Slide 1: Fiscal 2013 Third Quarter Earnings
Slide: 1 SubTitle: David N. WalkerChief Financial Officer and TreasurerAugust 8, 2013 Title: Fiscal 2013 Third Quarter Earnings
Slide 2: Forward-looking Statements & Non-GAAP Information
Slide: 2 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
Slide 3: Total Company Financial Results
Slide: 3 Title: Total Company Financial Results Another quarter of strong growthQ3 FY13 revenue increased 26% to $334.3M compared to $266.4M last year, which included a $10.2M change order in the Health Segment that bolstered revenue and operating margins last yearSubstantially all of the revenue gr
Slide 4: Health Services Segment
Slide: 4 Title: Health Services Segment Revenue Q3 revenue increased 28% to $217.9 million compared to the same period last year, driven by favorable volumes in our health appeals business, organic growth from new work, and the expansion of existing programs.Operating Income & MarginsQ3 operating in
Slide 5: Human Services Segment
Slide: 5 Title: Human Services Segment RevenueQ3 revenue increased 21% to $116.4 million compared to the same period last year, driven principally by the ongoing ramp-up of the Work Programme contract in the UK, as well as growth from our other international operations. Operating Income & MarginsQ3
Slide 6: Balance Sheet and Cash Flows
Slide: 6 Title: Balance Sheet and Cash Flows Cash Flows & DSOsCash provided by operating activities from continuing operations totaled $49.7M and free cash flow totaled $32.7M at 6/30Solid cash flow driven by strong earnings and timing related to working capital itemsAs mentioned in Q2, experienced
Slide 7: Guidance
Slide: 7 Title: Guidance Reiterating 2013 Revenue and Earnings Guidance; Maintaining Cash Flow GuidanceReiterating 2014 Revenue and Earnings Preliminary GuidanceDynamics shaping our FY 14 guidance include: Full-year benefit in FY 14 from new programs that provided partial-year contributions in FY13
Slide 8: Fiscal 2013 Third Quarter Earnings
Slide: 8 SubTitle: Richard A. MontoniPresident and Chief Executive Officer August 8, 2013 Title: Fiscal 2013 Third Quarter Earnings
Slide 9: Solid Financial Results Set Growth Platform for FY14
Slide: 9 Title: Solid Financial Results Set Growth Platform for FY14 Quarterly financial results right in-line with our growth trajectory for the remainder of fiscal 2013 Results set a solid platform for continued top- and bottom-line growth next fiscal year Targeting double digit growth for fiscal
Slide 10: Exceeded Initial Goal for Health Insurance Exchanges
Slide: 10 Title: Exceeded Initial Goal for Health Insurance Exchanges Successfully established the leading position in the state-based health insurance exchange market Operating the customer contact centers for six of the sixteen state-based exchanges: CT, DC, HI, MD, NY and VTAlso part of team sele
Slide 11: Health Insurance Exchange Operations Ramping Nicely
Slide: 11 Title: Health Insurance Exchange Operations Ramping Nicely MD HIX customer contact center went live last week; our professionals are answering general inquiries about the Affordable Care Act and health insurance exchange, as well as helping consumers prepare for the open enrollment period
Slide 12: Health Care Reform Remains Long-Term Growth Driver
Slide: 12 Title: Health Care Reform Remains Long-Term Growth Driver Will be operations-ready to support our government clients for the October 1 open enrollment Will also continue to assist our current state clients who are defaulting to the federal marketplace as they strive to meet ACA requirement
Slide 13: Acquired UK's Largest Occupational Health Provider
Slide: 13 Title: Acquired UK’s Largest Occupational Health Provider Acquisition of Health Management important next step for introducing core health offerings to the UK Largest independent occupational health provider in the UK; services include: Health Assessments Sickness Absence Referrals & Manag
Slide 14: Health Management Acquisition Enhances UK Portfolio
Slide: 14 By coupling our core independent review competencies developed in the U.S. with an established, proven partner in the UK, created an exceptionally strong delivery team that is well positioned for future opportunities Acquisition of Health Management demonstrates our commitment to serving m
Slide 15: Update on Work Programme in the UK
Slide: 15 Title: Update on Work Programme in the UK Expansion in the UK builds upon the positive reputation and solid performance by welfare-to-work team; remain one of the top performing vendors under the Work Programme, a position most recently highlighted in vendor statistics issued in late June
Slide 16: Future Reallocation Models for Work Programme
Slide: 16 Title: Future Reallocation Models for Work Programme Intra-region reallocation: shift in caseloads within regions we already operateDepartment for Work and Pensions stated intra-region reallocations would only shift up to 5% of caseloads to other qualified vendors within that region Shift
Slide 17: Achieved Rebid Goal for Fiscal 2013
Slide: 17 Title: Achieved Rebid Goal for Fiscal 2013 Had 14 contracts with a total value of approx. $475 million up for rebid in fiscal 13 Secured $440 million to date; met our goal to win 90%+ of the total contract value up for rebid Rebid on our Texas Medicaid contract still being negotiated; curr
Slide 18: New Awards and Sales Pipeline
Slide: 18 Title: New Awards and Sales Pipeline Delivered another solid quarter of new sales awards, with $1.3 billion of year-to-date signed awardsNew contracts pending contributed an additional $413 million to our sales awardsThese are contracts where we’ve received notification of award and are in
Slide 19: Meaningful Progress Towards Long-Term Objectives
Slide: 19 Title: Meaningful Progress Towards Long-Term Objectives Continue to make steady, meaningful progress towards our three-prong, long-term growth strategy:Securing our fair share of health care reform work in the U.S.Growing our federal book of businessExpanding our international operationsPr