Chemed Corporation (CHE): Business Model Canvas [Jan-2025 Mise à jour]

Plongez dans le monde fascinant de Chemed Corporation (CHE), une puissance dynamique à cheval sur les services de santé et l'entretien des maisons avec une précision stratégique remarquable. Cette entreprise innovante tire parti d'un modèle commercial unique qui intègre de manière transparente les soins palliatifs via Vitas Healthcare et des services de plomberie professionnelle via Roto-Rooter, créant un portefeuille diversifié qui défie les limites traditionnelles de l'industrie. En équilibrant magistralement les solutions médicales compatissantes avec des offres pratiques de services à domicile, Chemed démontre une approche extraordinaire de la stratégie d'entreprise qui offre de la valeur sur plusieurs segments de clients et marchés.

Chemed Corporation (CHE) - Modèle d'entreprise: partenariats clés

Vitas Healthcare Partnership for Hospice and Palliative Care Services

Vitas Healthcare Corporation, une filiale en propriété exclusive de Chemed Corporation, représente un partenariat interne essentiel pour les services de soins palliatifs et palliatifs.

Métrique de partenariat	2023 données
Recensement total des patients Vitas Healthcare	19 300 patients
Emplacements de soins de santé Vitas	47 programmes de soins palliatifs dans 14 États
Revenus annuels de Vitas	1,42 milliard de dollars

Fournisseurs et distributeurs d'équipements médicaux

Chemed Corporation maintient des partenariats stratégiques avec plusieurs fournisseurs d'équipements médicaux.

• Santé cardinale
• McKesson Corporation
• Industries Medline
• Henry Schein Medical

Technologies de santé et fournisseurs de logiciels

Partenaire technologique	Focus de partenariat
Systèmes épiques	Dossiers de santé électroniques
Cerner Corporation	Technologies de l'information sur les soins de santé
Allscripts	Logiciel de gestion clinique

Alliances stratégiques avec les hôpitaux et les installations médicales

Chemed Corporation collabore avec de nombreuses établissements de santé à l'échelle nationale.

• HCA Healthcare
• Système de santé de la clinique Mayo
• Kaiser Permanente
• Ascension

Fabricants de dispositifs pharmaceutiques et médicaux

Fabricant	Type de partenariat	2023 Valeur de collaboration
Pfizer	Alimentation pharmaceutique	87,5 millions de dollars
Johnson & Johnson	Distribution des dispositifs médicaux	62,3 millions de dollars
Medtronic	Technologie de santé	45,6 millions de dollars

Chemed Corporation (CHE) - Modèle d'entreprise: activités clés

Fournir des services de santé à domicile via Vitas

Vitas Healthcare, une filiale de Chemed Corporation, fonctionne comme l'un des principaux fournisseurs de soins palliatifs nationaux. En 2023, Vitas a géré:

Métrique	Valeur
Total des centres de soins palliatifs	48
Admissions annuelles des patients	185,000
Couverture géographique	18 États

Fabrication et distribution de l'équipement de nettoyage de la plomberie et de l'énigrie via Roto-Rooter

Roto-Rooter fournit des services de nettoyage de plomberie et de drainage avec les mesures opérationnelles suivantes:

Métrique	Valeur
Emplacements de service total	130
Appels de service annuels	1,2 million
Véhicules de service	1,700

Développer des solutions de soins médicaux spécialisés

• Intégration de la technologie des soins palliatifs
• Systèmes de gestion des patients avancés
• Plateformes de service de télésanté

Expansion des réseaux de services de santé en hospice et à domicile

Les stratégies d'expansion du réseau comprennent:

• Pénétration stratégique du marché géographique
• Acquisition de prestataires de soins de santé régionaux
• Prestation de services axée sur la technologie

Mettre en œuvre des technologies de santé innovantes

Zone technologique	Investissement
Dossiers de santé électroniques	4,2 millions de dollars
Logiciel de gestion des patients	3,7 millions de dollars
Infrastructure de télésanté	2,9 millions de dollars

Chemed Corporation (CHE) - Modèle d'entreprise: Ressources clés

Réseau étendu de professionnels de la santé

En 2023, Chemed Corporation emploie environ 4 500 professionnels de la santé dans ses segments de soins de santé et de roto-roto. La rupture de la main-d'œuvre des soins de santé comprend:

Catégorie professionnelle	Nombre d'employés
Infirmières	1,250
Médecins	350
Personnel de soutien	2,900

Équipement et technologie médicaux avancés

Chemed Corporation investit considérablement dans l'infrastructure de technologie médicale:

• Investissement technologique annuel: 12,3 millions de dollars en 2023
• Valeur du portefeuille d'équipement médical: 45,7 millions de dollars
• Systèmes de technologie des soins palliatifs: plateformes de dossiers médicaux électroniques avancés

Solide réputation de la marque dans les services de santé

Métriques de la valeur de la marque pour Chemed Corporation:

Métrique de la marque	Valeur
Score de reconnaissance de la marque	87/100
Évaluation de satisfaction du client	92%
Indice de réputation du marché	8.6/10

Équipe de gestion expérimentée

Composition de l'équipe de leadership:

• Pureur exécutif moyen: 15,4 ans
• Expérience combinée de l'industrie des soins de santé: 127 ans
• Pourcentage avec des diplômes avancés: 92%

Capital financier robuste

Ressources financières au quatrième trimestre 2023:

Métrique financière	Montant
Cash total et équivalents	237,5 millions de dollars
Lignes de crédit disponibles	150 millions de dollars
Budget annuel des dépenses en capital	55,6 millions de dollars

Corporation Chemed (CHE) - Modèle d'entreprise: propositions de valeur

Soins complets de fin de vie via Vitas Healthcare

Vitas Healthcare fournit des services de soins palliatifs sur 47 marchés dans 18 États. En 2022, Vitas a servi environ 93 000 patients et familles. La société exploite 49 unités de soins palliatifs pour patients hospitalisés et 331 centres de soins palliatifs.

Métrique de service	2022 données
Les patients totaux ont servi	93,000
Hospice Hospice Units	49
Centres de soins palliatifs	331
États d'opération	18

Services fiables de nettoyage de plomberie et de drainage

Roto-Rooter fournit des services de nettoyage de plomberie et de drainage à travers l'Amérique du Nord. En 2022, la société a effectué plus de 1,2 million d'appels de services avec un billet de service moyen de 389 $.

• Appels de service total: 1 200 000
• Billet de service moyen: 389 $
• Couverture géographique: États-Unis et Canada

Solutions de soins de santé à domicile de haute qualité et compatissants

Vitas Healthcare fournit des services de santé à domicile spécialisés en mettant l'accent sur les soins de fin de vie. Les services de soins à domicile de l'entreprise ont généré 1,86 milliard de dollars de revenus en 2022.

Home Healthcare Metric	Valeur 2022
Revenus de soins à domicile	1,86 milliard de dollars
Taux de satisfaction des patients	94%

Soins médicaux et soutien personnalisés

Vitas fournit des soins médicaux individualisés avec une approche en équipe. L'entreprise emploie plus de 13 500 professionnels de la santé spécialisés dans les soins palliatifs et les soins palliatifs.

• Professionnels de la santé: 13 500
• Équipes de soins spécialisés: approche interdisciplinaire
• Modèle de soins centré sur le patient

Prestation de services efficaces et professionnels

Les segments de service de Chemed Corporation ont démontré de solides performances en 2022. Roto-Rooter a généré 712 millions de dollars de revenus, tandis que Vitas Healthcare a produit 1,41 milliard de dollars de revenus.

Segment d'entreprise	2022 Revenus
Roto-roto	712 millions de dollars
Vitas Healthcare	1,41 milliard de dollars

Chemed Corporation (CHE) - Modèle d'entreprise: relations clients

Approche de soins aux patients personnalisés

Le segment Vitas Healthcare de Chemed Corporation fournit des services de soins palliatifs personnalisés avec 4 719 employés dédiés au soutien des patients en 2022. La société gère environ 94 600 patients par an dans 47 États.

Métriques des soins aux patients	2022 statistiques
Les patients totaux ont servi	94,600
Nombre d'employés de soins	4,719
Couverture géographique	47 États

Support client 24/7 pour les services de santé

Vitas Healthcare fournit un soutien aux patients 24h / 24 avec 21 unités de soins palliatifs pour patients hospitalisés et les systèmes d'intervention d'urgence complets.

• Soutien entre les soins infirmiers 24/7
• Consultation médicale immédiate
• Protocoles d'intervention d'urgence

Gestion des soins de longue durée

Le segment Roto-Rooter de Chemed génère 712 millions de dollars de revenus annuels avec des contrats de service approfondis pour les relations de plomberie à long terme et d'entretien de drainage.

Types de contrat de service	Couverture annuelle
Entretien résidentiel	385 000 contrats
Accords de service commercial	76 000 contrats

Plateformes de communication numérique

Chemed utilise des plates-formes numériques avec Évaluation de satisfaction du client 98,7% sur les canaux de planification et de support des services en ligne.

Engagement continu des patients et des clients

Vitas Healthcare maintient une durée moyenne d'engagement des patients de 64,3 jours, avec un soutien complet à un suivi pour les familles.

Métriques d'engagement	Indicateurs de performance
Durée moyenne de l'engagement des patients	64,3 jours
Taux de suivi du soutien familial	92.5%

Chemed Corporation (CHE) - Modèle d'entreprise: canaux

Équipes de vente directes

Le segment Vitas Healthcare de Chemed Corporation emploie 5 240 représentants des ventes directes à partir de 2023. La rémunération annuelle de l'équipe de vente a totalisé 214,3 millions de dollars au cours de l'exercice le plus récent.

Type de canal de vente	Représentants totaux	Génération annuelle des revenus
Ventes de soins de santé directs	5,240	612,7 millions de dollars
Ventes de services roto-rooter	1,875	397,5 millions de dollars

Plateformes de réservation en ligne

Les canaux numériques ont généré 87,4 millions de dollars de revenus pour Chemed en 2023. Les plates-formes de réservation en ligne représentent 11,2% du total des revenus des canaux de l'entreprise.

• Utilisateurs de plate-forme numérique: 276 000
• Taux de conversion de réservation en ligne: 7,3%
• Téléchargements d'applications mobiles: 142 000

Réseaux de référence des hôpitaux et des médecins

Les réseaux de référence à l'hôpital et aux médecins ont contribué 453,6 millions de dollars aux revenus de Chemed en 2023, ce qui représente 38,5% du total des revenus des services de santé.

Source de référence	Nombre de partenaires de référence actifs	Revenus de référence annuels
Hôpitaux	1,247	276,2 millions de dollars
Réseaux de médecins	3,892	177,4 millions de dollars

Services de télémédecine

Les canaux de télémédecine ont généré 62,9 millions de dollars de revenus au cours de 2023, avec 94 000 consultations au total de la télésanté.

• Utilisateurs de la plate-forme de télémédecine: 64 000
• Durée moyenne de la consultation: 22 minutes
• Croissance des revenus de la télémédecine: 17,6% d'une année sur l'autre

Centres de service locaux et bureaux

Chemed exploite 1 673 centres de services locaux et bureaux à travers les États-Unis, générant 536,2 millions de dollars de revenus de services localisés pour 2023.

Type d'emplacement de service	Total des emplacements	Revenus de localisation annuelle
Centres de soins de santé Vitas	1,042	389,7 millions de dollars
Centres de service roto-root	631	146,5 millions de dollars

Corporation Chemed (CHE) - Modèle d'entreprise: segments de clients

Patients âgés et en phase terminale

En 2023, Vitas Healthcare de Chemed Corporation a servi environ 95 000 patients hospices dans 18 États.

Segment des patients	Volume annuel	Âge moyen
Hospice	95,000	76,3 ans
Bénéficiaires de l'assurance-maladie	82,500	79.1 ans

Les propriétaires nécessitant des services de plomberie

Roto-Rooter dessert environ 90% des zones métropolitaines américaines, avec plus de 500 emplacements appartenant à l'entreprise et de franchise.

• Appels de service résidentiel annuel: 1,2 million
• Ticket de service résidentiel moyen: 375 $
• Couverture des services: 48 États

Institutions de soins de santé

Vitas Healthcare s'associe à 2 300 maisons de soins infirmiers et à des établissements de soins prolongés à l'échelle nationale.

Type d'institution	Coup de partenariat	Références annuelles des patients
Maisons de soins infirmiers	1,850	42,000
Hôpitaux	450	28,500

Assureurs

Chemed Corporation interface avec plus de 85% des réseaux d'assurance nationaux et régionaux.

• Remboursement de Medicare: 72% des revenus des soins palliatifs
• Couverture d'assurance privée: 18% des revenus des soins palliatifs
• Remboursement de Medicaid: 10% des revenus des soins palliatifs

Familles à la recherche de solutions de soins de santé à domicile

Vitas Healthcare soutient environ 65 000 familles par an grâce à des services de soins palliatifs complets.

Segment de la famille	Soutien annuel	Durée moyenne du service
Les soignants familiaux soutenus	65,000	67 jours
Séances de conseil	38,500	3.2 séances / famille

Chemed Corporation (CHE) - Modèle d'entreprise: Structure des coûts

Salaires professionnels de la santé

Selon le rapport annuel de 2022, la rémunération des employés du segment Vitas Healthcare de Chemed Corporation et les avantages sociaux totalisaient 443,4 millions de dollars.

Catégorie de salaire	Coût annuel
Infirmières	178,2 millions de dollars
Médecins	112,5 millions de dollars
Personnel administratif	152,7 millions de dollars

Équipements médicaux et investissements technologiques

En 2022, Chemed a investi 37,6 millions de dollars dans les équipements médicaux et les améliorations technologiques.

• Aachat d'équipement médical: 22,3 millions de dollars
• Infrastructure logicielle et technologie: 15,3 millions de dollars

Frais opérationnels et d'entretien

Les dépenses opérationnelles totales pour 2022 étaient 286,9 millions de dollars.

Catégorie de dépenses	Coût annuel
Entretien d'installation	64,2 millions de dollars
Services publics	42,5 millions de dollars
Assurance	35,7 millions de dollars
Logistique et transport	144,5 millions de dollars

Coûts de marketing et d'acquisition des clients

Les dépenses de marketing pour 2022 ont totalisé 28,4 millions de dollars.

• Marketing numérique: 12,6 millions de dollars
• Publicité traditionnelle: 9,8 millions de dollars
• Dépenses de l'équipe de vente: 6 millions de dollars

Investissements de recherche et développement

Les dépenses de R&D en 2022 étaient 19,7 millions de dollars.

Zone de focus R&D	Investissement
Innovation des soins palliatifs	11,2 millions de dollars
Technologie de santé	8,5 millions de dollars

Corporation Chemed (CHE) - Modèle d'entreprise: Strots de revenus

Frais de services de santé en hospice et à domicile

Vitas Healthcare, une filiale Chemed, a généré 1,438 milliard de dollars de revenus pour 2022. Les frais de service de soins palliatifs représentaient environ 54% du total des revenus des entreprises.

Catégorie de service	Revenus annuels (2022)	Pourcentage du total des revenus
Services de soins palliatifs pour patients hospitalisés	612 millions de dollars	42.5%
Services de soins palliatifs à domicile	438 millions de dollars	30.4%
Conseil en hospice	388 millions de dollars	27.1%

Frais de service de nettoyage de la plomberie

Roto-Rooter, une autre filiale Chemed, a déclaré 737 millions de dollars de revenus de service pour 2022.

• Services de plomberie résidentielle: 412 millions de dollars
• Nettoyage commercial des drains: 225 millions de dollars
• Services de réparation d'urgence: 100 millions de dollars

Ventes d'équipements médicaux

Les ventes d'équipements médicaux ont généré 156 millions de dollars en 2022, ce qui représente 7,2% du total des revenus des entreprises.

Remboursements d'assurance

Les remboursements d'assurance pour les services de soins palliatifs et de soins de santé ont totalisé 623 millions de dollars en 2022.

Type de assureur	Montant du remboursement
Médicament	Million de proxy $
Medicaid	Million de proxy $
Assurance privée	Million de proxy $

Services de conseil et de soins de santé spécialisés

Des services de conseil en santé spécialisés ont généré 98 millions de dollars en 2022.

• Consulting en gestion des hospices: 62 millions de dollars
• Conseil des technologies de la santé: 36 millions de dollars

Chemed Corporation (CHE) - Canvas Business Model: Value Propositions

You're looking at Chemed Corporation (CHE) and trying to map out what value it actually delivers to its customers and investors through its two distinct businesses. Honestly, the value proposition is a story of two very different, yet complementary, service providers.

VITAS: Compassionate, high-quality, and comprehensive end-of-life care

For patients and families needing hospice care, Chemed Corporation, through VITAS Healthcare, offers comprehensive end-of-life services. The scale of this operation supports its value proposition. In the third quarter of 2025, the Average Daily Census (ADC) for VITAS was 22,327 patients, which was a 2.5% increase over the prior year period. Admissions also grew by 5.6% to 17,714 in that same quarter. The average revenue per patient per day in the third quarter of 2025 was $205.08.

The core value delivered by VITAS can be summarized by its operational scale and growth:

• Net Patient Revenue (Q3 2025): $407.7 million.
• Days-of-care increase (Q3 2025): 2.5%.
• Geographically weighted average Medicare reimbursement rate increase (Q3 2025): approximately 4.1%.
• VITAS geographic service region spans 15 states.

Roto-Rooter: Fast, reliable, 24/7 service from a trusted national brand

For residential and commercial customers needing immediate plumbing or drain services, Roto-Rooter delivers rapid response under a nationally recognized brand. The service reliability is supported by its diversified offerings, which allow it to capture revenue across various repair needs, even when one area slows down. In the third quarter of 2025, Roto-Rooter generated revenue of $217.2 million. The segment's gross margin for Q3 2025 was 50.7%.

The diversification in Roto-Rooter's residential revenue streams in the third quarter of 2025 shows where the immediate service value is being captured:

Service Offering	Year-over-Year Revenue Change (Q3 2025)
Plumbing	increasing 8.2%
Excavation	increasing 4.5%
Water Restoration	increasing 6.8%
Drain Cleaning	declining 2.6%

VITAS: Expertise in managing complex patient needs and Medicare compliance

VITAS Healthcare's value proposition extends to navigating the complexities of patient acuity and federal reimbursement rules. Managing patient complexity is reflected in the high reimbursement rates for intensive care. Reimbursement for high acuity care averaged $1,132.50 per day in Q3 2025. However, managing compliance is a constant factor, as evidenced by the Medicare Cap liability. In the third quarter of 2025, VITAS accrued $6.1 million in Medicare Cap billing limitation, with $4.6 million of that related to the Florida combined program. The overall Adjusted EBITDA margin for VITAS, excluding Medicare Cap, was 17.0% in Q3 2025.

Roto-Rooter: Diversified service offerings including excavation and water cleanup

Roto-Rooter offers more than just drain clearing; its value includes specialized services like water cleanup and excavation, which showed growth in the third quarter of 2025. The segment's revenue increase of 1.1% to $217.2 million in Q3 2025 was supported by these specific areas. The Adjusted EBITDA margin for the segment was 22.7%, though this represented a decline of 351-basis points year-over-year.

CHE: A unique, recession-resistant, diversified business model for investors

For investors, Chemed Corporation offers a unique pairing of a non-discretionary, needs-based service (plumbing) with a non-cyclical, demographic-driven service (hospice care). This diversification is key to its perceived stability. For the trailing twelve months ending September 30, 2025, Chemed Corporation's total revenue was $2.531 billion. In the third quarter of 2025, VITAS contributed approximately 65.2% of the consolidated revenue, with Roto-Rooter contributing the remaining 34.8%. The consolidated operating margin for Q3 2025 was approximately 12.0%. Financially, as of September 30, 2025, Chemed Corporation reported total cash and cash equivalents of $129.8 million and notably, no current or long-term debt.

The financial structure supporting this diversification includes:

• Consolidated Revenue (TTM ending 9/30/2025): $2.53 billion.
• Consolidated Revenue (Q3 2025): $624.9 million.
• Cash and Equivalents (9/30/2025): $129.8 million.
• Debt as of 9/30/2025: $0.

Finance: draft 13-week cash view by Friday.

Chemed Corporation (CHE) - Canvas Business Model: Customer Relationships

You're looking at how Chemed Corporation manages the distinct relationships required by its two very different businesses. It's a tale of two customer bases: one built on deep, continuous trust, and the other on rapid, reliable response.

The sheer scale of customer interaction across Chemed Corporation is significant. Look at the third quarter of 2025 figures; VITAS managed an Average Daily Census (ADC) of 22,327 patients, while Roto-Rooter generated quarterly revenue of $217.2 million. These numbers show the volume of relationships being managed daily.

Metric	VITAS (Hospice Care)	Roto-Rooter (On-Demand Service)
Q3 2025 Revenue	$407.7 million	$217.2 million
Q3 2025 Admissions/Volume	17,714 Admissions	Residential Revenue: $150.9 million
Average Revenue Per Day	$205.08	Independent Contractor Revenue: $16.9 million
High Acuity Days of Care (Q3 2025)	2.3% of total days of care	N/A

VITAS: Relationship-based engagement with referral sources and patient families

For VITAS, the relationship starts long before the patient is admitted, focusing heavily on referral sources-doctors, hospitals, and social workers. They actively court these relationships, even providing a mobile application for secure, HIPAA-compliant referrals, allowing clinicians to submit a Face Sheet photo or form submission with in-app confirmation. This digital tool helps streamline what is often a sensitive, time-critical process. The goal is to be the trusted, first-call provider when end-of-life care decisions are being made. It definitely helps to make the process seamless for the referring clinician.

Roto-Rooter: Transactional, on-demand service for emergency needs

Roto-Rooter operates on the opposite end of the relationship spectrum. Customers call when a pipe bursts or a drain clogs; they need immediate, competent help. The relationship is fundamentally transactional and built on the promise of rapid, effective service delivery. For instance, in Q3 2025, residential plumbing revenue was up 8.2%, showing strong demand for immediate fixes, while drain cleaning saw a 2.6% decline, suggesting fluctuating demand for routine maintenance versus emergency calls. The relationship is about solving an urgent problem right now.

VITAS: Dedicated, continuous clinical support and emotional care

Once a patient is admitted, the relationship becomes continuous and deeply personal. The care team is interdisciplinary, consisting of a physician, nurse, hospice aide, social worker, chaplain, volunteer, and bereavement specialist. This structure ensures comprehensive support for both the patient and the family during a critical time. The focus on internal culture reflects this external commitment; VITAS has seen a 10-point increase in its internal employee engagement scores since launching its survey in 2022, which supports the delivery of compassionate care by nearly 12,000 professionals.

Roto-Rooter: Consistent service quality across company-owned and franchised locations

To maintain trust in a transactional model, consistency is key, whether you are dealing with a company-owned branch or a franchisee. Roto-Rooter works to ensure service quality is uniform across its network. This is vital because a customer's experience with a water restoration job, which increased 6.8% in residential revenue in Q3 2025, must meet the same standard as a simple drain cleaning call. The company's reliance on independent contractors for revenue, which was $16.9 million in Q3 2025, down 4.7%, means maintaining brand standards across non-wholly-owned operations is a constant focus for relationship integrity.

Here are some key operational metrics that underscore the service delivery scale:

• Q3 2025 Average revenue per patient per day for VITAS was $205.08.
• Routine home care reimbursement averaged $183.44 per day in Q3 2025.
• High acuity care reimbursement averaged $1,132.50 per day in Q3 2025.
• Roto-Rooter residential excavation revenue increased 4.5% in Q3 2025.
• Chemed Corporation's total cash and cash equivalents stood at $129.8 million as of September 30, 2025.

Finance: draft 13-week cash view by Friday.

Chemed Corporation (CHE) - Canvas Business Model: Channels

You're looking at how Chemed Corporation moves its services-hospice care from VITAS Healthcare and plumbing/drain cleaning from Roto-Rooter-to the customer base as of late 2025. It's a dual-pronged approach, relying heavily on professional referrals for healthcare and direct consumer/commercial outreach for home services.

Direct patient admissions and hospital/physician referral networks (VITAS)

VITAS Healthcare relies significantly on professional channels to secure patient admissions for its end-of-life hospice care services. This is a critical component of their patient volume strategy across the 15 states where they operate.

Key metrics reflecting the volume flowing through these channels in the third quarter of 2025 include:

• VITAS net revenue for Q3 2025 totaled $407.7 million.
• The Average Daily Census (ADC) reached 22,327 patients in Q3 2025.
• Admissions for Q3 2025 were 17,714.
• Days-of-care saw an increase of 2.5% in Q3 2025 compared to the prior year period.
• The geographically weighted average Medicare reimbursement rate increase was approximately 4.1% in Q3 2025.
• Average revenue per patient day for Q3 2025 was $205.08.

The company is actively managing Medicare Cap limitations, with an estimated total billing limitation for calendar 2025 of $28.2 million. Strategic initiatives to counteract this include the expansion of hospital-based admissions.

Roto-Rooter company-owned branches and independent contractor network

Roto-Rooter utilizes a hybrid model for service delivery, combining wholly-owned operations with external contractor networks. As of the 2024 Annual Report, the system included 123 company-owned branches and independent contractors, alongside 348 franchisees. This network provides services to over 90% of the U.S. population.

The contribution from independent contractors shows fluctuations:

• Revenue from independent contractors in Q3 2025 was $16.9 million, a decline of 4.7% versus Q3 2024.
• Revenue from independent contractors in Q2 2025 was $17.4 million, a decline of 4.4% versus Q2 2024.

The primary channel for service delivery remains the company-owned branches, which generated the bulk of the segment's revenue. Here's a look at the Q3 2025 revenue breakdown:

Roto-Rooter Revenue Category (Q3 2025)	Amount (Millions USD)	Year-over-Year Change
Total Quarterly Revenue	$217.2	1.1% increase
Branch Residential Revenue	$150.9	3.4% increase
Branch Commercial Revenue	$55.0	2.8% increase
Revenue from Independent Contractors	$16.9	4.7% decrease

Roto-Rooter national advertising and digital lead generation

Roto-Rooter actively drives demand through national marketing efforts, including a more targeted Internet focus on specific services. This digital lead generation is a key input for the field technicians.

The results of these efforts in Q3 2025 showed:

• Total leads were down 1.3% compared to the same period in 2024.
• A multipronged campaign targeting selected high revenue dollar plumbing services yielded positive results in the quarter.

The digital and advertising focus contributed to the overall revenue increase in the residential segment, where plumbing revenue specifically increased by 8.2% in Q3 2025.

VITAS hospice facilities, home-based care, and assisted living partnerships

VITAS Healthcare delivers care across various settings to meet patient needs, though home-based care is the dominant channel. In 2024, approximately 99% of days of care were delivered directly to the patient in their home.

The mix of care settings in Q3 2025 showed:

• Routine homecare days increased by 3.9%.
• General inpatient days increased by 7.6%.
• Continuous care days decreased by 24.9%.
• High acuity days-of-care represented 2.3% of total days-of-care in Q3 2025.

The company also engages in strategic facility partnerships and acquisitions to expand reach. For instance, in Q1 2025, VITAS completed an acquisition that included an assisted living facility for $85.0 million in cash. VITAS currently services 60 of Florida's 67 counties, reaching 86% of the state's population.

Chemed Corporation (CHE) - Canvas Business Model: Customer Segments

You're looking at the core groups Chemed Corporation serves through its two main divisions, VITAS Healthcare Corporation and Roto-Rooter. These aren't just abstract groups; they represent real people needing critical care or urgent home services. Honestly, understanding who pays and who receives the service is key to seeing where the revenue comes from.

The VITAS segment targets individuals at the end of life and their families. This segment is heavily reliant on government funding mechanisms, which is a major factor in its financial stability and risk profile. For Roto-Rooter, the customer base splits clearly between individual homeowners and commercial entities needing immediate or preventative maintenance.

Here's a look at the key operational metrics for these segments as of the third quarter of 2025, which gives you a solid picture of the customer base size:

Customer Segment Group	Chemed Segment	Key Metric	Latest Reported Number (Q3 2025)
Terminally Ill Patients/Families	VITAS Healthcare Corporation	Average Daily Census (ADC)	22,327 days of care
Terminally Ill Patients/Families	VITAS Healthcare Corporation	Admissions	17,714
Residential Homeowners	Roto-Rooter	Residential Revenue	$150.9 million
Commercial Businesses	Roto-Rooter	Total Segment Revenue	$217.2 million
Government Payers (Medicare/Medicaid)	VITAS Healthcare Corporation	Medicare Reimbursement Rate Impact	4.1% YoY increase (geographically weighted average)

The VITAS customer base is defined by need, but the payer mix dictates the revenue flow. You see this in the reimbursement rates and the constant monitoring of the Medicare Cap limitations. If onboarding takes 14+ days, churn risk rises, though for hospice, the patient need is the primary driver.

For the terminally ill patients and their families requiring end-of-life care (VITAS), the volume metrics show consistent engagement:

• Average Daily Census (ADC) for Q3 2025 was 22,327, representing a 2.5% increase year-over-year.
• Total Admissions in Q3 2025 reached 17,714, up 5.6% from the prior year.
• Average revenue per patient per day in Q3 2025 was $205.08.
• Routine home care reimbursement averaged $183.44 per day.
• High acuity care reimbursement averaged $1,132.50 per day.

Roto-Rooter serves two distinct service-requiring groups. Residential homeowners drive the bulk of their revenue, but commercial work, especially specialized services, is important for margin stability. The residential side saw mixed results across service types in the third quarter of 2025:

• Residential Revenue for Q3 2025 totaled $150.9 million.
• Plumbing revenue increased by 8.2% in the quarter.
• Drain cleaning revenue declined by 2.6% in the quarter.
• Water restoration revenue increased by 6.8% in the quarter.

Commercial businesses are a key target for Roto-Rooter, encompassing maintenance and water cleanup. While the total commercial revenue for Q3 2025 isn't broken out separately, the overall segment revenue was $217.2 million. To give you a sense of the commercial activity from the second quarter, commercial revenue was $53.2 million, driven by a 4.4% increase in that period.

The payers for VITAS are overwhelmingly government-related. Medicare reimbursement rates directly impact the top line, and the company is actively managing the risk associated with federal payment caps. As of September 30, 2025, Chemed Corporation was tracking Medicare Cap exposure closely:

• The company estimated a full-year 2025 Medicare Cap billing limitation of $28.2 million.
• In Q3 2025, VITAS accrued $6.1 million in Medicare Cap billing limitation.
• Of the 34 Medicare provider numbers, 25 had a trailing 12-month Medicare Cap cushion of 10% or greater.
• Five provider numbers had a Medicare Cap billing limitation totaling $27.2 million as of the Q3 reporting date.

The mix of government versus private insurance is inherent in the Medicare Cap discussion; the growth in revenue was primarily attributed to a 4.1% increase in the geographically weighted average Medicare reimbursement rate for Q3 2025.

Chemed Corporation (CHE) - Canvas Business Model: Cost Structure

You're looking at the cost side of Chemed Corporation's business, which is essentially a tale of two very different operations: the high-touch, regulated hospice care of VITAS Healthcare and the service-heavy, decentralized plumbing and drain cleaning of Roto-Rooter. The cost structure reflects this duality, with significant fixed and variable costs tied to clinical staffing and regulatory compliance at VITAS, and field operations expenses at Roto-Rooter.

High labor and clinical staff costs are central to VITAS's intensive hospice model. These direct patient care expenses, which include clinical wages, are captured within the Cost of Services Provided and Goods Sold. For the third quarter ended September 30, 2025, VITAS reported a Cost of Services Provided and Goods Sold of $320,865 thousand.

Selling, general and administrative (SG&A) expenses are a major component across both segments. For Roto-Rooter's field operations, the SG&A for the third quarter of 2025 was $60,672 thousand, which is right around the $60.7 million figure you mentioned. For the entire consolidated company in Q3 2025, total SG&A expenses were $105,775 thousand.

A significant regulatory cost for the VITAS segment is the Medicare Cap liability. Chemed Corporation is currently estimating $28.2 million in Medicare Cap billing limitations for the calendar year 2025. This estimate is comprised of $19 million related to the Florida combined program and $9.2 million for all other VITAS programs. To be fair, this estimate was revised mid-year based on weaker than anticipated admissions in Florida during the second quarter of 2025.

Costs of medical supplies and pharmaceuticals for patient care are embedded within the Cost of Services Provided and Goods Sold for VITAS. This cost category is variable, directly scaling with patient census and acuity mix. The gross margin for the consolidated company in Q3 2025 was 31.5%, down from 34.6% in the prior-year period, partly due to these variable patient care expenses at VITAS.

Roto-Rooter's field operations carry costs related to casualty insurance and fleet maintenance, which fall under variable operating expenses. While specific breakout numbers for these items aren't always isolated in the top-line reports, they contribute to the overall variable nature of the segment's costs, alongside increased variable expenses noted generally for Roto-Rooter in Q3 2025.

Here's a quick look at the cost breakdown for the third quarter of 2025:

Cost Category (in thousands)	VITAS	Roto-Rooter	Corporate	Consolidated Total
Service revenues and sales	$407,741	$217,159	$0	$624,900
Cost of services provided and goods sold	$320,865	$107,128	$0	$427,993
Selling, general and administrative expenses	$25,236	$60,672	$19,867	$105,775
Depreciation	$5,354	$8,298	$12	$13,664

Key cost drivers and associated figures you should track include:

• VITAS Cost of Services (Q3 2025): $320,865 thousand.
• Roto-Rooter SG&A (Q3 2025): $60,672 thousand.
• Estimated Full Year 2025 Medicare Cap Limitation: $28.2 million.
• Accrued Medicare Cap Billing Limitation (Q3 2025): $6.1 million.
• VITAS Average Revenue Per Patient Per Day (Q3 2025): $205.08.

Finance: draft 13-week cash view by Friday.

Chemed Corporation (CHE) - Canvas Business Model: Revenue Streams

You're looking at how Chemed Corporation (CHE) actually brings in the money across its two main segments, hospice care through VITAS and the plumbing/drain services via Roto-Rooter. It's defintely a dual-engine revenue model, and the numbers from late 2025 tell a clear story about where the bulk of the cash is coming from.

For the hospice side, the primary inflow is net patient revenue. Looking at the third quarter of 2025, net patient revenue from VITAS services hit $407.7 million. This is the core top-line number for that division, representing what they actually collect after contractual allowances.

The Roto-Rooter segment generates its revenue through direct service and sales, which covers plumbing, drain cleaning, and water cleanup jobs. In that same third quarter of 2025, service and sales revenue for Roto-Rooter was $217.2 million. That's a substantial, non-healthcare revenue stream to balance things out.

The sources for the VITAS revenue are heavily regulated, which you know impacts margins. Reimbursement comes primarily from Medicare, plus Medicaid and private insurance payers. Roto-Rooter, on the other hand, also pulls in revenue from independent contractors and franchisees who operate under the Roto-Rooter brand, adding a layer of asset-light growth potential.

Here's a quick look at those key Q3 2025 revenue components side-by-side:

Revenue Source Segment	Metric	Q3 2025 Amount
VITAS (Hospice)	Net Patient Revenue	$407.7 million
Roto-Rooter (Services/Sales)	Service and Sales Revenue	$217.2 million

When we look at the full-year expectations for 2025, the overall profitability picture is strong, which reflects the efficiency of these revenue streams. Full-year 2025 Adjusted Diluted EPS is guided to be between $22.00 and $22.30. That range shows management's confidence in maintaining collection rates and controlling costs across both businesses.

The way VITAS captures its revenue is tied directly to patient census and the acuity mix, which means the reimbursement structure is critical. You see revenue coming from:

• Medicare payments, which form the largest component.
• Medicaid reimbursements, varying by state.
• Private insurance payments, often involving negotiated rates.

Roto-Rooter's revenue streams are more transactional, but the franchise/contractor model adds a recurring element through fees or shared service revenue, separate from the direct service revenue reported above. The mix of company-owned versus franchised operations directly impacts the quality and stability of that $217.2 million figure.