Slide 1: Results Presentation FY 2022
RESULTS PRESENTATION FY 2022 26th May 2022 1
Slide 2: Disclaimer
DISCLAIMER This presentation is to be read as an introduction to the audited 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 presentation is extracted from the audite
Slide 3: 1. Overview
1. Overview Leisure Travel Recovery Strength of our Industry Outperforming the Market Platform for Success Excellent FY22 Results Closing Remarks Appendix 3
Slide 4: Record bookings, continue to gain market share, on our way to meet FY25 targets
RECORD BOOKINGS, CONTINUE TO GAIN MARKET SHARE, AND ON OUR WAY TO MEET FY25 1 TARGETS eDO STRONG BOOKINGS GROWTH & AHEAD OF PRE-COVID-19 LEVELS ▪ In FY22 we set a record year in Bookings in our 20 plus year history (12.5 million), 10% above pre-COVID-191 ▪ Even with the Delta and Omicron variants af
Slide 5: 2. Leisure Travel Recovery
Overview 2. Leisure Travel Recovery Strength of our Industry Outperforming the Market Platform for Success Excellent FY22 Results Closing Remarks Appendix 5
Slide 6: Desire to travel remains intact with people wanting to travel more than ever
DESIRE TO TRAVEL REMAINS INTACT WITH PEOPLE WANTING TO TRAVEL MORE THAN EVER 2 SHARE OF EUROPEAN WHO ARE LIKELY & VERY LIKELY TO TRAVEL IN THE NEXT 6 MONTHS “ “In our core markets in Europe, on average, 80% of the population over 18 years old is already vaccinated with immunisation estimated above 7
Slide 7: European consumers have saved almost 1 trillion euros during the pandemic
EUROPEAN CONSUMERS HAVE SAVED ALMOST 1 TRILLION EUROS DURING THE PANDEMIC 2 Households in nations in the eurozone saved nearly 50 percent more as a result of the Pandemic. EUROPEAN CONSUMERS HAVE SAVED ALMOST €1 TRILLION DURING THE PANDEMIC Source: Eurostat and IMF staff calculations, euro area hous
Slide 8: Consumers are prioritising travel over other types of discretionary spending
CONSUMERS ARE PRIORITISING TRAVEL OVER OTHER TYPES OF DISCRETIONARY SPENDING 2 Thousands of respondents from seven countries said they would be willing to give up some of their favourite things for six months or longer in order to travel. PEOPLE WOULD GIVE UP THE FOLLOWING FOR AT LEAST 6 MONTHS TO T
Slide 9: 3. Strength of our Industry
Overview Leisure Travel Recovery 3. Strength of our Industry Outperforming the Market Platform for Success Excellent FY22 Results Closing Remarks Appendix 9
Slide 10: Travel patterns not affected during previous wars in Western Europe
TRAVEL PATTERNS NOT AFFECTED DURING PREVIOUS WARS IN WESTERN EUROPE 3 Tourist arrivals and nights spent per country during Kosovo “ conflict did not Tourist affectand arrivals destinations perceived nights spent as safe. per country during Kosovo "During the war in the Balkans (1990-1993) the confli
Slide 11: Demand recovery remains the largest catalyst for increases in airfares, not inflation
DEMAND RECOVERY STILL REMAINS THE LARGEST CATALYST FOR INCREASES IN AIRFARES, 3 NOT INFLATION “ “ "It is proven when oil prices increase not all price is “Capacity expansion by major European airlines for 2022 passed-on to passengers through increases in airfares. expected but still expected to be b
Slide 12: Over the past 40 years, passenger traffic has mostly grown
OVER THE PAST 40 YEARS, EVEN DURING RECESSION, ENERGY CRISES, ETC 3 PASSENGER TRAFFIC HAS MOSTLY GROWN PASSENGER TRAFFIC GROWTH 2011 Economic Crisis 800 3,0x 2,8x 700 1990-1991 2000-2000s 2008 2016 Recession Energy Crisis Lehman Brothers Brexit 2,6x 600 2,4x 2001 2,2x 500 1987 September 11 attacks 2
Slide 13: 4. Outperforming the Market
Overview Leisure Travel Recovery Strength of our Industry 4. Outperforming the Market Platform for Success Excellent FY22 Results Closing Remarks Appendix 13
Slide 14: eDO achieved strong bookings growth despite Omicron and Ukraine conflict
eDO ACHIEVED STRONG BOOKINGS GROWTH, DESPITE OMICRON, UKRAINE CONFLICT AND 4 A MARKET STILL TO FULLY RECOVERED eDO BOOKINGS GROWTH VS 2019 Omicron Ukraine Invasion 58% 52% 44% 32% 31% 33% 30% 33% 6% 2% -2% -26% -11% -51% April '21 May '21 Jun '21 Jul '21 Aug '21 Sep '21 Oct '21 Nov '21 Dec '21 Jan '
Slide 15: eDO superior value proposition leading to outperforming industry peers
eDO SUPERIOR VALUE PROPOSITION LEADING TO OUTPERFORMING THE INDUSTRY PEERS 4 TRADING EVOLUTION VS PRE-COVID-19, % 50% eDO FY22 Omicron +62pp vs. IATA Europe +57pp vs. Low Cost 0% -50% -100% Q1 FY21 Q2 FY21 Q3 FY21 Q4 FY21 Q1 FY22 Q2 FY22 Q3 FY22 Q4 FY22 eDreams Odigeo IATA Europe Low Cost Airlines S
Slide 16: Prime continues to grow strongly, adding over 1.8 million members in FY22
PRIME CONTINUES TO GROW STRONGLY, ADDING OVER 1.8 MILLION MEMBERS DURING 4 FY22 IN A WEAK MARKET EVOLUTION OF PRIME MEMBERS eDO is inventor and leader of subscription in travel with over 5 years of experience. 2,9M IN 3x 2,7M MAY (*) 2,2M In the 12 months to March 2022 our 1,7M 2.9M subscribers grew
Slide 17: Revenue diversification continues to grow, largest contributor to revenues
REVENUE DIVERSIFICATION CONTINUES TO GROW, ALREADY ABOVE PRE-COVID-19, AND 4 THE LARGEST CONTRIBUTOR TO REVENUES REVENUE DIVERSIFICATION RATIO (*) (**) REVENUE BREAKDOWN (*) (**) +46 pp 73% 2% 73% 15% 57% 19% 10% 53% FY22 27% Diversification Classic customer Classic supplier Advertising & Meta FY15
Slide 18: eDO leading the way in mobile bookings
eDO LEADING THE WAY AND CONTINUES TO BE WELL AHEAD INDUSTRY AVERAGE IN 4 MOBILE BOOKINGS eDO CONTINUES TO BE WELL AHEAD INDUSTRY AVERAGE IN MOBILE BOOKINGS 56% 53% 44% 41% 38% 33% 2019 2020 2021e Mobile Share of Online Travel Market eDO Mobile Share of Flight Bookings Source: Phocuswright (2021 esti
Slide 19: We continue to gain scale and market share
AS A RESULT WE CONTINUE TO GAIN SCALE AND MARKET SHARE 4 #1 In main European OTA Flight Markets (**) 5.4% “ ”eDO has almost doubled its European Air Travel market share since FY20" eDO European Total Air Market Share(*) Market position (*) Travelport Full Market Data & eDO Business Intelligence (**)
Slide 20: Our business model and track record position us to perform better than the industry
REGARDLESS OF ECONOMIC UNCERTAINTIES OUR BUSINESS MODEL AND TRACK RECORD 4 POSITIONS US TO PERFORM BETTER THAN THE INDUSTRY These are the reasons why we think we will outperform the market: THANKS TO PRIME WE CUSTOMERS WILL WE MEET THEIR NEEDS OFFER BEST PRICES FOCUS ON PRICE EVEN EVEN MORE THAN AND
Slide 21: 5. Platform for Success
Overview Leisure Travel Recovery Strength of our Industry Outperforming the Market 5. Platform for Success Excellent FY22 Results Closing Remarks Appendix 21
Slide 22: Head start with 5 years of testing and learning, product and market launches
WE HAVE A HEAD START WITH 5 YEARS OF TESTING & LEARNING, PRODUCT AND MARKET 5 LAUNCHES – WOULD NOT BE EASY TO REPLICATE Market launch Product launch 5 Years 10s of 000s 1000s Continuous display Of testing and learning iterations Customer interviews of AB test 22
Slide 23: Moving from transactional to subscription-centric requires holistic transformation
MOVING FROM TRANSACTIONAL TO SUBSCRIPTION-CENTRIC REQUIRES A HOLISTIC 5 COMPANY TRANSFORMATION THAT TAKES YEARS TO ACHIEVE Moving from transaction to subscription requires to change every single system, process and procedure within the company, these are some examples: Revenue Management Marketing M
Slide 24: Subscription market - large addressable market with realistic assumptions
SUBSCRIPTION MARKET - LARGE ADDRESSABLE MARKET WITH VERY REALISTIC 5 ASSUMPTIONS SUBSCRIPTION “ “ Success of the eDO just starting PEERS TODAY with only 1% subscription eDO model is penetration FY25 53% Penetration demonstrated by high penetration: 37% CAGR Revenues 11-21 eDO 7.25M Members Over 50%
Slide 25: 6. Excellent FY22 Results
Overview Leisure Travel Recovery Strength of our Industry Outperforming the Market Platform for Success 6. Excellent FY22 Results Closing Remarks Appendix 25
Slide 26: Income Statement
INCOME STATEMENT 6 Highlights FY22 VAR. 1.Revenue Margin increased by 244%, to €382.6 million, due to the 286% VAR. 4Q 4Q 12M FY22 12M increase in Bookings which was partly offset by a decrease in Revenue (IN EUROS MILLION) FY22 FY22 FY21 FY22 VS FY21 Margin per Booking of 11% VS FY21 FY21 2.Variabl
Slide 27: Strong growth in Prime cash revenue margin and marginal profit
STRONG GROWTH IN PRIME CASH REVENUE MARGIN AND MARGINAL PROFIT IN THE LAST 6 12 MONTHS DUE TO STRONG GROWTH IN PRIME MEMBERS AND ARPU ARPU LTM (€) (*) Cash Revenue Margin LTM (€M) (*) Cash Marginal Profit LTM (€M) (*) 424 107 88,0 171 40% 53 +248% 50% +201% 56,5 253 54 36 33% 122 57% 20 41 81 15 FY2
Slide 28: Strong growth in cash EBITDA, €72 million improvement in one year
STRONG GROWTH IN CASH EBITDA, €72 MILLION IMPROVEMENT IN JUST ONE YEAR, IN A 6 MARKET STILL TO FULLY RECOVERED P&L with increase in Prime Deferred Revenue Highlights FY22 VAR. VAR. VAR. Pre- 1. Success of Prime clear on our total Bookings, in FY22 already 10 4Q 4Q 12M 12M FY22 (IN EUROS MILLION) FY2
Slide 29: Cash Flow Statement
CASH FLOW STATEMENT 6 Highlights FY22 4Q 4Q 12M 12M (IN EUROS MILLION) 1.Net cash from operating activities increased by €118.7 million, mainly FY22 FY21 FY22 FY21 reflecting: ADJUSTED EBITDA (*) 2.9 (10.9) 3.0 (38.2) • Working capital inflow of €115.0 million compared to €65.0 million in FY21, desp
Slide 30: 7. Closing remarks
Overview Leisure Travel Recovery Strength of our Industry Outperforming the Market Platform for Success Excellent FY22 Results 7. Closing remarks Appendix 30
Slide 31: In pole position in an attractive market
IN POLE POSITION IN AN ATTRACTIVE MARKET 7 Sizeable market and largest Attractive growth prospects eDO is positioned in the right e-commerce vertical after the pandemic segments (online and leisure) European Travel European Leisure Travel Market Market Size Online penetration €1.3Tn €Bn % over total
Slide 32: Within travel, eDO is the global flight leader, ex China
WITHIN TRAVEL, EDO IS THE GLOBAL FLIGHT LEADER, EX CHINA 7 #2 PLAYER IN FLIGHTS GLOBALLY #1 PLAYER IN FLIGHTS EUROPE GLOBAL FLIGHT REVENUE EUROPEAN FLIGHT REVENUE Estimated, CY 2021 (€M) Estimated, CY 2021 (€M) 223 917 #1 3.2x 276 #2 70 51 39 215 #3 eDreams etraveli Expedia lastminute.com Source: Co
Slide 33: eDO has demonstrated ability to capture new customers through Prime
EDO HAS DEMONSTRATED THE ABILITY TO CAPTURE NEW CUSTOMERS THROUGH THE 7 PRIME PROGRAM Prime is the #1 travel subscription programme in the world SHARE OF NEW CUSTOMERS WITHIN PRIME MEMBERS Delta Omicron 2,9 2,7 19% 60% 2,2 1,7 Prime members 1,2 in million 0,9 0,7 0,8 0,5 0,6 0,6 0,3 0,4 Source: Comp
Slide 34: Well positioned, well financed, on our way to meeting FY25 targets
WELL POSITIONED, WELL FINANCED, ON OUR WAY TO MEETING SELF-IMPOSED FY25 7 TARGETS PRIME MEMBERS >7.25M PRIME ARPU(*) eDO FY25 TARGETS ~€80 CASH EBITDA(*) >E180M eDO large potential: superior returns for shareholders and customers while transforming and revolutionasing the industry. (*) Definitions o
Slide 35: 8. Appendix
Overview Leisure Travel Recovery Strength & Attractiveness of our Industry Outperforming the Market Platform for Success Excellent FY22 Results Closing Remarks 8. Appendix 35
Slide 36: Revenue diversification continues to grow
REVENUE DIVERSIFICATION CONTINUES TO GROW, ALREADY ABOVE PRE-COVID-19, AND 8 THE LARGEST CONTRIBUTOR TO REVENUES Revenue margin Diversification (IN EUROS MILLION) FY22 Var. FY22 vs FY21 FY21 DIVERSIFICATION 281.0 340% 63.9 340% 281,0 CLASSIC CUSTOMER 37.8 15% 33.0 CLASSIC SUPPLIER 55.8 428% 10.6 ADV
Slide 37: Revenue by geography remains stable
REVENUE BY GEOGRAPHY REMAINS STABLE 8 Revenue margin TOP 6 (IN EUROS MILLION) FY22 Var. FY22 vs FY21 FY21 284,8 232% TOP 6 284.8 232% 85.9 REST OF THE WORLD 97.8 288% 25.2 85,9 TOTAL 382.6 244% 111.1 FY 21 FY 22 12% Rest of the World 23% 26% 288% FY15 FY21 FY22 97,8 77% 74% 88% Top 6 Rest of the wor
Slide 38: Glossary of Definitions
Glossary of Definitions Non-reconcilable to GAAP measures 1. Gross Bookings refers to the total amount paid by our customers for travel products and services booked through or with us (including the part that is passed on to, or transacted by, the travel supplier), including taxes, service fees and
Slide 39: Glossary of Definitions
Glossary of Definitions 13. Cash Revenue Margin means the IFRS revenue less cost of supplies, plus the variation of the Prime deferred revenue corresponding to the Prime fees that have been collected and that are pending to be accrued. The Prime fees pending to be accrued are non-refundable and will
Slide 40: Glossary of Definitions
Glossary of Definitions 24. Revenue Margin means the IFRS revenue less cost of supplies. The Group's management uses Revenue Margin to provide a measure of its revenue after reflecting the deduction of amounts payable to suppliers in connection with the revenue recognition criteria used for products