Scandic Hotels Group AB · OMXSTO:SHOT

Scandic Hotels Group AB — Q3 2021 Earnings Presentation

18 slides from Scandic Hotels Group AB's earnings presentation, Oct 28, 2021

  1. Slide 1: Financial Update

    SCANDIC HOTELS. |

  2. Slide 2: Strong results in an improved market

    STRONG RESULTS IN AN IMPROVED MARKET RESULTS AND CASH FLOW TURNED POSITIVE OCCUPANCY 55 PERCENT IN Q3 CONTINUED INCREASE IN BOOKING ACTIVITY IMPROVING EFFICIENCY AS DEMAND INCREASES Scandic

  3. Slide 3: Quarterly results development 2019-2021 (MSEK)

    MSEK 900 600 • 300 • 0 • -300 -600 -900 -1 200 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2019 2019 2019 2019 2020 2020 2020 2020 2021 2021 2021 3

  4. Slide 4: Total market occupancy

    (TOTAL MARKET OCCUPANCY) (TOTAL MARKET OCCUPANCY) (TOTAL MARKET OCCUPANCY) (TOTAL MARKET OCCUPANCY) Source: Benchmarking Alliance 4

  5. Slide 5: Market trends (Benchmarking Alliance)

    • • • • Source: Benchmarking Alliance 5

  6. Slide 6: Occupancy development by country

    6 10% 20% 30% 40% 50% 60% 70% 80% 0% 01-09-21 03-09-21 05-09-21 07-09-21 09-09-21 Sweden 11-09-21 13-09-21 15-09-21 17-09-21 19-09-21 Norway 21-09-21 23-09-21 25-09-21 27-09-21 29-09-21 Finland 01-10-21 03-10-21 05-10-21 07-10-21 09-10-21 11-10-21 Denmark 13-10-21 15-10-21 17-10-21 19-10-21 Total 21

  7. Slide 7: Booking activity and occupancy

    • 80% 70% 60% • 50% 40% 30% 20% 10% 0% 7

  8. Slide 8: 3,5 3,0 • 2,5 • 2,0 1,5 1,0 • 0,5 0,0

    3,5 3,0 • 2,5 • 2,0 1,5 1,0 • 0,5 0,0 8

  9. Slide 9: Hotel opening pipeline

    Q4 2021 Scandic Hamburger Börs Turku, Finland Takeover 272 Q1 2022 Scandic Macherei Munich, Germany New 234 Q1 2022 Scandic Örebro Central Örebro, Sweden New 160 Q2 2022 Scandic Holmenkollen Park Holmenkollen, Norway Reopening 376 Reopening after renovation and extension Q2 2022 Scandic Nørreport Co

  10. Slide 10: Slide 10

  11. Slide 11: Adjusted EBITDA Q3

    MSEK Q3 Adjusted EBITDA 709 Received state aid 132 Repayment of over-consolidation from insurance company 44 Estimated temporary impact from quarantine business in Norway ~150 Underlying adjusted EBITDA ~380 11

  12. Slide 12: Jul-Sep net sales and adjusted EBITDA by country

    Jul-Sep Net sales Adjusted EBITDA Adjusted EBITDA % 2021 2020 2021 2020 2021 2020 MSEK Sweden 1,072 625 142 77 13.3% 12.3% Norway 1,432 724 426 104 29.7% 14.4% Finland 716 472 29 -95 4.0% -20.1% Other Europe 515 264 164 61 31.9% 23.1% Central costs & Group adj. - - -53 -57 - - Group 3,734 2,085 709

  13. Slide 13: Cash flow and net debt Q3

    Q3 Adjusted EBITDA 709 • Change in working capital 3 Paid tax 0 • Interest paid -28 Pre-opening costs & other items 20 Cash flow from operations 703 • Investments in existing operations -38 Free cash flow before expansion capex 666 Expansion capex -118 Free cash flow 547 Net debt (excluding converti

  14. Slide 14: Financial net Q3

    Q3 • Total financial net, reported -410 of which interest expenses, IFRS 16 -301 Financial net excl. IFRS 16 -109 • Adjustments to paid financial items Interest expenses, convertible bond (non-cash) 34 Timing difference, interest on bank loans 39 • Other -1 Total adjustments 73 Paid financial items,

  15. Slide 15: Sensitivity analysis during recovery phase

    SENSITIVITY ANALYSIS DURING RECOVERY PHASE ~40% OCC ~50% OCC Scandic

  16. Slide 16: IFRS accounting effects

    16 IFRS ACCOUNTING EFFECTS Due to temporary rent discounts and extended maturity of lease portfolio, the negative IFRS impact on net result is expected to increase)to -560, MSEK for 2021 With the current portfolio, the negative impact will diminish over time and become positive from 2027 Interest co

  17. Slide 17: CONCEVEING R

    CONCEVEING R

  18. Slide 18: Outlook

    18 OUTLOOK WE EXPECT OCCUPANCY TO BE AROUND 58 PERCENT IN OCTOBER AND AT LEAST 60 PERCENT IN NOVEMBER EXPECTED KEY DRIVERS NEAR TERM: * CORPORATE & MEETINGS * FINLAND * CAPITAL CITIES Scandic

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