Avis Budget Group, Inc. · NASDAQ:CAR
Avis Budget — Q3 2021 Earnings Presentation
19 slides from Avis Budget's earnings presentation, Nov 2, 2021
Slide 1: Avis Investor Presentation
Avis Investor Presentation November 2, 2021
Slide 2: Forward-Looking Statements
Forward-Looking Statements Non-GAAP Financial Measures Avis Budget Group (“Avis” or ”the Company”) emphasizes that statements about future results made in this presentation constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-
Slide 3: Agenda
Agenda • Company Overview • Financial Results & Update • Liquidity and Leverage Summary • Safety & Strategy 3
Slide 4: Overview and Brands
Overview and Brands • We are a leading global provider of mobility solutions with a portfolio of premium and leisure car rental and sharing brands: - Approximately 10,600 rental locations in ~180 countries around the world. - Zipcar is the world's leading car sharing network with more than one milli
Slide 5: Diversified Revenue Stream
Diversified Revenue Stream 35% 50% Budget Off-Airport Brand 55% Airport Avis 50% 10% On-Airport Other 40% Commercial 27% International Customer Segment 60% Leisure 73% Americas All numbers are approximate as of year ended December 31, 2020 Budget brand includes Budget Truck. Other brands include Zip
Slide 6: Agenda
Agenda • Company Overview • Financial Results & Update • Liquidity and Leverage Summary • Safety & Strategy 6
Slide 7: Q3 2021 Results
Q3 2021 Results Revenue & Other Metrics • Revenue increased 96% to $3,001m in the quarter $ Millions Revenue Adjusted EBITDA Reported compared to the similar period in 2020, due to a $1,057 42% increase in Revenue per Day, excluding $3,001 +9% $128 exchange rate effects and an 37% increase in Rental
Slide 8: Semiconductor Shortage
Semiconductor Shortage The semiconductor shortage has impacted our industry, however… • In the third quarter, we purchased approximately $2 billion of fleet. • We have long standing relationships with our key manufacturers that have been built over decades and we are working hand in hand with our OE
Slide 9: Agenda
Agenda • Company Overview • Financial Results & Update • Liquidity and Leverage Summary • Safety & Strategy 9
Slide 10: Corporate Debt Overview
Corporate Debt Overview Q3 2021 Highlights and Recent Activities On July 9th the Credit Agreement was extended to July 2026 and upsized from $1.8B to $1.95B to facilitate expected growth in the business. The deal also included a fee reduction as well. The remaining $235 million of 5.25% Senior N
Slide 11: Fleet Debt Overview
Fleet Debt Overview AESOP Term Debt Maturities (as of September 30, 2021) $1,561 $1,403 $1,150 $973 $1,017 $467 2021 2022 2023 2024 2025 2026 Average Rate 3.4% 3.3% 3.7% 3.3% 2.4% 1.8% Note: Maturity schedule amounts in millions. Data excludes Risk Retention tranche, if any. 11
Slide 12: Agenda
Agenda • Company Overview • Financial Results & Update • Liquidity and Leverage Summary • Safety & Strategy 12
Slide 13: Our Unwavering Commitment to Safety
Our Unwavering Commitment to Safety The Avis Safety Pledge is our commitment to keep you safe. We’ve built strategic partnerships with RB, the maker of Lysol, and health experts to provide the latest guidance and best practices for disinfecting vehicles, training our employees and helping to protect
Slide 14: Longer Term: Six Areas of Strategic Focus
Longer Term: Six Areas of Strategic Focus • Our strategic priorities remain unchanged despite the pandemic. Local Market, Ride-hail, and Alternative Disposition Customer Experience Package delivery Channels Connected Cars and International Integration Organizational Efficiencies Technology 14
Slide 15: Appendix
Appendix
Slide 16: Definitions
Definitions This presentation includes certain non-GAAP (generally accepted accounting principles) financial measures as defined under SEC rules. We have provided below reasons why we present these non-GAAP financial measures and a description of what they represent. The GAAP measures most directly
Slide 17: Reconciliation of Non-GAAP Measures
Reconciliation of Non-GAAP Measures Reconciliation of net income to Adjusted EBITDA (in millions): Three Months Ended Sep temb er 30, 2021 2020 2019 Net income $ 674 $ 45 $ 189 Provision for income taxes 255 8 139 Income before income taxes 929 53 328 Add certain items: Early extinguishment of debt
Slide 18: Reconciliation of Non-GAAP Measures
Reconciliation of Non-GAAP Measures Reco nciliation o f net income to adjusted net income (in millions, except per share data): Three Months Ended September 30, 2021 2020 2019 Net income a ttributa ble to Avis Budget Group, I nc. $ 675 $ 45 $ 189 Add certain items, net of tax: Early extinguishment o
Slide 19: Reconciliation of Non-GAAP Measures
Reconciliation of Non-GAAP Measures Reconciliation of net income to Adjusted EBITDA (in millions): Last Twelve Months September 30, 2021 Net income $ 812 Provision for income taxes 218 Income before income taxes 1,030 Add certain items: Early extinguishment of debt 136 Restructuring and other relate