Edreams Odigeo · BME:EDR
Edreams Odigeo — 9M FY2017 Earnings Presentation
27 slides from Edreams Odigeo's earnings presentation, Feb 28, 2017
Slide 1: First 9 Months Results
First 9Months Results Fiscal Year 2017 9M Results, ending December 31st 2016 February 28th 2017
Slide 2: Disclaimer
FY 2017 9M Results Presentation Disclaimer This presentation is to be read as an introduction to the unaudited consolidated financial statements of the Group and contains key information presented in a concise manner on the Group and its financial condition. The information contained in this prese
Slide 3: 9 Months Results Highlights
9 Months Results Highlights • Financial Analysis • New KPIs • Outlook • Appendix
Slide 4: Results Highlights
FY 2017 9M Results Presentation RESULTS HIGHLIGHTS Solid results with growth in bookings, revenue margin & adjusted EBITDA Strategic Initiatives paying off $ Strategic Initiatives have boosted our performance and they have also set us the path for longer term growth Continue to make investments on t
Slide 5: Solid Results
FY 2017 9M Results Presentation SOLID RESULTS Bookings Revenue Margin Adjusted EBITDA In thousands In € million In € million +9% +5% +18% 75.9 8,504 333.9 349.7 7,818 64.1 9M 9M 9M 9M 9M 9M DEC FY16 DEC FY17 DEC FY16 DEC FY17 DEC FY16 DEC FY17 | Source: Consolidated financial statements, audited 5
Slide 6: Strategy Delivering Good Growth in Adjusted EBITDA
FY 2017 9M Results Presentation STRATEGY DELIVERING GOOD GROWTH IN ADJUSTED EBITDA Adjusted EBITDA evolution YoY variation 25% Change in +18% 9M 20% Management +12% +9% 15% 10% +6% 5% Bookings 0% -5% -10% % Growth normalised for no bonus +5% -15% payment FY 2015. 100% accrual Revenue Margin -20% in
Slide 7: Flight and Non-Flight Bookings
FY 2017 9M Results Presentation FLIGHT AND NON-FLIGHT BOOKINGS Solid Growth rates in Flight Business and Non flight Improving Flight - Bookings Flight In ‘000 +9% 7,124 7,762 ▪ Progress in strategic initiatives have boosted our performance and they have also set us the path for +9% longer term growt
Slide 8: Flight and Non-Flight Revenue Margin
FY 2017 9M Results Presentation FLIGHT AND NON-FLIGHT REVENUE MARGIN Revenue diversification strategy driving growth in non-flight products Flight – Revenue Margin Flight In € million 266.1 274.3 +3% ▪ Revenue margin performance driven by: – Bookings, already explained in previous slide. +3% – A red
Slide 9: Core and Expansion Bookings
FY 2017 9M Results Presentation CORE AND EXPANSION BOOKINGS Solid performance in our Core markets and Expansion Markets Core- Bookings Core In ‘000 4,389 +11% 3,954 ▪ Strategic initiatives on track and delivering results, bookings performance driven by: +13% – Our diversification strategy 1,206 1,36
Slide 10: Core and Expansion Revenue Margin
FY 2017 9M Results Presentation CORE AND EXPANSION REVENUE MARGIN Positive growth in all our Core markets Core – Revenue Margin Core In € million +8% ▪ Solid performance in the Core markets revenue margin 182.2 196.7 in the first nine months of of FY 2017, growth driven by: +10% – Bookings, already
Slide 11: Financial Analysis
Financial Analysis • 9 Months Results Highlights • New KPIs • Outlook • Appendix 11
Slide 12: Income Statement
FY 2017 9M Results Presentation INCOME STATEMENT 3M Dec 3M Dec 9M Dec 9M Dec Key highlights Var. Var. FY16 FY17 FY16 FY17 (In € million) Over the third quarter, main YoY evolutions reflect: Revenue margin 103.1 108.7 5% 333.9 349.7 5% ▪ Revenue margin increase by 5% Variable costs (65.4) (64.9) (1)%
Slide 13: Cash Flow Statement
FY 2017 9M Results Presentation CASH FLOW STATEMENT 3M Dec 3M Dec 9M Dec 9M Dec Key highlights (In € million) FY16 FY17 FY16 FY17 Over the third quarter, main YoY evolutions reflect: 19.7 21.7 64.1 75.9 ▪ Cash flow from operations increased by €29.6 million: Adjusted EBITDA Non recurring items (1.6)
Slide 14: Successful Debt Refinancing
FY 2017 9M Results Presentation SUCCESFUL DEBT REFINANCING Gross Leverage Ratio Refinancing highlights (Total Gross Financial Debt1 / LTM Adjusted EBITDA) ▪ Gross Leverage ratio down from 5.0x in December 2015 to 4.0x in December 2016. – Net leverage ratio down from 4.3x in December 2015 to 3.3x in
Slide 15: New KPIs
New KPIs • 9 Months Results Highlights • Financial Analysis • Outlook • Appendix 15
Slide 16: Committed to sharing five performance indicators
FY 2017 9M Results Presentation As stated on our investor day, we are committed to sharing five performance indicators to show underlying improvements beyond P&L Revenue diversification ratio New measure Product diversification ratio New measure Acquisition cost per booking index New measure Repeat
Slide 17: Growing share of revenues from diversification strategy
FY 2017 9M Results Presentation Growing share of revenues coming from our diversification strategy Revenue split; Percent Revenue diversification ratio; Percent Diversification revenues Classic Supplier revenues Classic customer revenues Advertising & Meta 7% 25% 29% 14% 29% Q3 ’16 Q3 ’17 50% | 17 N
Slide 18: Increasing ability to add value through higher attachments
FY 2017 9M Results Presentation Increasing ability to add value to a customers booking through higher attachments Product diversification ratio; Percent 44% 37% Q3 ’16 Q3 ’17 | 18 Note: Please refer to definition as per glossary in the management report/consolidated financial statements
Slide 19: Decreasing acquisition cost vs index
FY 2017 9M Results Presentation Decreasing acquisition cost v. index of Q4 FY 15 before start of transformation Acquisition cost per booking Index 100 83 77 Q4 ’15 Q3 ’16 Q3 ’17 Baseline | 19 Note: Please refer to definition as per glossary in the management report/consolidated financial statements
Slide 20: Stable repeat rates with positive YoY
FY 2017 9M Results Presentation Stable repeat rates with positive YoY Customer repeat booking rate; Percent, annualised view1 39% 40% Q3 ’16 Q3 ’17 | 20 Note: Please refer to definition as per glossary in the management report/consolidated financial statements
Slide 21: Strong growth in Mobile Bookings
FY 2017 9M Results Presentation Strong growth in Mobile Bookings Share of flight Mobile bookings; as a percentage of flight bookings Flight Mobile bookings As a % of flight bookings EU industry average 40% 35% 30% 30% 24% Gap vs Industry 25% +9pp Average 18% +7pp 20% 15% 10% +5pp 10% 21% 17% 5% 10%
Slide 22: Outlook
Outlook • 9 Months Results Highlights • Financial Analysis • New KPIs • Appendix 22
Slide 23: Raising Outlook 2016-17
FY 2017 9M Results Presentation RAISING OUTLOOK 2016-17 Revised Targets for 2016-17 Outlook statement ▪ Our focus for the remainder of the year is to Initial Revised continue investing to reinforce our long term sustainability and in the best interest of the Guidance Guidance customer (June 2016) (F
Slide 24: Our financial strategy is in line with these choices
OUR VISION Our financial strategy is in line with these choices We will control the transformation pace to continue Long-term target of EUR 125-140m to grow absolute EBITDA EBITDA by 2020 We expect a period of softer top-line performance More robust revenue profile to reflect longer-term investm
Slide 25: Appendix
Appendix • 9 Months Results Highlights • Financial Analysis • New KPIs • Outlook 25
Slide 26: KPI Historic Evolution – eDreams ODIGEO
FY 2017 9M Results Presentation KPI HISTORIC EVOLUTION – eDreams ODIGEO PF FY PF PF PF PF FY FY YTD YTD 2013/14 Jun-14 Sep-14 Dec-14 Mar-15 2014/15 Jun-15 Sep-15 dec-15 Mar-16 2015/16 Jun-16 Sep-16 dec-16 Dec-15 Dec-16 Number of bookings (in '000) Total 9,834 2,510 2,453 2,133 2,629 9,724 2,618 2,76
Slide 27: First 9 Months Results FY 2017
First 9 Months Results FY 2017 27