Medical Facilities Corporation · TSX:DR
Medical Facilities — Investor Presentation (November 2022)
16 slides from Medical Facilities's investor presentation, November 2022
Slide 1: Investor Update
Investor Update November 2022
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation may contain forward-looking statements within the meaning of certain securities laws, including the “safe harbour” provisions of the Securities Act (Ontario) and other provincial securities law in Canada. These forward-looking statements include, among ot
Slide 3: MFC Overview
MFC Overview In partnership with US$411.7 US$77.4 physicians, MFC million million owns a diverse 2021 Total Revenue 2021 Income from portfolio of highly & Other Income Operations rated, high-quality surgical facilities in US$104.1 the United States. 154 million Physician Partners* 2021 EBITDA * As a
Slide 4: Strong Partners
• Direct Physician involvement in facility STRONG management, resulting in superior processes and efficiencies PARTNERS • MFC Nueterra, a joint venture with NueHealth, LLC, a ValueHealth company - provides operational support and procurement benefits 4
Slide 5: Diversified
DIVERSIFIED Portfolio Medical Facilities Corp. MFC Nueterra comprised of • Controlling interest in 4 • Controlling interest in 5 specialty surgical hospitals ASCs located in Michigan, high-quality located in Arkansas, Missouri, Nebraska, Ohio, surgical facilities Oklahoma, and South and Pennsylvania
Slide 6: Best in Class
BEST IN CLASS Higher patient experience ratings resulting from higher quality of care Hospital Star Rating Arkansas Surgical Hospital Black Hills Surgical Hospital Oklahoma Spine Hospital Sioux Falls Specialty Hospital Source: US News Health (results were similar for knee replacement patients and hi
Slide 7: Strong Fundamentals
STRONG FUNDAMENTALS Growing demand for U.S. population aged 65+ (millions) 75 healthcare 60 45 Drivers: 30 • Overall population growth • Aging population 15 0 2015 2020 2025 2030 Sources: Census.gov and United Nations, Department of Economics and Social Affairs, Population Division. 7
Slide 8: Favourable Payor Mix
Favourable Payor Mix 2021 MFC Facility Service Revenue 2020 U.S. Healthcare System Revenue 15% 28% 36% 52% 33% 36% Private Insurance Medicare/Medicaid Other Private Insurance Medicare/Medicaid Other Source: Centers for Medicare & Medicaid Services, National Health Expenditure Fact Sheet. 8
Slide 9: The U.S. Healthcare Landscape
The U.S. Healthcare Landscape Facility type Number Services MFC’s position General medicine and surgery, including emergency Acute Care Hospital Approx. 5,500 and maternity care, open 24/7 Scheduled elective procedures (e.g. orthopedics, Owns 4 in conjunction with Specialty Surgical Hospital <300 ph
Slide 10: 2022 Shareholder Returns
2022 Shareholder Returns 1,393,900 common shares 2022 Total: 4,446,997 purchased under NCIB1 + common shares purchased for aggregate 3,053,097 consideration of common shares ~C$47.3 M purchased under SIB2 1 Normal Course Issuer Bid; 2 Substantial Issuer Bid 10
Slide 11: Q3 2022 Highlights
Q3 2022 Highlights (US$ thousands, except where noted otherwise) Q3 2022 Q3 2021 Change % Facility service revenue 102,167 96,388 6.0% Government stimulus income - 2,652 (100.0%) Total revenue and other income 102,167 99,040 3.2% Income from operations 10,425 16,555 (37.0%) EBITDA 15,610 23,344 (33.
Slide 12: Strong Financial Position
Strong Financial Position 1.80 0.94 $44.3 million Current Ratio 0.52 Net Debt* / EBITDA (LTM) Cash & Cash Net Debt* / Equivalents Equity * Inclusive of lease liabilities per IFRS 16. As at September 30, 2022 12
Slide 13: Investment Highlights
Investment Highlights • Growing demand for healthcare due to overall population growth and an aging population • Diverse portfolio of highly rated, high-quality facilities • Experienced, entrepreneurial management team • Competitive dividend 13
Slide 14: Capital Markets Profile
As at October 31, 2022 Capital Markets Profile Stock Symbol: TSX: DR Shares Outstanding: 26.3 million Price: $10.94 Market Capitalization: $288.3 million Annualized Distribution (per share): $0.322 Current Yield: 2.94% *All dollar amounts are in Canadian currency. 14
Slide 15: Experienced
EXPERIENCED Jason Redman David N. T. Watson President and Chief Executive Officer Chief Financial Officer Formerly: Newstrike Brands, SiriusXM Formerly: Clearway Pain Solutions, Canada, Armtec Infrastructure National Surgical Hospitals James D. Rolfe John Schario Chief Development Officer Chief Oper
Slide 16: To learn more, contact: Trevor Heisler
To learn more, contact: Trevor Heisler MBC Capital Markets Advisors theisler@maisonbrison.com
Medical Facilities — Investor Presentation (November 2022) on 6ix