Best Ideas Bowl October 2020

Nasdaq: STRM

1

Streamline Health (Nasdaq: STRM)

© 2020 Streamline Health, Inc. All Rights Reserved.

Disclosure Statement

SAFE HARBOR STATEMENT: FORWARD-LOOKING DISCLOSURE

This presentation contains "forward-looking statements" within the meaning of the U.S. Private Securities Litigation Reform Act of 1995, based on current management expectations. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and that can cause Streamline Health's actual results to differ. We caution you therefore to not place undue reliance on such statements.

Actual results might differ materially from these statements due to a number of risks and uncertainties. Risks that may contribute to the uncertain nature of these statements are described in Streamline Health's periodic filings made with Securities and Exchange Commission. Special attention is directed to the portions of those documents entitled "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations." Streamline Health undertakes no obligation to update any forward-looking statements or relevant risks, except as may be required by law.

TRADEMARKS

Product or company names referenced herein may be trademarks or registered trademarks of their respective owners

2

Streamline Health (Nasdaq: STRM)

© 2020 Streamline Health, Inc. All Rights Reserved.

Streamline Health Investment Highlights

Transforming hospital mid-revenue cycle management

Paradigm-shifting

eValuator Revenue

Integrity Program

Leading the industry in automated pre-bill coding analysis

70%

SaaS & Tech-Enabled

Services Model

3-year+ contracts yield

Recurring Revenue

reliable, long-term revenue

2Q20

$3.1B

2018 Mid-Revenue

Cycle

Large market opportunity

expected to grow to $4.5B by 2023

Positioned for Growth in 2021 and Beyond

Despite COVID-19 impact, recent strategic evolution positions STRM for long- term top-line growth

3

Streamline Health (Nasdaq: STRM)

© 2020 Streamline Health, Inc. All Rights Reserved.

Hospital Coding Today is Wildly Inefficient

Hospital billing efficiency is throttled by its coders' ability to navigate the complexities of ICD-10 -

a classification system with >130,000 unique codes.

Significant sums are often left on the table as a result of a small coding error, while overbilling results in potential claw-backs and fines

Coding Complexity

>130,000 unique billing codes.

Regulatory Complexity

Simple coding errors can result in missed revenue or create regulatory risks.

Tremendous Urgency

Hospitals need an army of coders to keep up with demand. Each day a case isn't billed negatively impacts cash flow.

Minimal Auditing

Most providers audit only a handful of cases - and only after they've been billed.

PROVIDERS ARE FORCED TO

SACRIFICE CODING QUALITY FOR

EXPEDIENCY

We Streamline

Revenue Cycle

Management

Our SaaS-based tools and tech-enabled services relieve the financial pressure on hospitals by transforming clinical data into compliant revenue.

Our flagship eValuator™ Revenue Integrity Program helps improve coding accuracy, resulting in improved cash flow efficiency.

Clinical Data

Organize

Abstracting &

Physician Query

Optimize

Clinical Documentation

Improvement (CDI)

Evaluate

eValuator™ cloud-basedpre-bill coding analysis

Validate

Coding Audit

Services

Compliant

Revenue

How Automated Pre-Bill Coding Analysis Impacts Revenue

6

Streamline Health (Nasdaq: STRM)

© 2020 Streamline Health, Inc. All Rights Reserved.

Streamline Health Investment Highlights

Transforming hospital mid-revenue cycle management

Large Market Opportunity

eValuator Revenue Integrity Program

Positioned for Revenue Growth

7

Streamline Health (Nasdaq: STRM)

© 2020 Streamline Health, Inc. All Rights Reserved.

A Unique Offering in a Growing Industry

Mid-Revenue Cycle Management

Market Size*

$4.5B

$3.1B

2018

2019

2020

2021

2022

8

Streamline Health (Nasdaq: STRM)

© 2020 Streamline Health, Inc. All Rights Reserved.

Significant greenfield opportunity for flagship eValuator™ automated, pre-bill coding analysis platform

Anticipate revenue growth from two sources: Direct Sales to Large Healthcare Providers and an expanding set of Resellers with large existing customer base

Growing from installed base of $11.2M recurring annual revenue

*Source: Research & Markets

Streamline Health Investment Highlights

Transforming hospital mid-revenue cycle management

Large Market Opportunity

eValuator Revenue Integrity Program

Positioned for Revenue Growth

9

Streamline Health (Nasdaq: STRM)

© 2020 Streamline Health, Inc. All Rights Reserved.

The eValuator Revenue Integrity Program

Pre-Bill Revenue Integrity as a Service (PBRIaaS)

Combines eValuator's automated pre-bill analysis with our expert audit services

Enables providers to evolve their billing practice with a backbone of world-class auditing expertise

Improves hospital coding staff performance through automated coaching and real-time feedback

Current Practice

Post-bill audits of 1-2% of all records

New Practice

Analyze 100% of records before billing

    • Randomly selected cases
    • Limited window to resubmit for missed revenue
    • Minimal
      coder development
  • Increases coding accuracy
  • Aids coder development
  • Improves cash flow
  • Reduces regulatory risk

10

Streamline Health (Nasdaq: STRM)

© 2020 Streamline Health, Inc. All Rights Reserved.

The Impact of eValuator

CASE STUDY

  • Large not-for-profit health system in Texas
  • 17 hospitals with a total
    4,242 beds

Summary of Inpatient Results from Nov. 2019 to Aug. 2020

41,437 Cases Flagged (27%)

Cases Identified with Potential DRG Changes

$7,073,406 OF UNDER BILLING

156,160

$7,512,007 OF OVER BILLING

Cases Processed

$14,585,413

TOTAL FINANCIAL IMPACT

11

Streamline Health (Nasdaq: STRM)

© 2020 Streamline Health, Inc. All Rights Reserved.

The eValuator Revenue Integrity Program Top Tier Customer Base

12

Streamline Health (Nasdaq: STRM)

© 2020 Streamline Health, Inc. All Rights Reserved.

Interoperability with Epic

Strong integration with leading EHR

Direct integration within existing Epic workflows

Coders will receive real-time notifications of any opportunities and risks, along with narrative advice to review/correct

Available as real-time HL7 & FHIR API via Epic App Orchard

13

Streamline Health (Nasdaq: STRM)

© 2020 Streamline Health, Inc. All Rights Reserved.

Streamline Health Investment Highlights

Transforming hospital mid-revenue cycle management

Large Market Opportunity

eValuator Revenue Integrity Program

Positioned for Revenue Growth

14

Streamline Health (Nasdaq: STRM)

© 2020 Streamline Health, Inc. All Rights Reserved.

Bookings & Pipeline

Consistent quarterly bookings goal of $2-$3M

First Half 2020 negatively impacted by COVID-19, anticipate bookings improvement through remainder of 2020/2021

Pipeline contains $62M of opportunity among 68 prospects

$3.6M

$2.9M

$2.4M

$1.3M

$1.3M

$0.8M

1Q19

2Q19

3Q19

4Q19

1Q20

2Q20

New Bookings

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Streamline Health (Nasdaq: STRM)

© 2020 Streamline Health, Inc. All Rights Reserved.

Line of Sight to Free Cash Flow

Our monthly break-even cash requirements (revenue requirements) averages $1.2M in Fiscal 2020; $1.5M in Fiscal 2021;

eValuator reaches 'scale' at $1.6M revenue per month in FY 2023

Based on our projections we will reach cash generation in Q3/Q4 2021;

Recent sale of legacy ECM business provides sufficient cash to operate without additional financing

16

Streamline Health (Nasdaq: STRM)

© 2020 Streamline Health, Inc. All Rights Reserved.

Clean Capital Structure

As of 7/31/20

Cash & cash equivalents

$5.7M - sufficient through 2021

Debt

No bank debt

Common Stock

30.4M shares outstanding

17

Streamline Health (Nasdaq: STRM)

© 2020 Streamline Health, Inc. All Rights Reserved.

Best Ideas Bowl

Nasdaq: STRM

18

Streamline Health (Nasdaq: STRM)

© 2020 Streamline Health, Inc. All Rights Reserved.

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Streamline Health Solutions Inc. published this content on 16 October 2020 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 16 October 2020 16:34:02 UTC