Viemed Healthcare, Inc.

Greetings and welcome to the VI-MED Second Quarter 2023 Earnings Call. At this time, all participants are in a listen-only mode. A brief question and answer session will follow the formal presentation. If anyone should require operator assistance during the conference, please press R0 on your telephone keypad. As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Todd Zender, Chief Operating Officer. Thank you, Todd. You may begin.

Thank you and good morning, everyone. Please note that our remarks in this conference call may include forward-looking statements under the US federal securities laws or forward-looking information under applicable Canadian securities legislation, which we collectively refer to as forward-looking statements. Such statements reflect the company's current views and intentions with respect to future results or events and are subject to certain risks and uncertainties, which could cause actual results or events to vary from those indicated in forward-looking statements. Examples of such risks and uncertainties are discussed in our disclosure documents filed with the SEC or the security regulatory authorities in certain provinces of Canada. Because of these risks and uncertainties, investors should not place undue reliance on forward-looking statements. The forward-looking statements made in this conference call are made as of today and the company undertakes no obligation to update or revise any forward-looking statements except as required by law. The second quarter financial results news release, including the related financial statements, are available on the SEC's website. I'll now turn it over to Casey to get things started.

All right. Thank you, Todd. And good morning, everyone. Welcome to our second quarter 2023 earnings call. Today, we are excited to share a comprehensive overview of our robust business performance, along with a positive forward-looking outlook for the industry. Our organization is positioned exceptionally well to expand our reach and strategically capitalize on prevailing tailwinds in our operating environment. During this period, we've achieved significant organic growth, a testament to our management team and their commitment to continuing to our proven growth model. And we've simultaneously initiated our long-awaited M&A strategy. We are pleased to announce the successful completion of the HMP acquisition on June 1st, which further accelerates our growth engine and broadens our capabilities geographically. This acquisition reinforces our dedication to delivering exceptional patient care while building a larger bi-med team with expanded resources. Before we delve further, I want to take a moment to acknowledge and express our gratitude to our dedicated team of respiratory therapists, behavioral health specialists, staffing professionals, and administrative support staff. Their continuous commitment to delivering best-in-class care to the patients we serve is the driving force behind our outstanding quarter and continued growth for ViMed. As of the end of the second quarter, our ViMed family grew to 974 employees, including 172 new onboarded employees from the H&P team. We are fortunate and excited to welcome the H&P team into our family. The second quarter of 2023 exhibited the strength of our business model. Our revenue results again landed at the top end of our guided range, confirming that even as a larger company, we continue to experience strong growth. Our success is built on a robust and resilient strategy, which has consistently demonstrated its ability to overcome challenges and drive sustainable growth. We are pushing our growth strategy to new heights by executing on strategic and accretive acquisitions that build upon our existing capabilities. These acquisitions serve as powerful catalysts, accelerating the expansion of our comprehensive respiratory offerings in geographic coverage gaps throughout the country. Our back office team is continuously refining our processes for training and culture, which helps drive both organic and synergized inorganic growth. Through the acquisition and integration of HMP, we are demonstrating the value of our well-developed and mature base organization and training programs. We are already seeing tremendous success by sharing our mature complex respiratory model with a strong team at HMP. In the first month of post-close operations, the non-invasive ventilation setups from HMP have experienced significant growth over historic levels. Additionally, we will be training HMP clinicians on the use of our proprietary care delivery technologies, such as Engage. Through this high-tech, high-touch delivery model, we will continue to improve patient outcomes while driving efficiencies for all stakeholders. Our commitment to data-driven decision-making allows us to continuously measure and improve our business performance and patient satisfaction. Our equipment supply chain remains stronger than ever with many new manufacturers competing for our business. We have diversified our sources and forged partnerships with multiple reputable manufacturers safeguarding us against potential disruptions. This enhanced stability in the supply chain allows us to meet the ever-increasing demands of our patients, regardless of fluctuations in the market. This increased competition is stabilizing equipment costs and ensuring that we have adequate supply to meet the needs of our patients. Moreover, the recent H&P acquisition has delivered significant volume pricing favorability, amplifying the advantages we gain due to our scale and the competitive equipment landscape. Our commitment to diversification has yielded substantial success, and the integration of HMP has played a pivotal role in contributing to these efforts. We are now reaching patients earlier in their disease state, expanding our patient base like never before. As of June 30th, we are treating over 96,000 unique patients, a significant increase from the same time last year. Our growing portfolio provides a robust continuum of care solution for patients and pulmonologists, and our early intervention capabilities allows us to treat underlying conditions at the right time. As coordinated care efforts gain prominence, our adoption of sophisticated care services, such as behavioral health addressing social determinants of care going beyond respiratory, this positions us as a leader in patient-centric, as a leading patient-centric provider in the industry. The adoption of innovative technologies, such as portable oxygen concentrators and remote setups of pap devices, has enabled us to expand our portfolios rapidly and in a cost-effective manner. These ventilator-adjacent offerings not only increase the length of our patient relationships, but also allow us to provide timely care for patients as their disease state progresses. Integral to our strategy is our focus on people. ViMed Healthcare staffing is playing a pivotal role in our organization. acting as a driving force behind the identification and recruitment of top tier talent across all economic cycles. Our commitment to finding the best professionals continued to drive remarkable results as evidenced by the significant improvements in both the quality and volume of internal hires. This success not only enhances our workforce, but also reflects our dedication to always developing a thriving and talented team. As our staffing division continues to mature, It has earned the trust and respect of our valued partners and customers. Organizations such as the VA and large regional hospital networks have come to rely on our staffing solutions, recognizing the value we bring in meeting their workforce needs. Our reputation as a dependable and valuable staffing partner has continued to grow, further strengthening our position in the healthcare industry. By continually refining our recruitment strategies and investing in advanced data and analytical tools, We are better equipped to identify and engage with top candidates in the market, and we are consistently prepared to make informed decisions that keep us ahead of the competition. This data-driven approach empowers us to match the right professionals with the right positions, ultimately leading to improved patient care and organizational performance. We continue to see encouraging progress and ongoing collaboration between regulators, legislators, and the home medical equipment industry. Together, we are working to find practical solutions that ensure providers can deliver care to patients effectively. Regarding competitive bidding, although CMS has not announced plans related to future rounds, we have observed that the timeline for a potential round in 2024 for competitive bidding has effectively lapsed. The prevailing signals also strongly suggest that the prospect of the 2025 round is dwindling. We remain confident in the current indicators of a strong reimbursement environment for the coming years, and our business is well positioned in the face of potential macroeconomic challenges, such as a recession and long-term inflation pressures. Additionally, the issuance of the final rule by CMS on April 5th, 2023, marks a significant milestone in the healthcare landscape, particularly in the realms of the Medicare Advantage and Medicare Part D prescription drug benefits. This rule ushers in a host of changes, impacting several key aspects of the programs and signaling a positive direction for the industry as a whole. Included in the provisions are improvements impacting prior authorization, marketing and communications, health equity, provider directories, coverage criteria, network adequacy, and other areas. Importantly, the final rule emphasizes the need to ensure that individuals with Medicare Advantage receive access to the same medically necessary care available in traditional Medicare. This parity in care is a crucial step towards achieving healthcare equity and ensuring that beneficiaries have equitable access to essential medical services, irrespective of their chosen Medicare program. As the healthcare reimbursement environment evolves, driven by Medicare Advantage trends and value-based arrangements, we maintain an optimistic outlook for the demand of our high-quality and cost-effective service offerings. Our unwavering commitment to investing in advanced technology and robust protocols allows us to streamline administrative processes, capture essential data, and demonstrate tangible benefits to patients, physicians, and payers alike. At this juncture, I'll now hand the call over to Chief Operating Officer Todd Zender to provide additional insights regarding our financial results and capital activities. Todd, the floor is yours. All right.