Published on 15 Jan 2024 on Simply Wall St. via Yahoo Finance

P3 Health Partners Inc.'s (NASDAQ:PIII) Path To Profitability

P3 Health Partners Inc. (NASDAQ:PIII) is possibly approaching a major achievement in its business, so we would like to shine some light on the company. P3 Health Partners Inc., a patient-centered and physician-led population health management company, provides superior care services in the United States. The US$365m market-cap company posted a loss in its most recent financial year of US$270m and a latest trailing-twelve-month loss of US$126m shrinking the gap between loss and breakeven. Many investors are wondering about the rate at which P3 Health Partners will turn a profit, with the big question being “when will the company breakeven?” In this article, we will touch on the expectations for the company's growth and when analysts expect it to become profitable.

Check out our latest analysis for P3 Health Partners

According to the 4 industry analysts covering P3 Health Partners, the consensus is that breakeven is near. They anticipate the company to incur a final loss in 2024, before generating positive profits of US$7.2m in 2025. Therefore, the company is expected to breakeven just over a year from now. What rate will the company have to grow year-on-year in order to breakeven on this date? Using a line of best fit, we calculated an average annual growth rate of 111%, which is extremely buoyant. Should the business grow at a slower rate, it will become profitable at a later date than expected.