Slide 1: Fiscal 2014 First Quarter Earnings
Title: David N. Walker Chief Financial Officer and Treasurer February 6, 2014 Fiscal 2014 First Quarter Earnings
Slide 2: Forward-looking Statements & Non-GAAP Information
Title: Forward-looking Statements & Non-GAAP Information These slides should be read in conjunction with the Company’s most recent quarterly earnings press release, along with listening to or reading a transcript of the comments of Company management from the Company’s most recent quarterly earnings
Slide 3: Selected Financial Results from Continuing Operations
Title: Selected Financial Results from Continuing Operations Q1 FY14 ResultsRevenue grew 42%, driven by the forecasted growth in domestic health business, much of which was tied to new contracts related to the Affordable Care Act (ACA)Revenue grew 37% organicallyTotal segment operating income totale
Slide 4: Health Services Segment
Title: Health Services Segment Revenue Top-line increases fueled principally by organic growth resulting from new work and expansion of existing contracts, including those related to the Affordable Care Act (ACA)Revenue was stronger-than-expected, delivering strong transactional volumes. MAXIMUS als
Slide 5: Human Services Segment
Title: Human Services Segment RevenueQ1 revenue decreased 3% to $107.4 million; on a constant currency basis, revenue would have increased 2%The prior-year period benefitted from highly accretive performance-based payments in our domestic welfare to work business that bolstered both revenue and prof
Slide 6: Balance Sheet and Cash Flows
Title: Balance Sheet and Cash Flows Share BuybacksIn Q1, purchased 505,738 shares of MMS common stock for $22.5 million At December 31, 2013, $74.9 million available for future purchasesSubsequent to quarter close (through January 31), purchased 214,200 shares for approximately $9.2 million.Buyback
Slide 7: Increasing FY Guidance
Title: Increasing FY 14 Guidance Seasonal revenue and earnings pattern for MAXIMUS has changed; based on what we know today, expect to experience stronger results in the first half of each fiscal year associated with the open enrollment period for the HIX under the ACASeveral changes uplifting our g
Slide 8: Richard A. Montoni, President and CEO
Title: Richard A. Montoni President and Chief Executive Officer February 6, 2014 Fiscal 2014 First Quarter Earnings
Slide 9: Achieving a Solid Start to Fiscal 2014
Title: Achieving a Solid Start to Fiscal 2014 Solid start to fiscal 2014 with top- and bottom-line results that beat expectations; raising outlook for FY 14Even more impressive results within a demanding market environment for private-sector government partners that operate highly visible health and
Slide 10: Helping Clients Address ACA Challenges
Title: Helping Clients Address ACA Challenges As governments faced problems with the exchange technology, our health team found opportunities to provide alternatives and implement comprehensive contingency plans for existing and new clientsOur solutions allowed exchange workflow to continue while ou
Slide 11: Seeing Increased Activity in HIX Contact Centers
Title: Seeing Increased Activity in HIX Contact Centers Volumes in many of our HIX contact centers came on strong the last six weeks of calendar 2013 Added 1,300+ staffSurge in calls from consumers unable to enroll into health plans online and needed assistance over the phoneMany consumers trying to
Slide 12: Improving HIX Workflow for Cover Oregon
Title: Improving HIX Workflow for Cover Oregon Provided operational review of business processes that led to us providing call center and other overflow capacity to assist consumers in completing enrollmentsOperational assistance eased workload from exchange workers overwhelmed by high volumes of pa
Slide 13: Overcoming an Influx of Applications in Colorado
Title: Overcoming an Influx of Applications in Colorado Helped Colorado overcome an influx of applications through our existing contract vehicle and business process re-engineering; consumers must be deemed ineligible for Medicaid before being considered for a subsidy; state experienced a surge in c
Slide 14: Responding to Medicaid Transformation
Title: Responding to Medicaid Transformation ACA to serve as a multi-year growth driver for MAXIMUS; some states likely to operate their own exchanges over the next several years, as well as enhance public health insurance programs, including expanding Medicaid Kaiser Family Foundation predicts 2014
Slide 15: Remaining Engaged with the Duals Market
Title: Remaining Engaged with the Duals Market Engaged on some dual demonstration projectsDozens of governors made this a priority agenda item as they look for real solutions for these “super utilizers” of Medicaid and MedicareWhile not a large financial contribution to MAXIMUS, the duals market is
Slide 16: Continuing Medicaid Review Work in Illinois
Title: Continuing Medicaid Review Work in Illinois Received some very positive news in Illinois where we had been working with the state to help root out Medicaid fraudEligibility and Enrollment Verification project designed to help ensure that only those eligible for Medicaid are actually receiving
Slide 17: Delivering Solid Results in Federal Market
Title: Delivering Solid Results in Federal Market Federal Services business again delivered solid financial resultsReflects the team’s ability to deliver on the increased level of appealsThe MAXIMUS Federal team has done a great job to manage increased volumes, while at the same time winning new wor
Slide 18: Expanding Geographic Footprint in Australia
Title: Expanding Geographic Footprint in Australia Recently completely a small tuck-in acquisition to complement our human services business in AustraliaAcquired workforce services assets from Centacare, a provider of welfare-to-work and disability employment services under the Job Services Australi
Slide 19: Contract Rebids
Title: Contract Rebids 2014 will be a light year for rebids and overall total awardsThus far, we’re pleased with our progressOf the 15 contracts worth a total of $225 million up for bid, we’ve won 3 for a total contract value of $46 million
Slide 20: New Awards and Sales Pipeline
Title: New Awards and Sales Pipeline At December 31, 2013:Signed $347 million in new contract awardsAdditional $50 million of “awarded but unsigned” contracts, pending final signaturesSales pipeline was $2.4 billion; as expected, lower compared to same period last year due to record number of awarde
Slide 21: Conclusion
Title: Conclusion Plans for long-term growth continue to be shaped by our three strategic priorities:Enhancing our U.S. operations by supporting clients through the next phase of the Affordable Care ActGrowing our federal businessExpanding our international operations with health and human services
Slide 22: Thank You to CFO David Walker
Title: Thank You to CFO David Walker Thank you to our Chief Financial Officer, David Walker, for all that he’s done to drive success for MAXIMUSIn December, David announced his intent to retire, but will remain with the Company to provide support for special projects We kicked off the search process