INVESTOR PRESENTATION May 5, 2016

22 Forward Looking Statements This presentation contains forward-looking statements, which involve numerous risks and uncertainties. Included are statements relating to opening of new clinics, availability of personnel and reimbursement environment. The forward-looking statements are based on the Company’s current views and assumptions and the Company’s actual results could differ materially from those anticipated as a result of certain risks, uncertainties, and factors, which include, but are not limited to: general economic, business, and regulatory conditions; competition; reimbursement conditions; federal and state regulation; acquisitions; clinic closures, availability, terms, and use of capital; availability and cost of skilled physical and occupational therapists; and weather. 2

Investment Highlights 512 outpatient physical and occupational therapy clinics across 42 states 4 th largest owner/operator of clinics Only publicly-traded, pure play provider 512 outpatient physical and occupational therapy clinics across 42 states 4 th largest owner/operator of clinics Only publicly-traded, pure play provider Proven Business Model Solid Financial Position Diversified payor mix, only 23% of revs from Medicare Strong cash flow and balance sheet Diversified payor mix, only 23% of revs from Medicare Strong cash flow and balance sheet Driven by organic growth and acquisitions Approximately 60% of clinics were de novo start-ups Partner with experienced physical therapists Driven by organic growth and acquisitions Approximately 60% of clinics were de novo start-ups Partner with experienced physical therapists 3 Attractive Market Dynamics US rehab market > $15B in annual revenue Highly fragmented; No company with >10% market share Favorable demographics – aging and active population US rehab market > $15B in annual revenue Highly fragmented; No company with >10% market share Favorable demographics – aging and active population Established Company

National Footprint 4

Growth Strategy Drive organic growth through de novo PT/OT clinic openings, utilize true partnership model Maximize profits of existing facilities by growing patient volume; realize efficiencies through higher clinical productivity Augment organic growth through strategic acquisitions 5

Large and Growing Market Opportunity $15B+ U.S. rehab market with 3-4% projected annual growth Favorable demographics – physically active, aging and obese population segments Healthcare delivery shifting towards lower cost, high quality outpatient providers “Demand for physical therapy is projected to be one of the fastest growing sectors in the U.S. economy through 2016.” - Wall Street Journal, July 14, 2009 “Jobs in healthcare support…are projected to experience even faster growth. The increased demand in this area stems largely from an aging population…occupations that will likely grow in importance are physical therapists, physical therapist assistants…” − Report from Executive Office of the President’s Council of Economic Advisors, July

Competitive Landscape 7 Highly fragmented U.S. outpatient rehab market with ~16,000 clinics No company with >10% market share USPh ranks third nationally –Select Medical/Physio 1621 Clinics –ATI 600 Clinics –USPh 512 Clinics Note: Owned Clinics

Focused Business Model Specialize in trauma, sports, work-related and pre and post surgical cases Partner with experienced physical therapists –Drive volume via referrals –Augment sales with marketing reps Historical focus on organic growth via lower cost de novo (start-up) clinics Strategic acquisitions structured like de novos as partnerships with significant ownership retained by founders 8

USPH Partnership Advantages Accounting HR Real Estate Construction Purchasing Marketing Compliance Legal IT Less Administrative Burden Access to Capital for Development of Additional Clinics No Personal Financial Risk Unlimited Earnings Potential Full Benefit Package Ongoing Guidance within Semi-Autonomous Work Environment More Resources 9

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New Clinics / Brands

Acquisition Strategy Completed 23 clinic group acquisitions since 2005 Range in size from 3 to 52 clinics Acquisition criteria: Owner therapists continue to operate clinics and retain significant equity interest Immediately accretive to earnings Further de novo growth opportunities 12

Executive Management Chris Reading – Chief Executive Officer –Joined USPh as COO in November 2003 –Promoted to CEO and Board in November 2004 –Previously Senior Vice President of Operations with HealthSouth, managed over 200 facilities including OP, ASC, DX Imaging and rehab hospital operations. –BS & Physical Therapist Larry McAfee – Chief Financial Officer –Joined USPh as CFO in September 2003 –Promoted to EVP and Board in November 2004 –Previously served as CFO and President of both public and private companies –BBA & MBA Glenn McDowell – Chief Operating Officer –Joined USPh as Vice President - West Region in October 2003 –Promoted to COO in January 2005 –Previously Vice President of Operations with HealthSouth, managed 165 facilities including ASC, DX Imaging, OP and occupational medicine facilities. –BS & Masters Physical Therapy 13

Diversified Payor Mix 14

Worker’s Comp Push 15 Both internally and through acquisition, USPh has expanded its industrially focused worker’s comp business. Grown to approximately 20% of Company’s patient revenue Treat, educate, assess and prevent work related injuries National approach with local care delivery, centralized scheduling-fast, easy and convenient. Services provided:  job specific rehabilitation  work hardening/conditioning  physical work qualifications assessment  post-offer pre-employment screening  functional capacity evaluations (“FCE”)  fitness programs  ergonomic assessments  onsite trainers and therapists

Strong Cash Flow and Balance Sheet Both de novo clinics and acquisitions financed primarily through free cash flow USPH trailing twelve months ended March 2016 adjusted EBITDA (1) of $52.8 million; an increase of 12.9% from the preceding twelve months (1) Adjusted EBITDA is defined as earnings before interest, taxes, depreciation, amortization and equity compensation expense. 16

Dividend In 2011 initiated quarterly dividend Increased dividend in 2012, 2013, 2014, 2015 and 2016 Paid special dividend in December 2012 Increased dividend in March 2016 by 13% Dividends do not impact ability to continue to grow internally through de novo clinic development and externally through acquisitions Dividend seen as additional way to increase returns to shareholders as Company is under leveraged and has excellent net free cash flow 17

Average Annual Rate of Return to Shareholders 29.4% Per Year 18 * Current Management Team joined Company in Fall of 2003 and took over in late Total Cumulative Return through December 31, 2015 including dividends is $ Total Cumlative Return Percentage is 360.6%. Average Annual Return %. Market Cap Increase during time period is from $154.7 million to $666.7 million or by $ million or 331.0%.

Revenue Gross Margin Operating Income Net Income EPS Adjusted EBITDA* Year Results* 19 $ M $ 78.4 M $ 47.3 M $ 22.3 M $ 1.80 $ 50.3 M December 31, 2014 $ M $ 76.2 M $ 45.8 M $ 20.9 M $ 1.71 $ 46.3 M 8.6% December 31, % 3.3% 6.8% 5.3% 8.7% *Adjusted EBITDA is defined as earnings before interest, taxes, depreciation, amortization and equity compensation expense.

First Quarter Results 20 Revenue Gross Margin Operating Income Net Income EPS Adjusted EBITDA $ 86.9 M $ 20.5 M $ 11.5 M $ 5.3 M $.43 $ 12.5 M Q $ 77.2 M $ 16.8 M $ 9.2 M $ 4.2 M $.34 $ 10.0M Q Adjusted EBITDA is defined as earnings before interest, taxes, depreciation, amortization and equity compensation expense. 12.5% 21.7% 25.1% 27.9% 26.5% 24.6%

Summary 21 Only publicly-traded, pure play operator of rehab clinics Proven business model, driven by organic growth and acquisitions Significant scale with national footprint Large and growing market/favorable demographics Strong cash flow and balance sheet

Reconciliation of Non-GAAP Financial Measures – Adjusted EBITDA (1) (1) Adjusted EBITDA is defined as earnings before interest, taxes, depreciation, amortization and equity compensation expense. 22 From Continuing Operations Twelve Months Ended December 31 (amounts in 000’s) Net revenues$ 331,302$ 305,074 Net Income attributable to U.S. Physical Therapy 22,279 20,853 Depreciation & amortization 7,952 6,740 Interest, net (income) / expense 950 1,070 Equity/stock option expense 4,491 3,363 Provision for income taxes 14,653 14,274 Adjusted EBITDA $ 50,325 $ 46,300

Reconciliation of Non-GAAP Financial Measures – Adjusted EBITDA Adjusted EBITDA is defined as earnings before interest, taxes, depreciation, amortization and equity compensation expense. 23 Three Months Ended March 31 (amounts in 000’s) Net revenues$ 86,908$ 77,241 Net Income attributable to U.S. Physical Therapy 5,328 4,166 Depreciation & amortization 2,092 1,807 Interest, net (income) / expense Equity/stock option expense 1, Provision for income taxes 3,523 2,777 Adjusted EBITDA$ 12,452 $ 9,997

Reconciliation of Non-GAAP Financial Measures – Adjusted EBITDA Adjusted EBITDA is defined as earnings before interest, taxes, depreciation, amortization and equity compensation expense. 24 Trailing Twelve Months Ended March 31 (amounts in 000’s) Net revenues$ 340,969$ 312,548 Net Income attributable to U.S. Physical Therapy 23,441 20,791 Depreciation & amortization 8,237 7,160 Interest, net (income) / expense 981 1,075 Equity/stock option expense 4,722 3,618 Provision for income taxes 15,399 14,112 Adjusted EBITDA $ 52,780 $ 46,756

NYSE: USPH