Enhabit (EHAB) Q1 2025 Earnings Call May 08, 2025 10:00 AM ET Speaker0 Hello. Good morning, everyone, and welcome to Inhabit Home Health and Hospice First Quarter twenty twenty five Earnings Conference Call. At this time, I'd like to inform all participants that their lines will be in a listen only mode. After the speakers' remarks, there will be a question and answer period. You will be limited to one question and one follow-up question. Today's conference call is being recorded. If you have any objections ...

First Quarter Earnings Call Supplemental Information May 8, 2025 Disclaimer Forward looking statements This presentation contains historical information, as well as forward-looking statements (within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act")) that involve known and unknown risks and relate to, among other things, future events, projections, financial guidance, legislative or regulatory develop ...

Enhabit (EHAB) came out with quarterly earnings of $0.10 per share, beating the Zacks Consensus Estimate of $0.07 per share. This compares to earnings of $0.07 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 42.86%. A quarter ago, it was expected that this provider of home health and hospice services would post earnings of $0.05 per share when it actually produced earnings of $0.04, delivering a surprise of -20%.Over the last ...

Investors interested in Medical stocks should always be looking to find the best-performing companies in the group. Enhabit (EHAB) is a stock that can certainly grab the attention of many investors, but do its recent returns compare favorably to the sector as a whole? By taking a look at the stock's year-to-date performance in comparison to its Medical peers, we might be able to answer that question.Enhabit is a member of our Medical group, which includes 1003 different companies and currently sits at #4 in ...

Momentum investing is essentially the opposite of the tried-and-tested Wall Street adage -- "buy low and sell high." Investors following this investing style typically avoid betting on cheap stocks and waiting long for them to recover. They believe instead that one could make far more money in lesser time by "buying high and selling higher."Everyone likes betting on fast-moving trending stocks, but it isn't easy to determine the right entry point. These stocks often lose momentum when their future growth po ...

Investors might want to bet on Enhabit (EHAB) , as earnings estimates for this company have been showing solid improvement lately. The stock has already gained solid short-term price momentum, and this trend might continue with its still improving earnings outlook.The upward trend in estimate revisions for this provider of home health and hospice services reflects growing optimism of analysts on its earnings prospects, which should get reflected in its stock price. After all, empirical research shows a stro ...

Enhabit, Inc. (NYSE:EHAB) Q4 2024 Results Conference Call March 6, 2025 10:00 AM ET Company Participants Jobie Williams - Senior Vice President and Treasurer Barb Jacobsmeyer - President and Chief Executive Officer Ryan Solomon - Chief Financial Officer Conference Call Participants Brian Tanquilut - Jefferies Ryan Langston - TD Cowen Operator Thank you for joining our call today. With me on the call is Barbara Jacobsmeyer, President and Chief Executive Officer, and Ryan Solomon, Chief Financial Officer. Bef ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2024 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _________ to ________ Commission file number 001-41406 Enhabit, Inc. (Exact name of Registrant as specified in its charter) Delaware 47-2409192 (State or other jurisdiction o ...

Financial Data and Key Metrics Changes - In Q4 2024, consolidated net revenue was $258.2 million, a sequential increase of $4.6 million or 1.8% quarter over quarter, but a decrease of $2.4 million or 0.9% year over year [27] - Consolidated adjusted EBITDA for Q4 was $25.1 million, reflecting a sequential increase of $0.6 million or 2.4%, while remaining relatively flat year over year [28] - Home Health revenue was $200.4 million, a decrease of $0.6 million or 0.3% sequentially, primarily due to hurricane-related impacts [31] - Hospice revenue increased to $57.8 million, a sequential increase of $5.2 million or 9.9% [36] Business Line Data and Key Metrics Changes - Home Health admissions grew by 1.8% year over year, with non-Medicare admissions up 10.7% [7] - Hospice average daily census (ADC) increased by 8.6% year over year, with total admissions growing by 6.5% [17] - The percentage of home health visits in payer innovation contracts rose from 22% in Q4 2023 to 48% in Q4 2024 [11] Market Data and Key Metrics Changes - The Medicare ADC improved sequentially to 20,818 in Q4, with current Medicare ADC above 20,000 in Q1 2025 [34] - Hospice ADC of 3,729 in Q4 was 3.9% higher than the previous post-spin segment peak in Q4 2022 [38] Company Strategy and Development Direction - The company is focused on executing growth strategies in both home health and hospice segments, with a strong emphasis on payer innovation and operational efficiency [6][19] - A de novo strategy was implemented, successfully opening six new locations in 2024, with plans for fourteen more projects in process [20] - The company aims to optimize its cost structure by closing or consolidating branches, expecting to improve adjusted EBITDA by approximately $1 million [23] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the hospice segment's growth momentum and the effectiveness of the case management model implemented in 2023 [56] - The company anticipates a foundational year in 2024 to set the stage for consistent census growth and improved payer mix in 2025 [46] - Guidance for 2025 includes net service revenue of $1.05 billion to $1.08 billion and adjusted EBITDA of $101 million to $107 million, reflecting approximately 7% growth at the upper end [43] Other Important Information - The company generated approximately $54 million of adjusted free cash flow in 2024, with a conversion rate of approximately 54% [42] - The company plans to reduce leverage through 2025, having already reduced outstanding debt by approximately $40 million in 2024 [41] Q&A Session Summary Question: How does the momentum in Q4 carry over into 2025, especially with the business development team built out? - Management is confident in the hospice segment's growth due to the fully implemented case management model and the establishment of admission departments to improve referral conversion [60] Question: What visibility exists regarding payer innovation contracts and the potential to convert non-payer innovation contracts into better-paying deals? - Management noted ongoing discussions with regional plans on episodic contracts, indicating a renewed interest in moving towards episodic arrangements [64] Question: How do the new opportunities and historical agreements relate to the 2025 guidance? - The guidance includes an expectation of $19 million to $21 million in overall revenue improvement based on pricing, without assuming material incremental unit revenues from payer innovation [70] Question: Can you break down the components of hospice revenue per day increase? - The hospice cap accrual benefit was about $1.4 million, and normalizing for that shows consistency with expected Medicare rate increases [72]

Core Insights - Enhabit reported quarterly earnings of $0.04 per share, missing the Zacks Consensus Estimate of $0.05 per share, and down from $0.06 per share a year ago, representing an earnings surprise of -20% [1] - The company posted revenues of $258.2 million for the quarter ended December 2024, missing the Zacks Consensus Estimate by 0.37%, and down from $260.6 million year-over-year [2] - Enhabit has surpassed consensus EPS estimates two times over the last four quarters, but has not beaten consensus revenue estimates during the same period [2] Future Outlook - The immediate price movement of Enhabit shares will depend on management's commentary during the earnings call and the company's earnings outlook [3][4] - The current consensus EPS estimate for the upcoming quarter is $0.06 on revenues of $266.6 million, and for the current fiscal year, it is $0.29 on revenues of $1.07 billion [7] - The estimate revisions trend for Enhabit is currently favorable, resulting in a Zacks Rank 2 (Buy) for the stock, indicating expected outperformance against the market [6] Industry Context - The Medical Services industry, to which Enhabit belongs, is currently in the top 35% of over 250 Zacks industries, suggesting a positive outlook for stocks within this sector [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5]