UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

 

FORM 8-K

 

 

CURRENT REPORT

PURSUANT TO SECTION 13 OR 15(D)

OF THE SECURITIES EXCHANGE ACT OF 1934

DATE OF REPORT (DATE OF EARLIEST EVENT REPORTED): JANUARY 14, 2015

Commission File Number: 0-24260

 

 

 

LOGO

 

 

AMEDISYS, INC.

(Exact Name of Registrant as specified in its Charter)

 

 

 

Delaware   11-3131700

(State or other jurisdiction of

incorporation or organization)

 

(I.R.S. Employer

Identification No.)

5959 S. Sherwood Forest Blvd., Baton Rouge, LA 70816

(Address of principal executive offices, including zip code)

(225) 292-2031 or (800) 467-2662

(Registrant’s telephone number, including area code)

 

(Former name or former address, if changed since last report)

 

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

 

¨ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

 

¨ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

 

¨ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

 

¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

 

 


SECTION 7 – REGULATION FD

ITEM 7.01. REGULATION FD DISCLOSURE

As of January 14, 2015, representatives of Amedisys, Inc. (the “Company”) will begin making presentations at investor conferences using slides containing the information attached to this Current Report on Form 8-K as Exhibit 99.1. The Company expects to use these slides, in whole or in part, and possibly with modifications, in connection with presentations to investors, analysts and others during 2015.

By filing this report on Form 8-K and furnishing this information, the Company makes no admission as to the materiality of any information in this report that is required to be disclosed solely by reason of Regulation FD.

The information contained in the slides is summary information that is intended to be considered in the context of the Company’s Securities and Exchange Commission (“SEC”) filings and other public announcements that it may make, by press release or otherwise, from time to time. The Company undertakes no duty or obligation to publicly update or revise the information contained in this report, although it may do so from time to time as its management believes is warranted. Any such updating may be made through the filing of other reports or documents with the SEC, through press releases or through other public disclosure.

In accordance with General Instruction B.2 of this Current Report on Form 8-K, the information presented herein shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, except as previously set forth by specific reference in such a filing.

Use of our Website to Distribute Material Company Information

Our company website address is www.amedisys.com. We use our website as a channel of distribution for important company information. Important information, including press releases, analyst presentations and financial information regarding our company, is routinely posted on and accessible on the Investor Relations subpage of our website, which is accessible by clicking on the tab labeled “Investors” on our website home page. We also use our website to expedite public access to time-critical information regarding our company in advance of or in lieu of distributing a press release or a filing with the SEC disclosing the same information. Therefore, investors should look to the Investor Relations subpage of our website for important and time-critical information. Visitors to our website can also register to receive automatic e-mail and other notifications alerting them when new information is made available on the Investor Relations subpage of our website.

Certain Forward-Looking Statements

When included in this press release, words like “believes,” “belief,” “expects,” “plans,” “anticipates,” “intends,” “projects,” “estimates,” “may,” “might,” “would,” “should” and similar expressions are intended to identify forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. These forward-looking statements involve a variety of risks and uncertainties that could cause actual results to differ materially from those described therein. These risks and uncertainties include, but are not limited to the following: changes in Medicare and other medical payment levels, our ability to open care centers, acquire additional care centers and integrate and operate these care centers effectively, changes in or our failure to comply with existing Federal and State laws or regulations or the inability to comply with new government regulations on a timely basis, competition in the home health industry, changes in the case mix of patients and payment methodologies, changes in estimates and judgments associated with critical accounting policies, our ability to maintain or establish new patient referral sources, our ability to attract and retain qualified personnel, changes in payments and covered services due to the economic downturn and deficit spending by Federal and State governments, future cost containment initiatives undertaken by third-party payors, our access to financing due to the volatility and disruption of the capital and credit markets, our ability to meet debt service requirements and comply with covenants in debt agreements, business disruptions due to natural disasters or acts of terrorism, our ability to integrate and manage our information systems, our ability to comply with requirements stipulated in our corporate integrity agreement and changes in law or developments with respect to any litigation relating to the Company, including various other matters, many of which are beyond our control.

Because forward-looking statements are inherently subject to risks and uncertainties, some of which cannot be predicted or quantified, you should not rely on any forward-looking statement as a prediction of future events. We expressly disclaim any obligation or undertaking and we do not intend to release publicly any updates or changes in our expectations concerning the forward-looking statements or any changes in events, conditions or circumstances upon which any forward-looking statement may be based, except as required by law.

 

2


SECTION 9 – FINANCIAL STATEMENTS AND EXHIBITS

ITEM 9.01. FINANCIAL STATEMENTS AND EXHIBITS

(d) Exhibits.

 

99.1    Investor Relations Slide Show in use beginning January 14, 2015 (furnished only)

 

3


Signatures

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 

AMEDISYS, INC.

(Registrant)

By:  

/s/ Scott G. Ginn

  Scott G. Ginn
  Senior Vice President of Accounting and Controller (Principal Accounting Officer)

DATE: January 14, 2015

 

4


Exhibit Index

 

Exhibit
No.

  

Description

99.1    Investor Relations Slide Show in use beginning January 14, 2015 (furnished only)

 

5



Amedisys Investor Presentation
January 2015
Exhibit 99.1


Forward-looking Statements
www.amedisys.com
NASDAQ: AMED
We encourage everyone to visit the
Investors Section of our website at
www.amedisys.com, where we have
posted additional important
information such as press releases,
profiles concerning our business and
clinical operations and control
processes, and SEC filings.
We intend to use our website to
expedite public access to time-critical
information regarding the Company in
advance of or in lieu of distributing a
press release or a filing with the SEC
disclosing the same information.
This presentation may include forward-looking statements as defined by the Private Securities Litigation
Reform Act of 1995. These forward-looking statements are based upon current expectations and
assumptions about our business that are subject to a variety of risks and uncertainties that could cause
actual results to differ materially from those described in this presentation. You should not rely on
forward-looking statements as a prediction of future events. 
Additional information regarding factors that could cause actual results to differ materially from those
discussed in any forward-looking statements are described in reports and registration statements we file
with the SEC, including our Annual Report on Form 10-K and subsequent Quarterly Reports on Form 10-Q
and Current Reports on Form 8-K, copies of which are available on the Amedisys internet website
http://www.amedisys.com or by contacting the Amedisys Investor Relations department at (225) 292-
2031. 
We disclaim any obligation to update any forward-looking statements or any changes in events,
conditions or circumstances upon which any forward-looking statement may be based except as required
by law.
2


3
Amedisys Snapshot
Amedisys Home Health Care Centers (316 locations)
Amedisys Hospice Care Centers (80 locations)
Founded in 1982,
publicly listed 1994
396 care centers in 34
states
13,000 employees
55,000 patients
currently on census
LTM revenue of $1.2
billion
Overview


Business Overview
Business
$ (in
millions)
% of Total
Revenue
Revenue
per Visit /
Revenue
per Day
Gross
Margin (%)
Reimbursement Type
Home Health
Medicare
$185
62%
$156
45.1%
60-day episode of care
Non-Medicare Episodic
$18
6%
$154
44.4%
60-day episode of care
Non-Medicare Per Visit
$34
11%
$113
24.6%
Per visit
Total Home Health
$237
79%
Hospice
$63
21%
$149
48.1%
96% routine care; daily rate
Total
$300
100%
Based on 3Q14 financials.  Gross margin computed by subtracting cost per visit from revenue per visit in home health and cost per day from hospice
revenue per day
4


5
($ in millions)
3Q13
4Q13
1Q14
2Q14
3Q14
Net Revenue
$237
$238
$237
$244
$237
Gross Margin %
40.5%
39.4%
39.2%
42.8%
42.1%
Same Store Volume
Medicare admissions
(1%)
(1%)
(2%)
0%
3%
Medicare recertifications
(21%)
(16%)
(6%)
2%
5%
Non-Medicare revenue
(28%)
(16%)
1%
21%
31%
Other operating statistics
Medicare revenue per episode
$2,822
$2,840
$2,778
$2,845
$2,834
Cost per visit
$87.31
$90.21
$90.28
$85.08
$85.47
Medicare recert rate
37.1%
37.1%
38.2%
37.4%
38.0%
Home Health Segment Financials
1
1.
The financial results for the three-month periods ending September 30, 2013, December 31, 2013, March 31, 2014, June 30, 2014 and September 30, 2014 are adjusted for certain items and should be
considered non-GAAP financial measures.  Reconciliation of these non-GAAP financial measures are included as Exhibit 99.1 to our Forms 8-K filed with the Securities and Exchange Commission on
March 12, 2014, May 8, 2014, July 30, 2014 and October 29, 2014


6
($ in millions)
3Q13
4Q13
1Q14
2Q14
3Q14
Net Revenue
$64
$65
$62
$61
$63
Gross Margin %
46.5%
46.4%
46.8%
46.0%
48.0%
Operating Statistics
Same store revenue growth
(13%)
(8%)
(6%)
(3%)
3%
Average daily census
4,917
4,866
4,721
4,649
4,596
Admissions
4,352
4,371
4,595
4,350
4,002
Revenue per day
$142.52
$145.60
$145.95
$145.44
$149.16
Cost per day
$75.79
$77.63
$77.47
$78.24
$77.38
Hospice Segment Financials
1
1.
The financial results for the three-month periods ending September 30, 2013, December 31, 2013, March 31, 2014, June 30, 2014 and September 30, 2014 are adjusted for certain items and should be
considered non-GAAP financial measures.  Reconciliation of these non-GAAP financial measures are included as Exhibit 99.1 to our Forms 8-K filed with the Securities and Exchange Commission on
March 12, 2014, May 8, 2014, July 30, 2014 and October 29, 2014


Amedisys Turnaround
Portfolio Rationalization
-
G&A reduced 11% y/y
-
$14MM y/y reduction
40.5%
39.4%
39.5%
42.8%
42.1%
37.0%
38.0%
39.0%
40.0%
41.0%
42.0%
43.0%
44.0%
$76.00
$84.00
$88.00
$92.00
Q313
Q413
Q114
Q214
Q314
$80.00
2.9%
2.5%
1.8%
7.3%
7.9%
0.0%
1.0%
2.0%
3.0%
4.0%
5.0%
6.0%
7.0%
8.0%
9.0%
275
280
285
290
295
300
305
310
315
320
325
Q313
Q413
Q114
Q214
Q314
110
115
120
125
130
127
126
126
117
113
Q313
Q413
Q114
Q214
Q314
Home Health Gross Margin Improvements
Consolidated G&A Expense Reductions
Revenue and EBITDA Margin
7
105
Summary of Exit
Activity
3Q13
3Q14
# of
Locations
Annual
Revenue per
Care Center
($MM)
# of
Locations
Annual
Revenue per
Care Center
($MM)
Home Health
377
2.5
316
3.0
Hospice
94
2.7
80
3.2
Total
471
2.6
396
3.0


8
Adjusted Summary Financials
1
Quarterly
($ in millions, except per share data)
3Q13
4Q13
1Q14
2Q14
3Q14
Net Revenue
$301
$303
$299
$305
$300
Gross Margin %
41.8%
40.9%
41.0%
43.4%
43.3%
Consolidated G&A Expenses
127
126
126
117
113
EBITDA
$9
$8
$5
$22
$24
EBITDA Margin
2.9%
2.5%
1.8%
7.3%
7.9%
EPS
($0.01)
($0.07)
($0.07)
$0.25
$0.28
EPS –
GAAP
($2.89)
($0.30)
($0.39)
$0.24
$0.26
1.
The financial results for the three-month periods ending September 30, 2013, December 31, 2013, March 31, 2014, June 30, 2014 and September 30, 2014 are adjusted for certain items and should be
considered non-GAAP financial measures.  Reconciliation of these non-GAAP financial measures are included as Exhibit 99.1 to our Forms 8-K filed with the Securities and Exchange Commission on
March 12, 2014, May 8, 2014, July 30, 2014 and October 29, 2014


9
Summary Balance Sheet
Assets ($ in MM)
12/31/13
9/30/14
Cash
$17
$6
Accounts Receivable, net
111
103
Property and Equipment
159
141
Goodwill
209
206
Other
230
226
Total Assets
726
682
Liabilities and Equity
Other Liabilities
$157
$148
Senior Debt
47
46
2
nd
Lien Term Loan
--
70
DOJ Settlement Reserve
150
35
Equity
372
383
Total Liabilities and Equity
726
682
Total Leverage Ratio
2.9x
2.1x
Days Sales Outstanding (Net)
32
31


2015 Focus
10
Clinical excellence
Organic growth
Incremental operating efficiency
Disciplined capital allocation strategy
First priority is to provide the best quality care for our patients
Focused on measured outcomes, including patient / family satisfaction and likelihood
to recommend
Continue to target market share capture in home health for organic growth
Hospice growth will be key as we seek to reverse ADC declines
Incremental efficiencies in cost of revenue and field and corporate G&A
Continue to emphasize delevering the balance sheet


11
Contact Information
Dale Redman
Interim Chief Financial Officer
dale.redman@amedisys.com
David Castille
Managing Director, Finance
david.castille@amedisys.com
Amedisys, Inc.
5959 S. Sherwood Forest Blvd.
Baton Rouge, LA 70816
Office: 225.292.2031
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