[Music] [Applause] I have four words for you today that will forever reframe your thinking about leadership development. in this new age of digital distraction. Are you ready? >> I'm distracted. >> Would you like to have a little fun? >> Our first word is the one word that describes a rockstar leader. Let me set you into a moment. Imagine if you will being crammed into a teeny dark space with a few hundred people. It's a bit warm and you're sitting among strangers. What does it smell like? What does it soun ...

Financial Data and Key Metrics Changes - The company reported revenue of $209.8 million, an increase of $52.9 million or 33.7% compared to the prior year quarter [8] - Consolidated adjusted EBITDA reached $16.4 million, up $5.1 million or 45.9% year-over-year [9] - Adjusted diluted earnings per share increased to $0.27, a rise of $0.07 or 35% from the previous year [9] Business Line Data and Key Metrics Changes - Home Health and Hospice segment revenue was $159.9 million, an increase of $43.4 million or 37.2% year-over-year, with adjusted EBITDA rising to $25.1 million, up $7.3 million or 40.6% [13] - Senior Living segment revenue increased to $50 million, up $9.5 million or 23.6%, with adjusted EBITDA of $4.9 million, a rise of $1.4 million or 40.8% [18] Market Data and Key Metrics Changes - Hospice admissions rose to 3,783, an increase of 22.8%, and average daily census climbed to 3,794, up 28.1% year-over-year [14] - Total home health admissions grew to 18,878, an increase of 4,229 or 28.9%, with Medicare admissions rising by 19.7% [17] Company Strategy and Development Direction - The company focuses on five key initiatives: leadership development, clinical excellence, employee experience, margin improvement, and growth [9] - The company is committed to a locally driven operating model, emphasizing leadership and culture in its acquisitions [11] - Recent acquisitions, including Signature Healthcare, have been integrated successfully, demonstrating the effectiveness of the company's operating model [12][19] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving the upper end of the 2025 guidance range due to strong performance and early progress in recent acquisitions [12] - The company is monitoring economic uncertainties and will revise guidance as necessary [12] - Management highlighted strong hiring and retention trends, with over 200 net nurses added year-over-year [55] Other Important Information - The company has a strong pipeline of acquisition opportunities and is focused on disciplined growth [21] - Cash flows from operations are expected to be between $35 million and $45 million for 2025 [24] - The company reported a net debt to adjusted EBITDA ratio of 0.83 times [23] Q&A Session Summary Question: What drove the reacceleration of same-store growth in home health and hospice? - Management noted that seasonal changes typically affect growth, with a strong recovery in the first quarter following a decline in the fourth quarter [32] Question: Can you elaborate on guidance expectations and segment contributions? - Management indicated that both segments performed well, with strong revenue quality and margin improvements contributing to the guidance [35] Question: What is the company's perspective on the Optum transaction? - Management expressed excitement about the partnership and emphasized the importance of having strong leaders in place for successful integration [44][45] Question: How does the company view economic sensitivity in senior living? - Management acknowledged sensitivity to macroeconomic conditions but highlighted efforts to improve revenue quality, which has led to robust growth [49] Question: What is the current hiring environment? - Management reported strong hiring and retention trends, with positive growth in staffing levels across both segments [55]

Financial Data and Key Metrics Changes - The company reported revenue of $209.8 million, an increase of $52.9 million or 33.7% compared to the prior year quarter [7] - Consolidated adjusted EBITDA reached $16.4 million, up $5.1 million or 45.9% year-over-year [8] - Adjusted diluted earnings per share were $0.27, an increase of $0.07 or 35% over the prior year quarter [8] Business Line Data and Key Metrics Changes - Home Health and Hospice segment revenue was $159.9 million, an increase of $43.4 million or 37.2% year-over-year, with adjusted EBITDA rising to $25.1 million, up $7.3 million or 40.6% [13] - Senior Living segment revenue increased to $50 million, up $9.5 million or 23.6%, with adjusted EBITDA of $4.9 million, an increase of $1.4 million or 40.8% [18] Market Data and Key Metrics Changes - Hospice admissions rose to 3,783, an increase of 22.8%, and average daily census climbed to 3,794, up 28.1% year-over-year [14] - Total home health admissions grew to 18,878, an increase of 4,229 or 28.9%, with Medicare admissions rising by 19.7% [17] Company Strategy and Development Direction - The company focuses on five key initiatives: leadership development, clinical excellence, employee experience, margin improvement, and growth [8] - The company is committed to a locally driven operating model, emphasizing leadership and culture in its acquisitions [11] - Recent acquisitions, including Signature Health Care, are expected to enhance operational performance and integration [19] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about achieving the upper end of the 2025 guidance range due to strong Q1 performance and early progress in recent acquisitions [12] - The company is monitoring economic uncertainties and will revise guidance as necessary [12] Other Important Information - The company has a strong pipeline of acquisition opportunities and is focused on disciplined growth [21] - Cash flows used in operations were $21.2 million, impacted by significant acquisitions and timing of incentive payouts [22] Q&A Session Summary Question: What drove the reacceleration of same-store growth in home health and hospice? - Management attributed the growth to seasonal changes and consistent double-digit growth year-over-year in admissions [31] Question: Can you elaborate on guidance expectations and segment contributions? - Management indicated strong performance across both segments, with a focus on revenue quality and margin improvement [34] Question: What is the company's perspective on the Optum transaction? - Management expressed excitement about the partnership and emphasized the importance of having strong leaders in place for successful integration [44] Question: How does the company view economic sensitivity in senior living? - Management acknowledged sensitivity to macroeconomic conditions but highlighted efforts to improve revenue quality and maintain occupancy [48] Question: What is the current hiring environment? - Management reported strong trends in hiring and retention, with over 200 net nurses added year-over-year [54]

Financial Data and Key Metrics Changes - The company reported Q4 adjusted earnings per share of $0.24, contributing to a full year adjusted earnings per share of $0.94, exceeding the updated guidance midpoint of $0.93 [11] - Full year consolidated revenue reached $695.2 million, an increase of $150.3 million or 27.6% over the prior year, with adjusted EBITDA of $53.3 million, an improvement of $12.6 million or 30.9% [12][33] - The company generated $20.6 million in net cash from operating activities and $17.2 million in free cash flow during Q4 [36] Business Line Data and Key Metrics Changes - Home health and hospice segment revenue for the full year increased to $519.5 million, a $125 million or 31.7% increase over the prior year, with Q4 revenue at $142 million, a $35.1 million or 32.9% increase [21] - Senior living segment revenue improved to $175.8 million, a $25.3 million or 16.8% increase over the prior year, with Q4 revenue at $46.9 million, a $7.8 million or 20% increase [26] Market Data and Key Metrics Changes - Home health admissions reached a new high of 15,909, an increase of 40.9%, while Medicare admissions increased to 6,443, a 30.1% increase [22] - The average CMS-reported star rating was 4.1, significantly exceeding the national average of 3.0, with a potentially preventable hospitalization rate of 8.7%, better than the national average of 9.9% [24] Company Strategy and Development Direction - The company is focused on five key initiatives: leadership development, employee experience, clinical excellence, margin, and growth, with significant progress made in each area [14] - The company anticipates full-year 2025 revenue in the range of $800 million to $865 million, with adjusted earnings per share projected between $1.03 and $1.11, reflecting a 13.8% growth over 2024 adjusted earnings [19][37] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the growth potential in both segments, driven by local leaders' readiness to drive organic and inorganic growth [19] - The company remains confident in its ability to adapt to potential changes in the legislative funding environment, particularly regarding Medicaid [66] Other Important Information - The company completed numerous strategic acquisitions, including the $80 million purchase of Signature Healthcare at Home, and entered into long-term leases for three senior living communities [13][28] - The company reported a strong focus on leadership development, adding 66 leaders to its CEO training program and launching a clinical leadership training program [16] Q&A Session Summary Question: 2025 outlook and same-store revenue growth expectations - Management projected about a 7% increase in same-store revenue for home health, hospice, and senior living [53] Question: Legislative funding environment and Medicaid exposure - Management indicated that approximately 15% of the business is exposed to potential Medicaid impacts, primarily from senior living [62][66] Question: Guidance assumptions for EBITDA margin improvement - Management expects some impact from recent acquisitions but anticipates home health margins to remain in the high 15% to low 16% range [83] Question: Hospice cap issue and operational changes - Management noted that they are focused on adjusting referral patterns to minimize hospice cap impacts, estimating a potential reduction in cap impact for 2025 [93] Question: Senior living segment and M&A opportunities - Management expressed confidence in the senior living segment's revenue quality and ongoing efforts to optimize the resident mix [99]