5/10/2023

speaker
Analyst
Investor Analyst

of appetite or interest level from other folks in similar types of arrangements?

speaker
Brad Hively
CEO

Yeah, sure. So this is, and I'm glad you asked about it, it's an exciting milestone for the company because it enables us to manage a larger portion of the total spend related to oncology patients. So it expands our TAM or quote-unquote share of wallet with our customers. And We think we can do a great job improving outcomes and costs beyond just the drug costs and physician costs associated with oncology, but also hospitalization costs related to oncology patients. We have seen an increase in interest from our primary care partners in putting us at risk for total cost of care, not just the oncology drugs and oncology physician nursing services. I think that in part is because it's just a nice alignment, because we manage holistically our patients, and so our partners want to put us at risk for all costs. It's also, I think, representative of some other specialties who, you know, for example, nephrology, where the total cost of care arrangements are more common. The primary care groups are doing total cost of care arrangements with other specialties, and they're saying, hey, these are working for other specialties. Let's try it out in oncology. So we have seen a lot of interest in that this year.

speaker
Analyst
Investor Analyst

Got it. Okay. And then, Brad, on the oncology GPO discussion, is there any way you can quantify the cost savings that you're expecting and maybe the timeframe to realize them and maybe what is in the guidance for that initiative?

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