Aimia Inc. · TSX:AIM
Aimia — Q1 2024 Earnings Presentation
22 slides from Aimia's earnings presentation, May 15, 2024
Slide 1: Aimia Q1 Presentation
Aimia Q1 Presentation May 15, 2024
Slide 2: Forward-looking and cautionary statements
Forward-looking and cautionary statements This presentation contains statements that constitute “forward-looking information” within the meaning of Canadian securities laws (“forward-looking statements”), which are based upon Aimia’s current expectations, estimates, projections, assumptions and beli
Slide 3: GAAP and Non-GAAP Financial Measures
GAAP and Non-GAAP Financial Measures GAAP FINANCIAL MEASURES To measure performance, the Corporation uses and presents several financial measures in accordance with GAAP, including, but not limited to, gross profit (loss), operating income (loss), Earnings (loss) before income taxes, Net earnings (l
Slide 4: Today's presenters
Today’s presenters Tom Finke Steve Leonard Executive Chairman Chief Financial Officer 4
Slide 5: Key highlights and recent developments
Key highlights and recent developments • Q1 results driven by strong performances of Bozzetto and Cortland • StarChem acquisition serves as model for future growth opportunities • Monetization of Capital A shares contributed $11.4M of cashflow • Recent momentum and developments pave the way for the
Slide 6: Financial & Operating Results
Financial & Operating Results
Slide 7: Consolidated financial highlights
Consolidated financial highlights $ million except EPS Q1 2024* Q4 2023 • Q1 2024 marked by improvements of all key financial indicators Revenue $122.1 $100.1 • Revenue growth driven by strong Gross Profit $34.6 $23.8 customer demand at anchor companies Gross Profit Margin 28.3% 23.8% OPEX $35.0 $37
Slide 8: Bozzetto financial highlights
Bozzetto financial highlights* Revenue Adj. EBITDA** $Million +17% $Million +41% $90 $88.1 $15.5 $16 $85 $14 $80 $13.0 $75.6 $74.9 $75.9 $80.8 $75 $12 $11.7 $14.0 $70.3 $11.0 $10.4 $5 $7.3 $1.5 $0 $0 Q1 23 Q2 23 Q3 23 Q4 23 Q1 24 Q1 23 Q2 23 Q3 23 Q4 23 Q1 24 • Q1 2024 results driven by strong marke
Slide 9: Cortland International financial highlights
Cortland International financial highlights $Million Revenue $Million Adj. EBITDA* $40 $6 $5.7 $38.4 +14% $5 +60% $35 $34.0 $4.0 $4 $3 $30 $29.7 $2.5 $0 $0 Q3 23 Q4 23 Q1 24 Q3 23 Q4 23 Q1 24 • Q1 2024 improvement reflects stronger • Q1 2024 increase due to improved market conditions and customer de
Slide 10: Highlights at investment companies
Highlights at investment companies • Continued improvements of key financial metrics • $11.4M worth of shares monetized in Q1 due to restructuring and cost-cutting initiatives • Slow recovery of China’s economy continues to weigh on advertising market Monetizing non-core assets will be key component
Slide 11: Cash waterfall through March 31
Cash waterfall through March 31* $Million - $(10.9) $6.2 $4.4 $(3.2) $109.1 $11.4 $(7.0) $(15.5) $98.2 $(2.0) $(1.6) $(3.6) Q4 Cash Monetization Redemption Other Dividends Investor StarChem CAPEX Management Taxes paid Q1 Cash of Capital A of activities activism acquisition Changes Shares investments
Slide 12: FY2024 Guidance
FY2024 Guidance* FY 2024 • Adjusted EBITDA is based on the combined contributions of core holdings Adjusted EBITDA at $80 - $85M • Holdco costs exclude one-time expenses Bozzetto and Cortland* Holdco Costs $13M • One-time costs include shareholder activism expenses, severance costs, and integration
Slide 13: Strategic direction
Strategic direction AIMIA
Slide 14: Re-alignment of Aimia's strategy
Re-alignment of Aimia’s strategy Recent developments provided opportunity to re- calibrate Aimia’s vision and strategy • Launched CEO search • Strengthened Board and committees • Monetized more than $11M of Capital A shares • Improved reporting and disclosures to highlight Bozzetto and Cortland cont
Slide 15: Key considerations for priorities
Key considerations for priorities 1. Reflect on shareholder feedback 2. Determine if holding company structure is optimal 3. Identify assets that are core 4. Assess which assets can be monetized 5. Close gap between share price & NAV/PS 6. Create catalysts for growth 7. Determine best use of availab
Slide 16: Path going forward
Path going forward Optimize capital Unlock value at core Monetize non-core structure and return holdings assets capital to investors - Bozzetto and Cortland operate in - Build on Bozzetto’s track record and - Launch NCIB in 2024 pending key niche markets with organic growth integrate StarChem develo
Slide 17: Questions?
Questions? AIMIA
Slide 18: TSX: AIM www.aimia.ca IRandMedia@corp.aimia.ca
TSX: AIM www.aimia.ca IRandMedia@corp.aimia.ca
Slide 19: Appendix Non-GAAP Financial Measures
Appendix Non-GAAP Financial Measures
Slide 20: Reconciliation of Adjusted EBITDA - Bozzetto
Reconciliation of Adjusted EBITDA BOZZETTO (in millions of Canadian dollars) Q1 2024 Q4 2023 Q1 2023 Reconciliation of Adjusted EBITDA Earnings (loss) before income taxes 5.9 0.5 — Depreciation and amortization 5.1 5.1 — Financial expense, net 4.3 5.1 — Transaction related costs 0.7 0.9 — (Income) e
Slide 21: Reconciliation of Adjusted EBITDA - Cortland International
Reconciliation of Adjusted EBITDA CORTLAND INTERNATIONAL (in millions of Canadian dollars) Q1 2024 Q4 2023 Q1 2023 Reconciliation of Adjusted EBITDA Earnings (loss) before income taxes (1.5) (6.5) (25.3) Depreciation and amortization 3.0 3.0 0.4 Intercompany interest (income) expense 2.2 3.0 0.5 Cos
Slide 22: Reconciliation of Adjusted EBITDA - Holdings
Reconciliation of Adjusted EBITDA HOLDINGS (in millions of Canadian dollars) Q1 2024 Q4 2023 Q1 2023 Reconciliation of Adjusted EBITDA Earnings (loss) before income taxes (5.8) (54.0) 5.9 Depreciation and amortization — — 1.1 Share-based compensation expense (reversal) (1.9) 0.2 0.3 Intercompany int