Core Insights - Maplewood Senior Living and its luxury brand Inspīr have achieved national recognition with three executive chefs winning awards at the 2025 DISHED Senior Living Dining Innovation Awards [1][6] - The return of Jason Wallin as Corporate Director of Culinary Services marks a new chapter in enhancing wellness-driven dining experiences [2][5] - The awards highlight the exceptional talent and creativity of the culinary teams, emphasizing a commitment to innovation in senior living dining [3][6] Culinary Innovation Recognition - The DISHED Culinary Canvas Award was given to Picasso Petion, Executive Chef at Maplewood at Strawberry Hill, for his ability to blend artistry with comfort in menu design [4] - Richard McCreadie, Executive Chef for Inspīr Embassy Row, focuses on crafting menus that reflect residents' stories while prioritizing local and seasonal ingredients [8] - Steven Weintraub, Executive Chef at Inspīr Carnegie Hill, is recognized for his innovative approach to wellness, particularly in memory care programs [8] Leadership and Vision - Jason Wallin brings over 20 years of culinary leadership back to Maplewood, enhancing the company's commitment to exceptional dining experiences [5][6] - Eileen Duggan, SVP of Operations, emphasizes Wallin's alignment with the company's mission to deliver outstanding experiences to residents [6] - The combination of award-winning chefs and visionary leadership is set to elevate the dining experience in senior living [3][6] Company Overview - Maplewood Senior Living operates 16 upscale senior living communities across several states, including Connecticut, Massachusetts, New Jersey, New York, and Ohio [7] - The Inspīr brand redefines urban senior living, offering luxury accommodations and a focus on whole-person wellness [10] - The flagship residence, Inspīr Carnegie Hill, is located in New York City, with a new location, Inspīr Embassy Row, recently opened in Washington D.C. [10]

Financial Data and Key Metrics Changes - The company reported Q2 2025 revenue of $219.5 million, an increase of $50.8 million or 30.1% year-over-year, and adjusted EBITDA of $16.4 million, up $3.2 million or 24.5% from the prior year quarter [7][32][10] - GAAP diluted earnings per share for the quarter was $0.20, while adjusted diluted earnings per share was $0.27 [32] Business Line Data and Key Metrics Changes - In the Home Health and Hospice segment, revenue reached $166 million, an increase of $40.7 million or 32.5%, with adjusted EBITDA of $25.5 million, up $5.9 million or 29.9% year-over-year [15] - Hospice revenue was $73.8 million, an increase of $14.4 million or 24.3%, with hospice admissions up 14.7% and average daily census up 21.4% [16] - Home health revenue grew to $79.2 million, an increase of $17.6 million or 28.5%, with total home health admissions increasing 26.1% [19] - Senior Living segment revenue improved to $53.5 million, an increase of $10 million or 23.1%, with same store occupancy exceeding 80% [24][26] Market Data and Key Metrics Changes - The company anticipates full-year revenue in the range of $852.8 million to $887.6 million, with adjusted earnings per share expected between $1.09 and $1.15 [13][32] - The proposed 2026 Home Health Rule suggests a net reduction of 6.4% in aggregate payments to home health agencies, which could impact the company's revenue [21][22] Company Strategy and Development Direction - The company is focused on leadership development, clinical excellence, employee engagement, margin improvement, and growth as key focus areas for continuous improvement [7] - The acquisition of divested assets from Amedisys and UnitedHealth Group is seen as a significant opportunity to expand operations in attractive markets, particularly in Tennessee, Alabama, and Georgia [12][29] - The company is committed to adapting its operations to the changing regulatory environment and believes in the essential role of home health services in the healthcare continuum [23][24] Management's Comments on Operating Environment and Future Outlook - Management expressed concerns about the proposed home health rule, stating it could negatively affect access to care for vulnerable patients and increase overall healthcare spending [22][23] - Despite challenges, management remains optimistic about the company's growth trajectory, citing strong performance across various segments and a healthy balance sheet [10][13] Other Important Information - The company has a strong focus on operational efficiency and has implemented various initiatives to improve clinical quality and financial performance [20][24] - The company is actively preparing for the integration of newly acquired assets and has invested in leadership and operational training to ensure a smooth transition [58][70] Q&A Session Summary Question: Insights on the Tennessee market and payer landscape - Management highlighted the unique opportunities in the Tennessee market, emphasizing the potential for building a care continuum and the presence of quality providers [41][43] Question: Impact of proposed clawback on capitated relationships - Management acknowledged that adjustments from Medicare rate changes could affect both traditional and capitated contracts, but emphasized the company's diversified business model [46][48] Question: Sustainability of revenue per occupied bed in senior living - Management indicated that while they anticipate mid-single-digit growth in revenue per occupied bed, they are encouraged by recent occupancy growth [54][56] Question: Preparations for the Amedisys acquisition - Management detailed investments in leadership and resources to ensure a successful transition and operational efficiency post-acquisition [57][58] Question: Balancing M&A versus market share growth amid regulatory changes - Management expressed confidence that disruptions in the market could create opportunities for growth, emphasizing a strategic approach to acquisitions [59][62]

Each of the 350+ businesses are run independently encompassing services delivered by more than 50,500 employees. We foster an entrepreneurial culture of ownership coupled with a field-driven, flat structure. Our independent subsidiaries offer a broad spectrum of post-acute care including skilled nursing, senior living, ancillary businesses and healthcare- related properties. E N S I G N G R O U P INVESTOR PRESENTATION M a y 2 0 2 5 w w w . e n s i g n g r o u p . n e t Table Of Contents Portfolio Our Servic ...

Financial Data and Key Metrics Changes - The company's same store portfolio NOI grew by 19.3% year over year, while the acquisition portfolio NOI increased by 31.3% sequentially from Q4 2024, resulting in a total portfolio NOI growth of 37.6% year over year [7][8] - The average renewal rate increased by 6.6%, impacting nearly 70% of the resident base, supported by high resident satisfaction [8] - Total company occupancy improved by 100 basis points year over year to 84.7%, with a 7% increase in lead volume across the same store portfolio [9][10] Business Line Data and Key Metrics Changes - The repositioning portfolio was introduced for assets undergoing significant renovations, with five assets identified for strategic repositioning to capture a higher rate private pay customer base [12][25] - Same store revenues increased by $16 million or 7.4%, with 65% of the increased revenues flowing through to NOI, resulting in a same store NOI margin of 27.6%, a 280 basis point increase from the previous year [13][17] - The acquisition communities delivered a 31.3% NOI growth with a 26.3% NOI margin, reflecting strong sequential growth [15] Market Data and Key Metrics Changes - The company continues to expand its level of care revenues with a year-over-year increase of $1.8 million or 13.6% on its same store portfolio, driven by the adoption of a new software system for tracking clinical staff resources [18] - The company is focused on reducing its Medicaid exposure, currently at 9% of total revenue, by repositioning communities to align with a private pay model [25][26] Company Strategy and Development Direction - The company aims to drive community performance through tailored operating plans and detailed execution, with a focus on operational discipline to improve occupancy and margins [6][7] - The strategic inorganic growth plan remains on track, with two new acquisitions expected to close in Q2, reflecting a focus on deploying capital accretively [7][30] - The company is committed to maintaining a disciplined approach to capital allocation, targeting high-quality assets at a discount to replacement cost [27][30] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving $100 million of NOI based on 2024's pro forma NOI, with a successful annual rate increase campaign contributing to this growth [22][31] - The current investment landscape is characterized by liquidity-seeking sellers, providing a steady pipeline of attractive investment opportunities [26][30] Other Important Information - The company has invested in employee retention strategies, resulting in the lowest turnover percentage for a quarter since tracking began [10] - The total debt composition includes 61% fixed-rate debt, with a weighted average interest rate of 5.4% [21] Q&A Session Summary Question: Can you provide more details on the repositioning portfolio and timeline? - Management indicated that the repositioning portfolio represents an opportunity to invest in communities to align with a private pay model, with capital investments planned to enhance these assets [36][38] Question: Are there other assets that could be repositioned? - Management noted that the five identified assets are the most immediate opportunities, with no large-scale transitions expected in the near term [40] Question: Can you elaborate on the two acquisitions mentioned? - The acquisitions are in strong southern markets, consistent with previous purchases, and are expected to stabilize with low double-digit yields [42]

Core Viewpoint - The Pennant Group, Inc. reported strong operating results for the first quarter of 2025, with significant increases in revenue, net income, and adjusted earnings per share, indicating positive momentum across its home health, hospice, and senior living segments [1][4][5]. Financial Performance - Total revenue for Q1 2025 was $209.8 million, a 33.7% increase from $156.9 million in Q1 2024 [4][19]. - Net income for Q1 2025 was $7.8 million, up 58.5% from $5.1 million in Q1 2024 [4][12]. - Adjusted net income for Q1 2025 was $9.6 million, reflecting a 61.4% increase from $5.9 million in Q1 2024 [4][30]. - GAAP diluted earnings per share were $0.22, compared to $0.16 in the prior year [1][12]. - Adjusted diluted earnings per share were $0.27, up from $0.20 in Q1 2024 [1][30]. Segment Performance - Home Health and Hospice Services segment revenue was $159.9 million, a 37.2% increase from $116.5 million in Q1 2024 [4][19]. - Senior Living Services segment revenue reached $50.0 million, a 23.6% increase from $40.4 million in Q1 2024 [4][24]. - Total home health admissions increased by 28.9% to 18,878, while Medicare home health admissions rose by 19.7% to 7,599 [4][22]. - Hospice average daily census increased by 28.1% to 3,794 [4][22]. - Senior Living average monthly revenue per occupied room increased by 11.3% to $5,193 [4][24]. Operational Highlights - Consolidated Adjusted EBITDAR for Q1 2025 was $28.0 million, a 31.0% increase from $21.4 million in Q1 2024 [4][35]. - Consolidated Adjusted EBITDA for Q1 2025 was $16.4 million, reflecting a 45.9% increase from $11.2 million in Q1 2024 [4][35]. - The company emphasized ongoing investments in leadership development as a key driver of operational success [4][5]. Future Outlook - The company plans to discuss its financial results in a live webcast scheduled for May 7, 2025, indicating a commitment to transparency and investor engagement [1][6].

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]