Astrana Health Inc (ASTH) 2021 Q1 法說會逐字稿

Greetings, and welcome to the Apollo Medical Holdings First Quarter 2021 Financial Results Conference Call. (Operator Instructions) Please note this conference is being recorded.

您好，歡迎來到 Apollo Medical Holdings 2021 年第一季度財務業績電話會議。 （操作員說明）請注意正在錄製此會議。

I will now turn the conference over to our host, Carolyne Sohn of The Equity Group. Thank you. You may begin.

我現在將會議轉交給我們的主持人，The Equity Group 的 Carolyne Sohn。謝謝。你可以開始了。

Thank you, operator, and hello, everyone. Thank you for joining us. The press release announcing Apollo Medical Holdings, Inc. results for the first quarter ended March 31, 2021, is available at the Investors section of the company's website at www.apollomed.net. You may also e-mail us at investors@apollomed.net if you'd like a copy. To provide some additional background on its results, the company has made a supplemental deck available on its website. A replay of this broadcast will also be made available at ApolloMed's website after the conclusion of this call.

謝謝接線員，大家好。感謝您加入我們。公佈 Apollo Medical Holdings , Inc .截至2021年3月31日的第一季度業績的新聞稿可在公司網站 www.apollomed.net 的投資者部分查閱。如果您需要一份副本，也可以發送電子郵件至 investors@apollomed.net。為了提供一些關於其結果的額外背景，該公司在其網站上提供了一個補充平台。本次電話會議結束後，還將在 ApolloMed 的網站上提供該廣播的重播。

Before we get started, I would like to remind everyone that this conference call and any accompanying information discussed herein contains certain forward-looking statements within the meaning of the safe harbor provision of the Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terms such as anticipate, believe, expect, future, plan, outlook and will and include, among other things, statements regarding the company's guidance for the second quarter ending June 30, 2021, and for the year ending December 31, 2021, continued growth, acquisition strategy, ability to deliver sustainable long-term value, ability to respond to the changing environment, operational focus, strategic growth plans and merger integration efforts as well as the impact of the 2020 novel coronavirus or COVID-19 pandemic on the company's business, operations and financial results.

在我們開始之前，我想提醒大家，本次電話會議和本文討論的任何隨附信息包含某些前瞻性陳述，這些陳述符合 1995 年《私人證券訴訟改革法案》安全港條款的含義。這些前瞻性陳述可以通過預期、相信、預期、未來、計劃、展望和意願等術語來識別，並包括，除其他外，關於公司對截至 2021 年 6 月 30 日的第二季度和截至 12 月 31 日的年度的指導的聲明， 2021 年，持續增長、收購戰略、提供可持續長期價值的能力、應對不斷變化的環境的能力、運營重點、戰略增長計劃和合併整合工作以及 2020 年新型冠狀病毒或 COVID-19 大流行的影響關於公司的業務、運營和財務業績。

Although the company believes that the expectations reflected in forward-looking statements are reasonable as of today, those statements are subject to risks and uncertainties that could cause the actual results to differ dramatically from those projected. There can be no assurance that those expectations will prove to be correct. Information about the risks associated with investing in ApolloMed is included in its filings with the Securities and Exchange Commission, which we encourage you to review before making an investment decision. The company does not assume any obligation to update any forward-looking statements as a result of new information, future events, changes in market conditions or otherwise, except as required by law.

儘管公司認為前瞻性陳述中反映的預期在今天是合理的，但這些陳述存在風險和不確定性，可能導致實際結果與預期結果大相徑庭。無法保證這些期望將被證明是正確的。有關與投資 ApolloMed 相關的風險的信息包含在其向美國證券交易委員會提交的文件中，我們鼓勵您在做出投資決定之前進行審查。除非法律要求，否則公司不承擔因新信息、未來事件、市場條件變化或其他原因而更新任何前瞻性陳述的義務。

Regarding the disclaimer language, I would also like to refer you to Slide 2 of the conference call presentation for further information. For those of you following along with the accompanying supplement, there is an overview of the company on Slide 3. On today's call, the company's Executive Chairman and Co-CEO, Dr. Kenneth Sim, will provide an overview of the first quarter 2021 highlights. The company's Chief Operating Officer and Chief Technology Officer, Brandon Sim, will then discuss the latest operational developments; and Chief Financial Officer, Eric Chin, will follow with a review of ApolloMed results for first quarter 2021. Brandon will conclude the remarks with an update on the company's outlook and long-term growth strategy before opening the floor for questions.

關於免責聲明語言，我還想請您參閱電話會議演示文稿的幻燈片 2 以了解更多信息。對於那些跟隨隨附補充的人，幻燈片 3 上有公司的概述。在今天的電話會議上，公司的執行董事長兼聯席首席執行官 Kenneth Sim 博士將概述 2021 年第一季度的亮點.公司的首席運營官兼首席技術官 Brandon Sim 隨後將討論最新的運營發展；隨後，首席財務官 Eric Chin 將回顧 ApolloMed 2021 年第一季度的業績。布蘭登將在發言結束時介紹公司的前景和長期增長戰略，然後再開始提問。

With that, I'll turn the call over to ApolloMed's Executive Chairman and co-CEO, Dr. Kenneth Sim. Please go ahead, Dr. Sim.

有了這個，我將把電話轉給 ApolloMed 的執行主席兼聯席首席執行官 Kenneth Sim 博士。請繼續，Sim 博士。

Good afternoon to all of you, and thank you for joining us to discuss ApolloMed's first quarter 2021 results.

大家下午好，感謝您加入我們討論 ApolloMed 2021 年第一季度的業績。

2021 got out to a strong start as we reported solid growth of the pipeline and significantly [greater] growth on the bottom line, primarily as a result of organic membership growth in our existing IPAs driving capitation revenue and increased risk pool settlements and [incentives] revenue. The bottom line also benefited from a decrease of $2.4 million in general and administrative expense related to third-party consulting and professional costs, a direct result of the implementation and ongoing use of our own technology platform.

2021 年開局良好，因為我們報告了管道的穩健增長和底線的顯著 [更大] 增長，這主要是由於我們現有 IPA 的有機會員增長推動了人頭收入和增加的風險池結算和 [激勵措施]收入。與第三方諮詢和專業成本相關的一般和行政費用減少了 240 萬美元，這是我們實施和持續使用我們自己的技術平台的直接結果。

For the first quarter of 2021, we reported $176.1 million in total revenue, which is a 7% increase from $165.9 million in the prior year period; and net income attributable to ApolloMed of $13.2 million, which compares to $4.1 million in the prior year period. We reported EBITDA of $26.6 million in the first quarter of 2021, which is a 137% increase from $11.2 million in the prior year period; and adjusted EBITDA of $39.2 million, which is a 111% increase from $13.8 million in the prior year period. We place great emphasis on the adjusted EBITDA figures as these numbers [backout] the impact of recently acquired IPAs, other income and income from equity method investments.

2021 年第一季度，我們報告的總收入為 1.761 億美元，比去年同期的 1.659 億美元增長 7%；歸屬於 ApolloMed 的淨收入為 1320 萬美元，上年同期為 410 萬美元。我們報告了 2021 年第一季度的 EBITDA 為 2660 萬美元，比去年同期的 1120 萬美元增長了 137%；調整後的 EBITDA 為 3920 萬美元，比去年同期的 1380 萬美元增長 111%。我們非常重視調整後的 EBITDA 數據，因為這些數據 [backup] 最近收購的 IPA、其他收入和權益法投資收入的影響。

We anticipate the trend of decreased [claims] due to the continued effect of COVID-19 will normalize as (inaudible) with more and more folks continuing to vaccinate against COVID-19 and the country maintains its steady path toward recovery. And we have accounted for this in our guidance for the second quarter of 2021, which Brandon will expand upon shortly. We continued working closely with the team of -- at CAIPA MSO with which we announced a strategic investment and alliance in January of 2021. With this partnership, ApolloMed will be bringing its proprietary technologies to benefit CAIPA physicians. And the strategic alliance will provide ApolloMed with a low-risk entry foothold into the State of New York with the possibility of expanding the relationship down the line. We anticipate closing this transaction by the end of 2021 second quarter.

我們預計，由於 COVID-19 的持續影響，[索賠] 減少的趨勢將正常化，因為（聽不清）越來越多的人繼續接種 COVID-19 疫苗，並且該國保持穩定的複甦之路。我們已在 2021 年第二季度的指導中考慮到這一點，布蘭登將在不久後對此進行擴展。我們繼續與 CAIPA MSO 的團隊密切合作，我們於 2021 年 1 月宣布了一項戰略投資和聯盟。通過這種合作夥伴關係，ApolloMed 將利用其專有技術造福 CAIPA 醫生。該戰略聯盟將為 ApolloMed 提供進入紐約州的低風險立足點，並有可能進一步擴大合作關係。我們預計在 2021 年第二季度末完成這筆交易。

With that, I will turn it over to Brandon for an update on the developments of our proprietary technology solutions. Brandon?

有了這個，我將把它交給布蘭登，了解我們專有技術解決方案的最新發展。布蘭登？

Thank you, Dr. Sim. We continue to innovate when it comes to our technology platform. As I mentioned on our last call, ApolloMed has invested heavily in the development of our fully integrated proprietary software platform, including solutions for tech-enabled care coordination, population health and risk management, revenue cycle management and more.

謝謝您，辛醫生。在我們的技術平台方面，我們不斷創新。正如我在上次電話會議中提到的那樣，ApolloMed 已投入大量資金開發我們完全集成的專有軟件平台，包括技術支持的護理協調、人口健康和風險管理、收入周期管理等解決方案。

The ApolloMed platform creates a powerful, virtuous cycle, which results in better patient care, measurable improvement in clinical outcomes and reduced total cost of care. Our industry-leading data moat and expertise in machine learning allow us to test ideas faster, build better models and perform more accurate risk stratification and adjustment than our competitors do. This leads to more valuable and more actionable insights, data and tools for our providers, and therefore, better outcomes for our patients. In turn, more and more providers are encouraged to participate in our value-based care delivery model, which further widens our lead in both product and in data.

ApolloMed 平台創造了一個強大的良性循環，從而帶來更好的患者護理、可衡量的臨床結果改善並降低總護理成本。我們行業領先的數據護城河和機器學習專業知識使我們能夠比競爭對手更快地測試想法、構建更好的模型並執行更準確的風險分層和調整。這會為我們的提供者帶來更有價值、更可行的見解、數據和工具，從而為我們的患者帶來更好的結果。反過來，鼓勵越來越多的提供者參與我們基於價值的護理提供模型，這進一步擴大了我們在產品和數據方面的領先優勢。

And we're feeding the ApolloMed flywheel by continuing to grow our provider network aggressively, both organically and through M&A activity and by iterating rapidly with our team of top technologists on the ApolloMed care platform. This platform, along with our experience in taking risk and scaling profitably across diverse geographies and populations in California, will enable us to continue growing rapidly throughout the country, helping providers take risk successfully and perform value-based care to ensure better outcomes for our patients.

我們通過有機地和通過併購活動繼續積極發展我們的供應商網絡，並通過與我們的頂級技術專家團隊在 ApolloMed 護理平台上快速迭代，為 ApolloMed 飛輪提供動力。該平台以及我們在加利福尼亞州不同地區和人口中承擔風險和擴大盈利規模的經驗，將使我們能夠在全國范圍內繼續快速發展，幫助提供者成功承擔風險並執行基於價值的護理，以確保為我們的患者帶來更好的結果.

ApolloMed and its partnered physicians now serve members in 9 of the top 25 counties in the U.S. by population, but our dream to bring high-quality health care to communities across the nation is just beginning. We are seeing many opportunities in our pipeline and are excited at the prospect of bringing our highly scalable model to a much larger population over the course of this year.

ApolloMed 及其合作醫生現在為美國人口最多的 25 個縣中的 9 個縣提供服務，但我們為全國社區提供高質量醫療保健的夢想才剛剛開始。我們在我們的管道中看到了許多機會，並且對在今年將我們高度可擴展的模型帶給更多人的前景感到興奮。

Operationally, we have set a strong foundation for the rapid growth strategy we set forth for the company in 2021. As demonstrated in Q1, our technology solutions continue to generate millions of dollars in savings in annual operating expenses for ApolloMed. And we believe that our platform will continue to drive operating margin improvements as new products ramp online and as we expand our member population.

在運營方面，我們為公司在 2021 年制定的快速增長戰略奠定了堅實的基礎。如第一季度所示，我們的技術解決方案繼續為 ApolloMed 每年節省數百萬美元的運營費用。我們相信，隨著新產品上線以及我們擴大會員數量，我們的平台將繼續推動營業利潤率的提高。

With that, I'll turn it over to Eric to review our financial results.

有了這個，我會把它交給埃里克來審查我們的財務結果。

Thank you, Brandon. We achieved strong results in the first quarter of 2021, reporting total revenue of $176.1 million, a 7% increase from the $165.1 million in the prior quarter. As Dr. Sim mentioned earlier, this was driven by 2 things. Number one, an additional $4.3 million in capitation revenue, primarily as a result of organic membership growth at Allied Pacific IPA and Alpha Care Medical Group. And number two, a $6.8 million increase in the risk pool settlements and incentives revenue, driven by reduced utilization of our hospital partners due to the suspension of nonemergency medical procedures as a result of the COVID-19 pandemic.

謝謝你，布蘭登。我們在 2021 年第一季度取得了強勁的業績，報告的總收入為 1.761 億美元，比上一季度的 1.651 億美元增長了 7%。正如 Sim 博士之前提到的，這是由兩件事驅動的。第一，人均收入增加了 430 萬美元，這主要是由於 Allied Pacific IPA 和 Alpha Care Medical Group 的有機會員增長。第二，風險池結算和獎勵收入增加了 680 萬美元，這是由於 COVID-19 大流行導致非緊急醫療程序暫停，導致我們醫院合作夥伴的利用率降低。

Capitation revenue of $144.7 million represented 82% of our total revenue compared to 85% of total revenue in the first quarter of 2020. Our membership remained at approximately 1.1 million managed lives at the end of the first quarter ended March 31, 2021. Taking a closer look at our membership, 529,000 lives or approximately half of our members were fully captitated through our consolidated IPAs.

1.447 億美元的人均收入占我們總收入的 82%，而 2020 年第一季度佔總收入的 85%。截至 2021 年 3 月 31 日的第一季度末，我們的會員人數仍保持在約 110 萬名。仔細觀察我們的會員，529,000 條生命或大約一半的會員通過我們的合併 IPA 完全被俘虜。

Total operating expenses decreased about 4% to $154.3 million in the first quarter of 2021. That was from $160.7 million in the prior year period. This was primarily a result of a $3.6 million decrease in cost of services, driven by a reduction in claims expenditures incurred by our next-gen ACO as well as a decreased general and administrative expenses of $2.4 million, primarily attributable to a reduction in third-party consulting and professional costs due to efficiencies gained from the company's technology platform.

2021 年第一季度，總運營費用下降約 4% 至 1.543 億美元。去年同期為 1.607 億美元。這主要是由於服務成本減少了 360 萬美元，這是由於我們的下一代 ACO 產生的索賠支出減少以及一般和行政費用減少了 240 萬美元，這主要是由於第三-由於從公司的技術平台獲得的效率而產生的派對諮詢和專業成本。

As a result of the increased net revenue and decreased operating expenses, net income attributable to ApolloMed was $13.2 million, an increase of 225% from the $4.1 million in the first quarter of 2020. Our earnings per share on a diluted basis was $0.30 per share, up 173% from $0.11 per share in the prior year period. Adjusted EBITDA, which excludes the impact of equity method investments and recently acquired IPAs, other income and provider bonus payments, was $29.2 million compared to $13.8 million in the prior year period. That was a 111% increase year-over-year, driven by the significant increase in net income.

由於淨收入增加和運營費用減少，歸屬於 ApolloMed 的淨收入為 1320 萬美元，比 2020 年第一季度的 410 萬美元增長 225%。我們的攤薄後每股收益為每股 0.30 美元，比去年同期的每股 0.11 美元增長 173%。調整後的 EBITDA 為 2920 萬美元，上年同期為 1380 萬美元，不包括權益法投資和最近收購的 IPA、其他收入和供應商獎金支付的影響。在淨收入大幅增長的推動下，同比增長 111%。

Turning over to the balance sheet. We remain well capitalized and well positioned to execute on our growth initiatives. We ended the first quarter with $205.9 million of cash and cash equivalents. That compares to $193.5 million at the end of 2020. Our working capital increased to $243.9 million from $223.6 million at the end of 2020. And total stockholders' equity increased to $349.7 million at March 31, 2021, from $330.9 million at December 31, 2020.

轉向資產負債表。我們仍然擁有充足的資本並處於有利地位，可以執行我們的增長計劃。我們在第一季度結束時擁有 2.059 億美元的現金和現金等價物。相比之下，2020 年底為 1.935 億美元。我們的營運資金從 2020 年底的 2.236 億美元增加到 2.439 億美元。股東權益總額從 2020 年 12 月 31 日的 3.309 億美元增加到 2021 年 3 月 31 日的 3.497 億美元.

Moving further down the balance sheet. Total debt at the end of the first quarter was $243.3 million. We are safely in compliance with our debt covenants with consolidated total net leverage ratio of 1.44x compared to a maximum permitted 3.50x and consolidated interest coverage ratio of 18.21x compared to a minimum permitted 3.25x.

進一步向下移動資產負債表。第一季度末的總債務為 2.433 億美元。我們安全地遵守了我們的債務契約，綜合總淨槓桿率為 1.44 倍，而允許的最高為 3.50 倍，綜合利息覆蓋率為 18.21 倍，而允許的最低為 3.25 倍。

I'd now like to turn it back over to Brandon for a discussion of our growth strategy and outlook for the remainder of 2021. Brandon?

我現在想把它轉回給布蘭登，討論我們 2021 年剩餘時間的增長戰略和前景。布蘭登？

Thanks, Eric. We remain committed to our previously stated goal of growing our member population to approximately 2 million lives by the end of 2021, which will primarily be driven by M&A. The marketplace is very active these days, but we are seeing a healthy set of opportunities before us, and we're confident that we will be able to find like-minded physicians and physician groups that we can onboard into a risk-bearing model through the ApolloMed platform. We anticipate on closing the CAIPA MSO transaction over the course of the next few weeks, and we are in active discussions with organizations who are excited about changing health care with us.

謝謝，埃里克。我們仍然致力於實現我們之前提出的目標，即到 2021 年底將我們的會員人數增加到約 200 萬人，這將主要由併購推動。這些天市場非常活躍，但我們看到了一系列健康的機會，我們相信我們將能夠找到志同道合的醫生和醫生團體，我們可以通過以下方式加入風險承擔模式ApolloMed 平台。我們預計將在未來幾週內完成 CAIPA MSO 交易，我們正在與對與我們一起改變醫療保健感到興奮的組織進行積極討論。

That said, we are pleased to be reiterating our previously provided guidance for 2021, which is listed on Slide 10 of our supplement. We're also providing the following guidance ranges for the second quarter ending June 30, 2021, in an effort to provide greater visibility into how we foresee the fluctuations in utilization returning to pre-pandemic levels. We anticipate revenues of between $163 million and $173 million, net income of $6.3 million to $12.3 million, net income attributable to ApolloMed of $6.5 million to $10.5 million, EBITDA of $15.6 million to $21.6 million and adjusted EBITDA of $20.4 million to $24.4 million. Please keep in mind that these guidance metrics do not consider any potential acquisitions or other major business transactions that we may complete over the course of this year. As any material developments arise, we will be sure to update the markets and reevaluate guidance as appropriate.

也就是說，我們很高興重申我們之前提供的 2021 年指南，該指南列在我們補充的幻燈片 10 中。我們還為截至 2021 年 6 月 30 日的第二季度提供了以下指導範圍，以便更清楚地了解我們如何預測利用率波動將恢復到大流行前水平。我們預計收入在 1.63 億美元至 1.73 億美元之間，淨收入在 630 萬美元至 1230 萬美元之間，歸屬於 ApolloMed 的淨收入在 650 萬美元至 1050 萬美元之間，EBITDA 為 1560 萬美元至 2160 萬美元，調整後的 EBITDA 為 2040 萬美元至 2440 萬美元。請記住，這些指導指標並未考慮我們可能在今年完成的任何潛在收購或其他主要業務交易。當出現任何重大進展時，我們一定會更新市場並酌情重新評估指南。

We strongly believe in the virtuous cycle we have created through the ApolloMed care management and delivery platform and in the value of improved clinical outcomes that result from that platform. We look forward to serving more members of local communities across the nation in the months to come. With that, operator, let's open it up for Q&A.

我們堅信我們通過 ApolloMed 護理管理和交付平台創造的良性循環，以及該平台帶來的改善臨床結果的價值。我們期待在未來幾個月內為全國更多當地社區成員提供服務。有了這個，運營商，讓我們打開它進行問答。

(Operator Instructions) Our first question comes from Gene Mannheimer with Colliers Securities.

（操作員說明）我們的第一個問題來自 Colliers Securities 的 Gene Mannheimer。

Congrats on the good quarter here. My first question just relates to that risk pool revenue. The numbers were obviously favorable, as you called out, due to utilization trends that worked in your favor due to COVID, but that's expected to normalize. Can you give us a sense of your timing on when we kind of return to more normal utilization?

恭喜這裡的好季度。我的第一個問題只與風險池收入有關。正如您所說，由於 COVID 的使用趨勢對您有利，因此這些數字顯然是有利的，但預計會正常化。你能告訴我們你什麼時候恢復到更正常的使用嗎？

Yes. Gene, it's Eric Chin here. So thanks for the question. And that's also why we provided the guidance for the second quarter. You'll see that our revenue for the second quarter is guiding to a midpoint that's lower than the first quarter. And a lot of that is just due to the bump in the risk pool that we recognized this quarter. Basically, as you know, it's a shared risk pool, and there was a reduction in the utilization at the hospitals, which dropped down to more revenue from us coming from that risk pool settlement. But we expect that to normalize back to the pre-COVID levels immediately in the second quarter there. And so that's why you see the guidance for the second quarter.

是的。 Gene，我是 Eric Chin。所以謝謝你的問題。這也是我們為第二季度提供指導的原因。您會看到我們第二季度的收入指向低於第一季度的中點。其中很多只是由於我們在本季度認識到的風險池的增加。正如你所知，基本上，這是一個共享的風險池，醫院的利用率有所下降，這下降到我們從風險池結算中獲得的更多收入。但我們預計該數據將在第二季度立即恢復到 COVID 之前的水平。這就是為什麼你看到第二季度的指導。

Okay. Very helpful to have that. And my follow-up would be in terms of your goal to expand to 2 million lives from the 1.1 million where you sat at the end of the quarter. We're about, obviously, 35% of the way through 2021, and I just -- it sounds like you're still comfortable with your target. And just trying to get a feel for whether this M&A would be back-end loaded to the back half or incremental. And would they be...

好的。擁有它非常有幫助。我的後續行動將根據你的目標將生命從本季度末的 110 萬擴大到 200 萬。很明顯，到 2021 年我們已經完成了 35%，我只是——聽起來你對你的目標仍然很滿意。只是想了解一下這次併購是後端加載到後半部分還是增量加載。他們會是...

Gene?

基因？

Yes? Can you hear me?

是的？你能聽到我嗎？

Sorry, I must have lost you at the end of the question there. But...

對不起，我一定是在問題的最後失去了你。但...

Yes. I think you were -- what I was getting at is just the -- how it might look your comfort level with hitting those 2 million lives? And would it be back-end loaded? Or would we see sort of incremental deal flow between now and year-end to get there?

是的。我想你 - 我的意思只是 - 擊中那 200 萬人的生命，你的舒適度如何？它會被後端加載嗎？或者我們會看到從現在到年底之間出現某種增量交易流嗎？

Right. I think there will be -- it will be incremental, certainly. It will probably hit not necessarily in the first or second quarter, but we do still feel comfortable with the projection that we gave at the beginning of the year. The marketplace, as I mentioned, is very active. But again, the pipeline remains very healthy, and we think that we'll be able to close on some of these deals in the near future, and we'll be certain to update the investor community when that happens.

正確的。我認為會有 - 當然會是漸進的。它可能不一定會在第一季度或第二季度出現，但我們仍然對我們在年初給出的預測感到滿意。正如我提到的，市場非常活躍。但同樣，管道仍然非常健康，我們認為我們將能夠在不久的將來完成其中一些交易，並且當發生這種情況時我們一定會更新投資者社區。

Fair enough. I appreciate that comment. And then my other question relates to the direct contracting model with Medicare. You've touched on that in the past in terms of when ApolloMed may be participating in that innovation model. Is there any granularity you can provide on your progress there?

很公平。我很欣賞這個評論。然後我的另一個問題涉及與 Medicare 的直接合同模式。您過去曾談到 ApolloMed 何時可能參與該創新模式。您可以提供有關您在那裡取得的進展的詳細信息嗎？

Yes, of course. Thanks, Gene. As you know, we've been excited about the DCE and geographic DCE models. It is now public information that applications for the DCE model have closed, at least for the Global and Professional tracks and that the Geo DCE model has been postponed for 1 year as the new administration works out its plans for the future of the DCE model. Because we chose to participate in the very profitable, at least historically, NGACO, Next Gen ACO, this year and because organizations cannot participate in both the NGACO track and DCE, ApolloMed, unfortunately, was not in the DCE application pool.

是的當然。謝謝，吉恩。如您所知，我們一直對 DCE 和地理 DCE 模型感到興奮。現在公開的信息是，DCE 模型的申請已經關閉，至少是全球和專業軌道，並且隨著新政府制定 DCE 模型的未來計劃，Geo DCE 模型已推遲 1 年。因為我們選擇參加非常有利可圖的，至少從歷史上看，NGACO，下一代 ACO，今年，並且因為組織不能同時參加 NGACO 軌道和 DCE，ApolloMed 很遺憾，不在 DCE 應用程序池中。

However, we are exploring strategic options to collaborate with DCEs, and we believe that we have a path forward to participate in the DCE program even in 2022. In addition, given our provider network and strength of the provider networking growth into DCE regions -- or geographic DCE regions rather, we see ourselves strongly positioned to participate in the Geo DCE model when it is recontinued by the current administration. So we are still fairly optimistic about our opportunities in the DCE model, whether it's the Global and Professional or Geo tracks.

然而，我們正在探索與 DCE 合作的戰略選擇，我們相信即使在 2022 年，我們也有參與 DCE 計劃的道路。此外，鑑於我們的供應商網絡和供應商網絡在 DCE 地區的增長——或地理 DCE 區域，我們認為自己處於有利地位，可以在當前政府重新繼續時參與 Geo DCE 模型。因此，我們仍然對我們在 DCE 模型中的機會相當樂觀，無論是全球和專業還是地理軌道。

As there are no further questions at this time, so I will turn the floor back to management for closing remarks.

由於此時沒有其他問題，所以我將把發言權轉回管理層進行結束髮言。

Excellent. Well, thank you all for your time today. We really appreciate it, and we look forward to speaking to you all again on our next quarterly call. The company will also be presenting at a couple of virtual investor conferences later in this month, and we also hope to speak to some of you then. Please feel free to reach out to us or our Investor Relations firm, The Equity Group, with any additional questions. Thank you.

出色的。好吧，謝謝大家今天的時間。我們真的很感激，我們期待在下一個季度電話會議上再次與大家交談。該公司還將在本月晚些時候出席幾次虛擬投資者會議，我們也希望屆時能與你們中的一些人交談。如有任何其他問題，請隨時與我們或我們的投資者關係公司 The Equity Group 聯繫。謝謝。

Thank you. Thank you all.

謝謝。謝謝你們。

Thank you. This concludes today's call. All parties may disconnect. Have a great evening.

謝謝。今天的電話會議到此結束。各方可能會斷開連接。祝你有個愉快的夜晚。