AMN Healthcare Investor Presentation December 2017 The Innovator in Healthcare Workforce Solutions and Staffing Services
Forward-Looking Statements This investor presentation contains “forward- The Company’s actual results could looking statements” within the meaning of differ materially from those discussed in, Section 27A of the Securities Act of 1933, or implied by, these forward-looking as amended, and Section 21E of the statements. Factors that could cause Securities Exchange Act of 1934, as actual results to differ from those amended. The Company bases these discussed in or implied by the forward- forward-looking statements on its current looking statements contained in this beliefs, expectations, estimates, forecasts presentation are set forth in the Company's and projections about future events and the Annual Report on Form 10-K for the year industry in which it operates. Forward-looking ended December 31, 2016 and its other statements are identified by words such as periodic reports, its current reports and its “believe,” “anticipate,” “expect,” “intend,” other filings with the SEC. Developments “plan,” “will,” “should,” “would,” “project,” subsequent to this presentation are likely “may,” variations of such words and other to cause these statements to become similar expressions. In addition, statements outdated with the passage of time. that refer to performance; plans, objectives and strategies for future operations; and other characterizations of future events or circumstances, are forward-looking statements. 2
Our Mission Every day, we . . . Deliver the best talent and insights to help healthcare organizations optimize their workforce Give healthcare professionals opportunities to do their best work towards quality patient care Create a values-based culture of innovation where our team members can achieve their goals 3
AMN at a Glance The Innovator in Healthcare Workforce Solutions and Staffing Services AMN continues to evolve from a traditional Staffing and Recruitment healthcare staffing provider to a full-service Workforce Solutions comprehensive workforce solutions Executive Leadership company. Advisory Services Workforce Solutions Revenue Growth 2008 2017 Workforce Workforce Solutions Solutions Staffing Staffing Workforce Solutions = MSP, Leadership, Physician Perm, VMS, Workforce Optimization, Medical Coding, and RPO 4
Continued Evolution in Workforce Solutions 2016 Interim Leadership and Executive Search, Project Staffing, Medical Coding B.E. Smith, Healthsource Global, Peak Health 2014 - 2015 Nurse, Physician, VMS, Leadership, Predictive Analytics Onward Healthcare, Locum Leaders, Medefis, The First String, 2009 - MillicanSolutions, Avantas 2013 Workforce Solutions: MSP, RPO and VMS MedFinders, ShiftWise 2000- 2008 Physician, Allied, Nurse and Search Expansion Merritt Hawkins, StaffCare, MedTravelers, O’Grady Peyton 1990s Nurse and Allied Expansion American Mobile Healthcare, MedicalExpress 1980s Travel Nurse American Mobile Nurses : A founding company 5
Financial Growth with Leverage Revenue Adjusted EBITDA $253 $237 $1,967 $1,902 $1,463 $165 $1,036 $1,012 $91 $85 FY 2013 FY 2014 FY 2015 FY 2016 LTM 3Q17 FY 2013 FY 2014 FY 2015 FY 2016 LTM 3Q17 ($ in millions) 6
Business Overview
AMN Portfolio of Solutions Staffing and Executive Workforce Solutions Advisory Services Recruitment Leadership • Travel nursing • Managed services • Workforce analysis • Interim leadership programs (MSP) and optimization • Local staffing • Executive search • Vendor management • Predictive modeling • Locum tenens • Physician systems (VMS) and analytics leadership search • Allied staffing • Recruitment process • Consulting • Nurse leadership search • Physician placement outsourcing (RPO) • Leadership training and • Rapid response • Remote medical coding development • EMR implementation • Scheduling and labor management • Labor disruption • Education services • Float pool management Value through leadership, innovation and strategic insight 8
Reportable Segments Locum Tenens Nurse & Allied • Temporary physicians • Locums billing services • Managed services programs (MSP) • Travel nurse • Travel allied 62% • Local staffing 22% • EMR staffing • Labor disruption 16% 62% 23% • Managed services 15% programs (MSP) Other Workforce Solutions • Interim leadership • Scheduling system • Executive search • Education • Physician search • Medical coding • Recruitment process outsourcing (RPO) • Predictive analytics • Vendor management systems (VMS) • Workforce consulting 9 Source: Revenue mix based on nine months ended September 30, 2017
Nurse and Allied Solutions Short- and long-term travel and local healthcare staffing • Travel nurse assignments are typically 13 weeks 62% • Over 55% of revenue through exclusive MSP relationships • AMN is the largest travel nurse and allied staffing company Includes: All nursing specialties Physical and occupational therapists Respiratory, imaging, lab Pharmacists, techs Robust Demand: Key Drivers AMN Recruiting Brands Shortage of nurses Shift to MSP relationships Shift to flexible staffing models Aging U.S. and clinical population Favorable economy and low unemployment 10
Locum Tenens Solutions All physician and advanced practice specialties, including: Primary Care & Internal Medicine Emergency Medicine Psychiatry Radiology Hospitalists Dentistry Surgery Typical assignments range from days to multiple months 22% Robust Demand: Key Drivers AMN Brands Shortage of physicians Growing demand for healthcare services Specialty specific demand Aging physician population 11
Other Workforce Solutions • Interim and permanent executive leadership and permanent physician placement across all healthcare settings • Vendor Management Systems are proprietary SaaS-based technology solutions for managing contingent labor 16% • Recruitment Process Outsourcing leverages AMN expertise and systems to � replace or complement a client’s internal Informed Decision Making permanent recruiting function � Reduce Complexity • Workforce Optimization Solutions � include consulting, data analytics, Increase Efficiency predictive modeling and SaaS-based � Drive Optimal Workforce Mix scheduling technology Key Drivers Brands Workforce and leadership shortages Rising healthcare costs Increased administrative complexity Increased healthcare utilization/spend Increased need for insights 12
Leader in Managed Services Programs (MSP) • Outsourced partner to manage all supplemental workforce needs under one contract • Recruitment, credentialing, clinical support, reporting, consolidated invoicing AMN Perspective Client Perspective Higher fill rates Cross-selling opportunities Improved fulfillment time Recruitment advantages Staffing optimization Less cyclicality Controlled spend Improved demand visibility Accountability Strong client relationships Regulatory compliance High client retention 500+ affiliates 13
MSP Growth Adoption of MSP has gained substantial momentum in recent years MSP Direct Fill Revenue Filled by Affiliate Network MSP Gross Billings Under Management ($M) $1,118 $1,018 $762 $504 $406 $380 $291 $740 66% $649 $219 $41 $454 $13 $350 $25 $296 $265 $8 $185 $134 2008 2009 2010 2011 2012 2013 2014 2015 2016 LTM 9/30 MSP direct fill revenue as a % of AMN staffing revenue has grown from 1% in 2008 to >45% today (1) (1) Staffing revenue consists of Nurse, Allied, and Locum Tenens revenue; on a consolidated basis, MSP is greater than 35% of revenue 14
Leader in Vendor Management Systems (VMS) Cloud based technology that Fill rates automates temporary and Clinician quality float pool staffing through online order and fulfillment, Efficiency scheduling, credential Staffing optimization tracking, time keeping, Controlled spend invoicing and reporting ~ $1.3 Billion Annualized Spend Under Management 15
Leader in Workforce Optimization: Predictive Analytics & Forecasting Typical savings: Nurse labor spend 4% to 7% of approximately 25% nurse labor of hospital budget spend Workforce predictive analytics Optimization and advisory services Scheduling technology & tools Business intelligence Centralized resource management 16
Leader in Recruitment Process Outsourcing (RPO) Outsourced partner to manage all recruitment, hiring, and on-boarding processes for clinician permanent positions Recruitment savings & productivity State-of-the-art sourcing Fewer bad hires & lost candidates Variable cost, flexible delivery model Better decision-making through data & insights 17
Evolving AMN's Workforce Solutions Strategy Top Workforce Pain Points Talent Supply Mix Fill Clinical Positions 1 Trusted Workforce Perm Forecast / Predict Need Solutions Partner 2 Float Talent Engagement / 3 Reduce Turnover Contingent 4 Measure / Manage Performance Recruit Develop Retain Optimize Education, Training 5 Leadership Development Workforce Solutions Source: Top Tier Consulting and AMN Analytics Survey and interviews of health system executives across the US 18
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