Corporate Travel Management Limited · ASX:CTD
Corporate Travel Management — H1 2022 Earnings Presentation
26 slides from Corporate Travel Management's earnings presentation, Feb 16, 2022
Slide 1: Half Year Results Presentation
ASX Announcement 16 February 2022 Half Year Results Presentation Attached is a copy of Corporate Travel Management’s Limited Half Year Results Presentation for the half year ended 31 December 2021. Authorised for release by the Board. Contact details Media enquiries: Alasdair Jeffrey – Rowland – Ala
Slide 2: Corporate Travel Management 1H22 Results Presentation
Corporate Travel Management 1H22 Results Presentation
Slide 3: Disclaimer
Disclaimer The information in this presentation contains summary information about the current activities of Corporate Travel Management Limited ACN 131 207 611 (Company) and its subsidiaries. It should be read in conjunction with the Company’s other periodic and continuous disclosure announcements
Slide 4: Agenda
Agenda 1H22 Highlights Page 4 Regional Performance Page 7 Technology & Sustainability Update Page 14 Group Financial Summary Page 17 FY22 Outlook Page 22
Slide 5: CTM 1H22 highlights
CTM 1H22 highlights 1. Underlying EBITDA $18.2m (1H21: -$15.2m) despite Delta and Omicron COVID strain impacts • North America (NA), Europe (EU), ANZ regions all recorded positive underlying EBITDA in 1H22, with regional standouts: • North America revenue now higher than 1H20 (pre-COVID) • Europe EB
Slide 6: 1H22 interrupted by COVID variants, momentum continues
1H22 interrupted by COVID variants, momentum continues Revenue and Other Income ($Am) Underlying EBITDA (A$m) 180 20 160 15 140 10 18 120 5 100 8 0 80 163 60 127 (5) (15) 40 (10) 74 20 (15) - (20) 1H21 2H21 1H22 1H21 2H21 1H22 • 1H22 revenue and other income up 120% on the p.c.p. • Invested in staff
Slide 7: CTM has transformed via acquisition during COVID period
CTM has transformed via acquisition during COVID period • CTM has transformed its global footprint during the COVID 900 downturn through significant transactions 35 810 800 90 • Travel & Transport acquisition in October 2020, significantly increasing 296 85 19 exposure to large, fragmented North Ame
Slide 8: Regional Performance
Regional Performance ctm Page 7
Slide 9: Group overview
Group overview Pre-COVID p.c.p. Pre-COVID (AUD$m) 1H22 1H21 change 1H20 Change TTV 2,083.1 403.8 416% 3,310.2 (37%) Revenue and other income 163.0 74.2 120% 222.3 (27%) Underlying EBITDA 18.2 (15.2)1 64.5 (72%) EBITDA / Rev & Oth Inc Margin 11.2% 29.0% 1H22 Current update • Revenue & other income up
Slide 10: North America
North America Pre-COVID Rev & Other Income (A$m) p.c.p. Pre-COVID (AUD$m) 1H22 1H21 change 1H20 Change +32% TTV 949.0 181.5 423% 758.5 25% 92.0 Revenue and other income 92.0 29.4 213% 69.8 32% 69.8 Underlying EBITDA 6.0 (8.6)1 14.4 (58%) 29.4 EBITDA / Rev & Oth Inc Margin 6.5% 20.6% 1H20 1H21 1H22 1
Slide 11: North America Spotlight
North America Spotlight Expecting early return to pre-pandemic profitability, through 3 key drivers. 1. Increased penetration of Lightning • Creates efficiency gains, frees up travel advisors to service complex itineraries Online Booking Tool • Solid traction - blue chip US and global clients are be
Slide 12: Europe
Europe Pre-COVID Underlying EBITDA (A$m) p.c.p. Pre-COVID (AUD$m) 1H22 1H21 change 1H20 Change +8% TTV 806.5 77.8 937% 565.4 43% 19.4 20.9 Revenue and other income 43.8 13.3 229% 47.7 (8%) Underlying EBITDA 20.9 (2.2) 19.4 8% -2.2 EBITDA / Rev & Oth Inc Margin 47.7% (16.5%) 40.7% 1H20 1H21 1H22 1H22
Slide 13: ANZ
ANZ Pre-COVID p.c.p. Pre-COVID (AUD$m) 1H22 1H21 change 1H20 Change TTV 238.6 155.3 54% 686.5 (65%) Revenue and other income 21.1 18.1 17% 61.8 (66%) Underlying EBITDA 0.9 3.0 (70%) 24.4 EBITDA / Rev & Oth Inc Margin 4.3% 16.6% 39.5% 1H22 Outlook • Resilient performance given ANZ essentially in lock
Slide 14: Asia
Asia Pre-COVID p.c.p. Pre-COVID (AUD$m) 1H22 1H21 change 1H20 Change TTV 89.0 (10.8) 1,299.8 (93%) Revenue and other income 6.0 12.2 (51%) 43.0 (86%) Underlying EBITDA (2.6) (3.6) 28% 13.2 EBITDA / Rev & Oth Inc Margin 30.7% 1H22 Outlook • Trading environment remained challenging due to reliance on
Slide 15: Technology and Sustainability Update
Technology and Sustainability Update
Slide 16: CTM Technology- enhancing client experience in complex environment
CTM Technology- enhancing client experience in complex environment 3 Key initiatives: 1. Global segment focus Global client • Global travel manager portal improving visibility of staff on a wins global basis on Lightning & • Global view of travel spend CTM suite • Combined with high service creates
Slide 17: CTM Technology enables Sustainable Travel Programs
CTM Technology enables Sustainable Travel Programs • CTM Climate+ Program • Demonstrating the impact of travel decisions to inspire change to make the best decision for the environment • Amplified impact of CTM’s technology across our client base • Technology enables informed client decisions at POS
Slide 18: Group Financial Summary
Group Financial Summary Page 17
Slide 19: Profit and loss
Profit and loss $AUD(m) 1H22 1H21 %Δ • 1H22 began with strong momentum, but was interrupted by the impact of COVID-variants, delaying return to offices and therefore TTV 2,083.1 403.8 416% business travel Revenue and other income 163.0 74.2 120% • 1H22 Depreciation & Amortisation: $21.5m Underlying
Slide 20: Non-recurring items
Non-recurring items $AUD(m) 1H22 • Acquisition costs relate to costs incurred in the acquisition of Helloworld’s corporate and entertainment business EBITDA non-recurring • Integration costs relate to the Travel & Transport acquisition Acquisition costs (2.9) • Expect all client facing integration t
Slide 21: Comparative statutory balance sheet
Comparative statutory balance sheet $AUD(m) Dec 21 Jun 21 • Strong financial position with sufficient cash to comfortably Cash 193.2 99.0 manage and reinvest for the recovery Receivables 164.1 175.4 • Cash has increased by $94.2m from the p.c.p. to $193.2m, Other current assets 12.3 16.3 including $
Slide 22: Cash flow summary
Cash flow summary $AUD(m) 1H22 1H21 • Operating cash flow strong due to a combination of: EBITDA statutory 10.5 (27.4) • Collection of invoiced amounts from 4Q21 Non-cash items 3.3 4.8 Change in working capital 26.6 (14.8) • Cash held at balance date awaiting client direction resulting in a positive
Slide 23: Group Financial Summary
Group Financial Summary
Slide 24: FY22 Outlook
FY22 Outlook Given uncertainty of short-term trading environment, CTM is not able to offer FY22 profit guidance 2H22 Key Expectations: 1. COVID to switch from pandemic to endemic in most developed countries due to high vaccination rates and removal of impediments 2. Feb-Mar underlying EBITDA buildin
Slide 25: CTM: Significantly Larger Business Post COVID-19
CTM: Significantly Larger Business Post COVID-19 Pro forma FY19 Revenue: Full Recovery1,2 Targeted EBITDA: Full Recovery1,2 $900m $300m $810m $265m $800m +12%3 $250m +13%3 $700m +76% +77% $600m $200m $500m $150m $400m $720m $235m $300m $100m $459m $150m $200m $50m $100m $0m $0m FY19 Actual Pro-forma
Slide 26: travelctm.com
ccm travelctm.com
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