Aveanna Healthcare Holdings Inc. · NASDAQ:AVAH
Aveanna Healthcare — Investor Presentation (April 2022)
21 slides from Aveanna Healthcare's investor presentation, Apr 27, 2022
Slide 1: Investor Presentation April 27, 2022
Investor Presentation April 27, 2022 Exhibit 99.1
Slide 2: Disclaimers and Forward-Looking Statements
Disclaimers and Forward-Looking Statements This investor presentation (this "presentation" and any oral statements made in connection with this presentation are for information purposes only and do not constitute an offer to sell, a solicitation of an offer to buy, or a recommendation to purchase an
Slide 3: Today's Presenters
YEARS IN HOME HEALTH / HEALTHCARE Today’s Presenters Rod Windley Executive Chairman Tony Strange Chief Executive Officer David Afshar Chief Financial Officer Jeff Shaner Chief Operating Officer 30+ 30+ 15+ 20+ Founded Healthfield in 1986, acquired by Gentiva Health Services in 2006 for $454 million
Slide 4: The History of Aveanna
The History of Aveanna 2015 Leadership Team Joins PSA Healthcare 2017 Merger of PSA and Epic Creates Aveanna, Which We Believe is the Largest Pediatric Home Care Company 2018 Acquires Premier Healthcare Services 2015 JH Whitney Invests in PSA Healthcare 2016 JH Whitney & Leadership Partner with Bain
Slide 5: Aveanna at a Glance
Aveanna at a Glance By The Numbers Revenue Growth National Footprint Service Lines Skilled Private Duty Nursing Unskilled Personal Care Therapy Medical Solutions Adult Home Health & Hospice Private Duty Services 2022F Key Operating Statistics $1,890 - $1,920m(1) Revenue $190 - 205m(1) Adjusted EBITD
Slide 6: Who We Serve
Melia and Mom Heather Valerie Brylee and Mom Marisa “I loved meeting the nurses and therapists who came to my home. They were caring, encouraging and so helpful with my recovery. Now I am independent again and feeling great after my hip replacement surgery.” “Melia’s progress has been amazing since
Slide 7: Private Duty Services Segment By The Numbers
Private Duty Services Segment By The Numbers Key Items Financial Highlights Key Operating Statistics 80% of Consolidated Revenue Run Rate1 29% – 30% Gross Margin2 4% - 5% Organic Growth Rate3 193 Locations 22 States 41,000 Patients on Service <10 Avg. Patient Age Avg. Case Length 3-5 Years Growth Dr
Slide 8: Medical Solutions Segment By The Numbers
Medical Solutions Segment By The Numbers Key Items Financial Highlights Key Operating Statistics Locations States Patients on Service Avg. Patient Age Avg. Case Length Growth Drivers - Clinically-specialized sales force, scaled infrastructure, new market expansion strategy, cross-sell between PDS an
Slide 9: Home Health & Hospice Segment By The Numbers
Home Health & Hospice Segment By The Numbers Key Items Financial Highlights Key Operating Statistics Locations States Patients on Service Avg. Patient Age Avg. Case Length Growth Drivers - superior clinical outcomes and star ratings, experienced sales force, specialty programs targeting high- cost p
Slide 10: 2021 Y/Y Summary Results and Business Update
2021 Y/Y Summary Results and Business Update Pleased to report 2021 revenue of $1.679 billion and adjusted EBITDA of $184.2 million, despite the ongoing pandemic and onset of Omicron variant in Q4. 52 weeks in 2021 vs 53 weeks in 2020 affects comparability between fiscal years Other 2021 drivers inc
Slide 11: Q4 2021 Balance Sheet Update
Q4 2021 Balance Sheet Update Cash Collections 2021 Cash Flow Liquidity Indebtedness and Hedging Total liquidity of $243m, comprised of the following: $31m cash on balance sheet $182m revolver availability $30m securitization availability $200m additional borrowing capacity for M&A with the delayed d
Slide 12: Large, Fragmented Home Care Markets Support Sustainable Growth
Large, Fragmented Home Care Markets Support Sustainable Growth $18bn Legacy Pediatric Focus Personal Care $15.0bn Annual U.S. Healthcare Spend $4.0tn Therapy $6.0bn Enteral Nutrition $2.5bn Therapy $6.0bn Private Duty Nursing $9.5bn Hospice $19.0bn $89bn Addressable Adult Opportunity TAM in 2020 ann
Slide 13: National Providers vs. Local Competitors
National Providers vs. Local Competitors Public Peers Large Private Peers ___________________________ Source: Third party consulting report, management estimates. Local / Regional Competitors Multibillion-dollar companies Comprised of mostly Home Health and Hospice Makes up ~8% of TAM $500M – Multib
Slide 14: Industry Trends
Industry Trends Current and Future Trends Cost Savings Value-Based Care Establish risk-bearing arrangements that reward Aveanna’s scale and capabilities Well-positioned to benefit from shift to value-based care due to our scale, technology infrastructure, clinical training and compliance programs Se
Slide 15: Reimbursement Environment is Structurally Positive
Reimbursement Environment is Structurally Positive Diverse group of payers includes managed care organizations (“MCOs”), state-based Medicaid programs, Medicare, MA plans, commercial insurance and other government payers across 33 states Over 1,500 distinct payers No single payer accounted for more
Slide 16: Sophisticated Platform to Source, Execute and Integrate Acquisitions
Sophisticated Platform to Source, Execute and Integrate Acquisitions Management team has executed more than 50 acquisitions comprising >$6bn of transaction value over last 30 years. Aveanna has completed 13 transactions since 2017. Management Team has Significant M&A Track Record Aveanna Acquisition
Slide 17: Integration Management Office (IMO) Truly Differentiates
Integration Management Office (IMO) Truly Differentiates Dedicated IMO Team Integration Playbook Detailed M&A Diligence 16 people exclusively dedicated to integrating acquisitions A disciplined, phased integration approach built on “seek to understand” and “do no harm” The IMO team leads due diligen
Slide 18: Methodical, Systematic Approach to Acquisition Integration
Methodical, Systematic Approach to Acquisition Integration Proven M&A playbook perfected from extensive experience and enabled by scaled technology platform Compliance Training Legal Recruiting HRIS, Payroll, General Ledger, LMS POC Device Sales EMR / Clinical, Billing Clearing- house learning Platf
Slide 19: Acquisition Strategy Update
Acquisition Strategy Update Aveanna has continued to aggressively pursue its diversified M&A strategy while maintaining a disciplined focus on ensuring that all transactions are both financially and operationally compatible with Aveanna’s existing business and operations Acquire $150m to $200m per y
Slide 20: Compelling Financial Profile
Compelling Financial Profile Historically stable gross margins of ~30-32%2 with improving reimbursement rates Platform and infrastructure in place to drive operating leverage and efficiencies Stable Margin Profile Revenue CAGR of ~ 10% and Adjusted EBITDA CAGR of ~ 22% from 2018 to 2021 Significan
Slide 21: Proven Ability to Drive Robust Growth
2018 – 2021 Revenue 2018 – 2021 EBITDA ($ in millions) Proven Ability to Drive Robust Growth 10% '18-’21 CAGR 22% '18-’21 CAGR ($ in millions) 2018 – 2021 Gross Margin 2018 – 2021 Field Contribution Margin
Aveanna Healthcare Holdings — Investor Presentation (April 2022) on 6ix