Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 _______________________________________________________ FORM 10-Q _______________________________________________________ (Mark One) x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2023 or o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _________ to _________ C ...

Financial Data and Key Metrics Changes - For fiscal year 2023, total revenue was $688.1 million, a decline of approximately 1.5% compared to fiscal year 2022 [6][28] - The center-level contribution margin for the year was $101.3 million, representing a 14.7% margin, down from 19.4% in the prior year [38] - Consolidated adjusted EBITDA was negative $1.3 million for the fiscal year, compared to positive $34.3 million in the prior year [41] - In Q4 2023, revenue was $176.9 million, a sequential improvement of approximately 2.5% compared to Q3 [8][28] - The center-level contribution margin for Q4 was $28.5 million, representing a 16.1% margin [38] Business Line Data and Key Metrics Changes - The second half of fiscal year 2023 saw a center-level contribution margin of $57.3 million, an increase of approximately 30% compared to the first half [9] - The company ended fiscal year 2023 with approximately 6,400 participants, a decline of 3.9% compared to the prior year [34] - External provider costs for fiscal year 2023 were $374.5 million, a 2.2% decrease compared to the prior year [35] Market Data and Key Metrics Changes - Enrollment in Colorado and Sacramento is tracking to expectations, with gross monthly enrollments returning to pre-sanction levels in Colorado [16] - The company is experiencing sequential improvements in prospect lead volumes and gross enrollments in almost every market, with sales qualified leads increasing by approximately 90% over the last six months [15] Company Strategy and Development Direction - The company aims for responsible growth and to expand access to the PACE program, focusing on execution, margin recapture, and operational excellence [13] - Plans to open new centers in Florida and resume the application in Downey, which would increase census capacity by approximately 500 participants [18] - The company is pursuing a multi-pronged growth strategy that includes new partnerships and tuck-in acquisitions [20] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the company's foundation for consistent, responsible, profitable growth moving forward [13] - The company anticipates improvement in profitability as it fills excess capacity in its centers and reaches targeted staffing ratios [10] - Management acknowledged the challenges posed by state resource constraints affecting enrollment processing but remains confident in the overall enrollment strategy [16] Other Important Information - The company has implemented a PACE-specific instance of Epic's EMR in 14 of its 17 centers, which is expected to enhance operational productivity and compliance [32] - The company ended the quarter with $127.2 million in cash and cash equivalents, plus $46.2 million in short-term investments [43] Q&A Session Summary Question: Trends in Colorado re-enrollment and guidance assumptions - Management is pleased with progress in Colorado, tracking closely with expectations and returning to pre-sanction gross monthly enrollment levels [54][58] Question: External provider costs and profitability improvement - Management outlined a robust portfolio of initiatives aimed at improving external provider costs, with a focus on re-contracting and unit cost initiatives [61] Question: Revenue PMPM development and Medicaid redetermination impact - Management expects variability in revenue PMPM throughout the year, with no significant impact from Medicaid redetermination on the population [66][69] Question: COVID incidents and guidance for the upcoming winter - Management noted an increase in COVID cases but emphasized that the highly vaccinated population is not adversely affected economically [72][77] Question: Post-monitoring period in Colorado and cost impacts - Management confirmed that they are still in the post-monitoring period in Colorado, with expectations for improvements in staffing costs once monitoring ends [81]

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 _______________________________________________ FORM 10-K _______________________________________________ (Mark One) x ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended June 30, 2023 or o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES InnovAge Holding Corp. (Exact name of registrant as specified in its charter) ___________________________ ...

InnovAge Holding Corp. (NASDAQ:INNV) Q3 2023 Results Conference Call May 9, 2023 5:00 PM ET Company Participants Ryan Kubota - Director of Investor Relations Patrick Blair - President and CEO Barbara Gutierrez - CFO Rich Feifer - Chief Medical Officer Conference Call Participants Lisa Gill - JPMorgan Operator Good day, and thank you for standing by, and welcome to the InnovAge Third Quarter 2023 Earnings Conference Call [Operator Instructions]. Please be advised that today's conference is being recorded. I ...

Table of Contents (844) 803-8745 (Registrant's telephone number, including area code) _______________________________________________________ Securities registered pursuant to Section 12(b) of the Securities Act: | Title of each class | Trading Symbol(s) | Name of each exchange on which registered | | --- | --- | --- | | Common Stock, $0.001 par value | INNV | The Nasdaq Stock Market LLC (Nasdaq Global | | | | Select Market) | Indicate by check mark whether the registrant: (1) has filed all reports required ...

InnovAge Holding Corp. (NASDAQ:INNV) Q2 2023 Earnings Conference Call February 7, 2023 5:00 PM ET Company Participants Ryan Kubota - Investor Relations Patrick Blair - President and Chief Executive Officer Barbara Gutierrez - Chief Financial Officer Rich Feifer - Chief Medical Officer Conference Call Participants Jason Cassorla - Citi Lisa Gill - J.P. Morgan Jamie Perse - Goldman Sachs Madeline Mollman - William Blair Operator Hello, and thank you for standing by. Welcome to InnovAge Second Quarter 2023 Ear ...

Financial Performance - Total revenues for the three months ended December 31, 2022, were $167.456 million, a decrease of 4.9% compared to $175.350 million for the same period in 2021[16]. - Capitation revenue for the six months ended December 31, 2022, was $338.071 million, down from $347.518 million in the prior year, reflecting a decline of 2.1%[16]. - Net loss attributable to InnovAge Holding Corp. for the three months ended December 31, 2022, was $9.793 million, compared to a net income of $1.323 million for the same period in 2021[16]. - For the six months ended December 31, 2022, InnovAge reported a net loss of $24,247,000 compared to a net income of $8,730,000 for the same period in 2021, indicating a significant decline in profitability[20]. - Total revenues for the six months ended December 31, 2022, were $338.674 million, a decrease from $348.420 million in the same period of 2021, representing a decline of approximately 2.1%[113]. - The Center-Level Contribution Margin for the six months ended December 31, 2022, was $43.997 million, down from $83.736 million in the same period of 2021, indicating a decrease of about 47.5%[113]. - The net loss margin for the six months ended December 31, 2022 was (7.2)%, compared to a net income margin of 2.5% for the same period in 2021[181]. Assets and Liabilities - Total current assets decreased to $199.489 million as of December 31, 2022, from $240.956 million as of June 30, 2022, representing a decline of 17.2%[15]. - Total liabilities increased to $214.340 million as of December 31, 2022, compared to $201.852 million as of June 30, 2022, indicating a rise of 6.5%[15]. - Cash and cash equivalents decreased to $99.460 million as of December 31, 2022, from $184.429 million as of June 30, 2022, a decline of 46.0%[15]. - The company reported total lease liabilities of $36.364 million as of December 31, 2022, with operating lease liabilities of $23.468 million and finance lease liabilities of $12.896 million[75]. - The company had long-term debt totaling $71.681 million as of December 31, 2022, which included a term loan facility of $69.375 million[77]. Cash Flow and Investments - InnovAge's net cash used in operating activities for the six months ended December 31, 2022, was $21,990,000, a decrease from $31,577,000 provided in the same period in 2021[20]. - The company reported a net cash used by operating activities of $(21,990) thousand for the six months ended December 31, 2022, compared to a net cash provided of $31,577 thousand in the prior year, reflecting a change of $(53,567) thousand[200]. - The total investments held by the company as of December 31, 2022, amounted to $5.493 million[50]. - The company recorded total cash outflow from investing activities of $59,632,000 for the six months ended December 31, 2022, compared to $13,681,000 for the same period in 2021[20]. Operational Challenges - The company anticipates challenges in increasing enrollment and capacity due to ongoing audits and sanctions affecting its Sacramento center[10]. - Enrollment sanctions in Sacramento, California, and Colorado limited the company's ability to grow its participant census and impacted Center-level Contribution Margin in fiscal 2022 and the first half of fiscal 2023[131]. - The company expects elevated operating expenses to continue for the remainder of fiscal 2023 due to ongoing inflation and labor market pressures[122]. - The company has committed to pausing steps regarding de novo centers until remediation of audit deficiencies is completed[141]. Participant and Service Metrics - As of December 31, 2022, InnovAge served approximately 6,460 PACE participants, making it the largest PACE provider in the U.S. based on participants served[24]. - The average risk adjustment factor (RAF) score for participants is 2.31, indicating a higher acuity population compared to Medicare Advantage participants[1]. - The company achieved a 79% participant satisfaction rating as of October 1, 2022, with an average participant tenure of 3.2 years as of December 31, 2022[131]. - External provider costs represented approximately 87% of the company's revenue in the six months ended December 31, 2022[131]. Legal and Regulatory Matters - The Company received a civil investigative demand from the DOJ regarding its PACE programs, which is ongoing and the outcome is currently unpredictable[87]. - The company is currently involved in legal proceedings that may have a material adverse effect on its business, financial condition, or cash flows, but the outcomes are unpredictable[89]. Future Outlook and Strategic Plans - The company plans to continue investing in its centers and expects expenses to increase in absolute dollars due to compliance and regulatory costs[133]. - The company intends to execute tuck-in acquisitions once restrictions on opening new centers are lifted[131]. - The company expects to incur non-recurring implementation costs related to transitioning to a new EMR vendor over the next six months, with ongoing costs through 2026[192]. - The company may seek additional equity or debt financing in the future, depending on capital requirements[194].

Financial Data and Key Metrics Changes - The company reported revenue of $171.2 million, a sequential decline of approximately 1% compared to the previous quarter, driven by census attrition in Colorado and Sacramento, which represent about half of the total census [40] - The center-level contribution margin was $21.4 million, with a contribution margin ratio of 12.5%, compared to $23.6 million in the previous quarter [40][69] - Net loss was $13.7 million, compared to net income of $7.6 million in the same quarter last year, resulting in a net loss per share of $0.10 [74] Business Line Data and Key Metrics Changes - The company served approximately 6,540 participants across 18 centers, reflecting a 6.4% decrease year-over-year and a 1.8% decrease sequentially [59] - External provider costs increased by 6.9% compared to the first quarter of the previous year, primarily due to increased cost per participant [63] - The cost of care, excluding depreciation and amortization, was $53.6 million, which is 31.5% higher than the same quarter last year [66] Market Data and Key Metrics Changes - The combined capitation rate increase for Medicare and Medicaid in the first quarter compared to the prior year was 4.9% [63] - The company experienced a decrease in member months by 5.6% year-over-year, attributed to the enrollment freeze in Colorado [59][60] - Average daily center attendance improved by an estimated 10% through September [37] Company Strategy and Development Direction - The company is focused on strengthening operations to earn the right to be released from sanctions and to position itself for future growth [10][11] - Plans to fuel new participant growth include rebuilding momentum in currently sanctioned markets and accelerating growth in others [12] - Significant investments have been made in compliance processes and technology, including the implementation of EPIC, aimed at enhancing operational efficiency [30][66] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the company's next chapter, emphasizing the importance of compliance and transformational initiatives [55][56] - The company is preparing for a post-sanction environment and expects to resume growth once sanctions are lifted [83] - Management highlighted the challenges posed by the current labor market and the need to convert temporary labor to permanent positions [89] Other Important Information - The company has invested nearly $30 million in the build-out of two new centers in Florida, which will serve approximately 2,000 new participants at maturity [50] - The company has made significant efforts to reengineer enrollment processes, reducing the time from inquiry to enrollment by approximately 36% year-over-year [53] Q&A Session Summary Question: About additional investments at the center level and potential offsets - Management discussed investments in staffing and compliance resources, including the implementation of EPIC to improve efficiency [87][88] Question: Visibility on temporary versus permanent labor costs - Management indicated that the conversion of temporary labor to permanent positions is dependent on the labor market, but progress is being made [89] Question: Patient mix and cost differentials between legacy and newer patients - Management estimated that newer participants have costs approximately 20% lower than legacy patients, with COVID-affected participants having costs about 88% higher on average [93][95] Question: Status of Florida De Novo centers - Management stated that the facilities are nearly complete and progress on sanctions will be crucial to restart the application process [98] Question: Competitive positioning post-audit remediation - Management expressed confidence that improvements from audit remediation will enhance competitive positioning and operational efficiency [104] Question: Managing costs amid flu season - Management noted sporadic flu cases in the population but emphasized high vaccination rates among participants and staff as a protective measure [112][113]

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2022 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to InnovAge Holding Corp. (Exact name of registrant as specified in its charter) Delaware 81-0710819 (State or Other Jurisdiction of Inc ...

InnovAge Holding Corp. (NASDAQ:INNV) Q4 2022 Results Conference Call September 13, 2022 5:00 PM ET Company Participants Ryan Kubota - IR Patrick Blair - President and CEO Barbara Gutierrez - CFO Rich Feifer - Chief Medical Officer Conference Call Participants Jason Cassorla - Citigroup Sarah James - Barclays Jamie Perse - Goldman Sachs Madeline Mollman - William Blair Operator Good day and thank you for standing by. Welcome to the InnovAge Fourth Quarter 2022 Earnings Conference Call. [Operator Instructions ...