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    Rishi Parekh • JPMorgan Chase & Co.

    Rishi Parekh's questions to Endo Inc (NDOI) leadership

    Rishi Parekh's questions to Endo Inc (NDOI) leadership • Q1 2025

    Question

    Rishi Parekh questioned the significant EBITDA ramp expected in the second half of 2025, noting Q1 EBITDA represented only 16% of the annual midpoint guidance. He also inquired about gross-to-net trends and the operating performance of individual segments ahead of the planned spin-off.

    Answer

    Mark Bradley, EVP and CFO, affirmed the full-year guidance, attributing the expected second-half ramp to several factors. He explained that XIAFLEX revenues are seasonally stronger in the second half, and revenues from new sterile products like the ADRENALIN RTU bag will also accelerate. This revenue mix will improve gross margins, while operating expenses are expected to decrease after being front-loaded in the first half. Bradley added that Q1 gross-to-net trends were normal and segment performance was in line with expectations.

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    Rishi Parekh's questions to ModivCare Inc (MODV) leadership

    Rishi Parekh's questions to ModivCare Inc (MODV) leadership • Q3 2024

    Question

    Rishi Parekh requested a bridge to the guided 10% adjusted EBITDA growth for 2025, seeking to understand the balance between fee-for-service margin pressure and offsetting factors. He also asked about the 2025 NEMT state contract RFP schedule and the timing of the long-term debt covenant amendment.

    Answer

    CEO L. Sampson attributed the 10% EBITDA growth forecast to ongoing cost savings, operational efficiencies, and growth in PCS and Medicaid MCO contracts, which are expected to offset MA market headwinds. He noted that any 2025 state RFP changes would likely not impact financials until 2026. Sampson clarified the long-term covenant amendment is not tied to audited financials but is in process as the company provides detailed forecasts to its banking partners.

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    Rishi Parekh's questions to ModivCare Inc (MODV) leadership • Q2 2024

    Question

    Rishi Parekh of JPMorgan Chase & Co. asked for clarification on how contract renegotiations benefit payers, the drivers of the second-half EBITDA ramp, the timeline for reaching the leverage target, and the progress on evaluating strategic alternatives.

    Answer

    CEO Heath Sampson explained that payers benefit from better pricing due to ModivCare's platform efficiencies, while early cash collection is a timing adjustment, not an economic concession. The H2 EBITDA ramp is driven by abating redetermination headwinds, new contract wins, and accelerating cost savings. Sampson stated the timeline to reach the 3x leverage target is dependent on which strategic options are pursued, with decisions being driven by economics, not covenants. He declined to specify the progress on evaluating alternatives.

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