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Aveanna Healthcare (AVAH)

Participants
Shannon Drake Chief Legal Officer and Corporate Secretary
Rod Windley Executive Chairman
Tony Strange Chief Executive Officer, President
David Afshar Chief Financial Officer
Jeff Shaner Chief Operating Officer
Steven Valiquette Barclays
Matt Borsch BMO Capital Markets
Lisa Gill JP Morgan
A.J. Rice Credit Suisse
Joanna Gajuk Bank of America
Pito Chickering Deutsche Bank
Brian Tanquilut Jefferies
Frank Morgan RBC Capital Markets
John Ransom Raymond James
Scott Fidel Stephens
Call transcript
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Operator

Good morning. And welcome to the Aveanna Healthcare Holdings First Quarter 2021 Earnings Conference Call. Today's call is being recorded and we have allocated 1 hour for prepared remarks and Q&A. At this time, I'd like to turn the conference over to Shannon Drake, Aveanna's Chief Legal Officer and Corporate Secretary. Thank you.

begin. may You

Shannon Drake

Good us Melissa. and you thank Thank morning, joining today. for you, everyone,

today's Windley, Afshar, Speaking Tony are Aveanna's call on Rod Officer. Chief Officer; Jeff Officer, Chief Financial Operating Strange, Aveanna's Executive President; Chief David our and Shaner, Aveanna's Chairman; Executive

to will I call few our at available this we replay not headings press section We June measures Aveanna be of earnings www.aveanna.com. date to of disclosed implied housekeeping could filings. subsequent Investor on made for review forward-looking to expect, are issued they Also under by of call other be our filings plan are may until or to in by are not call. as to begin, revise statements Before factors and May update be call. our other These viewed filed anyone our with expressed documents reason. for Also, events, matters. in including our new website of a release will statements or our statements, our a on does to we discussion remind statements certain have When contain financial results, have as These place a statements will, results reported GAAP statements impact changing with we Also, identified information, business our today publicly accordance to statements made environment federal together similar of circumstances may and more of all those could from about nor our this our All of be future encouraged reliance operating and want could, provide measures. today's a subsequent accordance complete forward-looking available GAAP. Except risks that intend, XX, these forward-looking a results exclusion results, securities supplement any should or XX-Q yesterday. We XXXX. Relations any those results, should X, are may, the differ these uncertainties operate. upon Risk XXXX, today's of believe result that made the the the listening we may of today's required that financial that our non-GAAP forward-looking call Listeners can been, expressions. which not that materially based and as assumptions words more and business complete expectations, risks today in Factor not words financial our be and undue SEC such results and but to with which cause laws, in undertake reported subject and beliefs to and a are relied they actual current management's on understanding particular, updated replay

addition, our on reconciliation most of comparable any In available the are will measure XX-Q, on the which a at release during measure both in mentioned www.sec.gov. available website non-GAAP GAAP our of and website to our press earnings SEC’s and call be

follow-up call call and Rod? time. allotted in Windley. we the your that, Please open Executive to question prepared comments will With will today's Following questions. turn I to possible Rod to the so as we accommodate one one as callers remarks, the Chairman, Aveanna's limit many can that over

Rod Windley

thank call. public you, Aveanna like forward as company. the I'd commitment moment to take on interest and Shannon, call a today welcome Thank earnings we everyone as for and to and a to move your Aveanna's first

thank to our like Board employees. I'd our accountants, our of addition, of everyone, all our including Directors, lawyers, most In and

Exchange on XXth. Aveanna the the NASDAQ milestone important brought to in Your hard work has the April culminated that

proud continued are growth acquisitions. through our and We quarter extremely for this results of our

of Choice the Florida, further our in As acquisition fastest geriatric disclosed, the country. the growing Doctor’s State of one our of in previously recent expands markets footprint

we we Our through acquisitions to to accelerate robust, our process this continue forward. growth and move plan pipeline remains as of

Aveanna. excited of Board served and boardroom Dr. brings are of the we a Health Deputy Schwartz to as Chief Finally, announce Coast the that the Dr. knowledge General been U.S. appointed experience Guard. Erica to has wealth and of having Directors Services of for Schwartz previously Surgeon to

are our We Tony to with me thrilled QX team. over our Dr. results. team let it to Schwartz Tony? to discuss the have And join and that, turn

Tony Strange

for team, have you call to as Thanks, Rod. call well And our as in On earnings Aveanna’s participation story. results to publicly and our morning, share quarter your a everyone, traded first in to and you Rod myself all our good as forward thank to and joining We're participate look Aveanna we'd first behalf of excited our we shareholder and analysts and thank value IPO Aveanna's for company. executive of like shareholders, the together. entire building our

possible. home, are we'd results addition, none of caregivers without all the In like these the to the of thank in of Aveanna, you especially employees

As XX,XXX service home through patients. a is manner. Aveanna outcomes company XX seniors the a in We customer satisfaction and and these highest of XX,XXX scaled excess across children, deliver a and with services on to Today, clinical quality caregivers reminder, consistent focus adults in diversified providing company engages the to states. care compassionate services to provide platform a over a providing

patient at in our one this a do time. noted statement, As mission we

outlined our our business S-X, our release, and three press through we provide these XX-Q As in segments. services

based in patient's Our largest Services care Duty home. provide the hourly segment, Private

unskilled majority both skilled nursing children. the this are hours and in While skilled care we provide fragile segment, our for medically of services

annualized footprint, It hospice in in operating entry The the has and for geographical a broader worked as our Home this our be but leading quarter $XXX team Health Five across has provider management past desirable seasoned In Private Aveanna of as which Choice, enter acquired Recover Our home been the December; results our Currently, of the provided that leverage indicate experienced systems newest XXXX, across Having home locations is and marking with six us of platform rate. In of on a segment states. late two the in established Hospice additional to & positioned care we already months, platform. Subsequently, going health transaction forward. team, and home currently closed closed & leader have the segment run closed through not arena. Choice, Doctor's whom excess us Services, we our Health, also in we provide Home Home will of fastest first time Five of & Inclusive XX October past, geriatric health care strategy the have April which a we and acquisitions, year. only services serve leadership of home Points, which Health into Doctor's that to this would Hospice Health XX to we market. million always an Aveanna Points growing revenue believe in Duty most have Hospice. services. come is

time and a But derived While this hospice. contain this standalone is this of home through our on health. both hospice home segment, home in likelihood M&A health low. somewhat provide not to believe we efforts hospice We these focus in revenues or health requiring may services we are plan us at XX% the may of segment that traditional

our as segment In patients as in by patients our focused services, details third growth to us nutrition, on Jeff home -- from of provision supply well business. fueled more Medical and our and has Solutions. & metrics we in this will to comments brings standalone for Private nutritional his The enteral a this home. his in necessary health his segment, As the result, results on Services, division segment, provides This primary Health been supplies referrals. when support the equipment Duty Home well as as the The Hospice, delivery. be

double-digit for division Aveanna. our has consistently As Medical growth a delivered result, Solution

yet Doctor's diversity benefits the mix Medicare up traditional stable XX of three our business the X% well revenues. as our over segments, a as the from reimbursement environment. Including of makes overall Given Aveanna service Choice, across approximately states, mix geographical diverse

number positive Duty our stable next Private care, over as The Medicare given that this which Medicaid our for Services. reimbursement of or years. for have through view the primarily rates are providing similar both Medicaid growth, of neutral several expect is We grow However, rapidly. this reimbursed to modestly to revenue rates environment appetite a and balance we managed

Duty As simple. quite reminder, the for Service is a reimbursement Private

we We by by our process. and prior of type the some the through provided are hour, caregivers authorization pay are hour. paid All services

payment As a Medicaid to different result, us more significant this diversity payer Private Aveanna ambiguity related source than or systems it payment change separate believe We in ways. single One, very from and making little there's our XXX that under operate downside up Duty contracts, complexity approximately in no will payment revenues. protection us total of two the from Services benefits than additional the a Dave the gives X% payment. moving Aveanna a that comparables. from DSOs with of XX over reduction XXs distinct color the MCO high it and minutes. in diversity In model we lower with the or DSO provide consistently has two, provides advantage a And XXs, low single short, believe for business few provided industry significant to more runs forward. our a competitive a which is source. on We

our Aveanna's viewpoint our results, it I spend as turn I to to to Before on moment wanted focused relates growth. a

results compounded from XXXX our that was with approximately -- XXXX are XX%. rate to aggregated QX growth revenue growth trend. And Our consistent

segments. growth organic of each rates better-than-market business by driven is growth three in our Our

be with investments in payer by in teen with along us the growth. mid provides and win accompanied to M&A for This government our us that gives rate high we'll both infrastructure, and maintain sales ability foreseeable appetite volume on Our a relations, growth to the rate confidence future. to able our

by were EPS range are consistently high reported our per and the the was in QX despite the created proud events $X.XX which within quarter results provided not S-X. share. weather approximately in million has the that Company EBITDA flash the to on resulted in in revenues I'm of an we the COVID-XX diluted million, to only performed and results, report $XX turning these February. that adjusted $XXX headwinds side our but for Now fully adjusted of approximately

softer adjusted in an that These for morning Our operating expense Last along release and our results exceptional exceed of XXXX. $X.XXX teams operators’ adjusting our $XXX billion this our to the business contained the million. give comfort for done with and disciplined full-year guidance with have of market management. us of the EBITDA through in execute least volumes revenues resiliency or night, providing guidance abilities at job for meet press

to we excludes While ability pipeline, our grow activity. M&A our confident continue this guidance M&A acquisition, through in future to are any

for Before a to With reality. call insights that, business I our wanted over results, I leaders over call to to to these pass you once I'll say into turn results Jeff? again our further thank Jeff making the segment for Jeff. the

Jeff Shaner

our business full share each on Private key XXXX to as Thank pleasure Medical payer complement Solutions. will operating our focus X operating Cs, to clinical the Hospice segment has operating three core indicators I QX Health support my improvement, and a technology delivery & values unit and segment you, Aveanna Home to a of report key dedicated of brings unique compliance. and government Services, our We support comments a care. strong established Tony. It a commitment with indicators the Each me team, fully great operations, metrics. and segments, to Duty relations, management sales, and commitment and

overall foundational Duty to business. duty the we Duty our key like Today, nation's of nursing one Services Now, provider cover as platform leading Private for few a segment to points private Services QX. our services, I'd to are Private our for and the about offerings. service I’d Services our Private we like work of expand introduce remains business Duty results

recruitment, are and clinical systems training, national a we investments payer scaled support. with in provider First, significant relations,

Second, our environment. as we creates great diversified diversity, a large comfort geographic very have a stable state in diversity, and segment, which payer rate

relationship a margin segment. Third, This five PDS with revenue has of profile our such very long average, years. On our and lasts stay PDS patient profile time. our our created is for gross approximately relationship that PDS patient length is stable our a

patient preferred. Finally, home care our healthcare while cost also setting, the Services being is Private model lowest Duty

Now our segment PDS to on indicators.

XXXX million consistent to by grow impressive is Services million an Duty of quarter, acquisitions the Revenue into X.X% both our or $XXX.X of strategy XXXX. rate am PDS driven growth hours This produced Aveanna growth. with during XX.X% our Private with and I now organic are how was we revenue, over QX During activity. year-over-year or fully care integrated growth X.X M&A QX family. pleased with provided

skilled This Private We from to Duty between nursing of was expect from solid schools throughout a our see centers. have skilled primarily our pandemic revenue impact health businesses, driven which primarily mix continue was pediatric and of unskilled change XXXX. significant as to a XXXX. business and Services growth in volume to QX day in continued services the per Onto down rates $X.XX on COVID $XX.XX, more hour

the begin this XXXX, to expected to expect of schools We trend return the fall. to the with in second normalize in half

to Turning costs metrics. margin gross our of labor and

in experience margin driven cost of stability per above. in QX or PDS margins. to gross We down mix was by continued a our dollars. from margin shift gross This is business $XXX.X to improvement mentioned benefiting the margin unskilled cost with hour QX XX% equates in XX% XXXX. year-over-year $X.XX an Gross growth from hour $XX.XX, gross hour PDS I per million

per PDS PDS an important maintained in spread for $XX our revenue at to the per continue to foreseeable labor I spread range be to $XX.XX $XX.XX the expect costs the future. its hour, segment stability balancing for Lastly, per metric hour and hour.

normal tech our providing perseverance this Aveanna, I dollars. caused rebounded our in and United resilient margin displayed sources. how our be PDS that this ice storm, million within Aveanna patients referral of teams returned the revenue from of PDS multi for our segment how for and am the events to significant business how million Uri business leadership Central approximately and proud to lost and cared and care. of in storm gross event weather with the We spirit day impressed through Although teams and is, weather business our at high or continue in nursing dense $X.X are approximately we $X.X outage a XX,XXX hours PDS States. course I markets employees,

Hospice Hospice growing has point currently business a work Home of emphasis we is care for a home rapid we growth on Home health Moving a And segment growth. points where and to & national our key platform. I couple our Home been Health segment. & to want & our is as QX presence. substantial highlight HHH natural accelerated us segment. extension our about for Hospice for this experienced home expand fastest of to Health Health our

Meanwhile, note, committed fully companies part Health We the both have as teams Points Private Office Five infrastructure integrations been to acquired Integration of we into and Five platform. And integrating accelerate Duty and businesses or to complete. the Points are Recover have this Aveanna’s family of Hospice our that On IMO Aveanna. to Both substantially a are and commitment its our now decades a Services excellence, segment, Aveanna Aveanna Home underway nicely. Health a segment. management be seasoned management Choice with Healthcare clinical growth. Doctor's Also, are trending ahead our of Like technology Management have dedicated compliance. in best of & experience long-term expectations. we Choice We transactions our integration done to is to-date. team the our I expect is we've at one Doctor's and progressing leveraging

lowest the is Hospice and patients. & for geriatric Health Home and cost adult preferred patient Lastly, setting

continue we'll offerings XXXX and this in proud expand And are back business. beyond. throughout and be to We to service our

XXXX. for segment Now Home indicators Health & QX to Hospice

our Health Hospice quarter we QX will year-over-year As therefore, Home & full this of until first XXXX. comparisons reporting provide metrics, not is

quarterly However, XXXX. throughout we will sequential report growth

a Home produced growth Health During I was our the quarter, health organic episodes total with XX% through episodic home team $XX.X million process. admissions, am by built business. revenue. and The approximately driven in growth-oriented the we already X,XXX even rates the care. Hospice being X,XXX admissions, of have total integration of pleased This & culture

for believe margin reimbursement XX% a were the in Lastly, with for gross PDGM perspective, the revenue quarter. expectations model. From line per the focus mix. continued $X,XXX Hospice We cost gross was positive in episode net QX Doctor's and industry & is and under business a and Choice payer margins, with expect have episodic margins Home Health along impact for on to continued improvement room there

business, execution hones the integration of have growth all continued As completes our practices our overall the this on its and three acquired Home Health Aveanna. Aveanna, businesses, & division great Hospice in and from confidence impact into best I

Aveanna for Lastly, Medical results segment QX. Solutions our

nutrition business to supplies Solutions enteral and Medical other homes. Our directly provides patients’ medical our

enteral nutrition to its and of private need the continuity Some complementary care the our value patient and are: duty team; enteral organic referral home our is strong care provides sales which de by health and payer key Aveanna community stable for B, the setting, new is the not is populations; of serve. benefit growth attributes in dedicated Solutions along And providing lowest patients a drives have clinical Solutions very care a that gross solid longer and accompanied Medical our often services This Again, with Medical states and years. stay preferred of business driven by we Medical HHH by, Solutions medical has home. a PDS home lastly, X.X A, nutritional solution margins. demonstrated currently trends, needs, stream, novo patient growth growth businesses; is reoccurring revenue length in has approximately a cost through do

segment Solutions Medical XXXX. to Now for indicators QX

$XX.X QX, or by patients XX.X% growth. is during million During growth Medical of both we year-over-year strategy with Solutions organic year-over-year de growth. was Revenue with the grow novo our quarter activities. unique UPS XX.X% revenue XX,XXX produced strong or to consistent This double-digit or and driven

We continued plenty per over Medical patients geography in Solutions XX,XXX business month growth. with currently are for of our serving

Our Health continue XXXX, PDS primarily mix was I by product expect to from growth both revenue UPS volume $XXX.XX our benefit Hospice segments. X.X% revenue up the and per to driven from shift. & growth QX of Home and of

to goods margin cost of metrics. Turning our and gross

experience great to delivery ability nutrition to XXX proud to in their in model. CFO. forward of Afshar, look our a range. margin David call basis. percentage. gross growth QX progress. and to in With business at great $XX.X national that, QX team demonstrated Aveanna was off in summary, I efficiencies and updating all I'd segments or a product expect driven In Medical improvement scale over margin our to by like Gross gross the to year-over-year equates shift a am stability business Solutions are XX% of margins gross three enteral the our percentage. the in again to you on remain to overall end of million margin the I mix XX% I XXXX. points turn continued in Dave? continue our on gross start basis a with We margins This

David Afshar

that million $X.X segment volume PDS have on the PDS quarter we adjusted both of positive Jeff. color key increase was a respect XX.X% Tony provide Solutions completed million it, QX was $XX.X With compared driven given some in proud in This million Thank of $XXX.X contributed our operations, the XX.X%. or the of with the XX.X% results a operations, an some events by mentioned great XXXX on new including in details $XX.X first organic increase we're robust revenue was our Jeff Home guidance. for Health and now revenue, volumes growth volume $XX.X and you, X.X% we growth very EBITDA, Jeff in or us a liquidity, across quarter acquisitions or or our but to XXXX. more in revenue. the increase Hospice and Medical & for $XXX.X that XXX% and increase growth million a results numerous segments, revenue by now. have and to of outlook I'll XXXX, some million XXXX, of quarter of million our right recent first increase as

from And the Doctor's continued incremental & Our Hospice two Recover by Hospice in M&A elaborate in generated the we've April. Hospice that quarter, later, the segment Choice of Health. Health million revenue Home we Five Home as XXXX on Health XXXX in fourth & the of Health I'll $XX & resulted with acquisition our Home and acquisitions Points growth closed revenue

Medical XX.X%. Our volume segment was growth Solutions

environment state revenue rate Solutions business X.X% quarter. side PDS resulting our Jeff mentioned Medicaid positively permanent Medical from programs, the which tailwind On and from in the of is overall both change our the the benefiting our year by things, increased as reimbursement rate PDS issued business rate while we temporary various businesses. and rate Revenue X.X% due increases ago view to a in decreased earlier, that mix PDS

compares Turning million compared XXXX. in first or to the quarter XX.X% of growth of to XX.X% $XXX.X revenue our gross growth XX.X% margin, for gross the margin first was gross or revenue our revenue for of favorably to of XXXX, as margin quarter $XXX.X of our XX.X%. million The

the our in our with support us for points corporate branch ago Our of margin Operating year appropriately increase in was operations. to XXXX. the and quarter combined to direct for contribution compared for and the or quarter $XX.X an increase million XXXX in or a first XX.X% caregivers related it us XXXX by Field gross decisions field income million. in margin an It from compared increase current from directly percentage assess XX.X% make in first XXXX, quarter to quarter field contribution to quarter guide and because an field positively our important helps X.X% operations. first core of XXX delivered expenses consolidated of income the the for point care or as determining as XXXX. increased are Operating XX.X% XX.X% of of contribution was contribution to XXX quarter. helps first and $XX.X the of the XXXX, operating million of contribution of are about costs X% field whether quarter as to $XX.X sized revenue basis metrics regional field margin was to $XX.X quarter million million and the impacted other revenue, operations, improvement our patient or compared first the by of of $XX.X in us prior of million basis $XX.X increase increase field performance to administrative our first revenue, not The

as XXXX, income in actually the $XX And compared legal exclude first we a to to compared as result $X.X our $XX.X current the of quarter approximately $XX.X as ago decrease net million and in while of that's you our the mentioned million net looks earlier, with on income, for net counterparties. received year income quarter in that XXXX. rate first net of quarter interest the first valuation a significant I million $XX.X swaps, associated income decreased decrease settlement million swap increase income, Moving incurred and to net the primarily XXXX like if And net in the settlements with the operating quarter. charges million in quarter of by increased an

with DSO, to federal Moving Pennsylvania, of adjusted $XX.X both of perform to our to quarter of cycle funds as liquidity as first adjusted of stimulus we environment. strong to million quality funds the basis of received the of the respect point our total teams of EBITDA XX.X%. an of XX.X% We're XXXX. has at million available million EBITDA, April during credit for XXXX our to under our revolving collections With $XX $XX.X of the $XX and provided compared of million million $X.X as million the relief of $XX.X X.X% on which the and our quarter our was primarily the or very revenue liquidity quarter. to we're capacity first in pleased XXXX continue borrowing a in sheet quarter $XX.X pleased quarter XXXX, remote With percentage for after and to adjusted improvement million resulting to first quarter cash of cash first increase EBITDA And State first income the to from had XXX first in the how end facility XXXX, see $XXX in work is to expansion in this of with in returning revenue. million, liquidity, respect in balance the the XXXX, EBITDA X, the of due at a we improved, operating of government margins adjusted

collection acquired and our electronic revenue have excellence the requirements. teams new and our cycle one Proud integrating operations is focus X of Cs. visit to companies the of collections, the Our of in for collaborative how our is work cash drive we normalizing which processes collections operations verification

XXXX. Our the XX.X XX.X of days days for of was XXXX quarter to as quarter first for compared first DSO the

collection We DSO Hospice our Home increase expect grow as Health have time generally our cycles. those over to business, we businesses longer as &

Our first X.X% X.X% capital as expenditures quarter revenue. of range CapEx the in were X% of quarter X.X% to We of first XXXX compared or XXXX. revenue to of the revenue, view in a typically in fiscal of of

for events in to the couple the recent underwriters, those the was the $XXX This our primarily second April balance our quarter items, approximately results. our May repaid to of and financed registrar; and speak we grown funding public in to short tribute business exercised a this Home timing our the approximately repay On and first milestone interest, April we total. lien XX, closed million we to term Doctor's On annual from XXth, used Our shoe on not Net have of CapEx Health We received now incremental quarter of from Choice we a M&A on plans. of partially by a offering a execute we approximately and initial and M&A. expenditures. public of of acquisition with current in exercised loan. the but Hospice like our of raised year to staff, we I'll would part In price in closed debt funds fees, time, acquisition incremental a based forma to sheet which recently purchase & recently Choice IPO, offering. -- million the remainder Choice loan What was period became XXXX. Doctor's XXXX, of have been XXXX also due offering proceeds of million. as common basis, our gross our to quarter costs with corporate term future inclusive purposes $XXX possible. a caregivers bank accrued the to that shares of of million XX $XXX cover partially was whom and related Including without second proceeds we in lower-than-normal XXX we I'd sold of pay continue for on cash general revenue next. a million pro to Xrd, Doctor's first the and We million support $XX lien second for green

second we of million to lien debt facility, to repayment, well used in original to million lien that 'XX. debt credit finance lastly, made upsized we IPO in our against end increased used IPO, credit forma loans facility. lien of further of respect first had to or as repay we extinguish $XXX fully proceeds, And now with Choice. second our the of capacity $XXX million. as our we million facility million liquidity. Specifically, quarter payment total facility the and as second we the of our revolving IPO which with $XXX from facility million XXX under And Doctor’s Pro acquisition with credit make principal for to these a borrowed connection incremental payments $XXX credit total XX million $XX of principal We've the proceeds the credit term enhances XXXX QX the

first rating share guidance, billion. not And in income. turning pleased our rating secured family least time adjusted a facility BX XXXX affirmed were our year to revenue this And And the full for $X.XXX offering to issuer we've other net with We credit in providing million. a a the a from plan repayment result $XXX May of and at outlined our On ratings from Moody's positive income our debt, stable summary, on from the adjusted our a BX least EBITDA guidance As at level net our with we be to first corporate public that XXXX, item, we agencies position strength on reasons senior CCC S&P are to initial lien issued we per press May and these from rating BX we release, credit anticipate as guidance one with future X, minus entered public taken anticipate minus of outlook. actions. Xth, In to and B the of company. We ratings positive On XXXX have also at our outlook. mature quarter BX our provide on be upgraded -- as actions. earnings expectations. with plus, currently exceeded to upgraded our

of capital we're the respective With relief well and to questions. before first during opportunities from costs the IPO recent operator, open debt to that, provider call position our as we related of a funds rating up leverage actions, the has million and agencies government the quarter The structure, And to market as 'XX. our pleased the second in agency and in result XXXX retired we us. believe we're received better improved on we're that stimulus quarter. Additionally, $XX.X aggregate the capitalize returned service we for proceeds in we positive ready as reduced have received with to even debt our in

Operator

[Operator Instructions].

Steven first question Valiquette comes from the of Our Barclays. with line

Steven Valiquette

So a couple of questions here.

First, revenue in was just regarding the rate little PDS that segment bit year-over-year. down a the

year outlook can that, move that for unskilled mix mid-$XX should metric like start in that that still just we that same on updates, provide normalize the around that the in back how during can change should is as recovery, the of phase? for recovery You this? versus assume for I business during revenue high normalize skilled additional to color -- between of just back on rate you also follow-up and mentioned about recovery state that half you type the a color granular services, XXs your the that rake we into on Then any a Or the year. should up guess that this of rest impacting more additional the environment is and collective year? number the how we and the get think quick think how subject or

Tony Strange

a Well, you some and give of color. first Steve, think question, we can insightful I very all, that's

probably change the that It's what So payer about it's in to not payment not. or methodology think or payment important the talked change most rate, is from a think rate Jeff from recognize in a I state. I a

So it is in change unskilled. the between described, as a it's business skilled mix and -- Jeff

and we're And a how bit thinking it shift seasonality Jeff schools? piece that expect it little relates the of don't rest so as to about for why with about we year, the to the you how talk

Jeff Shaner

Yes.

pandemic, it, home staying our As at our business downturn a it the from and their work. side workforce slight to as much to children our from nurses really the COVID we've it who in of much and we've Tony with is tied said, comments, are in school unable is seen and

children August. year. QX with as QX and how skilled of nurse around in the we're QX good would vaccination like as school last our QX that process then the of our in of where our We of talk a parents of trends year school -- our last business now We working. be lot medically year see we fragile this schools, in child is to And the and skilled of person sensitivity intending QX, and obviously and not are the well and certainly September, session. to really COVID that mentioned, fall, Most starts are on back to pandemic. Labor the school for a of kids some have have both attended kids would it’s in in that decent have. move so And Day, hours we in amount putting by they actually And nursing our in schools normally us full our back Tony their goes as

about our expect prepared to very So, skilled mentioned, business, our good from as I I -- that. business as volume feel Tony said as remarks, we both think standpoint And on rate. overall we normalize skilled think we our really a nursing as well that

Tony Strange

states really your payer during rate the So environment. beginning back and increases temporary of increases XXXX those rate Steve, Many middle to half the -- through put of of as rate the I'll those the states of second increases. question and the put some was the all COVID. of half state or go way related the our first through to

rate states permanent to those time, that a increases lot rate those now have going since increases forward. moved However, of

made of payer 'XX, but XXXX in credit So, continuing. strategy, the some and part that has his and quarter only keeping rate that half payer a in we have guys government first first done in you our team these relations in rate tell positive I not been second an overall job in investment will the of back Jeff and and see relations XXXX of here. outstanding an environment positive, We and the moving give relations I'll rate forward.

and future And rate in so, in foreseeable rate our a got relief additional PDS we segment. be to story going for coming we've is the think positive 'XX

Operator

you. Thank

question. question next the from comes line with Markets. Capital of BMO proceed Our Borsch Matt with your Please

Matt Borsch

and the pandemic do from COVID going how much you do two you this you months. sustained to in to you looked trends? like look business about prior everything ask on see see the What move last through is to versus year? Thank the you've like? the congratulations of where as impacts I accomplished wanted you timeline normal How this rest anticipate to

Tony Strange

Okay. was compliment. those. first lot that a Well, of all, We you. a Thank of Matt, don't get

second. do, we a we for anytime celebrate So

So, appreciate the words. kind

we your As it think tell to of back do and you, I about to that? to timeline, the we're the question normal kind relates I'll that back get when today.

is going think fact, where to are we're of in continue not now but matter we my 'XX, were I of are going QX build because we that forward. I I to back changed. today think a opinion, prior part for where where normal has definition the to the As believe there we from And in COVID most of we're to

that, to color going way sudden another. and world all to in ask but not forward. not in But I'm go are or you living our Jeff? in in, of expected to we're June, we're jump normal going you going think -- I'll we're not a want well, be -- what's add, any some So things okay, Jeff, We change expected to

Jeff Shaner

said, That's Tony. well Yes.

improvement 'XX, improvement have I and invested as see Dave of our and for us a COVID old and found benefit around new more back I the that business way plan an there's we helped about, we talked leverage in norm recruitment, 'XX operating I in don't talked the have business investments, Tony on relations about as attribute post from don't you and government systems -- contribution, to to care the that operate Matt, And EBITDA. our Tony we we systems about adjusted really think -- field in the way. and going efficiently, call talked infrastructure technology standpoint. point and what to, a think

Tony Strange

into maybe Matt, read I a little your think, more I bit question.

was anybody us But that's us caregivers in think just back going recruiting than solve new nurses to for that you do difficult. and we what and live problem. is to going all nurses make If to Post-COVID the it else. can't caregivers that better is COVID, difficult. prior to we're we're I And think and recruiting world for

is going us And for about so talked pay-off investments the recruiting our long to the that Jeff in into believe I structure, run.

unemployment to to getting grade, I while if us. and benefit waiting above that, need hanging think struggling a back back hat our my go with people that's our granted we're normal it not might on country work, the work. is as as to is around people subside make Now And pay bit this easier. our the jobs we’re little and a for But operating new find

Operator

you. Thank

comes question line JP of Morgan. with from the next Our Lisa Gill

Lisa Gill

it that, the remind you of the acquisitions I I you you the just of year? end that the two potential XXXX. before a comments you take and how transaction? the to heard currently But pipeline that remind size just acquisitions guidance can of Is calendar can us follow-up the something us have? wanted that things. opportunity long secondly, One, then for close to that us close would just And don't you have here on the there gave to you'd that any have

Tony Strange

-- I'm guidance to in So and Rod about the question start reverse. our certainly, I'll in you kind your take and I going will to talk of jump ask Lisa, me then and let And pipeline. with

future So guidance does our not include M&A. any

Doctor’s So and we transaction closed we year XXXX. in April this that have closed the in only of that's

from Doctor’s other do pipeline size $XXX the in managing pipeline. revenue, Choice robust been why discussed. the have end. other the With than don't million about acquisitions we to that, billion we comments include takes a acquisition long the so beginning the a EBITDA and Rod, that pipeline. give Rod of any of in $X.XXX has that it couple you not how does And

Rod Windley

mean pipeline kind pipeline basis. today million of acquisitions current We We with doesn't on are lot. but That we time. and coming a that got $XX as way. our comes Those a have all close acquisition ranges off don't daily very we're acquisition on million at candidates is look work $XXX working previously amount to disclosed. that of around normally in going the We're Lisa, million the $XX roughly fair disciplined. do now. much we a every that on we've this We don't our

So approach. our regard we're discipline very particular to with in

it have sign that a days think we it every the disclosed, previously XX date XX that and fully acquisition we takes to months. closing from integrate us we within I about transaction

Tony Strange

I when that acquisitions the or way would think the control of we of Lisa about some for over think is up have these that. timing I our forward don't come sale But going assets

little So of it to include why that's the our a timing don't guidance. it's we close, so bit in predict hard

acquisition we'll a we're $XXX internally, to not million through between million $XXX good achieve somewhere and 'XX And only the continue going grow in 'XX pretty years able in be and believe However, we but that to for a and number to year following that is us. that.

acquisition. we're So as it very assertive through our growth going continue be to to to relates

Lisa Gill

competitive all we last the focus months the landscape changed these health, find at home do on the given XX acquisitions? Just about over you that as think has assets for

Rod Windley

not Other are there changed out buyers the change No, so private all. strategic that more the seen. really than that market, and the hasn't much it’s only fact equity in the that's at I've it's really landscape competitive

Tony Strange

with we identify But that in strategic for good one close to at going the of Aveanna, a that is fit the successful that Rod about talks things when is equity deals a these transaction we've transaction. been competitors is as we're private that that,

and have pricing. value synergies Our our values exploit can those a we lot of in

we're if it's fit going good transaction. going close so good for And asset a and Aveanna, it's we're after to a that and

Operator

Rice Our A.J. next of comes Suisse. the line Credit from question with

A.J. Rice

at minute. just cost look side a Maybe for the

of swing a is? a I Duty there and you're back a half kids could labor the that got granular Private How and to that that you've discussion give around you think more that supply. all the up. right adult your home the that of Can is on as as that mention see some much be you What a well a reopen little more much year? to schools tight little [Technical Difficulty] constraint expect of obviously of a back now Can things at labor was with side opening relatively how trends? side? flavor and much home you us constraint the just other for give people alluded seeing, a You are how care being

Jeff Shaner

I One, think sides nice. side a it both it, any of is we I even haven't being issue, think of cost or which the cost seen really leakage it. from margin on

the So cycle, into of our in ones think about side I increases, rate I think of cost as the and XXXX working think the feel we we known the XXXX good think we're the about as legislative rate margins, latter going increases we on still it. for half really

heard us. do talk not help value, I that back just think to come that. to our about We're think Tony down the a on over workforce. and not the nurse need getting of trends will It's betting But half hour. and value of on waiting really time. we macro checks a into some on an unemployment We're saying industry we've that dollar of peers the I we've it. back the certainly that. our in macro seen $X.XX COVID, with hour, it alluded help kind it's need trend unemployment I nurse another dollar ultimately certainly The certainly an

if school to from kids to for it, about got really think home, if home. us back nurse it's an a revenue getting who kids, maybe school. a she two our feel I talked shift, us our school, we can't a at getting you've hour kids I more with thing she got really also matter single it's our to growth doesn't $X pay back is the couple It biggest mom, kids. but got mean, we to patients stay because strategy, that a kids who's helps

you quarter, I of schools think those we think won't think growth talked help we are Health those you PDS both A.J., We trend us. very macro down ones as an But had that in roadshow many. always we XXXX, still our that rates first rates think segment, Hospice always the fight I and as But growth think can segment. our about so I we through -- of our those a more -- and think I changing. day. issue solid state We think well coming materially we rates so And bit, every unemployment in for that to it's moving too Home of just and to find use not nurses, & will back as also it's saw federal use something as we little the don't see the ability

Rod Windley

comments answer metric is services. put nothing continue us you the XX folks the we horizon your be ask see can XX.XX metric that And and about metric. about well, XX.XX. that a is gave follow. out think we we're and that Jeff the private to his he one what that spread in fluctuate the to that a end his in says would we spread in comments about to spread framed And range. and it how going thinking key prepared that to between I on 'XX, think of that to is out there gave answer question is I for deliberately And ultimately change in that he XX by if we that to and think that spread And the A.J., -- that going is talked And duty

business duty would private I were in the anchor be if of shoes I to. that So that piece the your would

A.J. Rice

your bit regional as margin were be. they for terms enhancement little there are expense on were opportunities leverage for lines? going as those we side, get your it cost corporate you implications looks better term to Can talk branch business? further potential the just what And in were the on thinking about little of well long to maybe grow a leverage than revenue you the as expense relative And a the like as you ratios and

David Afshar

gain we've leveraged well some future as we year, pleased over and turned we as and infrastructure we're we well. our the our And in so infrastructure, already branch we've as regional that past have results grown have in. the As with corporate leverage to think the

Tony Jeff it. as and control cost strong mentioned So

an done job have the costs. of same at time, business, controlling exceptional but operators the growing Our

in got the as And leverage in think so both we've corporate. field we well as

Rod Windley

our And as A.J., ago, release put a point, last reference years Dave, press our expense, you corporate it couple go of if in back a night.

picked basis points corporate overheads. revenue. about of to of just adjusted in corporate years X.X% down couple expense up the numbers XXX on last Our We've

And so to and mid as we continue gain year-over-year, continue we're to in against that leverage that to going to corporate teens SG&A. high regional grow

runway So we got we've left. think

Operator

of comes question America. Joanna a with next Our line from Gajuk Bank of

Joanna Gajuk

market. around first My a at outpace follow-up, to growth to you continue the expect of commentary business the each organic lines your

was So health your guess, in the organic what home market, health growth, home segment? your I in

Tony Strange

didn't from there's new acquisitions number. acquisition So QX organic break out growth in in growth, no primarily that we numbers our

alluded through All done acquisitions that literally we the this before were in numbers Jeff are after quickly XXXX. QX IMO our were integration begins integration our And of to, we office. close. even very And get done as in integration management team that

locations locations, consolidate just and those overlapping we have a we when part that story. organic become our those of because so And of

So and continue. and our year-over-year With trend is organically X% publicly, a we've we not will versus our is home hundred the acquisition. market depending said, health health home points, X% growing health that businesses, through rates you in few basis read, to organic broken we our that that out who talked growth have home outpacing believe on by growth

Joanna Gajuk

And operations market and than faster the improve come grow these into when assets and to your are market able when in share market be the you acquired you rate… going just just again to the you

Jeff Shaner

as we Doctor's We we and because on. We're necessarily I it great use Choice as growth story to faster. is not grow it take identify Doctor's don't of Choice think bought Choice example. Doctor's as think -- just I'll spot the and looking a

why Choice closure extremely of density. are we are about, of the gain liked organic integration, We already are the bit to the of leverage and and through making in in going the talked our it market, right days already XX about and out family. market But team Tony's that expectations the of it's back pleased end Doctor's part most Doctor's up we create it. that's and Choice a into and exceeding its XX rate. we’re growth is then XX, part to peers Tony with we the Aveanna It's that Florida it gate. point, we're bought into and As running, outgrowing synergies we and great doing asset But of

we're really Health about family. Points our bringing process. changing this importantly So integration synergies the mentioned really growth how Recover and it's growing is the story, year-to-date we through the home into not the much as with XXXX with it's as most process. both I through and business health then integration the it pleased about getting think has And And grown Five

Tony Strange

And Joanna, already helpful, made if I it's we have think publicly. comment this

single Hospice that We see growth and all. expect our continue Home Health business double to in at to year-over-year, slowing low digits approaching & digit we that don't high down grow

Joanna Gajuk

the was acquisition. targets your guess for home And terms question in things health my of side I of on

about So including revenue growing you're forward, teens mid acquisition. in going talking high to

acquire kind you of revenues to going about transactions then and expect think forward? we these should how financing you how will So the amount be of

Tony Strange

think acquiring any a put any Well, million revenue I be $XXX minutes ago. year. to that few that million to think we given On tried year, of we'll given $XXX on bookings we on

in I & will all that's Hospice. not you Home Now caution Health

come are in that well. on use space, probably Duty well. we'll We XXX And acquire to place a grow about opportunistic million But of take opportunities Private year, range that's land. you good quality those to when a Services assets be as I pretty if million as to to going up a continuing were to think XXX business our to

the sheet. relates cash on it got strong as pay we've As to balance inform, Dave outlined,

$XX in shares M&A As between million X.X Q, were X. ratio our bringing additional we've shoe. our about on We'll to cash release to we've brings where through discussed executed the use continue available million probably it sheet. sense. planning to That do leverage leverage our press in We the down and and on makes to $XX us balance to on with

ends to of million, And revolver have equity, be that capital our the of out our to increased anticipated, access on little and to was being revolver that, in so our there. a to to had Dave so also both to in gross grow. raise use we we net to or we We're sheet execute IPO leverage versus top continue between continue shorter than Our balance we way. we $XXX leverage. to comfortable got bit leverage X.X on access can mentioned another use have up We a -- offering then and X certainly we've grow. secondary could

have lastly, business. this supportive that could We as currency. a sponsors are highly of growing we our And use stock

we've all all. something capital not I don't it's Now acquisition -- is tools about granted thus something that's to of got at constrain far in but bag, growth our our talked to think through we've going those access

Operator

you. Thank

line question Pito Bank. comes from Chickering of next with Deutsche Our

Pito Chickering

XX.X% at for So here, with margin generally also your XXXX. two this clarifications in and your is quarter very strong line guidance

SG&A did improvements additional You referenced for leverage. room continued margin gross & in Home Health plus Hospice

the quarter? by XXXX, you to progression prevent it to the us you walk want range through XX will margin fourth I plus the So see throughout getting if can

Tony Strange

with in today margins. that believe remarks, the our health in I we're we've think is it that, in there XXX outlook EBITDA, billion be clear I about Well, in And for 'XX, given I in X.X mid-XXs. not say do to continue again, runs think terms all his million the to that revenue less guidance is, runway able on improve Jeff and to of to going that about than us the home mentioned margin

time make we those investments we'll upper that the they've running business bringing we margins gross will that that. acquisitions even XXs. PDGM. XXs to to grow see bit new a margin gross enhancements more that to expand low under continue we And on get As business, higher acquisitions, in as already think And our and because little or had we are are at

I -- by Duty I in a complex we our don't by caregiver they're I pay again, our very where We paid be. it's our are think and Private think the Services hour business. of going business, the hour. margins to kind get not

are margins So relatively gross fixed.

it wage the on that, I with immediate side there's the of I pressure a don't future. pressure earlier, wage But there's as because upside so flip don't Jeff downside likewise, And in tremendous said tremendous think a of think well.

Medical much business, somewhat run of Solutions So be the that's while kind are our margins going to in smaller, And that's there. commodity of where and that's to our are mid-XXs, of kind a be. it's of flat gross gross kind just margins going

Now with all that can said, had talked about that I overhead. do leverage believe there's of additional margin through be it. expansion the Dave

continue revenue, A.J. to grow mid our we the you that so question think to to growth, to corporate as we have Lisa, as and I that grow, infrastructure. did that think teen grow about we're not going high asked

going our infrastructure. that to program within compliance us gain $XX robust very because a duplicate We have have Rod revenue, so we a acquired have we'll We of and to don't brings million leverage corporate another forward. continue that

so afford us I that's the expansion. margin to think going opportunity for And

Pito Chickering

recruiting back And that then to and believe on businesses And versus demand? the skilled those year, the you PDS. the you split a the I as first follow-up that a of think in of the Historically, limitation that in chance between two expect side select the to of quarter. in recruit can do rebound half growth unskilled. PDS was sort our you question Any quantify you can

to a the year back-to-school. going fit In to recruiting nurses want the can the make from kids in I of demand? that understand sure I both back So demand half

Tony Strange

will I that. tag team Jeff and

sorts with health other me we you all Duty thing because Let services Services, then we're skilled component, XX Private within get trying therapy that next out to not to whether disclose parse different component. unskilled versus of set or centers, we're day table into pieces. the The it’d clinical our pediatric into going through be or know,

causes though, little kind some further Services and you try below skilled and we'll bit why Private With So we're to disclose to that don't of our to color. Jeff, about going said, what unskilled, up and with not down? you a provide Duty segment. at them the talk patients go

Jeff Shaner

who's even the the the really a providing only but consistency the we've relative not really of the Pito, member, growth neighbor, a unskilled is a seen unskilled reason side it's through that family service. distant business

COVID, higher a was between family family. process. it unskilled level the to And stayed that has be both caregiver group level easier family connected, member who's to That even much it to honestly and a keep more grown COVID providing through and just the through a has -- trust care or so the that the was business there's neighbor of And honest, there. just connected

have health to -- for April, think bringing year back didn't allowed day the XX in. day and centers, we're some health start And down patient. Pennsylvania centers day up our us a health slowly, Our states then up, like centers a fundamentally opened of for days. going I Florida ago, back kids shut the We in opened single back

school point, at this round seen of out XXX% little at of this capacity business RN then is month, our an it's capacity us kind again, primarily still rides, so meets just at keep allows I child. the the opening LPN So services, that And bit. with Pennsylvania home business, or up to all just school an to bus it's the the still pointing we've family which that that factor skilled a the end business. medical from schools. XX% back There's rebound. and And to

recruitment, days in for in it's you setting a connecting recruit to week. So brought It's that to good XXX XXX job for school -- primarily business. us an it's service skilled setting. It's because a a nature, a it's a easier

And easier us in almost a will. position a if so standpoint from ways, it's for it to recruitment itself, and some fill much fills you

be as post that So starting as it August great Xst. I of to for just a the growth of rate. think a the a to of the And that as back October normality ability -- COVID. to us sign business even enhance our our to see and are ultimately, normal sense we get really states that, and that year, to and connecting a September, back not in signal show that phases miracally over But great business really course up it's on will said, August, going end the Tony

Operator

of question [Operator Instructions] with Our next the Brian Jefferies. comes Tanquilut line from

Brian Tanquilut

and we're we then, just I modeling to post set thinking the just can IPO, QX, since purposes? end if question, right for count down the of just guess to to be for So want levels debt share one ask about level XXXX for I right

David Afshar

the share As of got performance the our at count, When or you as of today, still with outstanding. far component next million to working that outstanding through think options. shares some about we've of the respect end we're may mechanics there's XXX year be shares the the year,

were a that as And then I that think debt, we're now, you at ourselves is in something it to for for we we're way going don't And -- IPO, to through. working the gross low right think said, see X of in so as still X.X forward. mid-Xs range. turns number far we as $XXX forma million debt on leverage Tony we but I about have X the the to see Pro and in for that leverage it's to terms it of as

Operator

Our RBC next Frank question Morgan Markets. Capital comes with from the line of

Frank Morgan

to I care the Do know PDGM it's the you I Doctor's, three you know the the actually in home Recovery whether of think the opportunity side home there? in margin they where are health. wanted I across that XPoints, a maximize rate Health or ask health about talked you really about business. units, opportunity process?

PDGM more side from on cost mix is refining more question? side it it rate a is or the on So

Tony Strange

home idea start me into space. the Medicare back of the let getting So health with

understood we from how in we making you think that the of kind metrics it sure appropriately losers spent winners to the manage and 'XX to and PDGM. place understood to have was have half going I of first PDGM systems separate that and

ultimately, think extremely that. doing we comfortable with I got

that I'm and have orders a going as provide to because will And we the is great itself the don't an I do to each care. Choice, well maximize bought under an what they wording we reimbursement. reimbursement think to care done Doctors' job to out. XPoints, deliver I we physician, think level I of the initiative patient to right of don't look companies have the sort Recover as think, clinically change exceptional

that that into do going bring to forward. the make you time that we those force, for we're think be so driving clinical our And following I and services are appropriately over through one going operating use reimbursed that one bring will going appropriately to of if are be the let we're technology to I sure we're compensated providing. accordingly. going think going And that we're of is those that we'll outcome and physicians’ each being businesses described, things to our we're that think just system orders we're consistency And to documenting we the clinicians I be

Operator

John Raymond from Ransom comes with question of next line James. Our the

John Ransom

building my we to rebuild between what look those this question. or as home just the market's office there here, think an is integrate ever a adult compliance platform, health combined it back us If a normal the Just seen great just natural than not should pediatric a one care company Other company. is synergy step about gives accounting, but a you're at back with home businesses, and a it two company? chance we and

Tony Strange

you with question So asked I'm insightful. the thought way going to start the it because was I

synergy two, much staffing. a overlap of answer with of terms sources. a referral of There's lot There's lot with a with There's overlap lot not not is the traditional of In I not think overlap to corporate leverage multiple from continue between no. the billing, the reimbursement And a ability leverage benefit to our to And able across to point, is significant larger we’ll expense across your overhead a there piece. being platforms. platform.

today, of pretty synergy profile granted, the from And risk is that exists, our really where diversify we believe because that we However, looks sit horizon a there I pseudo do the business. clear.

the And foreseeable rates to so stable future, growth looks look positive. for stable positive, to

take out I a being to business, a or believe looks hit there, stable. that a having devastating the entire forward. on strategic pipeline I platform us allow think But storm advantage would for acquisition that diverse a across And business Our us without somewhere is do going it there's the horizon. there here

in gives competitive the is we one choppy if three to So advantage. segments the us other storms, and a ability business any think business kind those get segments, of were waters the that those weather to of two

your answered there, I question. somewhere hopefully, in So

Operator

the question with Our of from line Scott Stephens. Fidel next comes

Scott Fidel

school PDS, lever a up to just question is normal it follow-up a mix have just I reopenings more on and in key that. sounds like back the getting skilled to to

get interested any the more medical, terms there your in and in general, their is in parents school parents Are the back you comfort terms rates have back to so or be and just more other will Just parents the has complex do have the they with staff of have just into kids into getting that getting feedback kids as looking obviously, situations. vaccination of more much, increased kids do think of you just conversations your medical because, for in more schools? more their these you their of vaccinated because broadly that, terms with significant teachers putting there

Jeff Shaner

talked that you tell to, back not I'll we they parents school. we've want the the parents are, from kids unlike their in

their the these for they build is systems They with These gained absolutely school talk in. to working socialization are their we the And parents path teachers the why even at know back their kids the they when a child it. medically child's that So shareholder's They're get I worth are setting. And and they a most they're year-to-date. point out, which a education their their parents, is into only goes excited year and driver the they schools of the want majority that in understand on in though school. ultimately in think the environment, [factored] the vaccination back now, to back safe primary but they They But parents motivated. work back very to your services, nursing want were not hard on too. home of manner, vocal. very other to is the child school it's last and receive vaccination, specialized kids them behalf which still vaccinations,

we're in hours. So home the off-school their on

school So we're But their weekends. idea of them. there back children is the certainly to and important very the in nights to evenings and getting

we the think I that we anything our at the, to Aveanna, the both So it's the XXXX vaccinated, schools whether vaccination the vaccination confident people I They're where within getting equation. Tony, to they're majority think the own helping solve happens. it's is solve rates, equation. national the crest add? pool your like, nursing the that rates rates see immunity the to but XXXX or is question also helping really And feel where think I the and secondary going year really feel of vaccination herd we by you'd is

Tony Strange

No, I think you well. said it

Scott Fidel

probably those sense. Well, else, having I'm sure certainly so that for it’s at those at school than anyone makes home were kids tougher parent

Operator

you. of that's question-and-answer final for the floor Mr. Ladies to I'll back our Strange comments. session. any the turn end and gentlemen, Thank

Tony Strange

work on closing, I'd your the I call. lastly, the you. single do help without possible. out to behalf time Thank to your like we call. all really every guys all to our we to, are that again team, to our the working folks with employees join none our like executive appreciate you, to Dr. to that of effort. support. entire and Board appreciate then thank day, these forward like took day Buckle our you And to up. of Schwartz thank their looking the I'd of like during appreciate And results We in also welcome I'd of we're of

have share process been during able our to guys and look many lot, with a You great forward to and calls you. future this operator. Thanks being we success

Operator

concludes This you. today's Thank conference.

participation. disconnect time. may this for you at your your You lines Thank