Meghan Holtz's questions to Enhabit (EHAB) leadership • Q2 2025
Question
Meghan Holtz of Jefferies inquired about Enhabit's strategy to mitigate the negative impact of the proposed CMS home health rule and asked for details on a recent payer disruption and the terms of the new national payer contract.
Answer
CFO Ryan Solomon explained that the company has several levers to offset the proposed cuts, with a primary focus on an advanced visits per episode (VPE) initiative that could meaningfully offset the impact. CEO Barb Jacobsmeyer detailed the successful renegotiation of a national payer contract, which resulted in a low double-digit per-visit rate increase. She noted a temporary census disruption but confirmed that volumes were recovering rapidly and were expected to surpass previous levels.