Second Half Margin Improvement
Q: What's driving margin improvement in the second half?
A: Margins are expected to increase to about 5.3%-5.4% EBITDA margin for the full year " , up from 5.1% in the first half. This improvement is due to favorable calendar days, lower payroll taxes, strong volume growth—about 30% in pharmacy solutions and close to 10% in provider services—and operational initiatives focused on lean and automation. " We also anticipate benefits from the hospice final rule in Q4. " "

Guidance Raise and EBITDA Growth
Q: How does the increased guidance reflect on EBITDA growth?
A: We raised our EBITDA guidance by $13 million " , reflecting great momentum in the business. This growth is broad-based across both pharmacy and provider services, leveraging fixed costs and benefiting from operational efficiencies. " We envision similar growth rates into 2025, potentially with upside from additional M&A. "

Oncology Pipeline and Generics Impact
Q: How will upcoming oncology generics affect the business?
A: The oncology pipeline is robust, with over $90 billion of new brand oncology drug launches expected in the next seven years. " Additionally, 11 big brand drugs are going generic over the next 6-7 years, starting with lenalidomide going generic in Q4. " Generic conversions are beneficial and expected to positively impact our business. "

Specialty Pharmacy Growth and LDD Launches
Q: What's driving growth in specialty pharmacy and LDD launches?
A: Growth is driven by brand growth through limited distribution drugs (LDDs), focus on high-value generics, and a large sales force. " We have launched five LDD drugs so far this year and expect to win another 18 in the next 15 months, averaging one per month. " " These LDDs are accretive from day one. "

Acquisition Pipeline and M&A Strategy
Q: Can you elaborate on the acquisition pipeline and strategy?
A: The acquisition pipeline is extremely full. " We focus on highly accretive deals, typically at 4x pro forma EBITDA or less. " Our strategy involves being judicious in selecting opportunities that augment growth while working towards a leverage target of 3x. "

Haven Hospice Acquisition
Q: How does the Haven Hospice acquisition impact the business?
A: Acquiring Haven Hospice provides access to rare Florida Certificates of Need (CONs). " By applying our operational best practices, we aim to grow this into a $15 million-plus EBITDA business over time. " This will strengthen our presence in attractive markets. "

Provider Segment Margin Sustainability
Q: Are the improved provider segment margins sustainable?
A: Yes, the 14% EBITDA margin in the provider segment is sustainable. " This is supported by operational performance, volume growth, and a focus on quality and patient care. "

Home Infusion Business Growth
Q: What's the outlook for the home infusion business?
A: With a presence in about 35 states, we have a strong national footprint. " We're focusing on operational initiatives and investments, expecting home infusion to be a more meaningful driver in 2025 and beyond. "

Cross-Selling and Integrated Care Opportunities
Q: How are you leveraging cross-selling within the provider division?
A: We're investing in resources to drive integrated care opportunities by building out a clinical nursing hub and an integrated care team. " Our data is unified in one data lake, enabling coordinated care across services. "

New Contracts and Market Share Gains
Q: What contributed to recent market share gains?
A: We continue to win significant new business, adding 35,000 to 40,000 new patients or beds from competitors this year. " Our focus on service quality, a high-performing sales team, and technology enablement drives customer preference and growth. "