Slide 1: Q1 2024 Earnings Report
Q1 2024 Earnings Report 2 May 2024 ©2024 Sabre GLBL Inc. All rights reserved. 1
Slide 2: Forward-looking statements
Forward-looking statements Forward-looking Statements Certain statements herein are forward-looking statements about trends, future events, uncertainties and our plans and expectations of what may happen in the future. Any statements that are not historical or current facts are forward-looking state
Slide 3: Today’s presenters
Today’s presenters Kurt Ekert Mike Randolfi President & CEO EVP & CFO ©2024 Sabre GLBL Inc. All rights reserved. 3
Slide 4: Agenda
Agenda 01 Q124 highlights and review 02 Growth strategies update 03 Review of Q124 financial results 04 Overview of recent debt refinancings 05 Guidance update ©2024 Sabre GLBL Inc. All rights reserved. 4
Slide 5: Strong revenue and AEBITDA growth in Q1 2024
Strong revenue and AEBITDA growth in Q1 2024 Revenue Adj. EBITDA Adj. EBITDA margin +$40M +$84M (+5%) (+145%) +10.4pts $783M $142M 18.2% $743M $58M 7.8% 2020 Q1 2023 Q1 2024 Q1 2023 Q1 2024 Q1 2023 Q1 2024 Adjusted EBITDA and Adjusted EBITDA margin are non-GAAP measures. See slide 2 and the appendix
Slide 6: Q1 2024 Highlights: Delivering on our priorities
Q1 2024 Highlights: Delivering on our priorities STRATEGIC PRIORITIES RECENT ACHIEVEMENTS GENERATE POSITIVE FREE • Exceeded Q1 revenue and AEBITDA guide; on track to deliver positive FCF in ‘24 CASH FLOW / DE-LEVER THE • Refinanced ~$300M of debt to better align maturities with expected FCF generati
Slide 7: Travel Solutions Q1 2024 financial highlights
Travel Solutions Q1 2024 financial highlights AIR DISTRIBUTION TOTAL REVENUE ADJUSTED EBITDA INDUSTRY SHARE $714M $188M 34.6% Growth of 5% YoY Growth of 64% YoY Growth of 0.6pts YoY TOTAL DISTRIBUTION AIR DISTRIBUTION LGS BOOKINGS BOOKINGS (Lodging, Ground, and Sea) BOOKINGS 98M 1% 8% Growth of 2% Y
Slide 8: Faster air distribution industry bookings growth vs. broader industry
Faster air distribution industry bookings growth vs. broader industry Five consecutive quarters of air industry booking YoY share gains Share of Air Distribution Industry Bookings +0.6pts +1.4pts 34.6% 34.6% ✓ 5th consecutive quarter of YoY 34.0% share gains ✓ 1.4pts of sequential share gain 33.2% i
Slide 9: Hospitality Solutions Q1 2024 financial highlights
Hospitality Solutions Q1 2024 financial highlights TOTAL REVENUE ADJUSTED EBITDA $79M $8M Growth of 7% YoY ~$11M Improvement YoY CENTRAL RESERVATION RECURRING REVENUE* SYSTEM TRANSACTIONS 81% 29M As a % of total revenue Growth of 5% YoY Hyatt implementation on track for completion in 2025 * Three mo
Slide 10: Technology transformation remains on track
Technology transformation remains on track Q1 2024 Accomplishments Unit Costs Continue to Decline* • On track to achieve 2024 operational milestones and cost savings Unit cost of compute down • Introduced generative AI tools for ~800 ~55% since 2019 of our software engineers to increase speed and qu
Slide 11: Recent commercial wins driving sustainable growth
Recent commercial wins driving sustainable growth ©2024 Sabre GLBL Inc. All rights reserved. 11
Slide 12: Growth strategies gaining traction
Growth strategies gaining traction • Integrated Low-Cost Carrier • Signed 80+ new customer Multi-Source content from 20 new airline Digital engagements partners Content Payments Platform • Virtual card deployments up • Hosting NDC content for 19 31% YoY airlines with more in pipeline • Expanded air
Slide 13: Q1 2024 financial highlights
Q1 2024 financial highlights ✓ Exceeded Q1 revenue, AEBITDA and free cash flow guidance; raised FY24 outlook ✓ Achieved Q1 AEBITDA of $142M, up $84M YoY ✓ Expanded AEBITDA margin by ~10ppts YoY to 18% in Q1 ✓ Delivered revenue growth of 5% YoY or $40M to $783M ✓ Achieved $8M in Q1’24 AEBITDA from Ho
Slide 14: First Quarter 2024 results versus guidance
First Quarter 2024 results versus guidance Q1’24 Guidance Q1’24 Actual Revenue ~$750M $783M AEBITDA(1) ~$115M $142M Free cash flow(1) ~($100M) ($96M) 1 Adjusted EBITDA and Free Cash Flow are non-GAAP measures. See slide 2 and the appendix for a discussion of non-GAAP financial measures, including re
Slide 15: Significant YOY financial improvement in Q1’24
Significant YOY financial improvement in Q1’24 Q1’23 Q1’24 Commentary YOY improvement driven by favorable rate impacts from travel supplier mix and an increase in Total Revenue $743M $783M global air, hotel and other travel bookings Travel Solutions $677M $714M Distribution bookings up 2% vs. Q1’23
Slide 16: Better aligned debt maturities with projected free cash flow
Better aligned debt maturities with projected free cash flow Successful refinancing efforts have extended majority of debt to 2027 and 2028, providing significant runway for continued financial improvements as the business gains momentum Debt Maturity Profile $ in millions $1,561 • Refinancing actio
Slide 17: Q2 and FY24 guidance
Q2 and FY24 guidance Q2’24 FY 2024 Revenue ~$750M ~$3.04B Prior: >$3.0B AEBITDA ~$115M ~$520M Prior: >$500M Free cash flow Positive Positive The information presented here represents forward-looking statements and reflects expectations as of May 2, 2024. Sabre assumes no obligation to update these s
Slide 18: Thank you
Thank you Thank you ©2024 Sabre GLBL Inc. All rights reserved. 18
Slide 19: Appendix
APPENDIX
Slide 20: Business outlook and financial guidance
Business outlook and financial guidance • Second quarter 2024 Adjusted EBITDA guidance consists of second quarter expected net loss attributable to common stockholders of approximately $68 million; less the expected impact of acquisition-related amortization of approximately $10 million; expected st
Slide 21: Non-GAAP financial measures
Non-GAAP financial measures We have included both financial measures compiled in accordance with GAAP and certain non-GAAP financial measures, including Adjusted Operating Income, Adjusted Net Loss from continuing operations ("Adjusted Net Loss"), Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted EP
Slide 22: Non-GAAP financial measures
Non-GAAP financial measures Adjusted Operating Income, Adjusted Net Loss, Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted EPS, Free Cash Flow and ratios based on these financial measures are not recognized terms under GAAP. These non-GAAP financial measures and ratios based on them are unaudited a
Slide 23: Tabular reconciliations for Non-GAAP measures
Tabular reconciliations for Non-GAAP measures Reconciliation of net loss attributable to common stockholders to Adjusted Net Loss from continuing operations, Operating income (loss) to Adjusted Operating Income, and loss from continuing operations to Adjusted EBITDA: (in thousands, except per share
Slide 24: Tabular reconciliations for Non-GAAP measures
Tabular reconciliations for Non-GAAP measures ©2024 Sabre GLBL Inc. All rights reserved. 24
Slide 25: Tabular reconciliations for Non-GAAP measures
Tabular reconciliations for Non-GAAP measures Reconciliation of Adjusted Operating Income (Loss) to operating income (loss) in our statement of operations and Adjusted EBITDA to loss from continuing operations in our statement of operations by business segment: (in thousands; unaudited) ©2024 Sabre
Slide 26: Tabular reconciliations for Non-GAAP measures
Tabular reconciliations for Non-GAAP measures Reconciliation of Adjusted Operating Income (Loss) to operating income (loss) in our statement of operations and Adjusted EBITDA to loss from continuing operations in our statement of operations by business segment: (in thousands; unaudited) ©2024 Sabre
Slide 27: Non-GAAP footnotes
Non-GAAP footnotes (1) Net income attributable to noncontrolling interests represents an adjustment to include earnings allocated to noncontrolling interests held in (i) Sabre Travel Network Middle East of 40%, (ii) Sabre Seyahat Dagitim Sistemleri A.S. of 40%, (iii) Sabre Travel Network Lanka (Pte)