Enhabit to shutter handful of home health locations, ‘close’ to new deal with UnitedHealthcare

Enhabit to shutter handful of home health locations, ‘close’ to new deal with UnitedHealthcare 
Home Health Care News; by Andrew Donlan; 11/7/24 
Enhabit Inc. (NYSE: EHAB) has a new CFO and a somewhat new strategy. It still faces a lot of the same problems. On Thursday, CEO Barb Jacobsmeyer said the company would be closing or consolidating certain locations that are underperforming, specifically when it comes to traditional Medicare business in home health care. While its payer innovation strategy is still intact, that’s largely a departure from its goal of moving more toward Medicare Advantage (MA) revenue over the last couple of years. Specifically, the company has been trying to diversify its revenue mix to become a better partner to referral sources and adjust to a more MA-dominated future. But now, after a strategic review and a battle with the activist investor AREX Capital, it seems to be re-focusing on fee-for-service revenue from traditional Medicare. ...