AMN Healthcare Services (AMN) investor relations material

Industry trends and demand stabilization

• Total addressable market surged from $24B pre-pandemic to $70B during COVID, now stabilizing at $34–35B with steady growth since.

• Demand and bill rates have stabilized, with contract spend and utilization metrics steady for several quarters.

• Many clients are at or below pre-COVID contract utilization rates, with some shifting back to flexible workforce strategies for cost-effectiveness.

• Emotional overhang from pandemic-era contract spend is dissipating, with focus shifting to sustainable, multi-faceted workforce solutions.

• Technology and predictive analytics are being leveraged to optimize staffing and reduce costs.

Business performance and growth outlook

• Several business lines, including Allied, Schools, and Search, returned to year-over-year growth in Q1; Travel Nurse is near growth, driven by international demand.

• Interim and Locums businesses are expected to return to growth by early 2027, with VMS and Language Services following a similar timeline.

• Long-term plan targets mid-single digit top-line growth and double-digit EBITDA growth, with all business lines expected to be on a positive trajectory by late 2027.

• EBITDA margins are expected to improve gradually, driven by operating leverage and strategic investments in higher-margin services and AI.

• Q1 demonstrated strong platform leverage, especially during strike-related demand spikes.

Competitive landscape and market share

• Market remains fragmented but is seeing increased consolidation, with some mid-sized players merging.

• Maintained or grown market share in most business lines, focusing on winning new clients, expanding services, and increasing fill rates.

• Significant opportunity remains to cross-sell 20 solutions to over 2,000 healthcare organizations.