Tear Sheet: Pluto Acquisition I Inc.

This report does not constitute a rating action. The company's 2025 operating performance was below our expectations. Pluto Acquisition I Inc. (dba AccentCare) increased its revenue modestly on continued strength in hospice and stable home health admissions. Persistent weakness in personal care following the New York CDPAP transition, reimbursement pressure in Texas VA contracts, and the divestiture of noncore operations partly offset this. At the same time, S&P Global Ratings-adjusted EBITDA margins declined to 7.7% in early 2026 compared with 8.7% in 2024. This was below our prior expectations as inflationary labor costs, elevated cost per visit, and temporary inefficiencies tied to a productivity-based clinician compensation model in the home health segment weighed on profitability. Consequently, leverage remained elevated and

...June 24, 2026 This report does not constitute a rating action. The company's 2025 operating performance was below our expectations. Pluto Acquisition I Inc. (dba AccentCare) increased its revenue modestly on continued strength in hospice and stable home health admissions. Persistent weakness in personal care following the New York CDPAP transition, reimbursement pressure in Texas VA contracts, and the divestiture of noncore operations partly offset this. At the same time, S&P Global Ratings-adjusted EBITDA margins declined to 7.7% in early 2026 compared with 8.7% in 2024. This was below our prior expectations as inflationary labor costs, elevated cost per visit, and temporary inefficiencies tied to a productivity-based clinician compensation model in the home health segment weighed on profitability. Consequently, leverage remained elevated and free cash flow deficits were larger than previously expected. We expect operating performance will improve through 2026 and 2027 on gradual margin...

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