Transat A.t. Inc. · TSX:TRZ
Transat A.t — Q1 2022 Earnings Presentation
21 slides from Transat A.t's earnings presentation, Mar 10, 2022
Slide 1: Investor Presentation: Results for quarter ended January 31, 2022
fNTD Investor Presentation Results for quarter ended January 31, 2022 Recovery plan continues after the interruption caused by Omicron Significant improvement in revenues and results compared with 2021 MARCH 10, 2022 Ticker: 1 TRZ/CN
Slide 2: Caution Regarding Forward-Looking Statements
Caution Regarding Forward-Looking Statements This presentation contains certain forward-looking statements with respect to the Corporation, including those regarding its results, its financial position, the impacts of the coronavirus [“COVID-19”] pandemic, its outlook for the future and planned meas
Slide 3: Non-IFRS Financial Measures
Non-IFRS Financial Measures We report our financial results in accordance with IFRS. This presentation was prepared using results and financial information determined under IFRS. In addition to IFRS financial measures, this presentation also contains non-IFRS financial measures, non-IFRS ratios, cap
Slide 4: Operational Update and Q1 2022 Key Highlights
1 Q1 2022 Key Highlights 2 Operational Update and Strategic Overview 3 Q1 2022 Results and Sustainability Measures 4 Closing Remark 5 Appendix
Slide 5: Transat's Recent Journey
Transat’s Recent Journey • Bookings and financial results were in-line with our objectives in November and December, but momentum halted by Omicron from mid-December to the beginning of February o Following the easing of restrictive measures by the Federal Government in February, our bookings resume
Slide 6: Operational Update and Strategic Overview
1 Q1 2022 Key Highlights 2 Operational Update and Strategic Overview 3 Q1 2022 Results and Sustainability Measures 4 Closing Remark 5 Appendix
Slide 7: Overall Bookings Trend
Overall Bookings Trend Bookings Development During the Quarter Net Weekly Bookings as % of 2019 125% • October and November was a period of sustained growth Current level: in term of bookings and more particularly for Winter 87% season (S1) 100% (FY2022) • Significant drop in bookings starting the f
Slide 8: Capacity Outlook for Upcoming Quarters
Capacity Outlook for Upcoming Quarters (as at March 10, 2022) Second Quarter Summer Season Sun Destination Market 1,130 2,179 Transatlantic Market 78% of 2019 (thousands of seats) 1,700 (thousands of seats) 44% of 2019 64% 64% 15% 494 3% 17% 16% 16% 2019 2022 2019 2022 8% 16% 65% 59% 3,177 91% of 20
Slide 9: Continuous Changes Implemented and Building on our Strengths
Continuous Changes Implemented and Building on our Strengths 1 2 Flattened organzational structures (automation and digitization of business Redefine the network through: processes) Fixed Cost • Implementation of strategic alliances; Reducton and Focus on • Heightened offer from Eastern Canada (more
Slide 10: Strong Pre-COVID Momentum from Strategic Initiatives
Strong Pre-COVID 19 Momentum from Strategic Initiatives Acceleration of Renewed Transat to Support COVID-Era Liquidity Factors that Impacted Achievements Strategic Initiatives (Proof of Concept) Profitability High Operational Costs from Revenue Management & Significant operational efficiency Complic
Slide 11: Refreshed Aircraft Fleet
Refreshed Aircraft Fleet • Simplified fleet with 100% Airbus aircraft • Cockpit Commonality drives lower costs, operational efficiencies & flexibility • Network connectivity and commercial alliances • 17 New A321NEO LR: >15% less fuel, ~5,500 tonnes less CO2 /year and 50% less NOx emissions Pre-Covi
Slide 12: Aspiring North American Leader in ESG
Aspiring North American Leader in ESG Strengthening Fuel Savings Building from a Strong ESG Base Sophisticated software optimizes Travelife-Certified Since 2018 fuel burn; pilots receive fuel- • Reduction of resource consumption Flight Operations • Waste recovery optimization efficiency training • R
Slide 13: Q1 2022 Results and Sustainability Measures
1 Q1 2022 Key Highlights 2 Operational Update and Strategic Overview 3 Q1 2022 Results and Sustainability Measures 4 Closing Remark 5 Appendix
Slide 14: Most Recent Financial Results
Most Recent Financial Results Highlights of the First Quarter Results Quarter ended January 31 12-month period ended January 31 (in millions of C$, except per share amounts) 2022 2021 Change 2022 2021 Change • Revenues increased by +383% compared to 2021 o Attributable to a combination of a higher n
Slide 15: Financial Position & Liquidity Runway
Financial Position & Liquidity Runway Initiatives to Improve Liquidity Position Since On-Going Discussions for Additional the Beginning of the Pandemic Liquidity to De-Risk the Recovery 1 5 $528M 3 $863M in available financing1 and Continue applying for wage and on-going discussions to increase amou
Slide 16: Closing Remark
1 Q1 2022 Key Highlights 2 Operational Update and Strategic Overview 3 Q1 2022 Results and Sustainability Measures 4 Closing Remark 5 Appendix
Slide 17: Transat: A Renewed Leisure Airline in a Recovering Industry
Transat: A Renewed Leisure Airline in a Recovering Industry Recovering Leisure Leading Leisure Airline Renewed Transat Travel Industry Fixed cost reduction & Tourism growth above GDP supported by Robust global network to 25+ countries & Enhanced revenue management favorable socioeconomic development
Slide 18: Appendix
1 Q1 2022 Key Highlights 2 Operational Update and Strategic Overview 3 Q1 2022 Results and Sustainability Measures 4 Closing Remark 5 Appendix
Slide 19: Financing Overview
Financing Overview Accounting policies Facility amount (in millions of C$) Sources of Maturity Type of instruments Carrying As at Jan 31, 2022 Post- As at March 10, 2022 Considerations capital date Accounts amount Quarter (in millions of C$) Available Used Unused Adj. Available Used Unused Revolving
Slide 20: Non-IFRS Financial Measures
Non-IFRS Financial Measures The non-IFRS measures, non-IFRS ratios, total of segment measures, capital measures and/or other financial measures used by the Corporation are as follows: ➢ Adjusted operating income (loss))1: Operating income (loss) before depreciation, amortization and asset impairment
Slide 21: We would like to thank all of our employees, customers, investors
fNTD We would like to thank all of our employees, customers, investors, financial and commercial partners for their continuous support and contribution through these unprecedented times Annick Guérard President and CEO 21