What happened
Shares of Clover Health (CLOV 7.84%) climbed 10.8% on Thursday, following the release of the healthcare insurance provider's second-quarter results.
So what
Clover Health's revenue soared 140% year over year to $412.5 million. Total lives under Clover Management at the end of the second quarter jumped 126% to approximately 129,000, split roughly evenly among Medicare Advantage memberships and Direct Contracting.
"Clover took another step in its journey to improve every life with the launch of Direct Contracting this past quarter," CEO Vivek Garipalli said in a press release. "This milestone more than doubled our revenue and nearly doubled lives under Clover Assistant management."
Investors applauded Clover Health's Q2 growth metrics. Image source: Getty Images.
The company's Clover Assistant program shares its data platform with healthcare providers. By providing convenient access to health records and real-time clinical data, Clover Health can help medical professionals provide more personalized care to their patients. Additionally, participating providers are more quickly reimbursed for their services. Unsurprisingly, the program has proved popular among clinicians.
"The Clover Assistant continues to be a key differentiator which underpins our unique model," chief technology officer Andrew Toy said. "The Clover Assistant has approximately 95,000 lives under management and is on pace to manage over $1 billion of annualized revenue."
Still, Clover Health is not yet profitable. The company generated a net loss of $317.6 million in the second quarter.
Now what
Management expects Clover Health to earn full-year revenue of $1.4 billion to $1.5 billion in 2021, driven by growth of 17% to 21% in its Medicare Advantage membership base.
"We have ambitious goals to maintain an aggressive growth trajectory while pursuing our mission to improve every life by making great healthcare available and affordable to all American seniors regardless of health, wealth, or economic status," Garipalli said.
