GlobeNewswire Inc | Jul 28, 2020 04:05PM EDT

July 28, 2020

BATON ROUGE, La., July 28, 2020 (GLOBE NEWSWIRE) -- Amedisys, Inc. (NASDAQ: AMED) today reported its financial results for the three and six-month period ended June30, 2020.

Three-Month Periods Ended June30, 2020 and 2019

-- Net service revenue decreased $8.0million to $485.0million compared to $493.0million in 2019. -- Net income attributable to Amedisys, Inc. of $34.7million compared to $33.7million in 2019. -- Net income attributable to Amedisys, Inc. per diluted share of $1.04 compared to $1.02 in 2019.

Adjusted Quarterly Results*

-- Adjusted EBITDA of $66.4million compared to $61.4million in 2019. -- Adjusted net service revenue of $485.0million compared to $498.5million in 2019. -- Adjusted net income attributable to Amedisys, Inc. of $44.5million compared to $39.9million in 2019. -- Adjusted net income attributable to Amedisys, Inc. per diluted share of $1.34 compared to $1.21 in 2019.

Six-Month Periods Ended June30, 2020 and 2019

-- Net service revenue increased $16.4million to $976.7million compared to $960.3million in 2019. -- Net income attributable to Amedisys, Inc. of $66.5million compared to $65.0million in 2019. -- Net income attributable to Amedisys, Inc. per diluted share of $2.00 compared to $1.98 in 2019.

Adjusted Year to Date Results*

-- Adjusted EBITDA of $119.7million compared to $116.2million in 2019. -- Adjusted net service revenue of $976.7million compared to $966.3million in 2019. -- Adjusted net income attributable to Amedisys, Inc. of $79.3million compared to $76.3million in 2019. -- Adjusted net income attributable to Amedisys, Inc. per diluted share of $2.39 compared to $2.32 in 2019.

* See pages 13-15 for the definition and reconciliations of non-GAAP financial measures to GAAP measures.

Paul B. Kusserow, President and Chief Executive Officer stated, I am very proud of our second quarter results which have allowed us to reissue our full year 2020 guidance ranges, but once again, more proud of our employees that delivered these results during such a momentous and unprecedented time in our nations history. Our front-line heroes continue to provide the highest quality care to our patients, wherever they call home even in the face of this Public Health Emergency. They have adapted to our COVID-19 policies and procedures, utilized PPE to protect both themselves and our patients, quickly implemented telehealth for additional patient touch points and have gone above and beyond to be great partners to our referral sources. The pandemic continues to highlight the importance of caring for people in their homes, wherever they call home, and as such has positioned Amedisys for continued growth in the future. A special thank you to all our essential healthcare workers - you are true heroes and none of this would be possible without you.

2020 Guidance

-- Net service revenue is anticipated to be in the range of $2.040billion to $2.070billion. -- Adjusted EBITDA is anticipated to be in the range of $245million to $255million. -- Adjusted diluted earnings per share is anticipated to be in the range of $4.84 to $5.06 based on an estimated 33.4million shares outstanding.

This guidance excludes the effects of any future acquisitions, if any are made.

We urge caution in considering the current trends and 2020 guidance disclosed in this press release. The home health, hospice and personal care industries are highly competitive and subject to intensive regulations, and trends are subject to numerous factors, risks, and uncertainties, some of which are referenced in the cautionary language below and others that are described more fully in our reports filed with the Securities and Exchange Commission (SEC) including our Annual Report on Form 10-K for the fiscal year ended December31, 2019, subsequent Quarterly Reports on Form 10-Q, and current reports on Form 8-K which can be found on the SECs internet website, http://www.sec.gov, and our internet website, http://www.amedisys.com.

Earnings Call and Webcast Information

Amedisys will host a conference call on Wednesday, July29, 2020, at 11:00 a.m. ET to discuss its second quarter results. To participate on the conference call, please call before 11:00 a.m. ET to either (877) 524-8416 (Toll-Free) or (412) 902-1028 (Toll). A replay of the conference call will be available through August29, 2020 by dialing (877) 660-6853 (Toll-Free) or (201) 612-7415 (Toll) and entering conference ID #13706583.

A live webcast of the call will be accessible through our website on our Investor Relations section at the following web address: http://investors.amedisys.com.

Non-GAAP Financial Measures

This press release includes reconciliations of the most comparable financial measures calculated and presented in accordance with accounting principles generally accepted in the U.S. (GAAP) to non-GAAP financial measures. The non-GAAP financial measures as defined under SEC rules are as follows: (1)adjusted EBITDA, defined as net income attributable to Amedisys, Inc. before provision for income taxes, net interest expense and depreciation and amortization, excluding certain items; (2)adjusted net service revenue, defined as net service revenue excluding certain items; (3)adjusted other operating income, defined as other operating income excluding certain items; (4)adjusted net income attributable to Amedisys, Inc., defined as net income attributable to Amedisys, Inc. excluding certain items; and (5)adjusted net income attributable to Amedisys, Inc. per diluted share, defined as net income attributable to Amedisys, Inc. common stockholders per diluted share excluding certain items. Management believes that these non-GAAP financial measures, when reviewed in conjunction with GAAP financial measures, are useful gauges of our current performance and are also included in internal management reporting. These non-GAAP financial measures should be considered in addition to, and not more meaningful than or as an alternative to the GAAP financial measures presented in this earnings release and the companys financial statements. Non-GAAP measures as presented herein may not be comparable to similarly titled measures reported by other companies since not all companies calculate these non-GAAP measures consistently.

Additional information

Amedisys, Inc. (the Company) is a leading healthcare at home company delivering personalized home health, hospice and personal care. Amedisys is focused on delivering the care that is best for our patients, whether that is home-based personal care; recovery and rehabilitation after an operation or injury; care focused on empowering our patients to manage a chronic disease; or hospice care at the end of life. More than 2,600 hospitals and 67,000 physicians nationwide have chosen Amedisys as a partner in post-acute care. Founded in 1982, headquartered in Baton Rouge, LA with an executive office in Nashville, TN, Amedisys is a publicly held company. With more than 21,000 employees in 526 care centers within 39 states and the District of Columbia, Amedisys is dedicated to delivering the highest quality of care to the doorsteps of more than 415,000 patients and clients in need every year. For more information about the Company, please visit: www.amedisys.com.

We use our website as a channel of distribution for important company information. Important information, including press releases, investor presentations and financial information regarding our company, is routinely posted on and accessible on the Investor Relations subpage of our website, which is accessible by clicking on the tab labeled Investors on our website home page. Visitors to our website can also register to receive automatic e-mail and other notifications alerting them when new information is made available on the Investor Relations subpage of our website.

Forward-Looking Statements

When included in this press release, words like believes, belief, expects, strategy, plans, anticipates, intends, projects, estimates, may, might, could, would, should and similar expressions are intended to identify forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. These forward-looking statements involve a variety of risks and uncertainties that could cause actual results to differ materially from those described therein. These risks and uncertainties include, but are not limited to the following: the impact of the novel coronavirus pandemic (COVID-19), including the measures that have been and may be taken by governmental authorities to mitigate it, on our business, financial condition and results of operations, changes in or our failure to comply with existing federal and state laws or regulations or the inability to comply with new government regulations on a timely basis, changes in Medicare and other medical payment levels, our ability to open care centers, acquire additional care centers and integrate and operate these care centers effectively, competition in the healthcare industry, changes in the case mix of patients and payment methodologies, changes in estimates and judgments associated with critical accounting policies, our ability to maintain or establish new patient referral sources, our ability to consistently provide high-quality care, our ability to attract and retain qualified personnel, our ability to keep our patients and employees safe, changes in payments and covered services by federal and state governments, future cost containment initiatives undertaken by third-party payors, our access to financing, our ability to meet debt service requirements and comply with covenants in debt agreements, business disruptions due to natural disaster, acts of terrorism, widespread protest or civil unrest, our ability to integrate, manage and keep our information systems secure, our ability to realize the anticipated benefits of acquisitions and changes in law or developments with respect to any litigation relating to the Company, including various other matters, many of which are beyond our control.

Because forward-looking statements are inherently subject to risks and uncertainties, some of which cannot be predicted or quantified, you should not rely on any forward-looking statement as a prediction of future events. We expressly disclaim any obligation or undertaking and we do not intend to release publicly any updates or changes in our expectations concerning the forward-looking statements or any changes in events, conditions or circumstances upon which any forward-looking statement may be based, except as required by law.

Contact: Investor Contact: Media Contact: Amedisys, Inc. Amedisys, Inc. Nick Muscato Kendra Kimmons Vice President, Strategic VicePresident,Marketing& Finance Communications (855) 259-2046 (225) 299-3720 IR@amedisys.com kendra.kimmons@amedisys.com

AMEDISYS, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Amounts in thousands, except per share data) (Unaudited)

FortheThree-Month FortheSix-Month PeriodsEndedJune 30, PeriodsEndedJune 30, 2020 2019 2020 2019 Net service revenue $ $ $ $ 485,059 492,984 976,744 960,324Other operating income ? ? 22,780 22,780Cost of service, excluding depreciation 295,228 290,752 580,965 566,026 and amortizationGeneral and administrative expenses:Salaries and benefits 105,617 98,356 207,183 193,186Non-cash compensation 6,725 5,538 12,634 12,153Other 44,003 48,408 93,268 91,810Depreciation and 6,334 5,179 8,074 amortization 11,672Operating expenses 457,907 448,233 905,722 871,249Operating income 49,932 44,751 93,802 89,075Other income (expense): Interest income 214 20 227 44 Interest expense ) ) ) ) (2,752 (4,332 (5,983 (7,681Equity in earnings from 487 3,716 964 4,932 equity method investmentsMiscellaneous, net ) 193 ) 429 (2,703 (2,440 Total other expense, ) (403 ) ) )net (4,754 (7,232 (2,276Income before income taxes 45,178 44,348 86,570 86,799Income tax expense ) ) ) ) (10,031 (10,308 (19,377 (21,186Net income 35,147 34,040 67,193 65,613Net income attributableto noncontrolling (473 ) (298 ) (717 ) (567 )interestsNet income attributable $ $ $ $ to Amedisys, Inc 34,674 33,742 66,476 65,046Basic earnings per common share:Net income attributableto Amedisys, Inc. common $ 1.07 $ 1.05 $ 2.05 $ 2.03 stockholdersWeighted average shares outstanding 32,412 32,075 32,371 32,038Diluted earnings per common share:Net income attributableto Amedisys, Inc. common $ 1.04 $ 1.02 $ 2.00 $ 1.98 stockholdersWeighted average shares outstanding 33,285 32,933 33,259 32,913

AMEDISYS, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS (Amounts in thousands, except share data)

June30, 2020 December31, (unaudited) 2019ASSETS Current assets: Cash and cash equivalents $ 177,278 $ 30,294 Restricted cash 3,049 66,196 Patient accounts receivable 249,030 237,596 Prepaid expenses 10,788 8,243 Other current assets 9,395 8,225 Total current assets 449,540 350,554 Property and equipment, net of accumulated 25,007 28,113 depreciation of $100,963 and $96,137Operating lease right of use assets 92,904 84,791 Goodwill 937,088 658,500 Intangible assets, net of accumulated 81,813 64,748 amortization of $12,649 and $7,044Deferred income taxes 25,463 21,427 Other assets 33,673 54,612 Total assets $ $ 1,645,488 1,262,745 LIABILITIES AND EQUITY Current liabilities: Accounts payable $ 33,383 $ 31,259 Payroll and employee benefits 128,275 120,877 Accrued expenses 169,722 137,111 Provider relief fund advance 70,000 ? Current portion of long-term obligations 10,718 9,927 Current portion of operating lease liabilities 29,950 27,769 Total current liabilities 442,048 326,943 Long-term obligations, less current portion 392,713 232,256 Operating lease liabilities, less current portion 61,611 56,128 Other long-term obligations 26,857 5,905 Total liabilities 923,229 621,232 Equity: Preferred stock, $0.001 par value, 5,000,000 ? ? shares authorized; none issued or outstandingCommon stock, $0.001 par value, 60,000,000 sharesauthorized; 36,831,298 and 36,638,021 shares 37 37 issued; and 32,442,719 and 32,284,051 sharesoutstandingAdditional paid-in capital 665,580 645,256 Treasury stock, at cost 4,388,579 and 4,353,970 ) )shares of common stock (257,625 (251,241Accumulated other comprehensive income ? 15 Retained earnings 312,859 246,383 Total Amedisys, Inc. stockholders? equity 720,851 640,450 Noncontrolling interests 1,408 1,063 Total equity 722,259 641,513 Total liabilities and equity $ $ 1,645,488 1,262,745

AMEDISYS, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS AND DAYS REVENUE OUTSTANDING (Amounts in thousands, except statistical information) (Unaudited)

FortheThree-Month FortheSix-Month PeriodsEnded June30, PeriodsEnded June30, 2020 2019 2020 2019 Cash Flows from Operating Activities:Net income $ 35,147 $ $ 67,193 $ 65,613 34,040Adjustments toreconcile net incometo net cash provided by operatingactivities:Depreciation and 6,334 5,179 11,672 8,074 amortizationNon-cash compensation 6,725 5,538 12,634 12,153 Non-cash 401(k) ? 2,307 ? 4,686 employer matchAmortization andimpairment of 9,500 9,150 18,558 17,495 operating lease rightof use assets(Gain) loss ondisposal of property (149 ) 2 (94 ) (2 )and equipmentLoss on sale of equity 2,980 ? 2,980 ? method investmentWrite-off of other ? ? (15 ) ? comprehensive incomeDeferred income taxes (5,264 ) 2,606 (4,036 ) 5,875 Equity in earnings from equity method (487 ) (3,716 ) (964 ) (4,932 )investmentsAmortization ofdeferred debt issuance 217 220 437 433 costs/debt discountReturn on equity 375 117 2,744 842 investmentChanges in operatingassets andliabilities, net of impact ofacquisitions:Patient accounts 34,456 ) 8,997 )receivable (1,832 (24,165Other current assets 2,287 2,292 (3,469 ) (8,343 )Other assets (1,092 ) 282 (675 ) (56 )Accounts payable (3,779 ) 1,665 (6,452 ) (9,475 )Accrued expenses 38,326 27,990 29,262 10,424Other long-term 17,686 (37 ) 20,746 (181 )obligationsOperating lease (8,233 ) ) ) )liabilities (8,061 (16,365 (16,200Operating lease right (1,107 ) (910 ) (1,924 ) (1,754 )of use assetsNet cash provided by 79,325 operating activities 133,922 59,266 139,957 Cash Flows from Investing Activities:Proceeds from sale ofdeferred compensation 5 5 21 213 plan assetsProceeds from the saleof property and 68 81 80 146 equipmentPurchases of property (267 ) ) (1,701 ) (2,693 )and equipment (1,495Investments in equity (875 ) (90 ) (875 ) (210 )method investeesProceeds from sale ofequity method 17,876 ? 17,876 ? investmentAcquisitions of businesses, net of (230,374 ) (17,547 ) (299,723 ) (345,414 )cash acquiredNet cash used in ) ) ) )investing activities (213,567 (19,046 (284,322 (347,958 Cash Flows from Financing Activities:Proceeds from issuanceof stock upon exercise 1,763 987 2,947 1,343 of stock optionsProceeds from issuanceof stock to employee 826 752 1,686 1,534 stock purchase planShares withheld to pay taxes on non-cash (2,334 ) (1,802 ) (6,384 ) (4,490 )compensationNoncontrolling (12 ) (91 ) (372 ) (457 )interest distributionProceeds from borrowings under term ? ? ? 175,000 loanProceeds fromborrowings under revolving line of 237,000 23,000 424,500 184,500creditRepayments ofborrowings under ) ) ) )revolving line of (222,000 (58,000 (259,500 (92,000creditPrincipal payments of (3,083 ) ) (4,675 ) (2,277 )long-term obligations (1,718Debt issuance costs ? ? ? (847 )Provider relief fund 70,000 ? 70,000 ? advanceNet cash provided by (used in) financing 82,160 (36,872 ) 228,202 262,306 activitiesNet increase(decrease) in cash, 2,515 3,348 83,837 (6,327 )cash equivalents andrestricted cashCash, cash equivalents and restricted cash at 177,812 10,554 96,490 20,229 beginning of periodCash, cash equivalents and restricted cash at $ 180,327 $ 13,902 $ 180,327 $ 13,902 end of period

SupplementalDisclosures of Cash FlowInformation:Cash paid for $ $ $ $ interest 1,537 3,462 3,292 4,187Cash paid forincome taxes, net $ $ $ $ of refunds 2,881 7,445 8,153 7,849receivedCash paid for operating lease $ 9,340 $ 8,971 $ 18,289 $ 17,954 liabilitiesCash paid forfinance lease $ 487 $ 408 $ 986 $ 792 liabilities SupplementalDisclosures of Non-CashActivity:Right of useassets obtained in exchange for $ 12,454 $ 10,488 $ 18,891 $ 102,231 operating leaseliabilitiesRight of useassets obtained in exchange for $ 233 $ 998 $ 487 $ 1,806 finance leaseliabilitiesReductions toright of useassets resulting $ 248 $ 286 $ 407 $ 911 from reductionsto operatinglease liabilitiesDays revenue 41.1 outstanding (1) 42.0 41.1 42.0

(1) Our calculation of days revenue outstanding at June30, 2020 and 2019 is derived by dividing our ending patient accounts receivable by our average daily patient revenue for the three-month periods ended June30, 2020 and 2019, respectively.

AMEDISYS, INC. AND SUBSIDIARIES SEGMENT INFORMATION (Amounts in millions, except statistical information) (Unaudited)

Segment Information - Home Health

For the Three-Month Periods Ended June30, 2020 2019 Financial Information (in millions): Medicare $ 192.9 $ 219.1 Non-Medicare 97.3 99.5 Net service revenue 290.2 318.6 Other operating income 15.1 ? Cost of service 184.0 187.8 Gross margin 121.3 130.8 Other operating expenses 73.1 75.1 Operating income $ 48.2 $ 55.7 Same Store Growth (1): Medicare revenue (12 %) 6 %Non-Medicare revenue (2 %) 17 %Total admissions (9 %) 7 %Total volume (2) (2 %) 6 %Key Statistical Data - Total (3): Admissions 74,327 81,763 Recertifications 47,628 43,361 Total volume 121,955 125,124 Medicare completed episodes (6) 68,660 77,939 Average Medicare revenue per completed episode $ 2,818 $ 2,885 (4) (6)Medicare visits per completed episode (5) (6) 15.4 17.3 Visiting Clinician Cost per Visit $ 93.17 $ 81.97 Clinical Manager Cost per Visit $ 9.42 $ 7.65 Total Cost per Visit $ 102.59 $ 89.62 Visits 1,793,652 2,096,486

For the Six-Month Periods Ended June30, 2020 2019 Financial Information (in millions): Medicare $ 396.8 $ 432.5 Non-Medicare 197.0 196.2 Net service revenue 593.8 628.7 Other operating income 15.1 ? Cost of service 363.8 373.5 Gross margin 245.1 255.2 Other operating expenses 149.8 147.5 Operating income $ 95.3 $ 107.7 Same Store Growth (1): Medicare revenue (8 %) 5 %Non-Medicare revenue ? % 20 %Total admissions (3 %) 7 %Total volume (2) (1 %) 6 %Key Statistical Data - Total (3): Admissions 160,302 165,732 Recertifications 88,169 85,156 Total volume 248,471 250,888 Medicare completed episodes (6) 144,296 153,422 Average Medicare revenue per completed episode $ 2,774 $ 2,862 (4) (6)Medicare visits per completed episode (5) (6) 15.6 17.2 Visiting Clinician Cost per Visit $ 88.41 $ 81.51 Clinical Manager Cost per Visit $ 9.19 $ 7.83 Total Cost per Visit $ 97.60 $ 89.34 Visits 3,727,097 4,181,574

(1) Same store information represents the percent change in our Medicare, Non-Medicare and Total revenue, admissions or volume for the period as a percent of the Medicare, Non-Medicare and Total revenue, admissions or volume of the prior period. Effective July1, 2019, same store is defined as care centers that we have operated for at least the last twelve months and startups that are an expansion of a same store care center. (2) Total volume includes all admissions and recertifications. (3) Total includes acquisitions and denovos.(4) Average Medicare revenue per completed episode is the average Medicare revenue earned for each Medicare completed episode of care. Average Medicare revenue per completed episode for the three and six-month periods ended June 30, 2020 reflects the suspension of sequestration effective May 1, 2020. Additionally, average Medicare revenue per completed episode for the six-month period ended June30, 2020 reflects the transition to PDGM during the year and therefore includes reimbursement under both the 60-day episode of care (pre-PDGM) payment rate and the 30-day period of care (PDGM) payment rate. (5) Medicare visits per completed episode are the home health Medicare visits on completed episodes divided by the home health Medicare episodes completed during the period. (6) Prior year amounts have been recast to conform to the current year calculation.

Segment Information - Hospice

FortheThree-MonthPeriods Ended June30, 2020 2019 Financial Information (in millions): Medicare $ 167.0 $ 145.8 Non-Medicare 10.1 7.4 Net service revenue 177.1 153.2 Other operating income 7.2 ? Cost of service 97.2 87.3 Gross margin 87.1 65.9 Other operating expenses 41.4 35.3 Operating income $ 45.7 $ 30.6 Same Store Growth (1): Medicare revenue 4 % 1 %Hospice admissions (1 %) 7 %Average daily census ? % 5 %Key Statistical Data - Total (2): Hospice admissions 11,411 10,430 Average daily census 12,513 11,427 Revenue per day, net $ 155.51 $ 147.27 Cost of service per day $ 85.34 $ 83.96 Average discharge length of stay 94 98

FortheSix-MonthPeriods Ended June30, 2020 2019 Financial Information (in millions): Medicare $ 327.5 $ 276.5 Non-Medicare 19.0 13.7 Net service revenue 346.5 290.2 Other operating income 7.2 ? Cost of service 189.0 161.4 Gross margin 164.7 128.8 Other operating expenses 80.7 64.7 Operating income $ 84.0 $ 64.1 Same Store Growth (1): Medicare revenue 5 % 5 %Hospice admissions ? % 6 %Average daily census 2 % 7 %Key Statistical Data - Total (2): Hospice admissions 22,729 20,141 Average daily census 12,279 10,709 Revenue per day, net $ 155.04 $ 149.72 Cost of service per day $ 84.58 $ 83.25 Average discharge length of stay 96 98

(1) Same store information represents the percent change in our Medicare revenue, Hospice admissions or average daily census for the period as a percent of the Medicare revenue, Hospice admissions or average daily census of the prior period. Effective July1, 2019, same store is defined as care centers that we have operated for at least the last twelve months and startups that are an expansion of a same store care center. (2) Total includes acquisitions and denovos.

Segment Information - Personal Care

FortheThree-MonthPeriods Ended June30, 2020 2019Financial Information (in millions): Medicare $ ? $ ?Non-Medicare 17.7 21.2Net service revenue 17.7 21.2Other operating income 0.5 ?Cost of service 14.1 15.6Gross margin 4.1 5.6Other operating expenses 3.0 3.2Operating income $ 1.1 $ 2.4 Key Statistical Data - Total (1): Billable hours 642,720 848,245Clients served 9,956 12,962Shifts 282,207 382,287Revenue per hour $ 27.58 $ 25.01Revenue per shift $ 62.80 $ 55.49Hours per shift 2.3 2.2

For the Six-Month Periods Ended June30, 2020 2019Financial Information (in millions): Medicare $ ? $ ?Non-Medicare 36.4 41.4Net service revenue 36.4 41.4Other operating income 0.5 ?Cost of service 28.2 31.1Gross margin 8.7 10.3Other operating expenses 6.4 6.4Operating income $ 2.3 $ 3.9 Key Statistical Data - Total (1): Billable hours 1,394,797 1,681,862Clients served 12,936 14,687Shifts 615,671 758,469Revenue per hour $ 26.12 $ 24.60Revenue per shift $ 59.17 $ 54.56Hours per shift 2.3 2.2

(1) Total includes acquisitions.

Segment Information - Corporate

FortheThree-MonthPeriods Ended June30, 2020 2019Financial Information (in millions): Other operating expenses $ 40.3 $ 40.2Depreciation and amortization 4.8 3.7Total operating expenses $ 45.1 $ 43.9

FortheSix-MonthPeriods Ended June30, 2020 2019Financial Information (in millions): Other operating expenses $ 79.2 $ 81.5Depreciation and amortization 8.6 5.1Total operating expenses $ 87.8 $ 86.6

AMEDISYS, INC. AND SUBSIDIARIES RECONCILIATION OF NON-GAAP FINANCIAL MEASURES TO GAAP MEASURES (Amounts in thousands) (Unaudited)

Adjusted Earnings Before Interest, Taxes, Depreciation and Amortization (Adjusted EBITDA) Reconciliation:

For the Three- For the Six- Month Periods Month Periods Ended June30, Ended June30, 2020 2019 2020 2019 Net income attributable to $ 34,674 $ 33,742 $ 66,476 $ 65,046 Amedisys, Inc.Add: Income tax expense 10,031 10,308 19,377 21,186Interest expense, net 2,538 4,312 5,756 7,637Depreciation and amortization 6,334 5,179 11,672 8,074Certain items (1) 13,313 8,257 17,349 15,171Interestcomponent of ) ) (892 ) (887 )certain items (446 (446(1)Adjusted EBITDA $ $ $ $ (2) (7) 66,444 61,352 119,738 116,227

Adjusted Net Service Revenue Reconciliation:

For the Three- For the Six- Month Periods Month Periods Ended June30, Ended June30, 2020 2019 2020 2019Net service revenue $ $ $ $ 485,059 492,984 976,744 960,324Add: Certain items (1) ? 5,515 ? 5,993Adjusted net service revenue $ $ $ $ (3) (7) 485,059 498,499 976,744 966,317

Adjusted Other Operating Income Reconciliation:

For the Three- For the Six- Month Periods Month Periods Ended June30, Ended June30, 2020 2019 2020 2019Other operating income $ 22,780 $ ? $ 22,780 $ ?Add: Certain items (1) ) ? ) ? (22,780 (22,780Adjusted other operating income $ ? $ ? $ ? $ ?(4) (7)

Adjusted Net Income Attributable to Amedisys, Inc Reconciliation:

For the Three- For the Six- Month Periods Month Periods Ended June30, Ended June30, 2020 2019 2020 2019Net income attributable to $ $ $ $ Amedisys, Inc. 34,674 33,742 66,476 65,046Add: Certain items (1) 9,852 6,110 12,839 11,226Adjusted net income attributable to Amedisys, Inc. $ 44,526 $ 39,852 $ 79,315 $ 76,272(5) (7)

Adjusted Net Income Attributable to Amedisys, Inc. per Diluted Share Reconciliation:

For the Three- For the Six- Month Periods Month Periods Ended June30, Ended June30, 2020 2019 2020 2019Net income attributable to Amedisys, Inc. common stockholders per diluted $ 1.04 $ 1.02 $ 2.00 $ 1.98shareAdd: Certain items (1) 0.30 0.19 0.39 0.34Adjusted net income attributable to Amedisys, Inc. common stockholders per $ 1.34 $ 1.21 $ 2.39 $ 2.32diluted share (6)(7)

(1) The following details the certain items for the three and six-month periods ended June30, 2020 and 2019:

Certain Items:

FortheThree-MonthPeriod FortheSix-MonthPeriod EndedJune30,2020 EndedJune30,2020 (Income) Expense (Income) ExpenseCertain ItemsImpacting Other Operating Income:CARES Act & State $ (22,780 ) $ (22,780 )COVID-19 grantsCertain ItemsImpacting Cost of Service:COVID-19 costs 21,993 23,010 Severance-reductions 5,183 5,183 in staffing levelsCertain ItemsImpacting Operating Expenses:Acquisition and 3,599 5,935 integration costsCOVID-19 costs 1,051 1,063 Severance-reductions 271 271 in staffing levelsCertain ItemsImpacting Total Other Income(Expense):Interest component 446 892 of certain itemsOther (income) 3,550 3,775 expense, netTotal $ 13,313 $ 17,349 Net of tax 9,852 12,839 Diluted EPS $ 0.30 $ 0.39

FortheThree-MonthPeriod FortheSix-MonthPeriod EndedJune30,2019 Ended June30,2019 (Income) Expense (Income) ExpenseCertain ItemsImpacting Net Service Revenue:Contingency $ 5,523 $ 6,541 accrualPlanned closures (8 ) (548 )(8)Certain ItemsImpacting Cost of Service:Planned closures 313 1,157 (8)Certain ItemsImpacting OperatingExpenses:Planned closures 69 157 (8)Acquisition and 4,494 10,252 integration costsLegal fees - 108 (24 )non-routineCertain ItemsImpacting Total Other Income(Expense):Interest component 446 887 of certain itemsOther (income) (2,688 ) (3,251 )expense, netTotal $ 8,257 $ 15,171 Net of tax 6,110 11,226 Diluted EPS $ 0.19 $ 0.34

(2) Adjusted EBITDA is defined as net income attributable to Amedisys, Inc. before provision for income taxes, net interest expense and depreciation and amortization, excluding certain items as described in footnote 1. (3) Adjusted net service revenue is defined as net service revenue excluding certain items as described in footnote 1. (4) Adjusted other operating income is defined as other operating income excluding certain items as described in footnote 1.(5) Adjusted net income attributable to Amedisys, Inc. is defined as net income attributable to Amedisys, Inc. calculated in accordance with GAAP excluding certain items as described in footnote 1. (6) Adjusted net income attributable to Amedisys, Inc. common stockholders per diluted share is defined as diluted income per share calculated in accordance with GAAP excluding the earnings per share effect of certain items as described in footnote 1. (7) Adjusted EBITDA, adjusted net service revenue, adjusted other operating income, adjusted net income attributable to Amedisys, Inc. and adjusted net income attributable to Amedisys, Inc. common stockholders per diluted share should not be considered as an alternative to, or more meaningful than, income before income taxes or other measures calculated in accordance with GAAP. These calculations may not be comparable to a similarly titled measure reported by other companies, since not all companies calculate these non-GAAP financial measures in the same manner. (8) Planned closures consist of in-patient units acquired from Compassionate Care Hospice whose operations ceased in April 2019.