BrightSpring Health Services: C-Suite Series: 5 Topics for BTSG Management

Research evidence excerpt

BrightSpring Health Services: C-Suite Series: 5 Topics for BTSG Management

IdeaMlevel, we are also interested in how the Specialty landscape is evolving and how

BTSG is positioned to scale in areas such as rare diseases, cell & gene therapy, value-

added services, etc. Key thereapeutics/categories we have been getting questions on:

Revlimid biosimilar, Keytruda and subcutaneous formulation evolution, Stelara

(albeit less exposure), among others where investors will be listening for how these

flow through its Pharmacy Solutions business from a topline and profit perspective.

4. Provider Platform Playbook: Of the remaining subsegments within the Provider

Services segment, Home Health and Rehab Care are both expected to grow faster

than Personal Care (~7% each vs. ~2%). We expect to cover how BTSG can lean into

each of these areas. In particular, BTSG recently completed the acquisition of

Amedisys/LHC within Home Health, which should draw incremental attention to this

segment and thoughts on integration, as well as LT HH strategy/scope with the new

assets (e.g. value-based care initiatives).

5. Tech-Enabled Ambitions, Policy Dynamics, M&A Optionality: BTSG deemed its

goal is to become 'the most technologically advanced operator in healthcare

services.' We would like to hear more about what this entails for BTSG and its plans

to achieve that. We will also refresh BTSG's latest thinking on healthcare policy

such as the impacts of potential drug pricing changes/IRA and home health

initiatives. M&A optionality is an upside lever to LT guidance (~$2B in incremental

capital available through 2028, MSe +2-3% EBITDA growth contribution); we will

ask for insight into the acquisition pipeline and business mix, as well as de novo

expansion.

Please contact our team for call details.