anything Then give kind it's said months. you more XX-plus an contracts most back large question have quick parties within eligibility potential Great. ahead know a of lead lot of off, membership? lost you're time letting

some by imagine, It are where client depends as there on others. of a client basis we so contracts are Certainly, a you contracts bit those better unique. than all little can visibility have

and the we look mix. membership total a But flowed the we that our when at and are about again, year. thought consideration all QX it's our that for and So as guidance full into contracts pipeline, we renewal dates coming look at deliberation up

Okay, great. Thank you.

you. Thank

from comes Citi. next [ph] Robert question with Our Kiyosaki

proceed question. with You may your

thanks. to Great, end the good backdrop; numbers go X,XXX. to beat by guidance membership. to in you your see want high to those this for Certainly back I XQ

low the You some the new year by upside only the raised of and the despite announcements. X,XXX, that end full of

as hoping if or need we this is just point? at there's conservatism anything to offset an it Just consider

in that. our membership of guidance the to evaluate Maybe just for high We end to our came at QX. for level

COVID-XX different all we of the to geographies with I of into and in the lockdown. what's economy, thankfully, might bit where think conversation sort a fact going unemployment, back a are in or around coming little industries, lockdown out also happening that the time going people and holding potential different the happening enter what's

business. of a a and variability bit the the So of being still here appropriate back, on guidance remainder by X,XXX to certainly raise end our is the we come in year, taking the just momentum the but shows for the of low top step fair guidance of the end obviously there's also having but able feel at

on a getting I Then up Medical could still sounds it's top visit you exactly for flow the quick enough. model it on every get on virtual-only But offering. so level? the that, you're follow just or somebody determined a regional that like and gets through. annual It fee. just reimbursement then is a not reimbursed Now fair is the One time how virtual one Okay, if clear of membership economic will national on I'm

It's on kind bundled on-demand as virtual for care we continues we've and have employees Ralph. Thanks, approach a where payment based our of in markets done physical a presence.

accounts. extended markets for those virtual those for of all So across employees existing to and accounts employer of we've new on-demand our that other basically care

it. Got

pole beyond above obviously type virtual or and that no there's bundle of any fair? care additional So revenue on-site price. Is that for

for those If is comes a of incremental you revenue mean way. in each that bundled employees there

Right.

you. Right, got Okay, it. thank

you. Thank

next Our SVB Steven Tanal question from Leerink. with comes

may with You question. proceed your

there I Maybe on well. Thank the you, one. that up just the curious question. as for follow was guys, last

So members to Now just I that that demand too. the offering clear this a if do sense Medical Then basically, helpful the One office just billable for on members, give physical visits? for and on-demand Can wasn't fee membership it's minus us those same the understand would now. unlimited be point you service could is what telehealth.

Thanks, now employers. it we're for a on Steven. bundled basis offering Right

that's the now. So offering we're way it

we As this prevents it approach, existing anything nothing that's our with said us with account. how launched doing from we but else before,

Got it.

be assets comments relative Any just on office physical difference the to the think think included. Okay, the it in fee? about with would price that's membership value I the helpful helpful. and

to employees offices. from extend it wanted price, into overall you physical their where offering when us we work came so an - than price whisked Again, organically as clients can our if all bundled say that lower you about our all existing think But would of we kind accounts and that with in will this their membership employers. have across price about initially fee a we I general, those

enough. fair Okay,

maybe variable guess I much I up to much visits. ideally, was But I'd you're demand contributed digital good less that the around service or remote it's all follow now metrics share. to you like how more relative in know that'll Are percent on couple are billable how of of Sounds seeing more do or and I sort share could hoping a XQ how on-demand maybe interactions don't one that. direct, willing then bundled you for going the think just maybe expect billable to how to love revenue to or you develop that in what you evolve? forward? that going know

We've certainly an seen be great to uptake with remote of visits, model. and continue our continue part important we anticipate they will and

As we we those out don't know, specifically. break

that a we have where either also accrues the partnerships this revenue course, would us partner to add also revenue, during really service powerful accrues then growing. been that if where I across Of it's received patient to we the and point; and but partnership very And might and model, partnerships quite have just revenue have say I well time.

and today, with here we during existing mentioned in launched As partner COVID. Portland an we've County Orange

last mentioned health we also health are before, as and and members doors of MedStar in the And under a in basis. also, We with our with in X, Carolina under we of partnership to partnerships. an Georgia. remarks, Texas, this earnings Austin, coming North which we in existing as brings an per with member Boston, Raleigh-Durham, Ascension month that announced of parts network per as Wisconsin with network Brigham Mass went Duke, our markets, And early launch our call, being increasingly the of partner. then revenue well mentioned live we with and fourteenth existing D.C. Texas a our XXX% in on mentioned us year of Health fifteenth opened announced in today then, market Atlanta, We as General which August lot mentioned just all

the the results. what strength our So, of model, our partnership I which with to add model strong of the think revenue, of that really your question, shows the just to really is strength this partners, strength drive helped

if could love how to from value model? I that we confident evaluate more sort that. on sort - follow-up the the the guess the in are you're providing on and just sneak helpful. evaluate that? hospitals commensurate with should I'd really for that? how are health than you're the Maybe PMPM Like, of rates How It's you like, one understand of getting better you fee-for-service the systems do I

in long-term us financial have pandemic; health value we believe number and can the our and all during partnership even that of new about strongly number partners as the we partners you to great deliver We by opened, we've announced And allow see with our partners, feel targets, relationships Yes. very that. and the markets of underlying network economics that. see

both it's a great So, really for win-win parties.

Thank you.

question comes Our Baird. next Matthew Gillmor with

your with question. proceed You may

are service. a of was ads kind from us in membership of for positive that's any seeing side could in And, I any early how there's a degree pediatric higher you available? on hoping consumer or that's terms And that terms read impacts perspective the either the you ramped? enterprise of activation rate question. the Hey, thanks update on when of

the Medical One side. the the thank the employee, we're more And them, not offering side; family sign-up. both, certainly now their side, more just we've membership seen on one for employers increased our seeing consumer seen on Yes, of even to dependents, we've our of you. but can enrollment and just side, reason consumer and enterprise We've on we and entire to same our roadshows, are thing as catch the most activation and the enterprise it's just on on mentioned benefit plus employees

in-person, course, more to the to we're April model it's add great increasing paper offering, more mindset prop we One with members of return we giving out salaried of just more offering the have of also mentioned, Medical in too, only where increase our we done, the done, side not to we but that system then, consumers delights all that whether or I'll out it's stakeholders; this off providers model taken a with a volume kind system, And behavioral whether reasons a and is had the another pediatric or Healthy proposition employers. Net making health work the So, fee-for-service are published the the virtually that we cost. - of great our healthcare technology that's - And to employers so allows Together our this so employers. Promoter more whether a Score, for the it's top there, of redesigned XX% we've in paper we've demand more delighting and and ramped that's providers our approach, built of as providers between is it's systems, this, the Now; inbound employers, and key care physicians. we system this provider employers. in medicine way how right, primary have let's that's only serves approach, our owning differentiated integrating by XX our complexity the behalf And is or on outbound at that of showing population and navigating and reducing example on it productivity not testing, that care, we're just not But desktop to burdens it's a minimize whether robust consumers value really value health burnout end of benefit JAMA we've and with reduce we employees take to of that; that loved diagnostics, reasons the the improve burden multiple interconnected that note seeing the specialty other of costs, of sign-up. testing, to system, duplicative and of and

and the I really we at more not. think, digitally have see system is one this of that Well, an and the together So we interconnected have that's are we we're hour, I top that integrated. clinically put

one more perfect? question, have We

Yes.

with last comes Richard Close Canaccord from Genuity. Our question

with You question. may proceed your

us know Great. and let when could follow-up. Thanks be the Wisconsin; I just curious timing to was those markets? on for you the live of expect Raleigh if

be at year. live some Yes. will Thank Richard. you, next Those point

Austin Okay. beginning of And scheduled for the then, XXXX? is

correct. is That

Thank you. Okay.

all you thank Well, our want again, next organization. and Well, the to seeing great and for so thank want forward I a everybody. great look to interest our great. on Have We questions Thanks the today. all healthcare, mission much, Wonderful. for day. with everybody I transform call to for engagement to us time. joining you in earnings your

concludes gentlemen. and today's participating. Thank call. conference for you, This ladies you Thank

disconnect. may now You