The Pennant Group, Inc.

Good day, and thank you for standing by. Welcome to the Pinnate Group fourth quarter earnings conference call. At this time, all participants are in a listen-only mode. After the speaker's presentation, there'll be a question-and-answer session. To ask a question during the session, you'll need to press star 11 on your telephone. You'll then hear an automatic message advising your hand is raised. To answer your question, please press star 11 again. Please be advised that today's conference is being recorded. I would like to turn the call over now to Park Cheney. Please go ahead.

Thank you, Lisa. Welcome, everyone, and thank you for joining us today. Here with me today, I have Brent Garasoli, our CEO, John Gochner, our president and COO, and Lynette Waltham, our CFO. Before we begin, I have a few housekeeping matters. We filed our earnings press release in 10-K this morning for you. These are available on the investor relations section of our website at www.finitegroup.com. A replay of this call will also be available on our website until 5 p.m. Mountain Time on February 26, 2027. We want to remind anyone who may be listening to a replay of this call that all statements are made as of today, February 26, 2026, and these statements will not be updated after today's call. Any forward-looking statements made today are based on management's current expectations, assumptions, and beliefs about our business and the environment in which we operate. These statements are subject to risks and uncertainties that could cause our actual results to materially differ from those expressed or implied on today's call. Listeners should not place undue reliance on forward-looking statements and are encouraged to review our SEC filings for a more complete discussion of factors that could impact our results. Except as required by federal securities laws, Pennant and its affiliates do not undertake to publicly update or revise any forward-looking statements where changes arise from new information, future events, or any other reason. In addition, the Pennant Group, Inc. is a holding company with no direct operating assets, employees, or revenues. Certain of our independent subsidiaries, collectively referred to as a service center, provide administrative and other services to the operating subsidiaries through contractual relationships with those subsidiaries. The words pennant, company, we, our, and us refer to the Pennant Group, Inc., and its consolidated subsidiaries. All of our operating subsidiaries and the service center are operated by separate independent companies that have their own management employees and assets. References herein to the consolidated company and its assets and activities, as well as the use of the terms we, us, our, and similar terms do not imply that the Pennant Group, Inc. has direct operating assets, employees, or revenue, or that any of the subsidiaries are operated by the Pennant Group. We supplement our gap reporting with non-gap metrics. When viewed together with our gap results, we believe that these measures can provide a more complete understanding of our business, but they should not be relied upon to the exclusion of gap reports. A gap to non-gap reconciliation is available in yesterday's press release and in our 10-K. With that, I'll turn the call over to Brent Garasoli, our CEO. Brent?

Thanks, Kirk. Good morning, everyone. Before I say anything about our results, I want to take a moment to recognize the local leaders and teams across our organization. This commitment to our patients and residents makes everything we're going to share this morning possible. We're deeply grateful for the daily actions you take in support of our honorable mission to provide life-changing service to the people in your communities. It is your dedication that defines who we are as a company. 2025 was an exceptional year for Pennant. Our fourth quarter adjusted earnings per share of 34 cents contributed to full year 2025 adjusted earnings per share of $1.18, exceeding the midpoint of our updated annual guidance of $1.16. Our full year consolidated results include revenue of $947.7 million, an increase of $252.5 million, or 36.3%. Adjusted EBITDA of $72.5 million, an increase of 19.2 million, or 36%, and adjusted EBITDA prior to NCI of 76.7 million, an improvement of 21.6 million, or 39.2% each over the prior year. In short, we met or exceeded the midpoint of our updated guidance across the board. From day one, 2025 was a year of growth. On January 1st, we completed our acquisition of Signature Healthcare at Home in the Pacific Northwest. and quickly integrated them into our unique operating model, dramatically improving their performance throughout the year. In October, we expanded eastward to the largest acquisition in our history, the purchase of over 50 locations from UnitedHealth and Amedisys, adding meaningful reach in the southeast. We also opportunistically acquired operations and real estate assets in our senior living segment. During this time of rapid growth, We drove progress in our same store operations in both segments and added key leaders in the field and the service center who accelerated our results in 2025 and have positioned us for future success. Our five key focus areas remain the guiding principles that informed our efforts. Leadership development, clinical excellence, employee experience, margin improvement, and growth. We continue to make progress across each of these areas in 2025. On the leadership front, we added more than 100 leaders to our CEO and training program this year. Talented individuals whose skills and entrepreneurial energy will help us unlock additional value in our new and maturing operations. In addition, we elevated another 39 leaders to C-level status within their local operations. We have consistently said that great results begin with great people. As we invest in the right leaders and give them the tools to succeed, we become the employer and provider of choice in our communities. And the results we're reporting today are proof. Now, following a year of tremendous growth, while we remain open to selective and opportunistic acquisitions, we are intensely focused on optimizing performance and driving operational excellence. We must and we will deliver exceptional integrations of our newly acquired operations. The transition of former medicines and United Health Agencies in Tennessee, Georgia, and Alabama is well underway, and we see enormous potential in these locations. Even as we integrate these new assets, we intend to drive growth and improvement in the mature operations across our portfolio, as we have year after year. That focus on operational excellence includes not only top-line growth, but corresponding bottom-line improvement and clinical outperformance. Every one of our local teams is committed to delivering more value in 2026 while maintaining exceptional outcomes for patients and employees. We also intend to continue the upward trajectory of our senior living business. Since the pandemic, we have seen occupancy, revenue, and adjusted EBITDA climb consistently and significantly. There is still substantial opportunity to unlock in our senior living portfolio. And as we continue to add operations and accelerate our flywheel of operational excellence, the growth potential ahead is compelling. Turning to 2026 guidance, as announced in our press release yesterday, we are providing full-year guidance of revenue in the range of 1.13 billion to 1.17 billion, a 22.4% increase at the midpoint. Adjusted EBITDA of 88.5 million to 94.1 million, a 26% increase at the midpoint. Adjusted EBITDA prior to NCI of 94.2 million to 100 million, a 26.7% increase at the midpoint, and adjusted earnings per share in the range of $1.26 to $1.36, with a midpoint of $1.31. Our guidance reflects the readiness of our local leaders, the strength in both of our segments, and the significant upside we expect to continue to unlock in our existing operations, both in the mature portfolio and the newly acquired locations. This guidance is annual, not quarterly, and like prior years, it reflects an anticipated ramp throughout the year, particularly as we transition a significant number of recently acquired operations in the first half. With that, I'll turn the call over to John to provide more detail on our fourth quarter operational results. John?