Earnings release
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Exhibit 99.1 CROSS COUNTRY HEALTHCARE ANNOUNCES SECOND QUARTER 2025 FINANCIAL RESULTS BOCA RATON, Fla., August 6, 2025--Cross Country Healthcare, Inc. (the Company) (Nasdaq: CCRN) today announced financial results for its second quarter ended June 30, 2025. Selected Financial Information: Variance Variance Q2 2025 vs Q2 2025 vs Dollars are in thousands, except per share amounts Q2 2025 Q2 2024 Q1 2025 Revenue $ 274,072 (19)% (7)% Gross profit margin* 20.4 % (40)bps 40 bps Net loss attributable to common stockholders $ (6,659) (59)% (1,259)% Diluted EPS $ (0.20) $ 0.27 $ (0.18) Adjusted EBITDA* $ 7,591 (46)% (12)% Adjusted EBITDA margin* 2.8 % (140)bps (10)bps Adjusted EPS* $ (0.01) $ (0.11) $ (0.07) Cash flows provided by operations $ 4,217 (95)% (26)% * Represents amounts that are not calculated in accordance with U.S. generally accepted accounting principles (GAAP) and are referred to as non-GAAP measures. Please refer to the accompanying discussion below of how these non-GAAP financial measures are calculated and used under “Non-GAAP Financial Measures” and the tables reconciling these measures to the closest GAAP measure. Second Quarter Business Highlights • Client retention rates remains steady with a strong pipeline of MSP implementations and expansions slated for the second half of 2025 • Strong performance in Homecare Staffing, with revenue growing more than 30% over the prior year • Physician Staffing experienced 3% year-over-year revenue growth, predominantly on favorable mix and price • Core travel nurse and allied continues to normalize amidst steady pricing backdrop • 5% sequential decline in SG&A fueled by further leverage of our low-cost center of excellence in India • Healthy balance sheet with $81 million of cash on-hand and no debt as of June 30, 2025 “Our second quarter results were in line with expectation, reflecting a combination of the momentum in our Homecare and Physician Staffing businesses, as well as our continuing efforts to control costs” said John A. Martins, President and Chief Executive Officer of Cross Country Healthcare. He continued, “We expect that the pending merger transaction with Aya will close in the fourth quarter. And, while we await the closure, we continue to make investments that we believe will further enhance our value proposition for our customers and candidates.” Second quarter consolidated revenue was $274.1 million, a decrease of 19% year-over-year and 7% sequentially. Consolidated gross profit margin was 20.4%, down 40 basis points year-over-year and up 40 basis points sequentially. Net loss attributable to common stockholders was $6.7 million, as compared to a 1
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Exhibit 99.1 net loss of $16.1 million in the prior year and a net loss of $0.5 million in the prior quarter. Diluted earnings per share (EPS) was a net loss of $0.20, as compared to a net loss of $0.47 in the prior year and a net loss of $0.02 in the prior quarter. Adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) was $7.6 million, or 2.8% of revenue, as compared with $14.2 million, or 4.2% of revenue, in the prior year, and $8.6 million, or 2.9% of revenue, in the prior quarter. Adjusted EPS was a net loss of $0.01, as compared to $0.10 in the prior year and $0.06 in the prior quarter. For the six months ended June 30, 2025, consolidated revenue was $567.5 million, a decrease of 21.1% year-over- year. Consolidated gross profit margin was 20.2%, down 40 basis points year-over-year. Net loss attributable to common stockholders was $7.1 million, or $0.22 per diluted share, as compared to a net loss of $13.4 million, or $0.39 per diluted share, in the prior year. Adjusted EBITDA was $16.2 million, or 2.9% of revenue, as compared to $29.5 million, or 4.1% of revenue, in the prior year. Adjusted EPS was $0.05, as compared to $0.29 in the prior year. Quarterly Business Segment Highlights Nurse and Allied Staffing Revenue was $224.3 million, a decrease of 23% year-over-year and 7% sequentially. Contribution income was $13.9 million, as compared to $5.8 million in the prior year and $17.2 million in the prior quarter. Average fieldcontract personnel on a full-time equivalent (FTE) basis was 7,035, as compared with 8,415 in the prior year and 7,411 in the prior quarter. Revenue per FTE per day was $348, as compared to $377 in the prior year and $360 in the prior quarter. Physician Staffing Revenue was $49.8 million, an increase of 3% year-over-year and a decrease of 3% sequentially. Contribution income was $4.6 million, as compared to $4.0 million in both the prior year and quarter. Total days filled were 22,228, as compared with 24,252 in the prior year and 22,692 in the prior quarter. Revenue per day filled was $2,239, as compared with $1,992 in the prior year and $2,253 in the prior quarter. Cash Flow and Balance Sheet Highlights Net cash provided by operating activities for the three months ended June 30, 2025 was $4.2 million, as compared to $82.4 million for the three months ended June 30, 2024 and $5.7 million for the three months ended March 31, 2025. For the six months ended June 30, 2025, net cash provided by operating activities was $9.9 million as compared to $88.4 million in the prior year. During the second quarter of 2025, the Company did not repurchase any shares of its common stock. As of June 30, 2025, the Company had 32.5 million unrestricted shares outstanding and $40.5 million remaining for share repurchase. As of June 30, 2025, the Company had $81.2 million in cash and cash equivalents with no debt outstanding. There were no borrowings drawn under its revolving senior secured asset-based credit facility (ABL). As of June 30, 2025, borrowing base availability under the ABL was $140.6 million, with $125.7 million of availability net of $14.9 million of letters of credit. 2
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Exhibit 99.1 Conference Call As previously disclosed, on December 3, 2024, the Company entered into a merger agreement with Aya Healthcare, Inc. and certain of its subsidiaries (Aya Merger, and such agreement, the Merger Agreement). In light of the pending transaction, the Company will not host an earnings conference call to review second quarter 2025 financial results, nor will it provide forward-looking guidance. This press release is also posted on the Company’s website at ir.crosscountry.com. About Cross Country Healthcare Cross Country Healthcare, Inc. is a market-leading, tech-enabled workforce solutions and advisory firm with 39 years of industry experience and insight. We help clients tackle complex labor-related challenges and achieve high- quality outcomes, while reducing complexity and improving visibility through data-driven insights. Copies of this and other press releases, information about the Company, as well as information about the Aya Merger, can be accessed online at ir.crosscountry.com. Stockholders and prospective investors can also register to automatically receive the Company’s press releases, filings with the Securities and Exchange Commission (SEC), and other notices by e-mail. Non-GAAP Financial Measures This press release and the accompanying financial statement tables reference non-GAAP financial measures, such as gross profit margin, adjusted EBITDA, adjusted EBITDA margin, and adjusted EPS. Such non-GAAP financial measures are provided as additional information and should not be considered substitutes for, or superior to, financial measures calculated in accordance with GAAP. Such non-GAAP financial measures are provided for consistency and comparability to prior year results; furthermore, management believes such non-GAAP financial measures are useful to investors when evaluating the Company’s performance, as such non-GAAP financial measures exclude certain items that management believes are not indicative of the Company’s future operating performance. Pro forma measures, if applicable, are adjusted to include the results of our acquisitions, and exclude the results of divestments, as if the transactions occurred in the beginning of the periods mentioned. Such non- GAAP financial measures may differ materially from the non-GAAP financial measures used by other companies. The financial statement tables that accompany this press release include a reconciliation of each non-GAAP financial measure to the most directly comparable GAAP financial measure and a more detailed discussion of each financial measure; as such, the financial statement tables should be read in conjunction with the presentation of these non-GAAP financial measures. Forward-Looking Statements This press release contains “forward-looking statements” within the Private Securities Litigation Reform Act of 1995. Any statements contained in this press release that are not statements of historical fact, including statements relating to our future results (including business trends); statements regarding the proposed Aya Merger; the expected timing and closing of the proposed Aya Merger; the Company’s ability to consummate the proposed Aya Merger; the expected benefits of the proposed Aya Merger and other considerations taken into account by the Board in approving the proposed Aya Merger; the amounts to be received by stockholders in connection with the proposed Aya Merger; and expectations for the Company prior to and following the closing of the proposed Aya Merger, may be deemed to be forward- 3
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Exhibit 99.1 looking statements. All such forward-looking statements are intended to provide management’s current expectations for the future of the Company based on current expectations and assumptions relating to the Company’s business, the economy and other future conditions. Forward-looking statements generally can be identified through the use of words such as “believes,” “anticipates,” “may,” “should,” “will,” “plans,” “projects,” “expects,” “expectations,” “estimates,” “forecasts,” “predicts,” “targets,” “prospects,” “strategy,” “signs,” and other words of similar meaning in connection with the discussion of future performance, plans, actions or events. Because forward-looking statements relate to the future, they are subject to inherent risks, uncertainties and changes in circumstances that are difficult to predict. Such risks and uncertainties include, among others: (i) the timing to consummate the proposed Aya Merger, (ii) the risk that a condition of closing of the proposed Aya Merger may not be satisfied or that the closing of the proposed Aya Merger might otherwise not occur, (iii) the risk that a regulatory approval that may be required for the proposed Aya Merger is not obtained or is obtained subject to conditions that are not anticipated, (iv) the diversion of management time on transaction-related issues, (v) risks related to disruption of management time from ongoing business operations due to the proposed Aya Merger, (vi) the risk that any announcements relating to the proposed Aya Merger could have adverse effects on the market price of the common stock of the Company, (vii) the risk that the proposed Aya Merger and its announcement could have an adverse effect on the ability of the Company to retain customers and retain and hire key personnel and maintain relationships with its suppliers and customers, (viii) the occurrence of any event, change or other circumstance or condition that could give rise to the termination of the Merger Agreement, including in circumstances requiring the Company to pay a termination fee, (ix) the risk that competing offers will be made, (x) unexpected costs, charges or expenses resulting from the Aya Merger, (xi) potential litigation relating to the Aya Merger that could be instituted against the parties to the Merger Agreement or their respective directors, managers or officers, including the effects of any outcomes related thereto, (xii) worldwide economic or political changes that affect the markets that the Company’s businesses serve which could have an effect on demand for the Company’s services and impact the Company’s profitability, (xiii) effects from global pandemics, epidemics or other public health crises, (xiv) changes in marketplace conditions, such as alternative modes of healthcare delivery, reimbursement and customer needs, and (xv) disruptions in the global credit and financial markets, including diminished liquidity and credit availability, changes in international trade agreements, including tariffs and trade restrictions, cyber-security vulnerabilities, foreign currency volatility, swings in consumer confidence and spending, costs of providing services, retention of key employees, and outcomes of legal proceedings, claims and investigations. Accordingly, actual results may differ materially from those contemplated by these forward-looking statements. Investors, therefore, are cautioned against relying on any of these forward-looking statements. They are neither statements of historical fact nor guarantees or assurances of future performance. Additional information regarding the factors that may cause actual results to differ materially from these forward-looking statements is available in the Company’s filings with the SEC, including the risks and uncertainties identified in Part I, Item 1A - Risk Factors of the Company’s Annual Report on Form 10-K for the year ended December 31, 2024, as amended by Amendment No. 1 on Form 10-K/A, and in the Company’s other filings with the SEC. The list of factors is not intended to be exhaustive. These forward-looking statements speak only as of the date of this press release, and the Company does not assume any obligation to update or revise any forward-looking statement made in this press release or that may from time to time be made by or on behalf of the Company. 4
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Exhibit 99.1 Cross Country Healthcare, Inc. Consolidated Statements of Operations (Unaudited, amounts in thousands, except per share data) Three Months Ended Six Months Ended June 30, June 30, March 31, June 30, June 30, 2025 2024 2025 2025 2024 Revenue from services $ 274,072 $ 339,771 $ 293,408 $ 567,480 $ 718,945 Operating expenses: Direct operating expenses 218,068 268,966 234,750 452,818 570,843 Selling, general and administrative expenses 50,050 60,255 52,486 102,536 123,507 Credit loss expense 30 18,858 35 65 20,148 Depreciation and amortization 4,101 4,719 4,772 8,873 9,361 Acquisition and integration-related costs 5,995 3 2,041 8,036 3 Restructuring costs 588 2,116 301 889 3,054 Legal and other losses 1,099 3,946 — 1,099 7,596 Impairment charges — 114 — — 718 Total operating expenses 279,931 358,977 294,385 574,316 735,230 Loss from operations (5,859) (19,206) (977) (6,836) (16,285) Other expenses (income): Interest expense 549 568 543 1,092 1,030 Interest income (702) (235) (681) (1,383) (408) Other expense (income) , net 23 23 60 83 (1,034) Loss before income taxes (5,729) (19,562) (899) (6,628) (15,873) Income tax expense (benefit) 930 (3,512) (409) 521 (2,515) Net loss attributable to common stockholders $ (6,659) $ (16,050) $ (490) $ (7,149) $ (13,358) Net loss per share attributable to common stockholders - Basic $ (0.20) $ (0.47) $ (0.02) $ (0.22) $ (0.39) Net loss per share attributable to common stockholders - Diluted $ (0.20) $ (0.47) $ (0.02) $ (0.22) $ (0.39) Weighted average common shares outstanding: Basic 32,492 33,960 32,282 32,388 34,088 Diluted 32,492 33,960 32,282 32,388 34,088
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Cross Country Healthcare, Inc. Reconciliation of Non-GAAP Financial Measures (Unaudited, amounts in thousands, except per share data) Three Months Ended Six Months Ended June 30, June 30, March 31, June 30, June 30, 2025 2024 2025 2025 2024 Adjusted EBITDA: Net loss attributable to common stockholders $ (6,659) $ (16,050) $ (490) $ (7,149) $ (13,358) Interest expense 549 568 543 1,092 1,030 Income tax expense (benefit) 930 (3,512) (409) 521 (2,515) Depreciation and amortization 4,101 4,719 4,772 8,873 9,361 Acquisition and integration-related costs 5,995 — 2,041 8,036 — Restructuring costs 588 2,116 301 889 3,054 Legal, bankruptcy, and other losses 1,099 23,319 — 1,099 26,969 Impairment charges — 114 — — 718 Interest income (702) (235) (681) (1,383) (408) Other expense (income), net 23 23 60 83 (1,034) Equity compensation 870 2,259 1,318 2,188 3,457 System conversion costs 797 857 1,164 1,961 2,186 Adjusted EBITDA $ 7,591 $ 14,178 $ 8,619 $ 16,210 $ 29,460 Adjusted EBITDA margin 2.8 % 4.2 % 2.9 % 2.9 % 4.1 % Adjusted EPS: Numerator: Net loss attributable to common stockholders $ (6,659) $ (16,050) $ (490) $ (7,149) $ (13,358) Non-GAAP adjustments - pretax: Acquisition and integration-related costs 5,995 — 2,041 8,036 — Restructuring costs 588 2,116 301 889 3,054 Legal, bankruptcy, and other losses 1,099 23,319 — 1,099 26,969 Impairment charges — 114 — — 718 Other income, net — — — — (1,115) System conversion costs 797 857 1,164 1,961 2,186 Tax impact of non-GAAP adjustments (2,229) (7,066) (919) (3,149) (8,471) Adjusted net (loss) income attributable to commonstockholders - non-GAAP $ (409) $ 3,290 $ 2,097 $ 1,687 $ 9,983 Denominator: Weighted average common shares - basic, GAAP 32,492 33,960 32,282 32,388 34,088 Dilutive impact of share-based payments 38 42 281 159 211 Adjusted weighted average common shares - diluted,non-GAAP 32,530 34,002 32,563 32,547 34,299 Reconciliation: Diluted EPS, GAAP $ (0.20) $ (0.47) $ (0.02) $ (0.22) $ (0.39) Non-GAAP adjustments - pretax: Acquisition and integration-related costs 0.19 — 0.06 0.25 — Restructuring costs 0.02 0.06 0.01 0.03 0.08 Legal, bankruptcy, and other losses 0.03 0.69 — 0.03 0.79 Impairment charges — — — — 0.02 Other income, net — — — — (0.03) System conversion costs 0.02 0.03 0.04 0.06 0.07 Tax impact of non-GAAP adjustments (0.07) (0.21) (0.03) (0.10) (0.25) Adjusted EPS, non-GAAP $ (0.01) $ 0.10 $ 0.06 $ 0.05 $ 0.29 a b c d e f g a a h b c d e g b c d e g h
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Cross Country Healthcare, Inc. Consolidated Balance Sheets (Unaudited, amounts in thousands) June 30, December 31, 2025 2024 Assets Current assets: Cash and cash equivalents $ 81,193 $ 81,633 Accounts receivable, net 201,694 223,238 Income taxes receivable 5,394 10,389 Prepaid expenses 8,036 7,848 Insurance recovery receivable 11,360 9,255 Other current assets 1,379 2,637 Total current assets 309,056 335,000 Property and equipment, net 28,221 28,850 Operating lease right-of-use assets 2,003 2,468 Goodwill 135,060 135,060 Other intangible assets, net 37,744 42,186 Deferred tax assets 8,181 8,104 Insurance recovery receivable 16,163 20,928 Cloud computing 12,070 10,846 Other assets 5,320 5,809 Total assets $ 553,818 $ 589,251 Liabilities and Stockholders’ Equity Current liabilities: Accounts payable and accrued expenses $ 49,004 $ 64,946 Accrued compensation and benefits 45,264 47,646 Operating lease liabilities 1,307 2,089 Earnout liability — 4,411 Other current liabilities 590 1,310 Total current liabilities 96,165 120,402 Operating lease liabilities 1,461 1,782 Accrued claims 30,288 34,425 Uncertain tax positions 10,265 10,117 Other liabilities 3,397 3,566 Total liabilities 141,576 170,292 Commitments and contingencies Stockholders’ equity: Common stock 3 3 Additional paid-in capital 202,770 202,338 Accumulated other comprehensive loss (1,441) (1,441) Retained earnings 210,910 218,059 Total stockholders’ equity 412,242 418,959 Total liabilities and stockholders’ equity $ 553,818 $ 589,251
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Cross Country Healthcare, Inc. Segment Data (Unaudited, amounts in thousands) Three Months Ended Year-over-Year Sequential June 30, % of June 30, % of March 31, % of % change % change 2025 Total 2024 Total 2025 Total Fav (Unfav) Fav (Unfav) Revenue from services: Nurse and Allied Staffing $ 224,305 82 % $ 291,451 86 % $ 242,291 83 % (23)% (7)% Physician Staffing 49,767 18 % 48,320 14 % 51,117 17 % 3 % (3)% $ 274,072 100 % $ 339,771 100 % $ 293,408 100 % (19)% (7)% Contribution income: Nurse and Allied Staffing $ 13,887 $ 5,820 $ 17,244 139 % (19)% Physician Staffing 4,577 4,033 4,029 13 % 14 % 18,464 9,853 21,273 87 % (13)% Corporate overhead 12,540 18,161 15,136 31 % 17 % Depreciation and amortization 4,101 4,719 4,772 13 % 14 % Restructuring costs 588 2,116 301 72 % (95)% Legal and other losses 1,099 3,946 — 72 % (100)% Impairment charges — 114 — 100 % — % Acquisition and integration-relatedcosts 5,995 3 2,041 NM (194)% Loss from operations $ (5,859) $ (19,206) $ (977) 69 % (500)% Six Months Ended Year-over-Year June 30, % of June 30, % of % change 2025 Total 2024 Total Fav (Unfav) Revenue from services: Nurse and Allied Staffing $ 466,596 82 % $ 623,637 87 % (25)% Physician Staffing 100,884 18 % 95,308 13 % 6 % $ 567,480 100 % $ 718,945 100 % (21)% Contribution income: Nurse and Allied Staffing $ 31,131 $ 33,003 (6)% Physician Staffing 8,606 7,171 20 % 39,737 40,174 (1)% Corporate overhead 27,676 35,727 23 % Depreciation and amortization 8,873 9,361 5 % Restructuring costs 889 3,054 71 % Legal and other losses 1,099 7,596 86 % Impairment charges — 718 100 % Acquisition and integration-relatedcosts 8,036 3 NM Loss from operations $ (6,836) $ (16,285) 58 % NM-Not meaningful. i j k c l e b j k c l e b
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Cross Country Healthcare, Inc. Summary Condensed Consolidated Statements of Cash Flows (Unaudited, amounts in thousands) Three Months Ended Six Months Ended June 30, June 30, March 31, June 30, June 30, 2025 2024 2025 2025 2024 Net cash provided by operating activities $ 4,217 $ 82,401 $ 5,681 $ 9,898 $ 88,412 Net cash used in investing activities (1,967) (2,849) (1,886) (3,853) (5,059) Net cash used in financing activities (1,756) (15,193) (4,725) (6,481) (30,846) Effect of exchange rate changes on cash 2 — (6) (4) — Change in cash and cash equivalents 496 64,359 (936) (440) 52,507 Cash and cash equivalents at beginning of period 80,697 5,242 81,633 81,633 17,094 Cash and cash equivalents at end of period $ 81,193 69,601 $ 80,697 $ 81,193 $ 69,601 Cross Country Healthcare, Inc. Other Financial Data (Unaudited) Three Months Ended Six Months Ended June 30, June 30, March 31, June 30, June 30, 2025 2024 2025 2025 2024 Revenue from services $ 274,072 $ 339,771 $ 293,408 $ 567,480 $ 718,945 Less: Direct operating expenses 218,068 268,966 234,750 452,818 570,843 Gross profit $ 56,004 $ 70,805 $ 58,658 $ 114,662 $ 148,102 Consolidated gross profit margin 20.4 % 20.8 % 20.0 % 20.2 % 20.6 % Nurse and Allied Staffing statistical data: FTEs 7,035 8,415 7,411 7,223 8,770 Average Nurse and Allied Staffing revenue perFTE per day $ 348 $ 377 $ 360 $ 354 $ 388 Physician Staffing statistical data: Days filled 22,228 24,252 22,692 44,920 48,037 Revenue per day filled $ 2,239 $ 1,992 $ 2,253 $ 2,246 $ 1,984 (a) Adjusted EBITDA, a non-GAAP financial measure, is defined as net income (loss) attributable to common stockholders before interest expense, income tax expense (benefit), depreciation and amortization, acquisition and integration-related (benefits) costs, restructuring (benefits) costs, legal and other losses, customer bankruptcy loss, impairment charges, gain or loss on derivative, loss on early extinguishment of debt, gain or loss on disposal of fixed assets, gain or loss on lease termination, gain or loss on sale of business, interest income, other expense (income), net, equity compensation, and system conversion costs. Adjusted EBITDA is not and should not be considered a measure of financial performance under GAAP. Management presents Adjusted EBITDA because it believes that Adjusted EBITDA is a useful supplement to net income (loss) attributable to common stockholders as an indicator of operating performance. Management uses Adjusted EBITDA for planning purposes and as one performance measure in its incentive programs for certain members of its management team. Adjusted EBITDA, as defined, closely matches the operating measure as defined by the Company’s credit facilities. Adjusted EBITDA Margin is calculated by dividing Adjusted EBITDA by the Company’s consolidated revenue. (b) Acquisition and integration costs relate primarily to fees associated with the pending Aya Merger. (c) Restructuring costs were primarily comprised of employee termination costs, lease-related exit costs, and reorganization costs as part of planned cost savings initiatives. (d) Includes legal costs and other settlement charges as presented on the consolidated statements of operations and losses pertaining to matters outside the normal course of operations, and $19.4 million of credit loss expense driven by a bankruptcy filing by a single large customer for the three and six months ending June 30, 2024. (e) Impairment charges for the three and six months ended June 30, 2024 were related to right-of-use assets and related property in connection with vacated leases in those periods. (f) Interest income for the three months ended March 31, 2025 and the three and six months ended June 30, 2025 related to higher average cash on hand with higher available interest rates. (g) System conversion costs include enterprise resource planning system costs related to the upgrading and integrating of our middle and back-office platforms, with certain development costs capitalized and amortized in accordance with the Company’s policies. (h) Adjusted EPS, a non-GAAP financial measure, is defined as net income (loss) attributable to common stockholders per diluted share before the diluted EPS impact of acquisition and integration-related (benefits) costs, restructuring (benefits) costs, legal and other losses, customer bankruptcy loss, impairment charges, gain or loss on derivative, loss on early extinguishment of debt, gain or loss on sale of business, system conversion costs, and nonrecurring income tax adjustments. Adjusted EPS is not and should not be considered a measure of financial performance under GAAP. Management presents Adjusted EPS because it believes that Adjusted EPS is a useful supplement to its reported EPS as an indicator of operating performance. Management believes Adjusted EPS provides a more useful comparison of the Company’s underlying business performance from period to period and is more representative of the future earnings capacity of the Company than EPS. Quarterly non-GAAP adjustment may vary due to rounding. (i) Segment data is provided in accordance with the Segment Reporting Topic of the Financial Accounting Standards Board Accounting Standards Codification. m n o p q
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(j) Contribution income is defined as income (loss) from operations before depreciation and amortization, acquisition and integration-related (benefits) costs, restructuring (benefits) costs, legal and other losses, impairment charges, and corporate overhead. Contribution income is a financial measure used by management when assessing segment performance. (k) Corporate overhead includes unallocated executive leadership and other centralized corporate functional support costs such as finance, IT, legal, human resources, as well as public company expenses and Company-wide projects (initiatives). (l) Legal and other losses (gains) include legal costs and other settlement charges as presented on the consolidated statements of operations and losses pertaining to matters outside the normal course of operations. (m) Gross profit is defined as revenue from services less direct operating expenses. The Company’s gross profit excludes allocated depreciation and amortization expense. Gross profit margin is calculated by dividing gross profit by revenue from services. (n) FTEs represent the average number of Nurse and Allied Staffing contract personnel on a full-time equivalent basis. (o) Average revenue per FTE per day is calculated by dividing Nurse and Allied Staffing revenue, excluding permanent placement, per FTE by the number of days worked in the respective periods. (p) Days filled is calculated by dividing the total hours invoiced during the period, including an estimate for the impact of accrued revenue, by 8 hours. (q) Revenue per day filled is calculated by dividing revenue as reported by days filled for the period presented. Cross Country Healthcare, Inc. William J. Burns, Executive Vice President & Chief Financial Officer 561-237-2555 wburns@crosscountry.com Source: Cross Country Healthcare, Inc. 5