Accendra Health, Inc. · NYSE:ACH
Accendra Health — Owens & Minor — Bank of America Leveraged Finance Conference 2021
26 slides from Accendra Health's conference presentation, Nov 30, 2021
Slide 1: Bank of America Leveraged Finance Conference
Bank of America Leveraged Finance Conference November 30, 2021
Slide 2: Safe Harbor
2 Safe Harbor This presentation is intended to be disclosure through methods reasonably designed to provide broad, non-exclusionary distribution to the public in compliance with the SEC's Fair Disclosure Regulation. This presentation contains certain ''forward-looking'' statements made pursuant to t
Slide 3: O&M Overview: Leading Healthcare Solutions Provider
3 O&M Overview: Leading Healthcare Solutions Provider 15,000+ Teammates Worldwide 1,200+ Branded Manufacturers 4,000+ Healthcare Providers Served 95+ Facilities Worldwide A growth-focused, integrated healthcare solutions provider with broad medical distribution reach, proprietary products and servic
Slide 4: O&M Core Segments
4 O&M Core Segments GLOBAL PRODUCTS GLOBAL SOLUTIONS M E D I C A L D I S T R I B U T I O N S E R V I C E S P R O P R I E TA R Y P R O D U C T S PAT I E N T D I R E C T
Slide 5: Medical Distribution
5 Medical Distribution Traditional Med-Surg Supply Outsourced Logistics ACUTE CARE HOSPITALS• Buy-Sell Product Distribution • Bulk & LUM delivery • Tailored to individual customer needs • 3PL Logistics • Healthcare focused / FDA compliant • Pandemic preparedness & customer owned inventory storage MA
Slide 6: Patient Direct: Covering the Entire Patient Journey
6 HOSPITAL/IDN HOME HEALTH CHRONIC CARE AT HOME Patient Direct: Covering the Entire Patient Journey Completing the Continuum of Care
Slide 7: Services: Optimizing Inventory Management
7 Services: Optimizing Inventory Management Leveraging Technology for Best-in-Class Service Distribution only service Supply chain services S E R V I C E S
Slide 8: Trusted, Market-Leading Products for Every Care Setting
8 Trusted, Market-Leading Products for Every Care Setting Market Leading & Customer Recognized Brands Essential products for delivery of care every day. Our Private Label Broad portfolio of products for the prevention of healthcare-associated infections (including PPE) across the acute and non-acute
Slide 9: Global Products: Americas Based Manufacturing
9 Global Products Americas Based Manufacturing Provides Supply Chain Resiliency Key Takeaways: • We control the design, raw materials, strict quality standards, and product specifications in our own facilities with our own Teammates • We self-manufacture most of our proprietary branded products, man
Slide 10: Q3 2021 Operational Highlights and Recent Financial Results
10 Q3 2021 Operational Highlights • Substantial increase in Global Solutions top & bottom line as customers recognize ability to provide flexible & scalable solutions at the highest level of service and continued strong growth in Patient Direct • Another quarter with net new wins among acute care di
Slide 11: 2021 & 2022 Outlook
11 2021 & 2022 Outlook FY 2021 • Recently narrowed the range of full-year guidance for: • Adjusted EPS of $3.90 to $4.10 • Adjusted EBITDA of $475 million to $500 million • Record setting 2021 driven by: • Response to pandemic through investments in infrastructure, manufacturing capacity and technol
Slide 12: Lower leverage and improved competitive position yielding credit rating upgrades
12 Lower leverage and improved competitive position yielding several credit rating upgrades in the past 12 months Company Performance Markets have recognized success • OMI shares year-to-date return through November 19 of 55% and over 700% since January 1, 2020 • OMI’s 2024 & 2029 Notes up 3.5% and
Slide 13: Driving Sustainable Value Through Social Responsibility
13 Driving Sustainable Value Through Social Responsibility • Launched the Owens & Minor Foundation which is committed to improving the communities in which we operate and live • Released our first sustainability report detailing the advancement that Owens & Minor has made in Environmental, Social, a
Slide 14: Strategic Plan Builds Financial Strength
14 Strategic Plan Builds Financial Strength * Financial Strength Drivers • Reduced $700M+ of debt since Q2 2018 • Eliminated $39M in short-term maturities during Q1 2021 • Improved Credit Rating from CCC+ as of December 2018 to BB- as of November 2021 • Raised $500M in unsecured debt; 4.5% interest
Slide 15: Numerous Opportunities within Core, Products & Adjacencies
15 Numerous Opportunities within Core, Products & Adjacencies to Complement Growth Accelerates Path to Own Continuum of Care M&A Criteria: Disciplined Approach to Enhance Growth Bolt-on in Terms of Size Focus Niche Market Leadership Immediately Accretive Complementary to our Strategy Growth Platform
Slide 16: Robust 2026 Targets
16 Robust 2026 Targets Revenue $8.5B $12B+ Adjusted EBITDA1 $335M $650M+ Adjusted EPS1 $2.26 $6.00+ $3.90-$4.10 6% CAGR* 12% CAGR* 18% CAGR* $9.6B- $9.8B $475M- $500M *6-year CAGR from 2020-2026 2021E represents guidance issued on November 3, 2021 ¹Reconciliations for Non-GAAP measures, including Ad
Slide 17: Investment Highlights
17 Investment Highlights 1. Leading healthcare solutions company ready to ignite sustainable growth through capacity and proprietary products expansion, entry into new adjacent markets, and future M&A 2. Medical distribution with 140-year history of service, support and partnership with leading heal
Slide 18: Appendix
18 Appendix
Slide 19: Use of Non-GAAP Measures
19 Use of Non-GAAP Measures This presentation contains financial measures that are not calculated in accordance with U.S. generally accepted accounting principles ("GAAP"). In general, the measures exclude items and charges that (i) management does not believe reflect Owens & Minor, Inc.'s (the "Com
Slide 20: Adjusted EBITDA Reconciliation
20 Adjusted EBITDA Reconciliation Certain totals in this appendix may not sum due to rounding
Slide 21: Net Debt Reconciliation
Net Debt Reconciliation $ in millions Q3 Net Debt Reconciliation 2021 Total Debt, as reported (GAAP) $ 961.1 Cash and cash equivalents 39.8 Last twelve months EBITDA, adjusted (non-GAAP) (Adjusted EBITDA) $ 533.4 Leverage Ratio of net debt to Adjusted EBITDA 417 aF ‘Owens & Minor, In Owens 21 | Conf
Slide 22: Total Company FCF Reconciliation
22 Total Company FCF Reconciliation ¹Includes LIFO provision of $15.6M, $7.9M, $26.9M, $4.4M, and $(0.8M) for the periods ending 2020, 2019, 2018, 2017, and 2016. The 2018 figure includes acquired current assets of $331M and current liabilities of $92M resulting from the Halyard acquisition.
Slide 23: Total Company Adjusted EBITDA Reconciliation
23 Total Company Adjusted EBITDA Reconciliation
Slide 24: Total Company Net Debt Reconciliation
24 Total Company Net Debt Reconciliation
Slide 25: Adjusted EPS Reconciliation
25 Adjusted EPS Reconciliation
Slide 26: Definitions of Non-GAAP Reconciliation items
26 Definitions of Non-GAAP Reconciliation items The following items have been excluded in our non-GAAP financial measures: Intangible amortization: Includes amortization of intangible assets established during purchase accounting for business combinations. These amounts are highly dependent on the s
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