Addus Homecare Corporation · NASDAQ:ADUS
Addus Homecare — JMP Securities Research Conference 2013
21 slides from Addus Homecare's conference presentation, May 14, 2013
Slide 1: Coordinated Personal Home Care
Exhibit 99.1 Coordinated Personal Home Care A pre-acutesolutionto the post-acuteproblemSM JMP Securities Research Conference May 14, 2013
Slide 2: Forward-Looking Statements
Forward-Looking Statements The following information contains, or may be deemed to contain, forward-looking statements. By their nature, forward-looking statements involve risks and uncertainties because they relate to events and depend on circumstances that may or may not occur in the future. The f
Slide 3: Mission
Mission It is the primary mission of Addus HealthCare to improve the health and well being of our consumers through the provision of quality, cost-effective home and community based services. We will accomplish our goals by fostering an environment in which our employees enthusiastically support and
Slide 4: Investment Highlights
Investment Highlights Large & Growing Market Broad Range of Services and Payors Differentiated, Coordinated Care Model Positioned to Excel under Healthcare Reform Significant Operational Scale Across National Footprint History of Growth through Acquisition Multiple Organic Growth Opportunities Exper
Slide 5: Addus DualAdvantage: The New Paradigm
AddusDualAdvantage TM The New Paradigm Long-term care risk makes it essential that health plan dual eligible members live safely and healthfully at home as long as possible… 5
Slide 6: About Addus
About Addus Who is Addus? Comprehensive provider of home and community based services, which are primarily social in nature, focused primarily on the Dual Eligible population: Personal Care Private Duty Adult Day Service Key Facts: Founded in 1979 14,000+ employees 26,000+ consumers (many dual eligi
Slide 7: Who We Serve
Who We Serve Focusing on the Dual Eligible Population Addus focuses on the top 5% in terms of resource needs and expenditures! Source: Kaiser Family Foundation calculations using data from U.S. Department of Health and Human Services, Agency for Healthcare Research and Quality, Medical Expenditure P
Slide 8: Where are we in the Continuum of Care?
Where are we in the Continuum of Care? Rehab Facility Transportation ¢¢ Home Health $ $$$$ Personal Emergency Home Response Physicians Hospital Nursing Home Case (PERS) ¢¢ $$ Intensive Care $$$$$ Management $ $$$$ Companionship Friendly Ambulance/ Psychiatric Healthy $ Visiting ER $$$ Inpatient $$$$
Slide 9: Long-Term Care Expenditures
Long-Term Care Expenditures Growth in Medicaid Long Term Care Expenditures Medicaid Spending Per Beneficiary $80.00 $70.00 $30,000 $24,500 $60.00 $25,000 $50.00 $20,000 $40.00 $15,000 $30.00 $9,200 $10,000 $20.00 $10.00 $5,000 $0.00 $0 1990 1995 2000 2002 2004 2006 2008 2009 Nursing Home Home Care I
Slide 10: Dual Eligible: What is the Opportunity?
Dual Eligible What is the Opportunity? Medicare Program Medicaid Programs Populations 65+ years Generally populations 65+ years w Income limits Hospital Services (Part A) Home Based Personal Care – Post Acute Care SNF / Rehab Long term Nursing Home Care Professional Services (Part B) Duals Represent
Slide 11: States Pursuing a Dual Program
States Pursuing a Dual Program MCO Plans/Programs already implemented 2013 Implementation Plans 2014 Implementation Plans No Implementation Plans Addus location(s) Source: Kaiser Commission on Medicaid and the Uninsured, May 2012
Slide 12: Health Plan's Worst Nightmare
Health Plan’s Worst Nightmare The Choice is Obvious! Emergency Room $1,700/visit Total Episodic Cost & one-year of Nursing Ambulance Home $1,000/ride $75,620 Acute Care Hospital $12,320/stay Vs. Home Personal Care $9,200/year Nursing Home $42,000/year Rehab Facility Sources: Consumer Health Ratings.
Slide 13: Addus Dual Advantage: A Powerful Resource
Addus Dual Advantage TM A Powerful Resource No one knows more about the member… No one is in a better position to positively effect health outcomes… …Than the Addus Home Care Aide 13
Slide 14: Home Care: Integrated Clinical Strategy Begins In The Home
Home Care Integrated Clinical Strategy Begins In The Home Family Addus Addus Home Care Call Center Aide Community-Based Resources & Interdisciplinary Advocacy Groups Care Team Client Primary Health Plan Care Health Case Providers Manager Community- Based Providers & Pharmacies 14
Slide 15: Addus DualAdvantage: Extending the Reach of Case Managers
AddusDualAdvantage TM A Model for Extending the Reach of Health Plan Case Managers Serving the dual eligible population at home: • Complicated • Logistics intense • Highly transactional • Requires disciplined processes Provides tremendous opportunity for case management extension! 15
Slide 16: Home Care Programs Improve Outcomes
Home Care Programs Improve Outcomes Nursing home admissions fell, in spite of rising populations; substantial savings HCBS Strategies Study Scripps Gerontology Center Study Illinois Residents Age 75+ Ohio Residents Age 60+ Total Population vs. Nursing Home Residents Total Population vs. Nursing Home
Slide 17: Census, Revenue, EBITDA Trends
Census- Revenue - EBITDATrends ($ in thousands) We define Adjusted EBITDA as earnings before discontinued operations, preferred stock dividends, reevaluation of contingent consideration, interest expense, taxes, depreciation, amortization, and stock- based compensation expense. Adjusted EBITDA is a
Slide 18: Condensed Consolidated Statements of Income
Condensed Consolidated Statements of Income Continuing Operations ($ in millions) Year Ended Three Months Ended 12/31/2008 12/31/2009 12/31/2010 12/31/2011 12/31/2012 3/31/2012 3/31/2013 Unaudited Unaudited Net Service Revenues $ 197.9 $ 219.9 $ 230.1 $ 230.1 $ 244.3 $ 58.9 $ 63.0 Cost of Service Re
Slide 19: Select Balance Sheet Information
Select Balance Sheet Information ($ in millions) Key Balances 12/31/2008 12/31/2009 12/31/2010 12/31/2011 12/31/2012 3/31/2013 Cash $ 6.1 $ 0.5 $ 0.8 $ 2.0 $ 1.7 $ 17.8 Accounts receivable, net 49.2 70.5 71.0 72.4 71.3 60.6 Total Assets 135.7 161.3 166.9 154.7 149.9 151.4 Debt, including current mat
Slide 20: Investment Highlights
Investment Highlights Large & Growing Market Broad Range of Services and Payors Differentiated, Coordinated Care Model Positioned to Excel under Healthcare Reform Significant Operational Scale Across National Footprint History of Growth through Acquisition Multiple Organic Growth Opportunities Exper
Slide 21: EBITDA Reconciliation
EBITDA Reconciliation Continuing Operations ($ in millions) Year Ended Three Months Ended 12/31/2008 12/31/2009 12/31/2010 12/31/2011 12/31/2012 3/31/2012 3/31/2013 (2) Net Income $ (0.2) $ (1.8) $ 6.0 $ (2.0) $ 7.6 $ 0.6 $ 13.3 Less: (Earnings) loss from discontinued operations (2.5) (2.4) (1.7) 10
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