NASDAQ$CLOV

Clover Health Investments Corp. · Q1 2023 earnings

Q1 2023 earnings · · Investor relations

Briefing

Reported revenue of $527.8 million and a net loss of $72.6 million.

Clover Health reported strong Q1 2023 results with insurance revenue growth of 14% year-over-year and significant improvements in both Insurance and Non-Insurance MCR. The company also improved its full year 2023 guidance for the Insurance segment and consolidated Clover Health.

  • Insurance revenue grew by 14% over Q1'22.
  • Insurance MCR improved to 86.6% from 96.4% year-over-year.
  • Non-Insurance MCR improved to 96.1% from 99.8% year-over-year.
  • Adjusted EBITDA improved by $40.4 million to $(30.5) million compared to Q1 2022.

Headline financials

Total Revenue

$528M

Previous: $874M-39.6%
EPS (adj)

-$0.15

Previous: -$0.16+6.3%
Adjusted EBITDA

-$30.5M

No prior period
Capital Expenditures

-$251K

Previous: -$158K-58.9%
Free Cash Flow

-$72.9M

Previous: -$75.5M+3.5%
Net Income

-$72.6M

Previous: -$75.3M+3.6%
Operating Income

-$72.6M

Previous: -$87.3M+16.8%
Gross Profit

$55.3M

Previous: $12.7M+336.8%
Cash & Equivalents

$191M

Previous: $274M-30.4%
Total Assets

$1.45B

Previous: $2.68B-45.8%
Stock-Based Comp

$38.6M

Previous: $40.6M-5.0%

Revenue & EPS history

Clover Health · Revenue · Quarterly

$528M

Q1 2023-39.6%vs Q1 2022
Beat estimate in 13 of 15 quarters(87%)
ActualEstimate

Revenue by segment

Clover Health · $301M total across 1 segment · Q3 2023

  • Insurance Revenue
    $301M+12.4%

Forward guidance

Clover Health provided full-year 2023 guidance, including insurance revenue between $1.18 billion and $1.23 billion, insurance MCR between 87% and 89%, non-insurance revenue between $0.75 billion and $0.80 billion, non-insurance MCR between 98% and 100%, adjusted SG&A between $315 million and $325 million, and adjusted EBITDA between ($125 million) and ($175 million).

Tailwinds

  • Insurance revenue is expected to be in the range of $1.18 billion to $1.23 billion in 2023, a growth rate of 9% - 13% as compared to full year 2022 Insurance revenue.
  • Insurance MCR is expected to be in the range of 87% - 89% in 2023.
  • Non-Insurance revenue is expected to be in the range of $0.75 billion to $0.80 billion in 2023.
  • Non-Insurance MCR is expected to be in the range of 98% - 100% in 2023.
  • Adjusted SG&A (non-GAAP) is expected to be between $315 million and $325 million.

Headwinds

  • Adjusted EBITDA (non-GAAP) is expected to be between ($125 million) and ($175 million).

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2023

Historical avgQ1 2023

-0.1%

Avg return

Earnings day

+1.0%

Avg return

5 days after

+5.7%

Avg return

30 days after

46%

11 / 24 earnings

Positive

+20.9%

Q1 2024

Best reaction

-15.4%

Q3 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+11.0%+26.3%+36.3%
Q4 2025-3.2%+0.5%-18.6%
Q3 2025-15.4%-26.1%-26.7%
Q1 2025+11.9%+3.6%-8.8%
Q4 2024-4.1%-7.5%-13.3%
Q3 2024-15.0%-22.9%-22.2%
Q2 2024+9.6%+11.4%+71.6%
Q1 2024+20.9%+13.9%+52.8%
Q4 2023+2.2%+1.1%-9.8%
Q3 2023-15.2%-17.2%-13.0%
Q2 2023+10.3%+19.0%+4.0%
Q1 2023+4.7%+11.2%+10.1%
Q4 2022-2.2%-5.2%-28.3%
Q3 2022-5.8%+11.7%-13.1%
Q2 2022-14.4%+1.2%-23.6%
Q1 2022-11.9%-3.0%-5.2%
Q4 2021+20.1%+33.3%+72.5%
Q3 2021-4.3%-9.0%-40.9%
Q2 2021+7.1%+1.0%+2.1%
Q1 2021-6.7%-7.2%+73.4%
Q2 2020+2.6%+4.3%+37.0%
Q4 2020-3.8%-16.6%-19.6%
Q3 2020+0.3%+0.7%+9.1%
Q4 2019-0.1%-0.2%+10.2%
Q1 2020
Q3 2019
Q2 2019
Q1 2019

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