Here are 1-2 brief analogies for Addus HomeCare (ADUS):

• Like Merry Maids, but for personal and medical home care services.
• Imagine a CVS or Walgreens, but focused on delivering comprehensive personal and medical care services directly to people's homes.

• Personal Care: Provides non-medical assistance with daily living activities, such as bathing, dressing, meal preparation, and companionship, to individuals in their homes.
• Skilled Home Health: Offers medical services delivered by licensed professionals, including nursing care, physical therapy, occupational therapy, and speech therapy, in the patient's home.
• Hospice Care: Delivers specialized care for individuals with life-limiting illnesses, focusing on comfort, pain management, and emotional and spiritual support for both patients and their families.

Major Customers of Addus HomeCare (ADUS)

Addus HomeCare (ADUS) provides in-home care services primarily to individuals, but its revenue streams indicate that the vast majority of payments come from third-party payers rather than directly from individuals. Approximately 82% of Addus's consolidated net revenues in 2023 were derived from government payers and managed care organizations. Therefore, Addus's major "customers" are primarily these institutional payers rather than individuals directly.

Based on its primary revenue sources, Addus HomeCare's major customers fall into the following categories:

1. Managed Care Organizations (MCOs)

These are private health insurance companies that contract with Addus to provide services to their members, particularly those enrolled in Medicare Advantage and Medicaid managed care plans. While Addus does not disclose specific MCOs accounting for more than 10% of its individual revenue, the company partners with many of the largest players in the industry. Prominent MCOs that frequently contract with home care providers and are significant collective payers for Addus's services include:

• UnitedHealth Group (NYSE: UNH)
• Elevance Health (NYSE: ELV) (formerly Anthem)
• Humana Inc. (NYSE: HUM)
• CVS Health (NYSE: CVS) (which owns Aetna)
• Centene Corporation (NYSE: CNC)

2. Government Programs

These federal and state programs are major sources of revenue for Addus, particularly for personal care, skilled home health, and hospice services. While not "companies" in the traditional sense, they are critical payers for the vast majority of Addus's services:

• Medicaid: State-administered programs (often through managed care plans) for low-income individuals. Addus's financial reports note the State of Illinois as a significant single state payer within its Medicaid segment.
• Medicare: The federal health insurance program primarily for people aged 65 or older, and certain younger people with disabilities.
• Veterans Affairs (VA): Provides healthcare services and benefits to eligible military veterans.

3. Private Pay Individuals

A smaller, yet important, segment of Addus's customer base consists of individuals and their families who directly pay for services out-of-pocket. These services are often for non-medical personal care or supplemental care not fully covered by insurance or government programs.

Dirk Allison, Chairman and Chief Executive Officer

Mr. Allison has over 30 years of experience in the healthcare industry. He has served as President and Chief Executive Officer of Correctional Healthcare Companies, and as Chief Executive Officer of CCS Medical, Inc.. Prior to that, he was Senior Vice President, Chief Financial Officer, and Treasurer of Odyssey Healthcare, Inc., which was acquired by Gentiva Health Services, Inc. in 2010. Mr. Allison also held executive financial roles at Omniflight, Inc., Ardent Health Services LLC, and Renal Care Group, Inc.. He joined Addus HomeCare's board of directors in 2010 and became President and Chief Executive Officer in January 2016, later also becoming Chairman of the Board in March 2021.

Heather Dixon, President and Chief Operating Officer

Ms. Dixon was appointed President and Chief Operating Officer in September 2025. She previously served as Chief Financial Officer of Acadia Healthcare, the largest stand-alone behavioral healthcare company in the United States. Her experience also includes serving as Chief Financial Officer of Everside Health and as Senior Vice President, Global Controller, and Chief Accounting Officer of Walgreens Boots Alliance, Inc..

Brian Poff, Executive Vice President and Chief Financial Officer

Mr. Poff joined Addus HomeCare in May 2016. Before Addus, he was Chief Financial Officer and Treasurer of Oceans Healthcare, a private equity-backed multi-state behavioral healthcare provider. He also served as Senior Vice President, Finance, Chief Accounting Officer, and Treasurer for CCS Medical, Inc., where he worked with Dirk Allison. His background also includes roles at AccentCare, Inc., Gentiva Health Services (Division Chief Financial Officer – Hospice Services), Odyssey HealthCare, Inc. (Assistant Controller), and Horizon Health Corporation.

Brad Bickham, Advisor to the Chief Executive Officer

Mr. Bickham currently serves as Advisor to the Chief Executive Officer. Prior to this, he was President and Chief Operating Officer of Addus HomeCare since 2017. He has held various senior leadership positions in both public and private healthcare companies, including Senior Vice President and Chief Legal Officer for United Surgical Partners International. He was also Executive Vice President and Chief Legal Officer for Correctional Healthcare Companies and CCS Medical. Notably, he served as Senior Vice President and General Counsel for Odyssey HealthCare through its acquisition by Gentiva Health Services in 2010.

Darby Anderson, Executive Vice President and Chief Government Relations Officer

Mr. Anderson serves as Executive Vice President and Chief Government Relations Officer for Addus HomeCare. He is noted as one of the few leaders remaining from before 2016, indicating a long tenure with the company.

Key Risks to Addus HomeCare (ADUS)

1. Regulatory and Reimbursement Risks: Addus HomeCare faces significant risks related to the regulatory environment and potential changes in reimbursement policies, particularly from government programs like Medicare and Medicaid. A proposed 6.4% Medicare payment cut for home health payments in 2026 presents a near-term headwind. The company's growth and profitability are susceptible to changes in government regulations, reimbursement rates, and discretionary determinations by government officials. Compliance with evolving laws and regulations also leads to additional expenses and management challenges.
2. Labor Market / Workforce Shortages: A tight labor market is a clear challenge for Addus HomeCare, impacting its ability to maintain and grow its workforce. As a provider of in-home personal care, hospice, and home health services, the availability of qualified caregivers is crucial for service delivery and operational efficiency. Persistent wage inflation is also highlighted as a factor that could undermine optimistic forecasts.
3. Acquisition Integration Risks: Addus HomeCare's growth strategy heavily relies on strategic acquisitions. However, integrating these acquired businesses carries inherent risks, including unexpected costs or the failure to achieve anticipated synergies. Successful integration is critical to realizing the expected benefits from these growth initiatives.

The emergence and aggressive expansion of large, integrated healthcare ecosystems into home-based care. Major players such as CVS Health (via acquisitions like Signify Health), UnitedHealth Group's Optum, Humana, and potentially tech giants like Amazon are leveraging their significant financial scale, technological capabilities (including remote patient monitoring, telehealth, and AI-driven care coordination), and extensive payer/provider networks to offer comprehensive, coordinated home healthcare solutions. This integrated model presents a clear emerging threat to traditional standalone personal care agencies like Addus HomeCare by:

1. Disintermediation: Payers, particularly growing Medicare Advantage plans, are increasingly seeking single-source, value-based contracts that cover a broad spectrum of in-home services. Large integrated entities are better positioned to fulfill these bundled care needs, potentially reducing direct contracts for traditional personal care agencies.
2. Efficiency and Cost Reduction: Through advanced technology and centralized coordination, these integrated systems can potentially deliver care more efficiently, optimizing resource allocation and potentially reducing the total hours of traditional in-person personal care needed, or shifting demand towards tech-supported alternatives.
3. Market Capture: By offering a seamless, end-to-end patient experience across various home-based care needs (from primary care to post-acute and chronic care), these integrated providers can capture a larger share of the overall home care market, potentially limiting growth opportunities for specialized service providers.

Expected Drivers of Future Revenue Growth for Addus HomeCare (ADUS)

• Strategic Acquisitions: Addus HomeCare actively pursues strategic acquisitions to expand its geographic footprint and service offerings. Recent examples include the acquisition of Gentiva's personal care operations, which significantly expanded market coverage and added substantial annualized revenues, and the acquisition of Helping Hands Home Care Services. This strategy allows for increased scale, cross-sell synergies, and enhanced earnings per share.
• Favorable Reimbursement Rate Increases: The company anticipates continued revenue growth from state-level reimbursement rate increases for personal care services. Notably, rate increases in key markets such as Illinois (effective January 1, 2025/2026) and Texas (effective October 1, 2025) are expected to significantly contribute to annualized revenue and maintain favorable margins.
• Organic Growth in Personal Care Services: The Personal Care segment, which constitutes a large portion of Addus's revenue, consistently demonstrates strong organic growth. This is driven by robust demand for home-based care services, increased service hours per client, and successful hiring initiatives to meet this demand. The increasing preference for "aging-in-place" further fuels this segment's expansion.
• Growth in Hospice Services: Addus's hospice care segment is experiencing improving trends and solid organic revenue growth. This growth is attributed to operational adjustments, new sales leadership, and year-over-year increases in admissions, average daily census, patient days, and revenue per patient day.
• Leveraging Technology and Operational Efficiencies: Investments in digital caregiver scheduling applications and other technological solutions are enhancing operational efficiency. These improvements lead to better caregiver retention, higher fill rates, and increased hours delivered, which in turn boost average revenue per client and support the company's ability to meet growing demand.

Share Repurchases

No information regarding significant share repurchases or authorized share repurchase programs by Addus HomeCare was found within the last 3-5 years.

Share Issuance

• Addus HomeCare has issued shares of common stock under restricted stock award agreements, with 28 thousand shares issued during the three months ended September 30, 2025.
• Stock-based compensation expense was $0.18 per diluted share for the third quarter of 2025.

Outbound Investments

• Addus HomeCare has actively pursued acquisitions, completing 16 since 2017 as part of its capital deployment strategy.
• In December 2024, Addus acquired Gentiva's personal care operations, a significant investment contributing to its growth.
• Recent acquisitions in 2025 include Helping Hands Home Care Service Inc. for $21.3 million on August 1, 2025 and Del Cielo Home Care Services for $7.4 million on October 1, 2025. These acquisitions expanded services in Pennsylvania and Texas, respectively.

Capital Expenditures

• Capital expenditures for Addus HomeCare were $6.83 million in 2020, $4.65 million in 2021, $8.30 million in 2022, $9.44 million in 2023, and $6.02 million in 2024.
• The company's primary focus for capital expenditures includes investments in technology to support operations, enhance caregiver work, and improve efficiency and transitions of care.