PARK

• Core Strategic Priorities • The company maintains three aligned core priorities: patient care quality, employee and clinician support, and sustainable financial performance. • Long-term growth strategy remains unchanged, combining organic growth via adding clinicians to existing practices, selective inorganic growth via practice acquisition and affiliation, de novo location development, and entry into attractive new geographic markets. • The model prioritizes cultural alignment, clinical quality, and long-term value creation over transaction volume, with a disciplined approach to M&A.

• Inorganic Growth Updates • Park Dental Partners announced a definitive agreement to acquire Village Family Dental, a 40-year-old group based in Eastern North Carolina, which will add 48 doctors across 12 locations and establish the firm's first presence in North Carolina. Total transaction value is $46 million, consisting of $39.1 million base consideration (24% paid in stock, with the remainder in cash and debt) and $6.9 million performance-based contingent consideration payable over five years. • The company also closed the acquisition of Zumbro Family Dental, a smaller independent practice in Rochester, Minnesota during the quarter, demonstrating the firm's ability to partner with both small individual practices and larger regional groups. • Five acquisitions completed in the 12 months prior to Q2 2026 contributed $1.3 million in revenue during the quarter, and the acquisition pipeline remains active.

• Operational Performance • Q2 2026 results were in line with management expectations, following pre-signaled moderation of revenue growth after strong growth in the prior quarter. Patient retention held at 90.3%, and total patient visits were stable at ~186,000 for the quarter. • The firm ended the quarter with 219 total doctors, and clinician recruiting for existing practices remains a key organic growth lever. • The company completed its latest doctor leadership development program, with 10 doctors graduating from the 18-month program to build internal leadership and maintain clinician input in organizational governance as the firm grows.

• Financial Position • The firm ended the quarter with $24.4 million in cash, $11 million in total debt, and an undrawn $15 million revolving credit facility (with a $10 million accordion option). Year-to-date operating cash flow was $9.7 million, demonstrating consistent recurring cash generation. Cash on hand and existing credit facilities will be used to fund the Village Family Dental acquisition.

• First half 2026 results were modestly ahead of management's original expectations driven by consistent operational execution across the network, so the company upwardly revised its full-year 2026 revenue outlook for its existing base business.
• The new full-year guidance explicitly excludes any revenue contribution from the pending Village Family Dental acquisition, consistent with the firm's policy of only including closed acquisitions in published guidance. An updated guidance including the transaction will be provided after closing is completed.
• Management reaffirmed its long-term organic growth outlook, noting that the Q2 2026 same-practice growth figure does not change the firm's long-term expectations, and the firm remains on track to meet its full-year original performance targets for the base business.

Park Dental Partners does not break out performance across multiple product or service segments in this earnings call. The firm provides aggregated dental practice services across its affiliated locations. Aggregated Q2 2026 total revenue was $66.2 million, a 5.1% year-over-year increase. Same practice revenue growth was 2.3% year-over-year. GAAP net income for Q2 2026 was approximately $1.3 million, or $0.22 per diluted share. Non-GAAP adjusted EBITDA for Q2 2026 was approximately $7.4 million, equal to 11.2% of total revenue. Year-to-date 2026 aggregated revenue is $128.9 million, up 5.6% year-over-year, with 3.2% same practice growth. Year-to-date GAAP net income is $1.0 million, or $0.16 per diluted share, and non-GAAP adjusted EBITDA is $12.2 million, equal to 9.4% of total revenue.

• The call notes that all forward-looking statements are subject to known and unknown risks and uncertainties that could cause actual results to differ materially from projected outcomes, with full risk details disclosed in the company's SEC filings and prior earnings press release.
• The timing and ultimate financial contribution of the pending Village Family Dental acquisition remains uncertain, as it is subject to standard closing conditions and ongoing integration planning.
• Reported GAAP results continue to be distorted by residual share-based compensation expenses from the firm's recent IPO, which will not be fully lapped from year-over-year comparisons for several more quarters, creating ongoing differences between GAAP and non-GAAP results.
• Integration of the new Village Family Dental platform requires dedicated management and operational resources, which creates execution risk if not managed properly.

Q: How long did the Village Family Dental deal take to complete, how quickly will integration proceed, and will this large acquisition consume enough resources to pause other similar-sized M&A activity? / A: Park Dental had a multi-year relationship with the Village Family leadership team, with active deal negotiations beginning in earnest in early 2026. Integration planning is already underway, and Village is a sophisticated, well-run organization that will contribute internal resources to the integration process. Management noted they are focused on sustainable integration execution but remain committed to evaluating new M&A opportunities alongside the integration work. The Village team also has prior acquisition experience, so the combined group will continue pursuing incremental growth opportunities in North Carolina post-closing.

Q: How did Park Dental win the Village Family deal over competing private equity bidders, and what made the firm attractive to the sellers? / A: Management declined to comment on specific deal terms or competing bidders, but noted the company's longstanding relationship with the Village leadership and its unique model aligned with doctor priorities. The firm's dyad leadership model (pairing doctor leaders with operational leaders) and commitment to direct clinician participation in corporate governance were key factors that aligned with Village's legacy and priorities, leading the sellers to choose Park Dental.

Q: Will adding the larger Village Family platform give Park Dental increased purchasing leverage with its vendors and suppliers? / A: Management confirmed that adding the Village group will increase scale and improve purchasing leverage for the combined organization. Park Dental already maintains long-term strategic partnerships with its key vendors, who will support the new North Carolina locations to secure the best possible pricing for clinical and operational inputs.

Q: How is integration progressing for the smaller acquisitions completed over the past year, and what lessons have been applied to new market entry? / A: Management confirmed that all recent smaller integrations are progressing on track, and the firm continuously learns from each new market entry. For example, the company is currently building market share and relationships in Arizona, integrating systems and assessing local growth opportunities, and lessons from that expansion are being applied to new market entries like North Carolina and Minnesota. The firm remains focused on building scale gradually in new high-potential markets over time.