# InnovAge Holding Corp. (INNV) Q4 2025 Financial Results Summary
InnovAge Holding Corp. (Nasdaq: INNV) released its financial results for the fourth quarter and fiscal year ended June 30, 2025, on September 9, 2025.
### Financial Highlights
#### Fourth Quarter Financial Performance
– **Total Revenues**: $221.4 million, representing an increase of **11.1%** from $199.4 million in Q4 2024.
– **Loss Before Income Taxes**: $4.2 million, growing by **344.8%** from loss of $946,000 in Q4 2024.
– **Net Loss**: $5.0 million, a **122.5%** increase compared to a net loss of $2.3 million in Q4 2024.
– **Net Loss Margin**: **2.3%**, up by **1.2 percentage points** from **1.1%** in Q4 2024.
– **Net Loss Attributable to InnovAge**: $785,000, a slight improvement over a loss of $1.7 million in Q4 2024.
– **Net Loss Per Share – Basic and Diluted**: -$0.01, remains unchanged from Q4 2024.
– **Center-level Contribution Margin**: $41.3 million, increased by **13.4%** from $36.6 million in Q4 2024.
– **Adjusted EBITDA**: $11.3 million, up **116.4%** from $5.2 million in Q4 2024.
– **Adjusted EBITDA Margin**: **5.1%**, an improvement of **2.5 percentage points** from **2.6%** in Q4 2024.
#### Fiscal Year Financial Performance
– **Total Revenues**: $853.7 million, an increase of **11.8%** compared to $763.9 million in FY 2024.
– **Loss Before Income Taxes**: $34.0 million, an increase of **55.5%** from a loss of $21.8 million in FY 2024.
– **Net Loss**: $35.3 million, increasing by **51.9%** compared to $23.2 million in FY 2024.
– **Net Loss Margin**: **4.1%**, an increase of **1.1 percentage points** from **3.0%** in FY 2024.
– **Net Loss Attributable to InnovAge**: $30.3 million, or -$0.22 per share, compared to a loss of $21.3 million, or -$0.16 per share in FY 2024.
– **Center-level Contribution Margin**: $153.6 million, a **16.3%** increase from $132.1 million in FY 2024.
– **Center-level Contribution Margin as a Percentage of Revenue**: **18.0%**, compared to **17.3%** in FY 2024, a rise of **0.7 percentage points**.
– **Adjusted EBITDA**: $34.5 million, up by **109.1%** from $16.5 million in FY 2024.
– **Adjusted EBITDA Margin**: **4.0%**, an increase of **1.9 percentage points** from **2.2%** in FY 2024.
– **Census**: Approximately **7,740** participants, up from **7,020** in FY 2024.
#### Full Fiscal Year 2026 Guidance
– **Census**: Expected to be between **7,900 to 8,100** participants.
– **Total Member Months**: Projected between **91,600 to 94,400**.
– **Total Revenues**: Expected to range from **$900 million to $950 million**.
– **Adjusted EBITDA**: Guidance set between **$56 million and $65 million**.
### Shareholder Returns
– InnovAge reported a **share repurchase** of equity securities worth **$7.3 million** during the fiscal year.
### Summary
In summary, InnovAge reported significant growth in revenue and adjusted EBITDA for the fiscal year while facing increased net losses. The company is positioned for further growth as it anticipates additional participants and continues to invest in the expansion of its services.
### CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except number of shares and per share data)
| Three Months Ended | Year Ended | |||
|---|---|---|---|---|
| June 30, 2025 | June 30, 2024 | June 30, 2025 | June 30, 2024 | |
| Revenues | ||||
| Capitation revenue | $221,060 | $199,080 | $852,353 | $762,570 |
| Other service revenue | $357 | $321 | $1,346 | $1,285 |
| Total revenues | $221,417 | $199,401 | $853,699 | $763,855 |
| Expenses | ||||
| External provider costs | $108,169 | $102,691 | $431,152 | $403,010 |
| Cost of care, excluding depreciation and amortization | $71,961 | $60,132 | $268,908 | $228,781 |
| Sales and marketing | $7,100 | $6,541 | $28,217 | $24,957 |
| Corporate, general and administrative | $27,823 | $29,591 | $122,058 | $111,337 |
| Depreciation and amortization | $3,394 | $5,329 | $19,510 | $18,950 |
| Impairment and loss on assets held for sale | $5,120 | $— | $13,615 | $— |
| Total expenses | $223,567 | $204,284 | $883,460 | $787,035 |
| Operating loss | -$2,150 | -$4,883 | -$29,761 | -$23,180 |
| Other income (Expense) | ||||
| Interest expense, net | -$893 | -$1,404 | -$4,612 | -$4,023 |
| Gain on cost and equity method investments | -$1,409 | $4,842 | -$1,393 | $2,842 |
| Other income, net | $250 | $499 | $1,739 | $2,542 |
| Total other income | -$2,052 | $3,937 | -$4,266 | $1,361 |
| Loss before income taxes | -$4,202 | -$946 | -$34,027 | -$21,819 |
| Provision for income tax | $807 | $1,308 | $1,316 | $1,402 |
| Net Loss | -$5,009 | -$2,254 | -$35,343 | -$23,221 |
| Less: net loss attributable to noncontrolling interest | -$4,224 | -$554 | -$5,030 | -$1,883 |
| Net Loss Attributable to InnovAge Holding Corp. | -$785 | -$1,700 | -$30,313 | -$21,338 |
| Weighted-average shares used to compute net income per share – basic | 135,133,287 | 136,023,287 | 135,387,287 | 135,902,287 |
| $-0.01 | -$0.01 | -$0.01 | -$0.22 | -$0.16 |
| Weighted-average shares used to compute net income per share – diluted | 135,133,287 | 136,023,287 | 135,387,287 | 135,902,287 |
| $-0.01 | -$0.01 | -$0.01 | -$0.22 | -$0.16 |
—
### CONDENSED CONSOLIDATED BALANCE SHEETS
(IN THOUSANDS, EXCEPT NUMBER OF SHARES)
| June 30, 2025 | June 30, 2024 | ||
|---|---|---|---|
| Assets | |||
| Current Assets | |||
| Cash and cash equivalents | $64,129 | $56,946 | |
| Short-term investments | $41,775 | $45,833 | |
| Restricted cash | $11 | $14 | |
| Accounts receivable, net | $36,373 | $48,106 | |
| Prepaid expenses | $24,472 | $18,919 | |
| Income tax receivable | $3,310 | $3,324 | |
| Assets held for sale | $6,038 | $— | |
| Total current assets | $176,108 | $173,142 | |
| Noncurrent Assets | |||
| Property and equipment, net | $168,044 | $193,022 | |
| Operating lease assets | $26,901 | $28,416 | |
| Investments | $— | $2,645 | |
| Deposits and other | $9,875 | $5,949 | |
| Goodwill | $142,046 | $139,949 | |
| Other intangible assets, net | $3,877 | $4,538 | |
| Total noncurrent assets | $350,743 | $374,519 | |
| Total assets | $526,851 | $547,661 | |
| ———– | |||
| Liabilities and Stockholders’ Equity | |||
| Current Liabilities | |||
| Accounts payable and accrued expenses | $76,750 | $55,459 | |
| Reported and estimated claims | $58,971 | $55,404 | |
| Due to Medicaid and Medicare | $14,382 | $15,197 | |
| Current portion of long-term debt | $2,250 | $3,795 | |
| Current portion of finance lease obligations | $5,234 | $4,599 | |
| Current portion of operating lease obligations | $4,682 | $4,145 | |
| Liabilities held for sale | $2,538 | $— | |
| Total current liabilities | $164,807 | $138,599 | |
| Noncurrent Liabilities | |||
| Deferred tax liability, net | $8,761 | $7,460 | |
| Finance lease obligations | $7,535 | $12,743 | |
| Operating lease obligations | $23,918 | $26,275 | |
| Other noncurrent liabilities | $1,458 | $1,298 | |
| Long-term debt, net of debt issuance costs | $57,464 | $61,478 | |
| Total liabilities | $263,943 | $247,853 | |
| Commitments and Contingencies | (See Note 9) | ||
| Redeemable Noncontrolling Interest | (See Note 4) | $25,010 | $22,200 |
| Stockholders’ Equity | |||
| Common stock, $0.001 par value; 500,000,000 authorized as of each of June 30, 2025 and 2024; 136,903,271 issued and 135,440,292 outstanding as of June 30, 2025 and 2024. | $137 | $136 | |
| Treasury stock at cost, 1,462,979 and 36,559 shares as of June 30, 2025 and June 30, 2024, respectively | -$7,500 | -$179 | |
| Additional paid-in capital | $343,378 | $337,615 | |
| Retained deficit | -$101,047 | -$68,311 | |
| Total InnovAge Holding Corp. | $234,968 | $269,261 | |
| Noncontrolling interests | $2,930 | $8,347 | |
| Total stockholders’ equity | $237,898 | $277,608 | |
| Total liabilities and stockholders’ equity | $526,851 | $547,661 |
