Seera Holding Group · TADAWUL:1810
Seera — Q2 2023 Earnings Presentation
47 slides from Seera's earnings presentation, May 2023
Slide 1: SEERA Holding Group Earnings Presentation Q2 2023
SEERA Holding Group Earnings Presentation | Q2 2023
Slide 2: Financial Updates
[ja SEERA Financial Updates Q2 2023
Slide 3: Group-wide Financials
[yuu SEERA Group-wide Financials
Slide 4: Seera Group returns to sustainable profitability, SAR 68 million in Q2 2023
Seera Group returns to sustainable profitability, reaching SAR 68 million in Q2 2023 and achieving the highest quarterly net profit since Q1 2020 Income Statement – Group-wide (SAR Mn) +24% +38% NBV 2,616 3,239 4,261 5,878 +37% +50% 524 716 1,473 Revenue 985 +55% +71% Gross Profit 222 345 385 657 +1
Slide 5: Seera Group generated positive EBITDA of SAR 215 million for Q2 2023
Seera Group has generated positive EBITDA of SAR 215 million for Q2 2023 EBITDA – Group-wide (SAR Mn) +477% +350% 37 215 93 416 109 211 85 183 74 32 67 138 15 29 -63 Profit Finance Depreciation EBITDA -120 Profit Finance Depreciation EBITDA Loss Finance Depreciation EBITDA before Charges, & Loss Fin
Slide 6: Maintaining a strong financial position through healthy liquidity and leverage
Maintaining a strong financial position through healthy liquidity and leverage levels Total Assets (SAR Mn) Total Equity and Liabilities (SAR Mn) 9,659 9,659 0 786 Due from related parties Trade and other payables 1,286 8,299 Prepayments & Advances Short term bank debts 724 8,299 19 Cash & equivalen
Slide 7: Business Segment Financials
Business Segment Financials
Slide 8: Travel Platform achieved EBITDA of SAR 21 million in Q2 2023
Driven by summer season demand across leisure as well as religious travel, the Travel Platform achieved an EBITDA of SAR 21 million in Q2 2023 Income Statement – Travel Platform (SAR Mn) +19% +33% NBV 1,740 2,076 2,795 3,711 +54% +40% 186 254 355 Revenue 1 121 +92% +83% Gross Profit 74 141 142 259 +
Slide 9: Travel Platform 19% growth in NBV to SAR 2.1 billion
The Travel Platform overall achieved 19% growth in NBV to SAR 2.1 billion in Q2 2023 from SAR 1.7 billion in Q2 2022 Net Booking Value – By Business Line (SAR Mn) Overall Q2 ’23 64.0% 31.0% 2.9% 2,076 H1 ’23 62% 32% 4% 3,711 2.2% 2% Q2 ’22 63.7% 34.7% 1.0% 1,740 H1 ’22 61% 36% 2% 2,795 0.6% 1% Q2 ’2
Slide 10: Travel Platform revenue of SAR 186 million, up 54%
Reflected in revenue of SAR 186 million, up 54% from SAR 121 million in Q2 2022 Revenue – By Business Line (SAR Mn) Overall Q2 ’23 50.1% 17.0% 11.3% 21.6% 186 H1 ’23 48% 16% 18% 18% 355 Q2 ’22 56.5% 28.6% 8.7% 121 H1 ’22 45% 22% 23% 9% 254 6.2% Q2 ’23 93 H1 ’23 170 Consumer +37% +47% Travel Q2 ’22 6
Slide 11: Car Rental achieved EBITDA of SAR 140 million
Car Rental continued its rapid growth trajectory and achieved EBITDA of SAR 140 million, a 41% increase relative to SAR 99 million in Q2 2022 Income Statement – Car Rental (SAR Mn) +36% +49% 171 233 337 500 Revenue +42% +51% Gross Profit 55 78 114 173 +46% +67% Operating 12 18 42 25 Expenses +41% +2
Slide 12: Car Rental revenue growth of 36% to SAR 233 million
Car Rental recorded a 36% growth in revenue reaching SAR 233 million in Q2 2023 relative to SAR 171 million in Q2 2022 Revenue – By Business Line (SAR Mn) Overall Q2 ’23 38% 35% 27% 233 H1 ’23 34% 35% 31% 500 Q2 ’22 43% 35% 22% 171 H1 ’22 42% 36% 22% 337 Q2’ 23 H1’ 23 89 172 Lease +21% +21% Q2’ 22 H
Slide 13: Hospitality achieved EBITDA of SAR 28 million in Q2 2023
Led by healthy occupancy levels across hotels, Hospitality achieved EBITDA of SAR 28 million in Q2 2023 Income Statement – Hospitality (SAR Mn) +138% +111% 65 98 Revenue 27 47 +630% +825% Gross Profit 39 49 5 5 +23% +21% Operating 16 19 29 35 Expenses +723% +104,060 28 45 EBITDA 3 0 Q2 ’22 Q2 ’23 H1
Slide 14: Portman Travel achieved EBITDA of SAR 14 million in Q2 2023
Portman Travel has seen booking volumes increase across its travel verticals and achieved EBITDA of SAR 14 million in Q2 2023 Income Statement – Portman (SAR Mn) +35% +54% NBV 507 685 886 1,363 +24% +51% 167 208 484 Revenue 1 320 +53% +73% Gross Profit 48 74 88 151 +52% +44% Operating 47 71 87 125 E
Slide 15: Financial updates: Contribution by Segment
Financial updates Contribution by Segment Q2 2023
Slide 16: Net Booking Value by Business Segment
Net booking value has grown significantly, primarily driven by the Travel Platform and Portman Travel Group Net Booking Value – By Business Segment (SAR Mn) +24% Business Segment % Growth +38% Business Segment % Growth 3,238 5,878 2,616 Travel Platform 19% Travel Platform 33% 4,260 2,078 Car Rental
Slide 17: Revenue by Business Segment
Revenue reflecting growth of Travel Platform and Car Rental, followed by Hospitality and Portman Revenue1 – By Business Segment (SAR Mn) +37% Business Segment % Growth +50% Business Segment % Growth 716 1,473 186 Travel Platform 19% 355 Travel Platform 32% 524 985 121 Car Rental 27% Car Rental 49% 2
Slide 18: Gross Profit by Business Segment
Gross profit levels reflect revenue growth by each segment, primary contribution by Travel Platform Gross Profit – By Business Segment (SAR Mn) +55% Business Segment % Growth +71% Business Segment % Growth 344 657 Travel Platform 92% Travel Platform 83% 141 259 222 Car Rental 42% Car Rental 51% 385
Slide 19: Gross profit reflects revenue from units acting as principal
Gross profit reflect large revenue contribution from units acting as principal Net Booking Value, Revenue and Gross Profit – Group-wide (SAR Mn) +24% +38% NBV 3,239 5,878 2,616 4,261 Revenue +37% +50% 716 1,473 524 23% 23% 985 28% 26% Commission (Agent) Other Revenue (Principal) 77% 77% 72% 74% +55%
Slide 20: Operating expenses by Business Segment
Maintained minimal increase in operating expense levels group-wide, despite significant growth in topline Operating Expenses – By Business Segment (SAR Mn) +13% Business Segment % Growth +12% Business Segment % Growth 281 537 248 481 Travel Platform 8% Travel Platform 10% 147 264 136 Car Rental 46%
Slide 21: EBITDA by Business Segment
Seera posted positive group-wide EBITDA, contributed by all business segments EBITDA – By Business Segment (SAR Mn) +477% Business Segment % Growth +350% Business Segment % Growth 215 416 21 21 Travel Platform 140% Travel Platform 125% 140 272 37 Car Rental 41% 92 Car Rental 28% 99 Hospitality 723%
Slide 22: Appendix: Definitions
Appendix: Definitions Illustrative Income Statement Item Details Agent Principal Represents the total value of transactions booked, recorded at the time of Gross Booking Value (GBV) Gross Booking Value (GBV) Gross Booking Value (GBV) booking reflecting the total price due for travel by travelers, in
Slide 23: Business Updates
[ja SEERA Business Updates Q2 2023
Slide 24: Travel Platform
Travel Platform = ; ~ On LAA LOO
Slide 25: Consumer Travel
Consumer Travel Achieved its highest-ever NBV of over SAR 600 million in June 2023 as the business capitalized on travel demand amongst Saudi customers Key Performance Measures Flight Room Sessions on Segments Nights Platform 1 1.3M 800K 29M For Q2 2023 For Q2 2023 For Q2 2023 +10% vs. Q2 ‘22 +38% v
Slide 26: Business Travel
Business Travel Business Travel continued to renew existing contracts and onboarded corporate and government sector clients to the digital travel management portal Key Performance Measures Business Trips Managed 156k For Q2 2023 +8% vs. Q2 ‘22 Key Accounts (non-exhaustive) Gov’t Entities... Universi
Slide 27: Destination Management
Destination Management Destination management growth driven by inbound visits from GCC and international markets with high length of stay across popular destinations in the Kingdom Key Performance Measures Key Events Supported Average Length of Stay • Future Minerals 5.5 nights Forum For H1 2023 • D
Slide 28: Hajj & Umrah
Hajj & Umrah Hajj & Umrah experiencing significant recovery post closure of Umrah and eased visa regulations alongside interest emerging from source markets Key Performance Measures Number of Pilgrims Average Length of Stay 13.5k pilgrims 4.6 nights For Q2 2023 For Q2 2023 +140% vs. Q2 ‘22 Room Nigh
Slide 29: Car Rental
Car Rental
Slide 30: Car Rental
Car Rental Continued its rapid growth pace and scaling both lease & rental fleet while maintaining a competitive purchase price recovery Key Performance Measures Total Fleet 26k For H1 2023 +43% vs. H1 ‘22 Lease Fleet Rental Fleet 16.1k 9.9k For H1 2023 For H1 2023 +33% vs. H1 ‘22 +63% vs. H1 ‘22 So
Slide 31: Lease
Lease Building a pipeline of future revenue and fleet growth through lease agreements with corporate & government clients Key Performance Measures Residual H1 ‘23 H1‘22 +39% vs. H1 ‘22 Contract SAR 655Mn SAR 472Mn Value1 Number of H1 ‘23 H1 ‘22 +16% vs. H1 ‘22 Active 13.4K 11.5K Agreements Source: M
Slide 32: Rental
Rental Leveraged extensive branch network across the Kingdom and immense growth in digital rental to maintain moderate utilization levels of the rental fleet despite low summer season Key Performance Measures Rental 35 Branches (14 airport and across KSA As at 30sh June, 2023 21 city branches) Utili
Slide 33: Rental (contd.)
Rental (contd.) Leveraged extensive branch network across the Kingdom and immense growth in digital rental to maintain moderate utilization levels of the rental fleet despite low summer season Key Performance Measures Rental Revenue Contribution by B2B vs. B2C (SAR Mn) +43% 173 121 94 (54%) 65 (54%)
Slide 34: Used Car Sales
Used Car Sales Ensured effective fleet turnover to keep the fleet young & efficient while maintaining a competitive purchase price recovery Key Performance Measures Total H1 ‘23 Vehicles Sold +82% vs. H1 ‘22 2.4k Purchase H1 ‘23 Price 73.2% Recovery Average H1 ‘23 Vehicle Age 37Months Source: Manage
Slide 35: Hospitality
Ij SEERA Hospitality AS (CHOICE mévenpick
Slide 36: Hospitality
Hospitality Hospitality growth in line with increased demand from religious pilgrims for properties in Makkah and the ramp up of the new Choice Hotels in Jeddah Key Performance Measures Q2 ‘23 Q2 ‘22 Room Nights +31% vs. Q2 ‘22 Sold 64K 49k Across 8 properties in Q2 ‘23 Q2 ‘22 Makkah (4) and Jeddah
Slide 37: Seera operates 8 hotels with 1,055 branded room keys
Seera operates 8 hotels with 1,055 branded room keys, of which 40% are new, and 1,230 unbranded pilgrims-focused keys 90 553 200 125 Comfort 228 Suites Olaya Total Clarion Comfort Movenpick Airport King Road City Star Makkah Riyadh 138 Mn Jeddah 1,642 491 547 192 412 Alinma Hospitality REIT Total Sh
Slide 38: Portman Travel Group
Portman Travel Group
Slide 39: Portman Travel Group
Portman Travel Group Maintained leadership position in the corporate travel sector while becoming significant force in luxury leisure and sports travel space Key Performance Measures Q2 ‘23 Q2 ‘22 Business Travel Number of business +46% vs. Q2 ‘22 628K 914k trips managed Q2 ‘23 Q2 ‘22 Sports Travel
Slide 40: Appendix
[yuu SEERA Appendix
Slide 41: Our Journey So Far
[ja SEERA Our Journey So Far
Slide 42: Seera evolved from a corporate travel company to a diversified portfolio
Since the launch of the transformation, Seera evolved from a corporate travel company to a diversified portfolio of market leaders A corporate travel company reliant on …to a portfolio of leading travel & government travel… tourism companies 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 Exp
Slide 43: Seera has emerged stronger and created market leaders in travel & tourism
Today, Seera has emerged stronger and created market leaders in the travel & tourism industry that are ready to create value for shareholders Consumer Travel Business Travel Destination Mgmt. Hajj & Umrah Travel Platform Car Rental Hospitality Investments • Asset-light, scalable, platform-based busi
Slide 44: Lumi's application to CMA for an IPO approved
Announced 29-03-2023 Seera Group and the Car Rental unit, Lumi’s, application to CMA for an IPO of 30% of the Company's share capital has been approved post approval of demerger by Seera shareholders. The Company’s prospectus will be published within sufficient time prior to the start of the subscri
Slide 45: Establishment of the Alinma Hospitality REIT
Seera Group contributed to the establishment of the Alinma Hospitality REIT through three newly developed Choice branded assets Announced REIT to reduce asset burden while continuing to operate and generate profit from hotel properties 30-01-2023 Comfort King Road Clarion Hotel Comfort Olaya Seera h
Slide 46: PIF non-binding term sheet to invest up to SAR 1.554Bn in Almosafer
Announced The Public Investment Fund has signed a non-binding term 13-09-2022 sheet with Seera Group to invest up to SAR 1.554Bn* for a 30% ownership stake in Almosafer 70% 30% Pre-money Cash injection of up Enterprise Value of to SAR 1.554Bn* SAR 3.75Bn* into Almosafer Travel Platform Consumer Trav
Slide 47: Thank you.
Thank you. www.seera.sa