TOI achieves $1.1 million in Medicare savings through oncology model

CERRITOS, Calif. - The Oncology Institute of Hope and Innovation (NASDAQ:TOI) reported $1.1 million in Medicare savings during Performance Period 2 of the Centers for Medicare & Medicaid Services’ Enhancing Oncology Model (EOM) through its California professional corporation.

According to a press release statement, the savings amounted to more than $3,500 per patient episode. The company earned the maximum score on metrics for avoidable emergency department visits and hospital admissions.

TOI attributed these results to its High Value Cancer Care program, which utilizes Health Care Coaches and provides 24/7 symptom management support to help patients maintain treatment schedules while avoiding hospitalization.

The EOM is described as a voluntary total-cost-of-care model created by the CMS Innovation Center to advance cancer care for Medicare Fee-for-Service beneficiaries.

"Patients across all our markets have access to these proven best practices to ensure each patient receives the right care at the right time," said Dr. Yale D. Podnos, Chief Medical Officer and President of Practice.

This performance builds on TOI’s previous participation in CMS’s Oncology Care Model, where the company reported exceeding quality standards and generating multi-million-dollar savings for Medicare.

Founded in 2007, The Oncology Institute operates over 100 clinics and affiliate locations across five states, serving approximately 1.9 million patients. The company offers services including clinical trials and transfusions in community settings. While currently unprofitable, analysts have set price targets ranging from $6 to $8, suggesting significant upside potential. For detailed financial analysis and additional insights, investors can access the comprehensive Pro Research Report available on InvestingPro, which covers this and 1,400+ other US stocks.

In other recent news, The Oncology Institute reported its second-quarter earnings, which fell short of analyst expectations. Despite this earnings miss, the company posted strong revenue growth that exceeded forecasts. These developments have captured the attention of investors and analysts alike. The company’s performance highlights the challenges it faces in meeting profit expectations even as it succeeds in increasing its revenue. This earnings report underscores the mixed financial results that can impact investor sentiment. Analysts and investors will be closely monitoring future reports for signs of improvement in earnings performance.

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