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The home health and hospice equivalent of a large hospital chain.

Like a skilled nursing facility (SNF) without the physical building, bringing professional medical care, therapy, and hospice directly into patients' homes.

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• Home Health Services: Provides skilled nursing, therapy, and other medical services to patients recovering from illness or injury in the comfort of their own homes.
• Hospice Services: Offers palliative care, pain management, and emotional and spiritual support to patients with life-limiting illnesses and their families.

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Enhabit (EHAB) primarily provides home health and hospice services to individual patients. While the services are rendered to individuals, the company's revenue largely comes from third-party payers. Given that no single private insurance company accounts for a material portion of Enhabit's revenue (outside of government programs), and the services are directed at individuals, it is most appropriate to describe the categories of patients (individuals) it serves, defined largely by their primary payer source.

Enhabit serves the following three primary categories of customers:

• Medicare Beneficiaries: These are primarily individuals aged 65 and older, or those with certain disabilities, who receive home health or hospice services covered by the federal Medicare program. Medicare is Enhabit's largest single source of revenue, making this a critical customer segment.
• Privately Insured Individuals: This category includes individuals covered by commercial health insurance plans, managed care organizations, or other private payers. These customers vary widely in age and health status and rely on their private insurance benefits to cover the costs of home health and hospice care.
• Medicaid Beneficiaries: These are individuals with low incomes or specific health conditions who qualify for home health or hospice services through state-administered Medicaid programs. This segment provides care to vulnerable populations and represents another significant payer source for Enhabit.

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Barb Jacobsmeyer, President & Chief Executive Officer

Ms. Jacobsmeyer has served as President and Chief Executive Officer of Enhabit since June 2021. Prior to this, she was Encompass Health's Executive Vice President of Operations starting in December 2016. Her leadership experience includes serving as CEO of The Rehabilitation Institute of St. Louis, a partnership of BJC HealthCare and Encompass Health, and as President of Encompass Health's central region. Before joining Encompass Health, she was the CEO for Des Peres Hospital in St. Louis, Missouri. She began her career as a physical therapist and later earned a master's degree in health service management.

Ryan Solomon, Chief Financial Officer

Mr. Solomon has served as Chief Financial Officer of Enhabit since December 2024. He brings over 20 years of corporate strategy and finance experience, including eight years as CFO in the home health and hospice sector. Before joining Enhabit, he was the CFO of Aspirion, a technology-enabled healthcare revenue cycle management provider, and prior to that, CFO of AccentCare, a leader in home health, hospice, and personal care services. Earlier in his career, Mr. Solomon served as CFO of Apple Leisure Group and held finance positions at Alcon Laboratories and American Airlines. His experience includes mergers and acquisitions and corporate development.

Julie Jolley, Executive Vice President, Home Health

Ms. Jolley is the Executive Vice President of Home Health for Enhabit.

Jeanne Kalvaitis, Executive Vice President, Hospice

Ms. Kalvaitis has served as Enhabit's Executive Vice President of Hospice since June 2022. She has more than 30 years of healthcare administrative experience, including serving as Vice President Hospice Operations and Divisional Vice President Clinical Services for Compassus from 2019 to 2021.

Dylan Black, General Counsel and Secretary

Mr. Black has served as General Counsel and Secretary of Enhabit since January 2023. Prior to this role, he was a partner at the law firm Bradley Arant Boult Cummings LLP from 1998 to 2022. He also clerked for the Hon. Harry W. Wellford on the U.S. Court of Appeals for the Sixth Circuit.

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Key Risks for Enhabit (EHAB)

1. Changes in Reimbursement Rates and Regulatory Developments: Enhabit's business is highly susceptible to changes in government healthcare regulations and reimbursement policies, particularly those related to Medicare. Proposed cuts to Medicare home health payment rules have been identified as an "extreme headwind" that could significantly impact patient access to care and necessitate strategic adjustments, including potential branch closures and limitations on technology investments. The shift in payer mix, especially the increase in Medicare Advantage utilization, also presents a challenge, as a substantial portion of Enhabit's revenue was historically tied to Medicare fee-for-service business.
2. Ability to Attract and Retain Healthcare Professionals and Control Labor Costs: The company faces persistent challenges in recruiting and retaining key management personnel and healthcare professionals, including nurses. Competitive labor markets and sustained inflation contribute to higher labor and employee benefit costs, which remain a significant financial strain and a threat to stable margins.
3. Ongoing Margin Pressures and Financial Performance: Enhabit has experienced widening losses over the past five years, and despite projections for future profitability, it continues to face skepticism regarding its ability to deliver consistent expansion. The company has reported mixed financial results, with headwinds impacting overall revenue, and has undertaken measures such as closing or consolidating branches to address its cost structure. Its financial performance, including below-average revenue growth, is a recurring concern.

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The increasing vertical integration of healthcare payors into provider services, particularly home health and hospice, represents a clear emerging threat for Enhabit.

Major insurance companies and healthcare conglomerates, such as UnitedHealth Group (through Optum) and Humana, are actively acquiring or building their own networks of care providers, including physician groups, post-acute care facilities, and home health agencies. By controlling a larger portion of the healthcare continuum, these payors are strategically positioned to direct their members to their owned or preferred provider networks, potentially reducing referrals to independent operators like Enhabit.

This trend could lead to a decline in patient volume for Enhabit, diminished bargaining power for reimbursement rates, and increased competition from entities that have the added leverage of being the payor. This shift in the competitive landscape mirrors historical disruptions where new business models (e.g., streaming services by content creators) challenged traditional independent players.

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Enhabit (symbol: EHAB) operates primarily in two core business segments: home health and hospice care, both within the United States.

Addressable Market Sizes in the U.S.:

• Home Health Care: The U.S. home healthcare services market was valued at approximately $100.95 billion in 2024. This market is projected to grow to $176.30 billion by 2032, demonstrating a Compound Annual Growth Rate (CAGR) of 7.4% from 2025 to 2032.
• Hospice Care: The U.S. hospice care market size was valued at approximately $36.89 billion in 2024. It is projected to reach $67.44 billion by 2031, growing at a CAGR of 8.64% from 2024 to 2031. Another estimate places the market size at $39.0 billion in 2025.

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Enhabit (EHAB) is expected to drive future revenue growth over the next 2-3 years through several key strategies:

1. Continued Expansion and Strong Performance in the Hospice Segment: Enhabit has demonstrated consistent growth in its hospice segment, with increases in average daily census, admissions, and revenue. This segment's strong performance and profitability are anticipated to continue contributing significantly to overall revenue growth.
2. Growth in Non-Medicare Admissions Driven by Payer Innovation Strategy: The company is actively pursuing a payer innovation strategy to expand its non-Medicare admissions. This involves securing new payer contracts and renegotiating existing ones to achieve improved per-visit rates, thereby diversifying its payer mix and increasing revenue.
3. Strategic Opening of De Novo Locations: Enhabit is implementing a de novo strategy, particularly in hospice, by opening new locations. This expansion into new markets or increasing density in existing ones is a direct approach to grow service capacity and patient reach, leading to higher revenue.
4. Improvements in Home Health Admissions and Optimized Care Delivery: Despite some stagnation in overall home health revenue, Enhabit is focused on stabilizing its Medicare average daily census and fostering growth in non-Medicare home health admissions. Strategies include enhancing operational efficiency, managing visits per episode, and utilizing predictive analytics to optimize care delivery and improve patient outcomes.

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Share Issuance

• Enhabit, Inc. was spun off from Encompass Health in July 2022, which represented its primary share issuance event as a public company within this period.
• As of November 3, 2025, the company reported 50,607,075 shares of its common stock outstanding.

Outbound Investments

• Enhabit reported $0 in annual long-term investments for the years 2020, 2021, 2022, 2023, and 2024.
• Quarterly long-term investments also showed $0 through the first quarter of 2025.
• In Q1 2025, the company recorded a $14.7 million gain from the sale of investments, indicating a divestment rather than a new outbound investment.

Capital Expenditures

• Enhabit's capital expenditures have primarily focused on developing de novo (new) home health and hospice locations.
• In 2024, the company opened one home health and five hospice de novo locations, building on seven established in 2022 and 2023.
• As of early 2025, Enhabit had 14 de novo projects in process, including four carried over from 2024, with a strategic emphasis on adding hospice locations adjacent to existing home health operations. The company opened one hospice location in Q1 2025 and two more in Q3 2025, with 13 projects underway in Q1 2025.
• The company also implemented cost structure strategies, including consolidating seven branches in Q1 2025, with plans to close four additional branches by the end of Q2 2025, and transitioned all branches to an outsourced coding resource, expecting $1.5 million in cost savings for the remainder of 2025.