This episode explores the unique business model of Chemed Corp, a company combining end-of-life healthcare (VITAS) and plumbing services (Roto-Rooter). Against the backdrop of Chemed's history as a spinoff of WR Grace, the discussion traces the strategic acquisitions that shaped its current structure. More significantly, the interview delves into the operational specifics of each subsidiary, highlighting Roto-Rooter's dominance in emergency plumbing and VITAS's leading position in the hospice care market. For instance, the analysis covers Roto-Rooter's franchise model, its competitive advantages, and recent challenges posed by private equity competitors, contrasting this with VITAS's organic growth strategy and its navigation of Medicare regulations. The conversation also touches upon Chemed's exceptional capital allocation strategy, its conservative balance sheet, and the potential future separation of its two distinct businesses. Ultimately, the episode underscores the importance of strong management, strategic market positioning, and adept capital allocation in driving long-term shareholder value, even in seemingly disparate industries.