Onespaworld Holdings Limited · NASDAQ:OSW
Onespaworld — Investor Presentation (May 2022)
22 slides from Onespaworld's investor presentation, May 2022
Slide 1: The Global Health and Wellness Company – Investor Presentation May 2022
– The Global Health and Wellness Company – INVESTOR PRESENTATION | MAY 2022
Slide 2: Disclosure & Forward Looking Statements
Forward-Looking Statements This Investor Presentation includes “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended and the “safe harbor” provisions of the Private Securities Litigatio
Slide 3: Disclosure, Continued
Use of Projections This Investor Presentation contains financial forecasts, including with respect to estimated revenues, net income, Adjusted Net Income, EBITDA, Adjusted EBITDA, Adjusted EBITDA Margin, Unlevered After-Tax Free Cash Flow, Levered After-Tax Free Cash Flow and Unlevered After-Tax Fre
Slide 4: Key Investment Highlights
• 90+% outsourced spa market share on cruise ships INDUSTRY • Nearly 20x larger than nearest maritime competitor LEADER • ~20M annual captive audience • 20+ consecutive years of global passenger growth MEGA KEY INVESTMENT • Strong population and demographic trends TRENDS • Emphasis on health, wellne
Slide 5: Sailing Has Returned & OneSpaWorld Is Ready: First Quarter 2022 Accomplishments
FIRST QUARTER 2022 ACCOMPLISHMENTS Net Revenues of $87.7 Ended the period with Welcomed back SAILING HAS RETURNED million up significantly Delivered fifth health and wellness 2,369 cruise ship from Q1 2021 and consecutive quarter of centers on 170 ships, of personnel on vessels & ONESPAWORLD IS incr
Slide 6: Sailing Has Returned & OneSpaWorld Is Ready: Fiscal Year 2021 Accomplishments
FISCAL YEAR 2021 ACCOMPLISHMENTS Key operating metrics Highest ever Pre-bookings and Record demand by on- average guest spend SAILING HAS RETURNED compared favorably in penetration rate of board guests for OSW handily exceeded 2019 the fourth quarter to overall cruise ship services & ONESPAWORLD IS
Slide 7: Financial Highlights
UNDISPUTED LEADER IN A HIGHLY ATTRACTIVE INDUSTRY GLOBAL MEGA TRENDS DRIVING ROBUST SECTOR GROWTH COMPLEX BUSINESS MODEL NOT EASILY REPLICATED ONESPAWORLD, THE HIGHLY VISIBLE, UNIQUELY PREDICTABLE GROWTH PREEMINENT GLOBAL HEALTH & EARLY INNINGS OF GROWTH IN ASIA WELLNESS SERVICES COMPANY E X C E P T
Slide 8: More Than 20 Consecutive Years of Global Passenger Growth
GLOBAL CRUISE SHIP PASSENGERS (M) Recession Recession 29.7 28.5 MORE THAN 20 26.7 CONSECUTIVE YEARS 25.2 OF GLOBAL PASSENGER 23.1 22.3 GROWTH 21.3 20.9 20.5 19.1 17.8 17.2 The global cruise industry 16.6 15.9 has proven resilient 14.8 13.9 through recessions with 12.6 passenger counts 11.5 growing c
Slide 9: Global Trends to Drive Sector Growth
MULTIPLE MEGA TRENDS DRIVE POSITIVE ROBUST CAPACITY GROWTH IN CRUISING ACROSS GEOGRAPHIES OUTLOOK Global Cruise Capacity Growth: 2020 – 2027 GLOBAL TRENDS TO AGING GLOBAL DRIVE SECTOR POPULATIONS GROWTH 38.7M + Multiple long-term mega PERSISTENT HEALTH & 29.5M trends underlie a WELLNESS TRENDS compe
Slide 10: Market Share
Outsourced Spa Cruise Market Share Other <10% 7% OTHES 9% #2 PLAYER ONESPAWORLD, A “CATEGORY OF ONE” OneSpaWorld is the undisputed leader in maritime health and 84% wellness services with MARKET SHARE 90+% market share and OneSpa (AND GROWING) World unmatched global capabilities >90% UNDISPUTED GLOB
Slide 11: Unmatched Service and Product Breadth Onboard
UNMATCHED SERVICE AND PRODUCT Broad Offering of Cruise Passengers an BREADTH ONBOARD Leading Brands Attractive Demographic * * COMPREHENSIVE SPA & BEAUTY SERVICES SERVICES $114,000 AND CURATED BRANDS MEDI-SPA AVERAGE INCOME SOLD TO AN * FITNESS ATTRACTIVE CAPTIVE AUDIENCE 49 84% HEALTH YEARS OLD MAR
Slide 12: Long-Term Agreements with the Largest and Most Reputable Cruise Lines
We Operate on All Global Long-Term C-Level Relationships Across Routes and Ship Classes 1 our Entire Fleet 3 Cruise Line Other Asia Relationship Total Ships OSW Ships Banner Australia 28 Years 25 25 LONG-TERM AGREEMENTS WITH Europe NORTH 28 Years 24 24 EUROPE North America THE LARGEST AMERICA 22 Yea
Slide 13: Revenue Sharing Contracts Offer Compelling Value
Onboard Health & Wellness Products and Services ONESPAWORLD CRUISE LINES REVENUE SHARING CONTRACTS OFFER RESPONSIBILITY RESPONSIBILITY COMPELLING VALUE Recruit, train and manage worldwide FOR ONESPAWORLD & Fund multi-million dollar buildout onboard staff CRUISE LINES Offer comprehensive and innovati
Slide 14: Global Cruise Operations Are Highly Complex
Global Passenger Routes GLOBAL CRUISE OPERATIONS ARE HIGHLY COMPLEX In 2019, OneSpaWorld… VISITED EMBARKED ON REQUIRED 1,221 7,951 5,614 GLOBAL PORTS OF CALL VOYAGES STAFF TO FILL OPEN POSITIONS MADE PLACED SENT STAFF ON MORE THAN 3,047 18,988 8,271 MANGEMENT VISITS TO SHIPS IN PURCHASE ORDERS TO VE
Slide 15: OneSpaWorld Has the Only Platform Necessary to Manage the Complexity
End-to-End Logistics Capabilities BACK-END PLATFORM & FRONT-END PLATFORM & KNOW- KNOW-HOW HOW ONESPAWORLD HAS THE ONLY PLATFORM Global recruiting, training and Yield and revenue human logistics management WITH PROCESSES AND Exceptional pre through INFRASTRUCTURE Product supply chain facility post-cr
Slide 16: Introduction of High-Value Services Drives Revenue Growth
Introduction of High-Value Services Drives Revenue Growth Across Existing Footprint SERVICE & PRODUCT OneSpaWorld Medi-Spa Rollout: Vessel INNOVATION Count by Year ACUPUNCTURE 1ST VESSEL EXCLUSIVE & HIGHLY ATTRACTIVE GLOBAL 2005 94 99 CHANNEL FOR HIGH 86 86 75 66 MARGIN SPA SERVICES FLEET ROLLOUT
Slide 17: Cruise Lines Increasingly Aligned and Onboard Collaboration
Onboard Spend as a % of Cruise Operator Revenue 1 Historical Collaboration Health & Wellness Center Branding & SIDE ENGAGEMENT 29.8% ISOLATED SHORE- Design CRUISE LINES ARE INCREASINGLY ALIGNED Signage & Limited Marketing WITH US TO DRIVE 24.2% ONBOARD REVENUE New Areas of Collaboration 2011 2019 We
Slide 18: Strong, Visible and Consistent Revenue & Adjusted EBITDA Growth
Historical Revenue Historical PF Adj. EBITDA 1 ($M, FYE Dec.) ($M, FYE Dec.) $562 $541 $507 $59 $476 $56 $453 $53 STRONG, $49 $45 VISIBLE AND CONSISTENT REVENUE & ADJUSTED EBITDA GROWTH WITH EXCEPTIONAL 2015 2016 2017 2018 2019 2015 2016 2017 2018 2019 FREE CASH FLOW CONVERSION Ship Count 152 156 15
Slide 19: Asset Light Business Model & Superior Level of After-Tax Free Cash Flow
Exceptional Unlevered After-Tax Free Cash Flow Conversion Before Covid-19 1 MINIMAL NEW HEALTH & WELLNESS CENTER CAPEX Cruise lines fund nearly all maritime health and wellness center buildout costs ASSET LIGHT MODEL ASSET LIGHT BUSINESS OneSpaWorld does not own any of its maritime health and wellne
Slide 20: OneSpaWorld, the Preeminent Global Health and Wellness Services Company
ONESPAWORLD, THE PREEMINENT GLOBAL HEALTH AND WELLNESS SERVICES COMPANY UNDISPUTED LEADER IN A HIGHLY ATTRACTIVE INDUSTRY GLOBAL MEGA TRENDS DRIVING ROBUST SECTOR GROWTH COMPLEX BUSINESS MODEL NOT EASILY REPLICATED HIGHLY VISIBLE, UNIQUELY PREDICTABLE GROWTH EAR LY I N N I N G S O F G R OW T H I N A
Slide 21: Our Focus on People
Our Focus on People We believe how we manage our relationships with our employees, with the staff and guests of our cruise and destination resort partners, with the teams of our suppliers, and with the communities where we operate is ONESPAWORLD, THE fundamental to the success of our operations. And
Slide 22: Thank You
T H A N K YOU P R I V I L E G E D , P R O P R I E T A R Y A N D C O N F I D E N T I A L 28
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