Slides
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1 Results as of 03/31/25
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Safe Harbor and Regulation G Statement 2 This presentation contains information about Chemed’s EBITDA, Adjusted EBITDA, EBIT, Adjusted EBIT, Adjusted Net Income and Adjusted Diluted EPS, which are not measures derived in accordance with GAAP and which exclude components that are important to understanding Chemed’s financial performance. In reporting its operating results, Chemed provides EBITDA, Adjusted EBITDA, EBIT, Adjusted EBIT, Adjusted Net Income and Adjusted Diluted EPS measures to help investors and others evaluate the Company’s operating results, compare its operating performance with that of similar companies that have different capital structure s and evaluate its ability to meet it s future debt service, capital expenditures and working capital requirements. Chemed’s management similarly uses EBITDA, Adjusted EBITDA, EBIT, Adjusted EBIT, Adjusted Net Income and Adjusted Diluted EPS to assist it in evaluating the performance of the Company across fiscal periods and in assessing how its performance compares to its peer companies. These measures also help Chemed’s management estimate the resources required to meet Chemed’s future financial obligations and expenditures. Chemed’s EBITDA, Adjusted EBITDA, EBIT, Adjusted EBIT, Adjusted Net Income and Adjusted Diluted EPS should not be considered in isolation or as a substitute for comparable measures calculated and presented in accordance with GAAP. We calculated Adjusted EBITDA margin by dividing Adjusted EBITDA by service revenues and sales. We calculated Adjusted EBIT margin by dividing Adjusted EBIT by service revenues and sales. Adjusted Diluted EPS is calculated by dividing Adjusted Net Income by the number of diluted average shares outstanding, and Diluted EPS is calculated by dividing Net Income by the number of diluted average shares outstanding. A reconciliation of Chemed’s net income to its EBITDA, Adjusted EBITDA, EBIT, Adjusted EBIT and Adjusted Net Income is presented in appendix tables located in the back of this presentation. Forward-Looking Statements Certain statements contained in this presentation and the accompanying tables are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. The words "believe," "expect," "hope," "anticipate," "plan" and similar expressions identify forward-looking statements, which speak only as of the date the statement was made. Chemed does not undertake and specifically disclaims any obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. These statements are based on current expectations and assumptions and involve various risks and uncertainties, which could cause Chemed's actual results to differ from those expressed in such forward-looking statements. These risks and uncertainties arise from, among other things, possible changes in regulations governing the hospice care or plumbing and drain cleaning industries; periodic changes in reimbursement levels and procedures under Medicare and Medicaid programs; difficulties predicting patient length of stay and estimating potential Medicare reimbursement obligations; challenges inherent in Chemed's growth strategy; the current shortage of qualified nurses, other healthcare professionals and licensed plumbing and drain cleaning technicians; Chemed’s dependence on patient referral sources; and other factors detailed under the caption "Description of Business by Segment" or "Risk Factors" in Chemed’s most recent report on form 10-Q or 10-K and its other filings with the Securities and Exchange Commission. You are cautioned not to place undue reliance on such forward-looking statements and there are no assurances that the matters contained in such statements will be achieved. 2 Chemed Corporation Safe Harbor & Regulation G Statement
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33 CHEMED Corporation Results Since Vitas Acquisition (a) Chemed Revenue Growth from 2003 Revenue Base. Cumulative Results Since the VITAS Acquisition For the years ended December 31, 2003, through 2024
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4 Chemed – Purchase of Capital Stock For the Period January 1, 2007, through March 31, 2025 ($000) 4 Chemed Corporation Purchase of Capital Stock (1) (2) (3) (4) Total Free Shar es Retur ned to Cash Flow Repurchased Dividends Shareholders Generated (1) (1) Activity in 2007 127,881 $ 5,888 $ 133,769 $ 72,944 $ (2) Activity in 2008 67,126 5,543 72,669 85,989 (3) Activity in 2009 742 8,157 8,899 139,336 (4) Activity in 2010 104,055 11,881 115,936 60,373 (5) Activity in 2011 143,875 12,538 156,413 144,751 (6) Activity in 2012 60,529 13,026 73,555 96,516 (7) Activity in 2013 92,911 14,148 107,059 121,523 (8) Activity in 2014 110,019 14,255 124,274 66,708 (9) Activity in 2015 59,323 15,605 74,928 127,365 (10) Activity in 2016 102,312 16,440 118,752 95,621 (11) Activity in 2017 94,640 17,371 112,011 98,195 (12) Activity in 2018 158,884 18,661 177,545 234,266 (13) Activity in 2019 92,631 19,788 112,419 248,227 (14) Activity in 2020 175,595 21,079 196,674 430,458 (15) Activity in 2021 576,483 22,016 598,499 249,922 (16) Activity in 2022 114,074 22,017 136,091 252,561 (17) Activity in 2023 73,813 23,501 97,314 273,445 (18) Activity in 2024 358,737 27,092 385,829 367,966 (19) Activity in 2025 29,757 7,325 37,082 19,464 (20) Cumulative Activity 2007 - 2025 (2) 2,543,387$ 296,331 $ 2,839,718 $ 3,185,630 $ (1) Net cash provided by operating activities less capital expenditures. (2) 16.8 million shares repurchased at an average cost of $151.64.
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5 (1) (2) Adj. EPS and Stock Price History Chemed has delivered strong and consistent EPS to stockholders since 2003, 21.3% 21-year CAGR 5 Chemed Corporation Adj. EPS / Stock Price History (1) Adjusted Diluted EPS (non GAAP); see Appendix at the back of this presentation for reconciliation from GAAP reported results to adjusted (non-GAAP) results. (2) Adjusted for stock split. Adj. Stock PriceAdj. Diluted EPS
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Chemed – Consolidated Summary of Operations 6 (a) Continuing operations (b) See Appendix at the back of this presentation for reconcilia tion from GAAP reported results to adjusted non-GAAP results (c) Adj. Diluted EPS is calculated by dividing Adj. Net Income by Diluted Average Shares Outstanding, and Diluted EPS is calculated by dividing Net Income by Diluted Average Shares Outstanding For the years ended December 31, 2003, through 2024 (in thousands, except per share data) 6 Chemed Corporation Consolidated Summary of Operations
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Chemed - Results from Continuing Operations 7 (in thousands, except per share data) (a) See footnote (b) below and the Appendix at the back of this presentation for reconciliation from GAAP reported results to adjusted (non-GAAP) results. (b) Adj. Diluted EPS is calculated by dividing Adj. Net Inco me by Diluted Average Shares Outstanding, and Diluted EPS is calculated by dividing Net Income by Diluted Average Shares Outstanding. 7 Chemed Corporation Results from Continuing Operations (1) (2) (3) (4) (5) (6) Fav/(Unfav) Fav/(Unfav) 2023 2024 % Growth 2024 2025 % Growth (1) Service Revenues and Sales $2,264,417 $2,431,287 7.4% 589,233 $ 646,943 $ 9.8% (2) Adj. EBITDA (a) 451,897 503,002 11.3% 114,622 121,692 6.2% (3) Adj. EBITDA Margin (a) 20.0% 20.7% 0.7 pts. 19.5% 18.8% (0.7 pts.) (4) Adj. Net Income (a) 308,515 351,188 13.8% 79,831 83,074 4.1% (5) Adj. Diluted EPS (a) (b) 20.30 23.13 13.9% 5.20 5.63 8.3% (6) Capital Expenditures 56,854 49,531 12.9% 12,163 13,280 (9.2%) Full-Year Results Three Months Ended March 31,
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8 Chemed Adjusted EBITDA (a) Chemed Central Support Roto-Rooter Central Support Roto-Rooter COS VITAS Central Support VITAS COS Roto-Rooter VITAS Chemed Adjusted EBITDA (a) Chemed Central Support Roto-Rooter Central Support Roto-Rooter COS VITAS Central Support VITAS COS Roto-Rooter VITAS 8 Chemed Corporation 2024 2023 (a) See Appendix at the back of this presentation for reconciliation of EBITDA and Adjusted EBITDA to Net Income Chemed Corporation Revenue Results from Continuing Operations
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Company Overview
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10 Adjusted EBITDA 2024Revenues 2024 (a) (a) See Appendix at the back of this presentation for reconciliation of EBITDA and Adjusted EBITDA to Net Income Franchise Fees Contractors Roto-Rooter Branches Product & Equipment Sales Company Overview Roto-Rooter Services Company Commercial Plumbing Commercial Drain Cleaning Residential PlumbingContractors Product & Equip. Residential Drain Cleaning Excavation Water Rest. Franchise Fees ● Largest provider of plumbing and drain cleaning services in North America ● Provides plumbing services to approximately 90% of the United States and 40% of the Canadian population ● Provides plumbing and drain cleaning services in 123 company-owned territories and 348 franchise territories ● Maintains an estimated 15% of the drain cleaning market and 2-3% share of the same-day service plumbing market ● Residential customers represent 72% of revenues, while commercial customers represent 25% of revenues Company Overview Other
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● Continue to increase efficiency ● Acquire franchisee territories at reasonable valuations ● $75 - $100 million in franchise street sales in desirable markets ● Purchase at 6-8 times Proforma Adjusted EBITDA ● Minimal capital expenditure ● Focus on earnings and cash flow Company-owned Territories 11 Roto-Rooter Services Company Chemed - Growth Strategy Chemed Growth Strategy – Roto-Rooter
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Roto-Rooter – Gross Revenue Analysis ($000) 12 $368.2 $453.6$427.8$392.1 $518.5 $592.0 (a) 2018 - 2024 reflect GAAP Revenue Recognition Accounting Standard. Prior years are not restated for the 2018 Revenue Recognition Accounting Standard. $750.7$663.6 $882.5 $938.0 $957.1 12 Roto-Rooter Services Company Gross Revenue Analysis $909.5
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(a) Continuing Operations (b) See Appendix at the back of this presentation for reconcilia tion from GAAP reported results to adjusted (non-GAAP) results (1) (2) (3) (4) (5) (6) (7) (8) (9) 2004 2005 2006 2007 2008 2009 2010 2011 2012 (1) Service Revenues 276,611$ 297,337 $ 319,495 $ 344,632 $ 340,496 $ 335,893 $ 354,735 $ 369,698 $ 363,006 $ and Sales (a) (2) EBITDA (b) 38,314 52,598 59,307 72,030 62,924 62,107 59,369 64,948 58,751 (3) Adj. EBITDA (b) 42,355 49,234 55,548 69,188 59,922 59,862 58,516 64,176 58,232 (4) Adj. EBITDA Margin (b) 15.3% 16.6% 17.4% 20.1% 17.6% 17.8% 16.5% 17.4% 16.0% (5) Net Income (GAAP) 18,795 27,626 32,454 38,971 33,427 33,040 31,678 34,879 30,905 (6) Adj. Net Income (b) 21,044 25,486 31,203 40,139 33,785 33,574 32,960 36,260 32,276 13 Roto-Rooter Services Company Summary of Operations Roto-Rooter – Summary of Operations 2004 through 2012 (in thousands, except percentages)
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14 Roto-Rooter Services Company Summary of Operations (a) Continuing Operations (b) See Appendix at the back of this presentation for reconcilia tion from GAAP reported results to adjusted (non-GAAP) results Roto-Rooter – Summary of Operations 2013 through 2024 (in thousands, except percentages) 14
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(a) Excludes certain discreet items. (b) Reconciliation from GAAP reported results to adjusted (non-GAAP) results is provided in the Appendix at the back of this presentation. ($000) Results from Continuing Operations 15 Roto-Rooter Services Company Results from Continuing Operations (1) (2) (3) (4) (5) (6) Fav/(Unfav) Fav/(Unfav) 2023 2024 % Growth 2024 2025 % Growth (1) Service Revenues and Sales 949,352$ 900,309 $ (5.2%) 235,226 $ 239,543 $ 1.8% (2) Net Income (GAAP) 188,241 160,046 (15.0%) 40,853 39,944 (2.2%) (3) Adj. EBITDA (a) (b) 269,570 237,087 (12.0%) 60,650 59,184 (2.4%) (4) Adj. EBITDA Margin (a) (b) 28.4% 26.3% (2.1 pts.) 25.8% 24.7% (1.1 pts.) (5) Adj. EBIT (a) (b) 228,821 194,555 (15.0%) 50,047 48,401 (3.3%) (6) Adj. EBIT Margin (a) (b) 24.1% 21.6% (2.5 pts.) 21.3% 20.2% (1.1 pts.) (7) Capital Expenditures 39,509 25,906 34.4% 6,316 9,216 (45.9%) Full-Year Results Three Months Ended March 31,
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Continue to Consolidate Franchises ● Purchase at reasonable multiples ● Avoid over-paying for current acquisitions ● Inflates expectations/demands of remaining franchisees Utilize Cash Flow for: ● Purchase of franchises ● Acquisition of hospices ● Share buy-back, increased dividends Roto-Rooter Divestiture Considerations: ● If after-tax proceeds can be reinvested at higher return, risk adjusted ● If Chemed’s capital structure and cash flow without Roto- Rooter provide it significant flexibility to support continued growth of VITAS ● If tax-free spin-off creates long-term stockholder value Future of Roto-Rooter 16 Roto-Rooter Services Company Future of Roto-RooterFuture of Roto-Rooter
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Company Overview
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1818 VITAS Healthcare Company Overview One of the largest providers of hospice services for patients with severe, life-limiting illnesses with approximately 7-8% of the U.S. market share Operates a comprehensive range of hospice services through 55 operating programs in 16 states and the District of Columbia Utilizes an approach for customized plans of care which is intended to maximize quality and enhance patient satisfaction Operating statistics: ● Revenues: $407 million (Q1 2025) ● Average daily census per established program of ~ 400 ADC with the largest single program of ~ 2,700 (Q1 2025) ● Average length of stay: 118.7 (Q1 2025) Approximately 12,000 employees, including approximately 5,200 nurses (Q1 2025) Company Overview
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Revenues - 2024Days of Care – 2024 Revenue and Expenses - 2024 Adjusted EBITDA - 2024 1919 VITAS Healthcare Analysis of Revenue Routine Home Care General Inpatient Continuous Home Care
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20 (1) 2018 - 2024 include the impact of the new revenue recognition accounting standard. Prior periods are not restated for the 2018 revenue recognition accounting standard. 20 VITAS Healthcare Operations – Percent of Revenue Operations as a Percent of Revenue
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Kansas City St. Louis Fairview Heights LaSalle Milwaukee Chicagoland Central Chicagoland Northwest Chicagoland South Cincinnati Dayton Columbus Pittsburgh Philadelphia Hartford Fairfield Waterbury New Jersey North New Jersey Shore New Jersey West Delaware Washington, DC Northern Virginia Atlanta Metro Houston San Antonio Dallas Fort Worth Greater Sacramento Valley & Foothills East Bay San Francisco Bay Inland Empire Fresno Orange County San Diego Las Angeles/ Venture County Bakersfield San Gabriel Cities Coastal Cities Daphne-Mobile Dothan Pensacola Panama City Tallahassee Nature Coast Citrus Jacksonville Volusia-Flagler Brevard Treasure Coast Palm Beach Broward Miami-Dade/ Monroe Collier Lake/Sumter Central Florida Mid-State Florida Southwest Florida Locations VITAS Locations 21
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22 VITAS 2024 Discharge Rate – Total Median 22 VITAS Healthcare 2024 Discharge Rate - Total
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23 VITAS 2024 Discharge Rate – Total After 180 Days 23 VITAS Healthcare 2024 Discharge Rate - Total
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24 VITAS Admission by Diagnosis - 2024 25.3% 15.6% 27.8% 9.9% 7.6% 13.8% Cancer Cardio Cerebro Respiratory Neurological All Other 24 VITAS Healthcare Admission by Diagnosis - 2024
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25 VITAS 2024 Discharge Rate – All Diagnosis Population: 64,618 25 VITAS Healthcare Discharge Rate – All Diagnosis
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26 Analysis of VITAS Discharges 2004-2024 Total Discharges Total Live Discharges 26 VITAS Healthcare Discharge Analysis 2004 - 2024
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27 VITAS Analysis of Gross Revenue By Level of Care 2003 through 2024 ($000) 27 VITAS Healthcare Gross Revenue by Level of Care 2003-2024
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28 VITAS Analysis of Average Daily Census (ADC) 2003 through 2024 10,030 14,383 7,428 11,477 11,980 13,406 15,385 15,992 16,550 17,742 18,846 19,042 18,003 17,325 - 2,000 4,000 6,000 8,000 10,000 12,000 14,000 16,000 18,000 20,000 2003 2005 2007 2009 2011 2013 2015 2016 2017 2018 2019 2020 2021 2022 2023 Total Routine Care Continuous Care Inpatient Care 18,613 28 VITAS Healthcare Daily Census Average 2003 - 2024
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29 VITAS Analysis of Direct Gross Profit Contribution Margin By Level of Care 2003 through 2024 (in millions) 29 VITAS Healthcare Direct Gross Profit Contribution
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VITAS – Summary of Operations For The Years Ended December 31, 2004 through 2012 (in thousands, except percentages) 30 (a) Assumes VITAS was purchased on January 1, 2004 (b) See Appendix at the back of this presentation for reconcilia tion from GAAP reported results to adjusted (non-GAAP) results (1) (2) (3) (4) (5) (6) (7) (8) (9) 2004 2005 2006 2007 2008 2009 2010 2011 2012 (1) Service Revenues and Sales 531,136 $ 618,613 $ 699,092 $ 755,426 $ 808,445 $ 854,343 $ 925,810 $ 986,272 $ 1,067,037$ (2) EBITDA (b) 65,685 65,259 89,237 110,515 119,901 132,935 146,652 147,243 158,251 (3) Adj. EBITDA (b) 64,553 80,455 85,880 103,953 115,278 129,685 143,656 144,944 156,289 (4) Adj. EBITDA Margin (b) 12.2% 13.0% 12.3% 13.8% 14.3% 15.2% 15.5% 14.7% 14.6% (5) Net Income (GAAP) 33,052 34,982 43,546 61,034 64,304 71,696 79,796 80,358 86,577 (6) Adj. Net Income (b) 32,961 44,659 49,249 59,974 64,010 72,059 80,465 81,186 87,338 (7) Adj. Net Income as a percent of Sales 6.2% 7.2% 7.0% 7.9% 7.9% 8.4% 8.7% 8.2% 8.2% 30 VITAS Healthcare Summary of Operations 2004 - 2012
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VITAS – Summary of Operations For The Years Ended December 31, 2013 through 2024 (in thousands, except percentages) 31 (a) Assumes VITAS was purchased on January 1, 2004 (b) See Appendix at the back of this presentation for reconcilia tion from GAAP reported results to adjusted (non-GAAP) results 31 VITAS Healthcare Summary of Operations 2013 - 2024
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32 (in thousands, except percentages) VITAS – Operating Results 32 VITAS Healthcare Operating Results
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VITAS – Results from Continuing Operations 33 ($000) (a) Excludes certain discreet items. (b) Reconciliation from GAAP reported results to adjusted (non-GAAP) results is provided in the Appendix at the back of the presentation. 33 VITAS Healthcare Operating Results (1) (2) (3) (4) (5) (6) Fav/(Unfav) Fav/(Unfav) 2023 2024 % Growth 2024 2025 % Growth (1) Service Revenues Before Medicare Cap 1,323,065 $ 1,539,392 $ 16.4% 356,382 $ 409,725 $ 15.0% (2) Medicare Cap (8,000) (8,414) (5.2%) (2,375) (2,325) 2.1% (3) Net Service Revenues and Sales 1,315,065$ 1,530,978 $ 16.4% 354,007 $ 407,400 $ 15.1% (4) Adj. Net Income (a) (b) 156,737 $ 217,651 $ 38.9% 43,970 $ 50,030 $ 13.8% (5) Adj. EBITDA (a) (b) 204,389 285,535 39.7% 58,312 67,990 16.6% (6) Adj. EBITDA Margin (a) (b) 15.5% 18.7% 3.1 pts. 16.5% 16.7% 0.2 pts. (7) Capital Expenditures 17,071 23,350 (36.8%) 5,840 4,064 30.4% Full-Year Results Three Months Ended March 31,
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Future of VITAS 34 ● Continue organic growth ● Acquisitions ● Fragmented industry ● Dominated by “Mom & Pop” not-for-profits ● Bottom 50% of provider numbers have an estimated average operating margin in hospice of 4% - 8%* ● Access to reasonably priced capital critical to expansion Short-term Long-term ● Government reimbursement structure will drive VITAS’ future ● Consolidation ● Will “pure play” dominate industry? ● Will continuum of care dominate? ● Self referral ● Control of patient Consolidation continues Acquire other healthcare providers Divest VITAS to diverse healthcare provider 34 VITAS Healthcare Future of VITAS *Source - MedPac
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VITAS – Operating Metrics ($000) 3535 VITAS Healthcare Operating Metrics 35 (1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14) (15) (16) (17) (18) (19) (20) (21) 2025 Operating Metrics Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 (1) Average Daily Census (ADC) 19,215 19,195 19,045 18,718 18,050 17,995 18,034 17,935 17,313 17,315 17,242 17,434 17,830 18,392 18,859 19,352 19,665 21,036 21,785 22,179 22,244 (2) Admi ssions 18,603 16,822 17,943 (0.7 pts.) 18,135 16,840 17,598 16,250 16,530 14,735 14,680 14,829 16,179 15,611 15,774 15,867 16,911 17,334 16,775 16,427 18, 139 (3) Discharges 18,196 17,000 18,205 18,570 18,316 16,525 17,686 16,684 16,862 14,603 14,603 14,862 15,405 15,104 15,328 15,705 16,170 15,898 16,217 16,333 17,875 (4) Average Length of Stay (ALOS) (Days): 90.7 90.9 97.1 97.2 94.4 94.5 96.0 97.9 104.8 103.7 106.2 103.9 99.9 99.5 103.1 105.9 103.9 100.6 102.0 105.5 118.7 (5) Median Length of Stay (Days) 14 14 14 14 12 14 13 15 14 17 17 16 15 16 17 17 16 18 18 18 16 (6) Total Revenue Before Medicare Cap Reduction ($000) $340,416 $333,215 $333,025 $334,689 $317,288 $313,935 $317,508 $319,112 $301,689 $299,781 $297,154 $310,809 $313,228 $323,611 $333,853 $352,37 3 $356,382 $375,933 $393,645 $413,433 $409,725 (7) Medicare Cap Reduction ($2,500) $12,163 $13,280 ($2,500) ($1,500) ($2,000) ($97) ($3,000) ($2,500) ($2,000) ($618) ($2,750) ($2,750) ($2,750) ($125) ($2,375) ($2,375) ($1,375) ($2,239) ($2,425) ($2,325) (8) Revenue After Medicare Cap Reduction ($000) $337,916 $345,378 $346,305 $332,189 $315,788 $311,935 $317,411 $316,112 $299,189 $297,781 $296,536 $308,059 $310,478 $320,861 $333,728 $349,99 8 $354,007 $374,558 $391,406 $411,008 $407,400 (9) % Routine Home Care 78.1% 81.5% 82.0% 81.8% 81.6% 82.9% 83.1% 84.3% 84.0% 84.5% 84.7% 84.6% 83.7% 84.3% 84.3% 84.8% 83.9% 84.8% 84.8% 85.2% 84.6% (10) % InPatient 9.3% 7.6% 8.1% 8.5% 9.0% 8.6% 9.1% 8.4% 8.7% 8.1% 8.1% 8.4% 9.1% 8.3% 8.2% 7.8% 8.3% 7.6% 7.5% 7.4% 8.2% (11) % Continuous Care 11.7% 10.2% 9.0% 8.8% 8.5% 7.6% 6.8% 6.4% 6.4% 6.4% 6.1% 6.1% 6.2% 6.4% 6.5% 6.3% 6.7% 6.4% 6.5% 6.0% 5.9% (12) % Other (1.3%) (1.0% ) (1.2% ) (1.1%) (0.9%) (0.9%) (0.7% ) (0.6% ) (0.8%) (0.7%) (0.7%) (1.0%) (0.8%) (0.8%) (1.1%) 1.1% (0.8% ) (0.6%) (0.1%) 1.4% (0.1% ) (13) % Medicare Cap (0.7%) (1.7% ) 1.2% (0.7%) (0.5%) (0.6%) 0.0% (0.9% ) (0.8%) (0.7%) (0.2%) (0.9%) (0.9%) (0.8%) 0.0% (0.7%) (0.7% ) (0.4%) (0.6%) (0.6%) (0.6% ) Direct Care Margins: (a) (14) Routine Home Care 51.9% 54.7% 55.8% 58.1% 54.1% 53.8% 54.7% 57.2% 55.2% 55.1% 52.7% 55.3% 52.6% 52.0% 52.6% 55.4% 52.3% 52.5% 52.0% 54.6% 51.3% (15) In Patient Care 17.8% 1.8% 9.5% 12.5% 11.1% 10.7% 15.0% 14.5% 13.4% 7.2% 12.0% 16.5% 17.8% 15.9% 20.5% 23.5% 18.5% 12.1% 13.5% 12.5% 10.5% (16) Continuous Care 35.6% 35.2% 32.2% 34.4% 32.2% 30.6% 27.8% 28.2% 25.7% 25.7% 22.5% 24.6% 24.9% 23.6% 23.1% 25.0% 24.2% 23.8% 24.7% 28.4% 26.2% (17) Gross Profit (Direct and Indirect) ($000) (b) (c) $78,487 $60,650 $90,461 $94,378 $77,121 $64,416 $79,199 $87,089 $71,949 $70,248 $56,781 $70,726 $56,824 $57,776 $80,096 $102,847 $82,111 $89,041 $96,470 $116,552 $94,593 (18) Gross Profit Margin (b) (c) 23.2% 18.5% 26.8% 28.4% 24.4% 20.7% 25.0% 27.6% 24.0% 23.6% 19.1% 23.0% 18.3% 18.0% 24.0% 29.4% 23.2% 23.8% 24.6% 28.4% 23.2% (19) Pro Forma Selling, General & Admin Exp (c) $22,269 $21,072 $21,799 $20,305 $22,090 $22,631 $21,372 $21,491 $22,453 $23,148 $21,581 $22,005 $23,336 $22,656 $25,256 $22,048 $23,792 $24,293 $ 25,883 $25,597 $26,538 (20) Pro Forma Adjusted EBITDA ($000) (c) $57,749 $66,717 $72,254 $76,211 $56,754 $52,775 $60,261 $66,331 $50,035 $47,966 $35,173 $48,836 $33,544 $35,085 $54,796 $80,965 $58,312 $65,600 $ 70,887 $90,735 $67,990 (21) Pro Forma Adjusted EBITDA Margin (c) 17.1% 20.3% 21.4% 22.9% 18.0% 16.9% 19.0% 21.0% 16.7% 16.1% 11.9% 15.9% 10.8% 10.9% 16.4% 23.1% 16.5% 17.5% 18.1% 22.1% 16.7% (a) Excludes any Medicare cap reduction (b) Includes any Medicare cap reduction (c) Excludes depreciation and amortization 20242020 2021 2022 2023
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36 APPENDIX
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37 (1) Diluted EPS from continuing operations (GAAP) (2) Adjusted for stock splits Diluted EPS (GAAP) Adj. Stock Price 37 Chemed Corporation EPS and Stock Price History EPS & Stock Price History Diluted EPS (GAAP) Chemed has delivered strong and consistent EPS to stockholders since 2003, 20.4% 21-year CAGR Adj. Stock Price
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$0.0 $2.0 $4.0 $6.0 $8.0 $10.0 $12.0 $14.0 $16.0 $18.0 $20.0 $22.0 $24.0 1999 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 7% $23.7 38 Medicare Hospice Spending (in billions) Sources: MedPAC Report to the Congress – 2011 - 2024 Annual Report of the Boards of Trustees of the Federal Hospital Insurance and Federal Supplementary Medical Insurance Trust Funds - 2017 and 2018 8% 7% 9% 0% 0% 5% 6% 7% 7% 9%$2.4 $12.0 $12.9 $13.8 $15.1 $15.1 $15.1 $15.9 $16.8 $17.9 $19.2 $20.9 3% $22.4 $23.1 10.5% Compounded annual growth rate from 1999 to 2022 38 Chemed Corporation Medicare Hospice Spending
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39 Growth in Hospice Programs 39 Appendix Growth in Hospice Programs Source: MedPAC Report to the Congress – 2011 through 2024
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4040 Appendix Reconciliation of Adj. EBITDA - Chemed (1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14) (15) (16) 2004 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Reconciliation of Adjusted EBITDA (1) Net income/(loss) 27,512 $ 81,831 $ 85,979 $ 89,304 $ 77,227 $ 99,317 $ 110,274 $ 108,743 $ 98,177 $ 205,544 $ 219,923 $ 319,466 $ 268,550 $ 249,624 $ 272,509 $ 301,999 $ (2) Discontinued operations (8,417) - - - - - - - - - - - - - - - (3) Interest expense 21,158 11,959 13,888 14,723 15,035 8,186 3,645 3,715 4,272 4,990 4,535 2,355 1,868 4,584 3,108 1,780 (4) Income taxes 13,736 52,000 54,577 56,515 46,602 63,437 69,852 68,311 18,740 34,056 41,686 76,524 81,764 80,055 77,858 97,466 (5) Depreciation 14,542 24,386 25,247 26,009 27,698 29,881 32,369 34,279 35,488 38,464 40,870 46,596 49,011 49,102 50,802 52,864 (6) Amortization 3,468 2,099 1,466 1,508 1,644 720 1,130 359 137 399 4,335 9,987 10,040 10,070 10,063 10,185 (7) EBITDA 71,999 172,275 181,157 188,059 168,206 201,541 217,270 215,407 156,814 283,453 311,349 454,928 411,233 393,435 414,340 464,294 Add/(deduct) (8) Interest income (1,874) (444) (426) (809) (847) 29 (281) (383) (427) (671) (513) (757) (377) (355) (6,270) (14,610) (9) Equity in earnings of VITAS 4,105 - - - - - - - - - - - - - - - (10) Advertising cost adjustment 528 (679) (1,240) (1,573) (1,166) (1,462) (1,317) (1,333) (1,371) - - - - - - - (11) Long-term incentive compensation 8,783 4,734 3,012 360 1,301 2,569 7,519 1,930 4,994 6,618 7,630 8,937 9,167 7,801 11,689 14,815 (12) Loss/(gain) on extinguishment of debt 3,330 - - - - - - - - - - - - - - - (13) Legal expenses of OIG investigation - 1,012 1,188 1,212 2,149 2,141 4,974 5,260 5,194 - - - - - - - (14) Stock option expense - 7,762 8,376 8,130 6,042 4,802 5,445 8,330 10,485 12,611 14,831 18,422 22,502 26,254 30,082 32,033 (15) Stock award expense 311 2,558 2,786 3,004 3,046 2,471 2,107 1,855 1,230 446 - - - - - - (16) Lawsuit settlement 3,135 1,853 2,299 1,016 27,646 120 5 1,194 84,689 796 6,000 3,639 (98) 4,000 2,056 - (17) Debt registration expenses 1,191 - - - - - - - - - - - - - - - (18) VITAS transactions costs 442 - - - - - - - - - - - - - - - (19) Acquisition Expenses - 324 121 188 62 24 172 - - 757 4,834 - - - - 1,133 (20) Costs to Shut down HVAC operations - - - 1,126 - - - - - - - - - - - - (21) Securities litigation - - - 742 109 327 37 - - - - - - - - - (22) Severance arrangements - - - - 302 - - - - - - - - - - 5,337 (23) Early Retirement Expenses - - - - - - - 4,491 - - - - - - - - (24) Medicare Cap Sequestration adjustment - - - - - - - 228 447 1,496 3,982 - - 138 - - (25) Other - - - - - - - - - - 548 619 218 - - - (26) Loss on sale of transportation equipment - - - - - - - - 5,266 - 2,266 - - - - - (27) Program closure expenses - - - - - - - - 1,138 - - - - - - - (28) Cares Act grant - - - - - - - - - - - (80,225) - - - - (29) Direct costs related to COVID-19 - - - - - - - - - - - 39,260 18,769 1,387 - - (30) Adjusted EBITDA 91,950 $ 189,395 $ 197,273 $ 201,455 $ 206,850 $ 212,562 $ 235,931 $ 236,979 $ 268,459 $ 305,506 $ 350,927 $ 444,823 $ 461,414 $ 432,660 $ 451,897 $ 503,002 $ CHEMED CORPORATION RECONCILIATION OF ADJUSTED EBITD A FOR THE YEARS ENDED DECEMBER 31, 2004 THROUGH 2024 (IN THOUSANDS)
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4141 Appendix Reconciliation of Adj. Net Income - Chemed (1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14) (15) (1) 2004 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Reconciliation of Adjusted Net Income (1) Net income/(loss) 27,512 $ 81,831 $ 85,979 $ 89,304 $ 77,227 $ 99,317 $ 110,274 $ 110,274 $ 98,177 $ 205,544 $ 219,923 $ 319,466 $ 268,550 $ 249,624 $ 272,509 $ 301,999 $ Add/(deduct): (2) Discontinued operations (8,417) - - - - - - - - - - - - - - - (3) Equity in earnings of VITAS 4,105 - - - - - - - - - - - - - - - (4) Long-term incentive compensation 5,437 2,957 1,880 228 822 1,625 4,752 1,221 3,243 5,307 6,440 7,895 8,094 6,858 10,379 13,167 (5) Loss/(gain) on extinguishment of debt 2,030 - - - 294 - - - - - - - - - - - (6) Legal expenses of OIG investigation - 627 737 752 1,333 1,328 3,072 3,248 3,207 - - - - - - - (7) Stock option expense - 4,909 5,298 5,143 3,813 3,022 3,439 5,266 6,892 10,118 12,237 15,700 18,879 22,028 25,405 27,053 (8) Lawsuit settlement 1,897 1,126 1,397 617 16,926 74 3 28 52,504 594 4,476 2,675 (72) 2,984 1,577 - (9) Prior period tax adjustments (1,620) - - - (1,782) - - - - - - - - - - - (10) Debt registration expenses 727 - - - - - - - - - - - - - - - (11) VITAS transactions costs 222 - - - - - - - - - - - - - - - (12) Non-cash interest on convertible debt - 4,313 4,664 5,041 5,448 2,143 - - - - - - - - - - (13) Impact of deferred rate tax change - - - - - - - - - - - - - - (4,241) - (14) Expenses associated with contested proxy solicitation - - - - - - - - - - - - - - - - (15) Acquisition Expenses - 198 75 114 38 15 104 - - 559 3,557 - - - - 858 (16) Costs to Shut down HVAC operations - - - 649 - - - - - - - - - - - - (17) Securities litigation - - - 469 69 207 23 - - - - - - - - - (18) Severance arrangements - - - - 184 - - - - - - - - - - 5,337 (19) Early retirement expenses - - - - - - - 2,840 - - - - - - - - (20) Medicare cap sequestration adjustment - - - - - - - 141 276 1,114 2,965 462 - 103 - - (21) Other - - - - - - - - - - 406 - 166 - - - (22) Excess tax benefits on stock compensation - - - - - - - - (18,932) (22,862) (24,177) (26,089) (9,884) (5,928) (4,330) (4,442) (23) Impact of tax reform - - - - - - - - (8,302) - - - - - - - (24) Loss on sale of transportation equipment - - - - - - - - 3,314 - 1,733 - - - - - (25) Program closure expenses - - - - - - - - 675 - - - 1,384 - - - (26) Amortization of acquired and cancelled franchise agreements - - - - - - - - - - 2,913 6,914 6,915 6,915 7,216 7,216 (27) Cares Act grant - - - - - - - - - - - (59,848) - - - - (28) Direct costs related to COVID-19 - - - - - - - - - - - 29,238 13,975 1,025 - - (29) Adjusted net income 31,893 $ 95,961 $ 100,030 $ 102,317 $ 104,372 $ 107,731 $ 121,667 $ 123,018 $ 141,054 $ 200,374 $ 230,473 $ 296,413 $ 308,007 $ 283,609 $ 308,515 $ 351,188 $ CHEMED CORPORATION RECONCILIATION OF ADJUSTED NET INCOME FOR THE YEARS ENDED DECEMBER 31, 2004 THROUGH 2024 (IN THOUSANDS)
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4242 Appendix Reconciliation of Adj. EBITDA – Roto-Rooter (1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14) (15) (16) (17) (18) (19) (20) (21) 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Reconciliation of Adjusted EBITDA (1) Net income 18,795 $ 27,626 $ 32,454 $ 38,971 $ 33,427 $ 33,040 $ 31,678 $ 34,879 $ 30,905 $ 29,243 $ 42,075 $ 48,573 $ 52,893 $ 73,299 $ 98,711 $ 103,710 $ 120,394 $ 166,333 $ 186,120 $ 188,241 $ 160,046 $ (2) Interest expense 206 563 368 495 246 186 233 358 433 322 363 348 332 323 319 345 340 595 396 442 431 (3) Income taxes 10,611 16,048 18,748 24,145 20,644 20,372 19,547 21,353 18,770 17,560 25,808 29,630 32,719 32,782 28,850 30,276 37,038 51,420 58,695 50,125 48,510 (4) Depreciation 8,583 8,271 7,665 8,365 8,294 8,068 7,775 8,130 8,397 9,014 10,702 12,988 14,698 16,667 18,629 20,730 24,292 25,816 27,075 30,790 32,452 (5) Amortization 119 90 72 54 313 441 136 228 246 259 273 372 304 123 387 4,264 9,916 9,969 9,969 9,959 10,080 (6) EBITDA 38,314 52,598 59,307 72,030 62,924 62,107 59,369 64,948 58,751 56,398 79,221 91,911 100,946 123,194 146,896 159,325 191,980 254,133 282,255 279,557 251,519 Add/(deduct) (7) Advertising cost adjustment 528 691 323 601 225 (540) (679) (1,240) (1,573) (1,166) (1,462) (1,317) (1,333) (1,371) - - - - - - - (8) Long-term incentive compensation 1,558 - - - - - - - - - - - - - - - - - - - - (9) Lawsuit settlement 3,135 - - 1,927 - 882 1,853 2,299 1,016 17,146 7 5 45 213 - - 3,639 (98) - 2,056 - (10) Prior-period insurance adjustments - (1,663) - - 597 - - - - - - - - - - - - - - - - (11) Interest income (139) (156) (85) (377) (116) (73) (49) (40) (30) (41) (39) (40) (58) (39) (92) (133) (76) (124) (138) (125) (69) (12) Intercompany interest income (1,041) (2,236) (3,997) (4,993) (3,708) (2,514) (2,612) (2,136) (1,617) (2,055) (2,892) (3,385) (3,595) (5,596) (6,908) (8,152) (6,256) (7,180) (9,345) (11,918) (14,397) (13) Acquisition expenses - - - - - - 256 (26) 173 4 23 172 - - 548 4,664 34 (14) Severance arrangements - - - - - - - - - 302 - - - - - - - - - - - (15) Costs to shut down HVAC operations - - - - - - - - 1,126 - - - - - - - - - - - - (16) Stock award amortization - - - - - - 378 371 386 348 252 268 307 269 100 - - - - - - (17) Direct costs related to COVID-19 - - - - - - - - - - - - - - - - 3,819 2,435 988 - - (18) Non cash ASC 842 expenses - - - - - - - - - - - - - - - 55 - - - - - (19) Adjusted EBITDA 42,355 $ 49,234 $ 55,548 $ 69,188 $ 59,922 $ 59,862 $ 58,516 $ 64,176 $ 58,232 $ 70,936 $ 75,110 $ 87,614 $ 96,312 $ 116,670 $ 140,544 $ 155,759 $ 193,106 $ 249,166 $ 273,760 $ 269,570 $ 237,087 $ Reconciliation of Adjusted Net Income (20) Net income 18,795 $ 27,626 $ 32,454 $ 38,971 $ 33,427 $ 33,040 $ 31,678 $ 34,879 $ 30,905 $ 29,243 $ 42,075 $ 48,573 $ 52,893 $ 73,299 $ 98,711 $ 103,710 $ 120,394 $ 166,333 $ 186,120 $ 188,241 $ 160,046 $ Add/(deduct): (21) Long-term incentive compensation 982 - - - - - - - - - - - - - - - - - - - - (22) Lawsuit settlement 1,897 - - 1,168 - 534 1,126 1,397 617 10,416 4 3 28 129 403 - 2,675 (72) - 1,577 - (23) Prior-period insurance adjustments - (1,014) - - 358 - - - - - - - - - - - - - - - - (24) Prior-period tax adjustments (630) (1,126) (1,251) - - - - - - - - - - - - - - - - - - (25) Acquisition expenses - - - - - - 156 (16) 105 2 14 104 - - - 3,429 - - - - 26 (26) Severance arrangements - - - - - - - - - 184 - - - - - - - - - - - (27) Costs to shut down HVAC operations - - - - - - - - 649 - - - - - - - - - - - - (27) Impact of deferred rate tax change - - - - - - - - - - - - - - - - - - - (3,559) - (28) Impact of tax reform - - - - - - - - - - - - - (7,761) - - - - - - - (29) Non cash ASC 842 expenses - - - - - - - - - - - - - - - 40 - - - - - (30) Amortization of acquired and cancelled franchise agreements - - - - - - - - - - - - - - - 2,913 6,914 6,915 6,915 7,216 7,216 (31) Direct costs related to COVID-19 - - - - - - - - - - - - - - - 2,913 2,808 1,789 726 - - (32) Adjusted net income 21,044 $ 25,486 $ 31,203 $ 40,139 $ 33,785 $ 33,574 $ 32,960 $ 36,260 $ 32,276 $ 39,845 $ 42,093 $ 48,680 $ 52,921 $ 65,667 $ 99,114 $ 113,005 $ 132,791 $ 174,965 $ 193,761 $ 193,475 $ 167,288 $ ROTO-ROOTER GROUP RECONCILIATION OF ADJUSTED EBITDA and ADJUSTED NET INCOME FOR THE YEARS ENDED DECEMBER 31, 2004 THROUGH 2024 (IN THOUSANDS)
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4343 Appendix Reconciliation of Adj. EBITDA - VITAS (1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14) (15) (16) 2004 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Reconciliation of Adjusted EBITDA (1) Net income 33,052 $ 79,796 $ 80,358 $ 86,577 $ 76,144 $ 86,186 $ 93,346 $ 84,961 $ 57,645 $ 138,846 $ 155,822 $ 238,782 $ 162,431 $ 131,452 $ 158,509 $ 216,819 $ (2) Discontinued operations (91) - - - - - - - - - - - - - - - (3) Interest expense 128 131 229 233 182 207 200 211 188 175 169 166 160 172 180 171 (4) Income taxes 22,447 48,601 48,835 53,092 46,910 53,278 56,675 51,910 16,436 40,847 48,711 76,473 52,426 43,000 46,115 67,414 (5) Depreciation 6,192 16,161 16,583 17,087 18,149 18,601 18,789 19,035 18,616 19,688 19,984 22,168 23,114 21,955 19,959 20,362 (6) Amortization 3,957 1,963 1,238 1,262 1,385 447 758 55 14 12 71 71 71 101 104 105 (7) EBITDA 65,685 146,652 147,243 158,251 142,770 158,719 169,768 156,172 92,899 199,568 224,757 337,660 238,202 196,680 224,867 304,871 Add/(deduct) (8) Legal expenses of OIG investigation - 1,012 1,188 1,212 2,149 2,141 4,974 5,260 5,194 - - - - - - - (9) Lawsuit settlement - - - - 10,500 113 - 1,149 84,476 796 6,000 - - 4,000 - - (10) Interest income (373) (220) (295) (703) (750) 78 (241) (325) (388) (580) (380) (668) (253) (218) (1,078) (224) (11) Intercompany interest income (759) (4,632) (3,998) (3,180) (4,288) (6,189) (7,499) (7,969) (11,656) (12,832) (18,135) (19,897) (18,125) (18,901) (19,400) (20,211) (12) Acquisition expenses - - 68 147 15 58 1 - - - 209 - - - - - 1,099 (13) Stock award amortization - 776 659 694 717 586 496 387 291 107 - - - - - - (14) Early retirement expense - - - - - - - 4,491 - - - - - - - - (15) Medicare cap sequestration adjustment - - - - - - - 228 447 1,496 3,982 619 - 138 - - (16) Program closure expenses - - - - - - - - 1,138 - - - - - - - (17) Non cash ASC 842 expenses - - - - - - - - - - 656 - - - - - (18) Cares Act grant - - - - - - - - - - - (80,225) - - - - (19) Direct costs related to COVID-19 - - - - - - - - - - 35,441 16,296 310 - - (20) Adjusted EBITDA 64,553 $ 143,656 $ 144,944 $ 156,289 $ 151,156 $ 155,449 $ 167,498 $ 159,393 $ 172,401 $ 188,764 $ 216,880 $ 272,930 $ 236,120 $ 182,009 $ 204,389 $ 285,535 $ Reconciliation of Adjusted Net Income (21) Net income 33,052 $ 79,796 $ 80,358 $ 86,577 $ 76,144 $ 86,186 $ 93,346 $ 84,961 $ 57,645 $ 138,846 $ 155,822 $ 238,782 $ 162,431 $ 131,452 $ 158,509 $ 216,819 $ (22) Add/(deduct): (23) Discontinued operations (91) - - - - - - - - - - - - - - - (24) Legal expenses of OIG investigation - 627 737 752 1,333 1,328 3,072 3,248 3,207 - - (25) Lawsuit settlement - - - - 6,510 70 - - 52,375 594 4,476 - - 2,984 - - (26) Prior-period tax adjustments - - - - - - - - - - - - - - - - (27) Acquisition expenses - 42 91 9 36 1 - - - 156 - - - - - 832 (28) Early retirement expense - - - - - - - 2,840 - - - - - - - - (29) Medicare cap sequestration adjustment - - - - - - - 141 276 1,114 2,965 462 - 103 - - (30) Program closure expenses - - - - - - - - 675 - - - 1,384 - - - (31) Impact of tax reform - - - - - - - - (11,057) - - - - - - - (32) Non cash ASC 842 expenses - - - - - - - - - - 490 - - - - - (33) Cares Act grant - - - - - - - - - - - (59,848) - - - - (34) Impact of deferred rate tax change - - - - - - - - - - - - - - (1,772) - (35) Direct costs related to COVID-19 - - - - - - - - - - - 26,430 12,157 231 - - (36) Adjusted net income 32,961 $ 80,465 $ 81,186 $ 87,338 $ 84,023 $ 87,585 $ 96,418 $ 91,190 $ 103,121 $ 140,710 $ 163,753 $ 205,826 $ 175,972 $ 134,770 $ 156,737 $ 217,651 $ (a) Assumes VITAS was purchased on January 1, 2004 VITAS HEALTHCARE GROUP RECONCILIATION OF ADJUSTED EBITDA and ADJUSTED NET INCOME FOR THE YEARS ENDED DECEMBER 31, 2004 THROUGH 2024 (a) (IN THOUSANDS)
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4444 Appendix Reconciliation of Adj. EBITDA - Chemed 2024 2025 Reconciliation of Adjusted EBITDA (1) Net income 65,017 $ 71,757 $ (2) Interest expense 425 329 (3) Income taxes 19,468 23,917 (4) Depreciation 13,287 13,445 (5) Amortization 2,521 2,572 (6) EBITDA 100,718 112,020 Add/(deduct) (7) Interest income (4,243) (2,076) (8) Stock option expense 9,026 9,091 (9) Severance arrangement 5,337 - (10) Long-term incentive compensation 3,784 2,657 (11) Adjusted EBITDA 114,622 $ 121,692 $ Reconciliation of Adjusted Net Income (12) Net income 65,017 $ 71,757 $ Add/(deduct): (13) Stock option expense 7,555 7,621 (14) Excess tax benefit on stock compensation (3,297) (463) (15) Long-term incentive compensation 3,415 2,353 (16) Amortization of acquired and cancelled franchise agreements 1,804 1,806 (17) Severance arrangement 5,337 - (18) Adjusted net income 79,831 $ 83,074 $ CHEMED CORPORATION RECONCILIATION OF ADJUSTED EBITDA AND ADJUSTED NET INCOME FOR THE FIRST THREE MONTHS OF 2024 AND 2025 (IN THOUSANDS)
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4545 Appendix Reconciliation of Adj. EBITDA – Roto-Rooter RECONCILIATION OF ADJUSTED EBIT AND ADJUSTED EBITDA 2024 2025 Reconciliation of Adjusted EBIT and EBITDA (1) Net income 40,853 $ 39,944 $ (2) Interest expense 117 132 (3) Income taxes 12,541 12,265 (4) EBIT 53,511 52,341 Add/(deduct) (5) Interest income (22) (10) (6) Intercompany interest income (3,442) (3,930) (7) Adjusted EBIT 50,047 48,401 (8) Depreciation 8,108 8,237 (9) Amortization 2,495 2,546 (10) Adjusted EBITDA 60,650 $ 59,184 $ ROTO-ROOTER GROUP FOR THE FIRST THREE MONTHS OF 2024 AND 2025 (IN THOUSANDS)
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4646 Appendix Reconciliation of Adj. EBITDA – VITAS Reconciliation of Adjusted EBITDA 2024 2025 (1) Net income 43,970 $ 50,030 $ (2) Interest expense 46 48 (3) Income taxes 14,327 18,035 (4) Depreciation 5,166 5,196 (5) Amortization 26 26 (6) EBITDA 63,535 73,335 Add/(deduct) (7) Interest income (29) (49) (8) Interc ompany interest income (5,194) (5,296) (9) Adjusted EBITDA 58,312 $ 67,990 $ VITAS HEALTHCARE GROUP RECONCILIATION OF ADJUSTED EBITDA FOR THE FIRST THREE MONTHS OF 2024 AND 2025 (IN THOUSANDS)
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255 East 5th Street Suite 2600 Cincinnati, OH 45202 (513) 762-6690 Phone (513) 762-6919 Fax www.chemed.com Kevin J. McNamara President and CEO kevin.mcnamara@chemed.com Michael D. Witzeman VP, CFO and Controller michael.witzeman@chemed.com Chemed Corporation Rev. 02/2025