Privia Health Group, Inc. (PRVA) shares surged 5.53% in Thursday's pre-market trading session after the physician practice management company reported better-than-expected revenue for the fourth quarter of 2024, although earnings per share fell short of analysts' estimates.

For the quarter ended December 31, 2024, Privia Health posted adjusted earnings of $0.21 per diluted share, up from $0.15 a year earlier but missing the consensus estimate of $0.25. Revenue rose 4.6% year-over-year to $460.9 million, exceeding analysts' expectations of $420.8 million.

The company's full-year 2024 performance exceeded the high end of its guidance ranges across all key metrics. Highlights included 11.2% growth in implemented providers, a 34.1% increase in Medicare Shared Savings Program performance to $176.6 million, and adjusted EBITDA growth of 25.2% to $90.5 million. Net cash provided by operating activities jumped 35.3% to $109.3 million, with free cash flow of $109.3 million representing approximately 121% of adjusted EBITDA.

Looking ahead to 2025, Privia Health plans to focus on increasing provider density and scale in existing states, continuing to perform well in value-based risk arrangements despite a challenging Medicare Advantage market, achieving operating leverage to drive adjusted EBITDA growth, and pursuing business development efforts to expand its geographic footprint. The company expects full-year 2025 revenue to range between $1.8 billion and $1.9 billion.