Sats Ltd · SGX:S58

Sats — Investor Presentation (November 2022)

19 slides from Sats's investor presentation, Nov 14, 2022

  1. Slide 1: SIAS – SATS Hybrid Dialogue

    <Public> SIAS – SATS Hybrid Dialogue 14 November 2022 <Public>

  2. Slide 2: Forward Looking Statement – Important Note

    <Public> Forward Looking Statement – Important Note The following presentation contains forward-looking statements by the management of SATS Ltd. (“SATS”), relating to financial and market trends for future periods. Some of the statements contained in this presentation that are not historical facts

  3. Slide 3: Key Business Highlights

    <Public> Key Business Highlights 1H Revenue rose 41.3% YoY to $804.5M PATMI loss ex-reliefs narrowed Flight and passenger volume reached Operations ramp-up PATMI loss Proposed 60% of pre-pandemic levels, and reduction in narrowed QoQ from acquisition of WFS recovery to accelerate further government

  4. Slide 4: 2Q FY23 and QoQ Operating Statistics

    <Public> 2Q FY23 and QoQ Operating Statistics Flights Handled Meals Served Passengers Handled Cargo Tonnage Number of Employees In Thousands In Millions In Millions In ‘000 Tonnes Number +289% +31.3% +1,289% +37.2% +40.3% 55.7 17.7 12.6 577.6 15.6 13.4 420.9 11.1 14.3 0.9 Group Group Group Group Gro

  5. Slide 5: Investing in Changi Ramp Up Ahead of Expected Travel Recovery

    <Public> Investing in Changi Ramp Up Ahead of Expected Travel Recovery Core PATMI ex-reliefs 2Q22 2Q23 (21.6) (30.1) $36.9M in reliefs $9.8M in reliefs 2Q FY22 → 2Q FY23 Inflight Catering Centre 1 Staff training and preparation for Positive trend of narrowing losses back in operation reopening of T2

  6. Slide 6: Seizing Growth in Overseas Markets

    <Public> Seizing Growth in Overseas Markets Launch of World-first IATA Proposed AAT certification for acquisition of COOLPORT lithium battery Worldwide Flight handling Services 9th Payload 2022 PAX Asia Awards Readership Awards “Global Ground Successful renewal of “Airline Caterer of the Handler of

  7. Slide 7: Group Financial Review

    <Public> Group Financial Review <Public>

  8. Slide 8: Executive Summary: 2Q FY23 Performance

    <Public> Executive Summary: 2Q FY23 Performance • 2Q FY23 revenue increased 46.0% or $135.1M to $429.0M against 2Q FY22. • Compared to 1Q FY23, revenue increased by 14.2% or $53.5M. • 2Q FY23 PATMI loss = $9.9M against 2Q FY22’s profit of $6.8M. • Without government reliefs, core PATMI for 2Q FY23 w

  9. Slide 9: 2Q FY23 Highlights (vs 1Q FY23)

    <Public> 2Q FY23 Highlights (vs 1Q FY23) Commentary S$'M 2Q FY23 1Q FY23 QoQ var QoQ var % Revenue 429.0 375.5 53.5 14.2 • Group revenue improved by 14.2% ($53.5M) as Food and Gateway recorded higher revenue by 16.2% and 12.3% at the OPEX 437.0 409.8 (27.2) (6.6) back of aviation recovery. EBIT (8.0

  10. Slide 10: 2Q FY23 Highlights (vs 2Q FY22)

    <Public> 2Q FY23 Highlights (vs 2Q FY22) Commentary S$'M 2Q FY23 2Q FY22 YoY var YoY var % Revenue 429.0 293.9 135.1 46.0 • Group revenue improved by 46.0% ($135.1M) as Food and Gateway recorded higher revenue by 32.8% and 63.2% at the OPEX 437.0 293.4 (143.6) (48.9) back of aviation recovery and AA

  11. Slide 11: FY23 Quarterly Trending

    <Public> FY23 Quarterly Trending Revenue + $135.1M PATMI - $16.7M 429.0 375.5 275.6 293.9 307.8 299.5 6.4 6.8 5.1 2.1 PATMI (9.9) (22.5) 1Q22 2Q22 3Q22 Revenue 4Q22 1Q23 2Q23 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 EBITDA + $12.6M Core PATMI - $18.6M 45.4 32.9 32.8 31.7 13.9 6.4 6.8 5.1 EBITDA(3.2) Core PATMI

  12. Slide 12: Group Segmented Revenue – 1H FY23

    <Public> Group Segmented Revenue – 1H FY23 Revenue 1H FY23 % 1H FY22 % Change (%) By Business: Food Solutions 402.6 50.0 310.3 54.5 29.7 Gateway 401.9 Gateway Services 401.9 50.0 257.3 45.2 56.2 50% Food Others 0.0 - 1.9 0.3 (100.0) 402.6 50% Total 804.5 100.0 569.5 100.0 41.3 By Industry: Travel 58

  13. Slide 13: 1H FY23 Group Financial Position

    <Public> 1H FY23 Group Financial Position # Components of the debt: MTN ($300M), term loans ($216M) and ROU ($338M) * Before taking into account leases (LY net cash: $275M) **FY23 denotes @ 30 Sep 22 and FY22 denotes @ 31 Mar 22 n.m. – not meaningful 13 <Public>

  14. Slide 14: Proposed Acquisition of WFS

    <Public> Proposed Acquisition of WFS <Public>

  15. Slide 15: Transforming SATS into a Leading Air Cargo Handler

    <Public> Transforming SATS into a Leading Air Cargo Handler Acquisition delivers strong and positive financial impact to investors. Diversifying through geographic expansion Brings significant potential synergies with expected EBITDA run-rate in Americas ~30% excess of $100 million over the medium t

  16. Slide 16: Enhances revenue growth and business optionality for multi-modal cargo connectivity

    <Public> Enhances revenue growth and business optionality, positions SATS as enabler for multi-modal cargo connectivity Airside location enables SATS to provide value-added services, such End-to-end visibility for Positions SATS to work with partners as breakbulk, sortation and customers enables SAT

  17. Slide 17: Funding Update

    <Public> Funding Update Shareholder Support S$1.8B in total In support of SATS’ strategic acquisition of WFS, Temasek (via its indirect wholly-owned subsidiary, Venezio Investments Pte. Ltd.) has: Cash • Provided an irrevocable undertaking to vote in favour of the c.$320M transaction, and • Confirme

  18. Slide 18: Q&A

    Q&A Shaping) the Future ~~

  19. Slide 19: SIAS – SATS Hybrid Dialogue

    <Public> SIAS – SATS Hybrid Dialogue 14 November 2022 <Public>

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