Extendicare (EXE) investor relations material

Executive summary

• Q1 2026 results showed strong execution of strategy, with organic growth in Home Healthcare, successful acquisitions including the $570 million CBI Home Health deal, and progress in long-term care redevelopment projects.

• Adjusted EBITDA excluding out-of-period items rose 52.2% year-over-year to $44.2 million, with reported Adjusted EBITDA at $52.9 million, up 48.5% from Q1 2025.

• Revenue increased 24.2% year-over-year to $465.2 million, driven by organic growth and acquisitions.

• Net earnings surged 171% to $40.7 million compared to Q1 2025.

• Issued $450 million in senior unsecured notes at 4.345%, maturing April 2031, enhancing capital flexibility.

Financial highlights

• Consolidated Q1 revenue rose 24.2% year-over-year to $465.2 million, with Home Healthcare volume up 32.7%.

• AFFO per basic share rose 55.9% year-over-year to $0.276, and reported at $0.343 including out-of-period items.

• Q1 AFFO improved by 65% to $32.7 million; payout ratio declined to 41% on a trailing 12-month basis.

• Adjusted EBITDA margin improved to 11.4% from 9.5% year-over-year.

• Net earnings per basic share: $0.427 (up from $0.178 year-over-year).

Outlook and guidance

• Expect organic Home Healthcare growth to moderate but remain above long-term trends due to demographic demand.

• Two new long-term care homes scheduled to open in 2026, with a pipeline of 17 projects representing over 3,700 beds.

• Focus for the next few quarters will be on integration of acquisitions and deleveraging, with potential for renewed acquisition activity in 2027.

• Continued investment in technology and efficiency gains anticipated to support margin improvement.

• Management highlights operating leverage from technology-enabled back office and expects further value creation.