Shares of Oscar Health (NYSE: OSCR) surged 22% in premarket trading Thursday after the health insurer reported a narrower-than-expected Q4 loss and issued an upbeat EBITDA guidance for 2024.

The company posted a fourth-quarter loss per share of $0.66, less than the anticipated loss of $0.72. Revenue came in at $1.43 billion for the quarter, aligning with the market consensus.

Moreover, Oscar witnessed significant year-over-year growth in premiums earned, totaling $1.39 billion, a 44% increase.

Also, the company posted an adjusted EBITDA loss of $111.6 million, which represents a 41% improvement from the previous year, and better than the expected loss of $122.7 million.

The net loss attributable to Oscar Health narrowed to $150.0 million, a 34% improvement from the previous year, and considerably better than the expected loss of $201 million.

Looking ahead, Oscar Health projects a bullish revenue forecast for the full year of 2024, estimating it to be between $8.3 billion and $8.4 billion. This projection significantly surpasses the consensus estimate of $7.26 billion.

It expects 2024 EBITDA to range between $125 million and $175 million, well ahead of the consensus estimate of $97.2 million.

“Oscar reported strong 2023 results with most core metrics exceeding our expectations for the full year. We delivered on our commitment for Insurance Company Adjusted EBITDA profitability and have a clear line of sight into consolidated Adjusted EBITDA profitability in 2024,” said Mark Bertolini, CEO of Oscar.

By Vahid Karaahmetovic