Slide 1: 2020 Fourth Quarter & Year End Results Conference Call
DELIVERING BEST-IN-CLASS SERVICES & GROWING LONG-TERM VALUE 2020 Fourth Quarter & Year End Results Conference Call February 26, 2021 NON-GAAP MEASURES “EBITDA”, “Adjusted EBITDA”, “net operating income” (NOI), “funds from operations” (FFO), and “adjusted funds from operations” (AFFO) are non-GAAP me
Slide 2: Forward-Looking Statements
FORWARD-LOOKING STATEMENTS This presentation contains certain forward-looking statements within the meaning of applicable Canadian securities laws (“forward-looking statements” or “forward-looking information”). Statements other than statements of historical fact contained in this presentation may b
Slide 3: COVID-19 Update
COVID-19 UPDATE Safety of our residents, clients and staff remains our top priority Vaccine rollout under way: 91% of LTC residents vaccinated with first dose and 65% have received second dose 71% of Esprit residents vaccinated with first dose 33% of LTC and Esprit staff have first dose
Slide 4: 2020 Fourth Quarter Highlights
2020 FOURTH QUARTER HIGHLIGHTS Impact of COVID-19: Pandemic costs exceeded funding by $10.3M ($30.1M FY20) Lower occupancy in LTC and retirement living Home health care volumes recovering in the face of workforce capacity constraints ParaMed received $40.4M under the Canada Emergency Wage
Slide 5: Long-Term Care – Redevelopment Advancing
LONG-TERM CARE – REDEVELOPMENT ADVANCING Long-term plan to replace aging infrastructure is advancing successfully Sudbury 256-bed LTC home under construction: Greenfield, commenced November 2020 with completion anticipated in Q4 2022 Estimated investment of $62.3M Replacing existing 234-be
Slide 6: Long-Term Care – COVID-19 Drives Increased Costs, Lower Occupancy
LONG-TERM CARE – COVID-19 DRIVES INCREASED COSTS, LOWER OCCUPANCY COVID-19 costs exceed funding support by $8.7M in Q4 2020 and $24.2M in 2020 (1) Occupancy declines due to COVID-19 admissions restrictions supported by basic Average Occupancy occupancy funding protection 100% 90% Recent COVID
Slide 7: ParaMed – Volume Recovering, Limited by Staffing Capacity
PARAMED – VOLUME RECOVERING, LIMITED BY STAFFING CAPACITY Home care referrals recovered to pre-COVID levels ADV steadily recovering from COVID lows but constrained by workforce capacity: Q4 ADV up 5.2% from Q3 2020 4-weeks ending February 14, 2021 up 1.6% from Q4 Home Health Care Average Dai
Slide 8: Financial Review
FINANCIAL REVIEW 2020 Fourth Quarter & Year End Results 8
Slide 9: Consolidated Results
CONSOLIDATED RESULTS Three and twelve months ended December 31, 2020 ($ millions, except per share amounts) Revenue Revenue (1) Q4 Q4 YTD YTD Q4 Q4 YTD YTD 2020 2019 Change 2020 2019 Change 2020 2019 Change 2020 2019 Change $307.7 $290.9 5.8% $1,158.3 $1,132.0 2.3% $307.7 $277.6 10.9% $1,155.3 $1,07
Slide 10: Long-Term Care
LONG-TERM CARE Three and twelve months ended December 31, 2020 Q4 revenue up $25.5M, includes COVID-19 funding of $25.6M Revenue Q4 NOI impacted by: Q4 2020 $192.1M 15.3% Costs in excess of COVID-19 funding of $8.7M (full year $24.2M) YTD 2020 $715.6M 11.1% Lower preferred occupancy revenue
Slide 11: Home Health Care
HOME HEALTH CARE Three and twelve months ended December 31, 2020 Q4 revenue(1) increased slightly as Revenue (1) COVID-19 and pandemic pay funding Q4 2020 $96.4M 3.2% were largely offset by lower average YTD 2020 $365.2M -1.3% daily volumes (ADVs) NOI (1) Q4 NOI(1) impacted by decline in ADV vs
Slide 12: Retirement Living
RETIREMENT LIVING Three and twelve months ended December 31, 2020 Q4 revenue up 6.1% and NOI up 11.0% Revenue Contributions from lease-up and non same- Q4 2020 $12.0M 6.1% store communities offset the negative impact of COVID-19 on occupancy and cost levels YTD 2020 $47.8M 15.8% NOI Q4 stabili
Slide 13: Other Canadian Operations
OTHER CANADIAN OPERATIONS Three and twelve months ended December 31, 2020 Revenue Q4 revenue up 16.4% and NOI up Q4 2020 $7.2M 16.4% 32.2% YTD 2020 $26.8M 12.0% Growth in SGP client base of 21.9% NOI and lower travel and marketing Q4 2020 $4.6M 32.2% costs due to COVID restrictions margin 63.2%
Slide 14: Strong Financial Position
STRONG FINANCIAL POSITION As at December 31, 2020 Long-term EBITDA interest Debt to Weighted Debt (1) Cash coverage GBV average rate $580M $180M Q4 2020 4.7x 45.9% 4.3% Q3 2020 4.0X 47.9% 4.4% Q4 2019 3.1X 49.0% 4.7% Debt Maturities ($ millions) Construction(2) Lease Liabilities Mortgage Amortizatio
Slide 15: Compelling Growth Opportunities Across the Care Continuum
COMPELLING GROWTH OPPORTUNITIES ACROSS THE CARE CONTINUUM B2C: direct services to seniors LONG-TERM CARE HOME HEALTH CARE RETIREMENT LIVING 58 8.4M 11 Long-term care Home health care Retirement communities homes owned hours delivered (TTM) owned B2B: contract & consulting services GROUP PURCHASING C
Slide 16: Thank You
THANK YOU
Slide 17: Appendix
EXTENDICARE® APPENDIX ... helping people live better
Slide 18: 2020 Estimated COVID-19 Revenue, Operating Expenses and Administrative Costs
2020 ESTIMATED COVID-19 REVENUE, OPERATING EXPENSES AND ADMINISTRATIVE COSTS Three and twelve months ended December 31, 2020 and 2019 ($ millions) Q4 2020 YTD 2020 Retirement Home Health Retirement Home Health LTC Total LTC Total Living Care Living Care Revenue $25.6 - $6.4 $32.0 $64.7 - $23.6 $88.3
Slide 19: ParaMed Factors Impacting Comparability
PARAMED FACTORS IMPACTING COMPARABILITY Three and twelve months ended December 31, 2020 and 2019 ♦ ParaMed B.C. contracts (exited in January 2020) ♦ ParaMed Bill 148 (retro funding of $2.2M recorded in Q2 2019) ♦ ParaMed CEWS ($91.2M received in 2020 ($40.4M in Q4 2020)) NET IMPACT Q4 Q4 YTD YTD ($
Slide 20: Results – NOI by Division
RESULTS – NOI BY DIVISION (1) Three and twelve months ended December 31, 2020 ($ millions) Long-term Care NOI and Margin (1) Home Health Care NOI and Margin (1) Q4 Q4 YTD YTD Q4 Q4 YTD YTD 2020 2019 Change 2020 2019 Change 2020 2019 Change 2020 2019 Change $17.9 $19.1 -6.2% $76.0 $76.3 -0.5% $5.2 $5