Flight Centre Travel Group Limited · ASX:FLT
Flight Centre Travel — Bell Potter ELC (September 2021)
12 slides from Flight Centre Travel's conference presentation, Sep 15, 2021
Slide 1: Presentation by Graham Turner, Bell Potter ELC
For personal use only Presentation by Graham Turner Bell Potter ELC September 15, 2021
Slide 2: FLT: A diverse global business
FLT: A diverse global business For personal use only Leisure Travel • Large businesses with high market-share in Australia, NZ & South Africa • Specialised offerings in USA, Canada, UK & Mexico • Strong omni-channel presence – shops, e-com, call centres, B2B • Mass market, premium & youth-focused br
Slide 3: FLT: Equity investment in Pedal Group JV
FLT: Equity investment in Pedal Group JV For personal use only Overview • 99 Bikes (retail network) + ATA (wholesaler) • FLT owns circa 47% of JV • Performing strongly – $54m profit before tax for FY21, up from $18m during FY20 • Group sales increased to $333m (FY20: $200m) • Large focus on e-bikes
Slide 4: FLT: Weathering the COVID Challenge
FLT: Weathering the COVID Challenge For personal use only FY19: Pre-COVID FY21: On The Road to Achieving Strategic Goals Prosperity Recovery in Subdued Climate • $23.7b in TTV pre-COVID • $3.9b in TTV • Initial focus on lowering costs • $343.1m underlying PBT • $507.1m underlying loss to sustainable
Slide 5: FLT: FY21 recap
FLT: FY21 recap For personal use only Recovery gaining momentum – • Sales revenue increasing month-on-month – record COVID-period result in June 2021 01 particularly in USA & corporate sector • Rapid leisure & corporate recovery in USA late in Q4-21 • Corporate transaction numbers (tickets) at c.50%
Slide 6: Lengthy liquidity runway (June 21)
Lengthy liquidity runway (June 21) Liquidity position a) Working capital assets (excl. cash and investments) For personal use only As at 30 June 2021 $m As at 30 June 2021 $m Cash and investments 1,356 Retail and corporate debtors 288 Working capital assets (excl. cash and investments) 533 a Trade a
Slide 7: Vaccination programs gaining momentum
FY22: Vaccination programs gaining momentum For personal use only • More than 60% of eligible people now fully or partially vaccinated in most of FLT’s key markets • Australia currently on track to reach 70% (aged 16 and over) fully vaccinated by October 31 & 80% by mid-late November (Source: The Gu
Slide 8: International travel starting to take-off
FY22: International travel starting to take-off For personal use only Restrictions being relaxed/removed • Various international routes now open/opening as world starts to live with the virus • USA-UK/Europe/Canada (all currently one-way “bubbles”), intra-Europe, Canada-UK (Sept 7), Germany/Brunei-S
Slide 9: Expectations for Australian recovery
FY22: Expectations for Australian recovery For personal use only Light at the end of the lockdown tunnel • Widespread lockdowns impacting short-term domestic travel plans in both leisure & corporate • More positive outlook - politicians flagging relaxations once vaccination thresholds are reached •
Slide 10: Travel more complex in the short-term
FY22: Travel more complex in the short-term For personal use only Customers ready to take-off but extra help required in a more complex world Passports & Paperwork Added complexity plays to FLT’s strengths – reinforces value of leisure agents & corporate travel managers Differing government policies
Slide 11: Recent developments
FY22: Recent developments For personal use only Strategic expansion – corporate business to enter key Japanese market (4th largest in world) in January 2022, via JV with NSF Engagement Corporation Melon corporate SME platform to be deployed in USA, Canada & UK this month New FCM platform deployed in
Slide 12: Questions?
For personal use only Questions?
Flight Centre Travel Group — Bell Potter ELC (September 2021) on 6ix