CareRx (CRRX) Investor presentation summary

Market opportunity and demand trends

• 1 in 5 Canadians are aged 65 or older, with seniors consuming about 40% of prescription drugs and 25% of OTC drugs.

• Over 500,000 congregate care beds exist in Canada, projected to double in 15 years.

• Senior population expected to grow by 1.5 million to 9.3 million in five years, driving care spending from $29.9B in 2021 to $58.5B by 2031.

• Ontario government plans to build 58,000 new or upgraded LTC beds by 2028.

Business model and service offering

• Specializes in pharmacy services for seniors housing, focusing on complex medication needs and same-day delivery.

• Operates a purpose-built model distinct from retail pharmacy, offering tailored clinical and operational support for LTC homes.

• Delivers integrated clinical, operational, and distribution solutions, promoting long-term partnerships.

• Contracts are typically over five years, with direct government and insurance payments, ensuring stable recurring revenue.

Growth strategy and execution

• Growth driven by organic bed wins, expansion with existing partners, new home construction, and M&A.

• Track record of accretive acquisitions since 2020 in a fragmented market.

• Focus on expanding product and service scope and leveraging scale for superior offerings.