InnovAge Holding Corp (INNV) Q3 2024 Earnings Report

InnovAge Holding Corp delivered a mixed Q3 2024 performance characterized by solid top-line momentum and ongoing margin discipline, tempered by near-term headwinds from de novo center costs and temporary enrollment delays in Colorado and California. Revenue rose to $193.1 million, up 2.2% quarter-over-quarter and roughly 12% year-over-year, while center-level contribution margin remained strong at $34.0 million (17.6% of revenue), broadly in line with the prior quarter. However, the company posted a net loss of $5.89 million and a modest Adjusted EBITDA of $3.6 million (margin of 1.9%), reflecting elevated de novo start-up costs from recently opened centers (notably Tampa, Orlando) and the integration costs associated with Crenshaw and Bakersfield post-acquisition. The de novo line item was $4.1 million for the quarter, underscoring the near-term profitability pressure from portfolio expansion.