Scandic Hotels Group Ab · OMXSTO:SHOT
Scandic Hotels Group Ab — Q1 2023 Earnings Presentation
17 slides from Scandic Hotels Group Ab's earnings presentation, Apr 27, 2023
Slide 1: Scandic Hotels Q1 Report April 27, 2023
SCANDIC HOTELS Q 1 R E P O R T A P R I L 2 7, 2 0 2 3 Scandic Park, Sweden
Slide 2: Strong First Quarter
STRONG FIRST QUARTER • Strong improvement in net sales and results • Good demand from corporate and leisure • Increased room rates • Improved cash flow and solid financial position • Good operational performance Scandic Park, Sweden 2
Slide 3: Quarterly Adjusted EBITDA
QUARTERLY ADJUSTED EBITDA MSEK IMPROVED 1 200 900 RESULTS 600 • Adjusted EBITDA of 170 (-237) MSEK 300 • All markets contributed with a positive 0 adjusted EBITDA result -300 -600 2020 2021 2022 2023 -900 -1 200 Q1 Q2 Q3 Q4 3
Slide 4: The Hotel Market Has Had a Good Start to the Year
THE HOTEL MARKET HAS HAD A GOOD START TO THE YEAR SWEDEN (TOTAL MARKET OCCUPANCY) NORWAY (TOTAL MARKET OCCUPANCY) 80% 80% 60% 60% 40% 40% 20% 20% 0% 0% FINLAND (TOTAL MARKET OCCUPANCY) DENMARK (TOTAL MARKET OCCUPANCY) 80% 80% 60% 60% 40% 40% 20% 20% 0% 0% Source: Benchmarking Alliance 4
Slide 5: Increased Room Rates
50 60 70 80 90 100 110 120 130 140 Jan 2020 Feb 2020 Mar 2020 Apr 2020 Source: Benchmarking Alliance May 2020 Jun 2020 Jul 2020 Aug 2020 Sweden Sep 2020 Oct 2020 Nov 2020 Dec 2020 Jan 2021 Feb 2021 Mar 2021 Apr 2021 Norway May 2021 Jun 2021 Jul 2021 Aug 2021 Sep 2021 Oct 2021 Nov 2021 Dec 2021 Finla
Slide 6: Positive RevPAR Development
20 40 60 80 0 100 120 140 Jan 2020 Feb 2020 Mar 2020 Apr 2020 Source: Benchmarking Alliance May 2020 Jun 2020 Jul 2020 Aug 2020 MARKET REVPAR Sweden Sep 2020 Oct 2020 Nov 2020 Dec 2020 Jan 2021 Feb 2021 Mar 2021 Apr 2021 May 2021 Norway Jun 2021 Jul 2021 Aug 2021 Sep 2021 Oct 2021 Nov 2021 Dec 2021
Slide 7: One Opening in Q1: Scandic Frankfurt Hafenpark
ONE OPENING IN Q1 SCANDIC FRANKFURT HAFENPARK 505 14 320 FOCUS ON HOTEL ROOMS MEETING ROOMS SEAT RESTAURANT SUSTAINABILITY 7
Slide 8: Focus on Growing Pipeline
FOCUS ON GROWING PIPELINE Pipeline as of March 31, 2023 No. of Year Hotel Destination rooms Q3 2025 Scandic Vervet Tromsø Tromsø, Norway New 305 Q1 2026 Scandic in Ski Oslo, Norway New 220 Q1 2026 Scandic Aarhus Harbour Aarhus, Denmark New 342 867 Ongoing extensions 144 Closed for renovation1 513 Ex
Slide 9: Scandic Go
SCANDIC GO • New brand with a sustainable, smart and lean offering in the fast-growing economy segment • A complement to Scandic’s full-service offering that broadens the addressable market • Enables great growth potential, higher margins and increased capital efficiency • Ambition to sign 1,000-1,5
Slide 10: Financial Update
FINANCIAL UPDATE 10 Scandic Park, Sweden 1010
Slide 11: Improved Net Sales & Results
Net sales Adjusted Adjusted IMPROVED MSEK Q1 2023 Q1 2022 EBITDA Q1 2023 Q1 2022 EBITDA margin Q1 2023 Q1 2022 NET SALES Sweden 1,388 827 95 -80 6.8% -9.7% & RESULTS Norway 1,313 961 152 135 11.5% 14.0% 1,053 562 19 -160 1.8% -28.5% • Net sales increased 66% to 4,526 Finland MSEK (2,733) Other Europ
Slide 12: Improved Cash Flow
MSEK Q1 2023 Q1 2022 IMPROVED Adjusted EBITDA Change in working capital 170 -370 -237 -441 CASH FLOW Paid tax -50 -34 Interest paid -14 -55 • Free cash flow improved to -356 MSEK (-997), driven by higher Pre-opening costs & other items -14 -27 turnover and improved results Cash flow from operations
Slide 13: Financing Items Q1
FINANCING ITEMS Q1 • Net debt of 3,389 MSEK1 DEBT • Net debt/adjusted EBITDA of 1.2x (0.6x excluding the convertible bond) • Total credit facility of 3,450 MSEK WORKING • Repayment of 450 MSEK in variable rent liabilities for 2022 CAPITAL • Liabilities related to variable rent of approximately 270 M
Slide 14: Net Financial Items, Reported vs. Cash Flow
NET FINANCIAL ITEMS, MSEK Q1 2023 Q1 2022 REPORTED VS. Total financial net, reported -522 -453 CASH FLOW of which interest expenses, IFRS 16 -431 -344 Financial net excl. IFRS 16 -91 -109 • Reported financial net amounted Adjustments to paid financial items to -522 MSEK incl. IFRS 16 and Interest ex
Slide 15: Concluding Remarks
CONCLUDING REMARKS Scandic Park, Sweden 1515
Slide 16: Outlook
OUTLOOK • Based on current bookings, we expect good demand in line with last year for the spring and the upcoming summer months • For the second quarter, we anticipate occupancy levels in line with last year at higher room rates • We also expect a good quarter for meetings and events and continued h
Slide 17: Scandic Continental, Sweden
17 17 Scandic Continental, Sweden