Guardian Pharmacy Services (GRDN) Raymond James & Associates’ 46th Annual Institutional Investors Conference summary

Business overview and market position

• Focuses on the assisted living segment of long-term care, providing specialized pharmacy services distinct from skilled nursing.

• Operates a tech-enabled platform to ensure safe medication administration and adherence, improving outcomes and reducing costs.

• Holds about 12% U.S. market share in a $7 billion assisted living pharmacy market, serving 186,000 residents through 51 pharmacies.

• The market is highly fragmented, with significant growth opportunities as most competitors are small independents.

• Residents are typically 87 years old, private pay, and require complex medication regimens.

Financial performance and guidance

• Reported Q4 revenue growth of 21% and adjusted EBITDA growth of 30%, aided by flu and COVID vaccine clinics.

• Full-year 2024 revenue grew 17% and adjusted EBITDA rose 19%.

• 2025 guidance projects $1.33–$1.35 billion in revenue and $97–$101 million in adjusted EBITDA, with a 9% EBITDA growth rate.

• Margins remain stable, with SG&A trending down and adjusted EBITDA margin trending up.

• Q4 included $2 million incremental revenue from vaccine clinics, which shifted from a loss in 2023 to slight profitability in 2024.

Growth strategy and M&A

• Pursues growth through organic expansion, new facility adoption, contiguous market expansion, and M&A.

• M&A targets are independent operators in national account-rich territories, aiming for integration and margin improvement over 2–4 years.

• Attractive returns on M&A, with examples of acquisitions at low multiples and strong margin potential.

• Nine of 51 pharmacies are new and scaling up, expected to contribute more in 2025.

• Little to no leverage, with disciplined capital stewardship.