Edreams Odigeo · BME:EDR
Edreams Odigeo — H1 FY2020 Earnings Presentation
20 slides from Edreams Odigeo's earnings presentation, Nov 19, 2019
Slide 1: Results Presentation 1H FY 2020
RESULTS PRESENTATION 1H FY 2020 19th November 2019
Slide 2: Disclaimer
Disclaimer 1 This presentation is to be read as an introduction to the unaudited condensed consolidated interim 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 presentations is ex
Slide 3: Overview
Overview 1H Results FY20 Outlook Appendix 3
Slide 4: Overview – On Track to Meet Full Year Guidance Targets
1 OVERVIEW – ON TRACK TO MEET FULL YEAR GUIDANCE TARGETS Solid results, 1H as guided PERFORMANCE IN LINE WITH GUIDANCE Bookings returned to growth, following the completion of our strategic revenue model shift. In 2Q FY20 Bookings grew by 2% year-on-year, and reached 5.8 million in 1H FY20, up 0.4%
Slide 5: Revenue Diversification on Track and the Largest Contributor to Revenues
1 REVENUE DIVERSIFICATION ON TRACK AND THE LARGEST CONTRIBUTOR TO REVENUES REVENUE DIVERSIFICATION RATIO (**) REVENUE EVOLUTION (**) +7 41% pp 5% Diversification 14% 41% 48% Classic customer 32% Classic supplier 2Q FY19 Advertising & Meta 2Q FY18 2Q FY19 2Q FY20 40% PRODUCT DIVERSIFICATION RATIO 5%
Slide 6: Continued Strategic Progress as Evidenced by Our KPIs
1 CONTINUED STRATEGIC PROGRESS AS EVIDENCED BY OUR KPIS MOBILE BOOKINGS AS SHARE OF FLIGHT BOOKINGS (*) ACQUISITION COST PER BOOKING INDEX (*) +3 pp 42% 45% -25pp 37% 100 2Q FY18 2Q FY19 2Q FY20 81 75 CUSTOMER REPEAT BOOKING RATE (ANNUALISED)(**) +2 pp 45% 46% 44% 2Q FY18 2Q FY19 2Q FY20 FY15 2Q FY1
Slide 7: 1H Results FY20
Overview 1H Results FY20 Outlook Appendix 7
Slide 8: Income Statement Highlights 1H FY20
2 INCOME STATEMENT (IN EUROS MILLION) 2Q VAR FY20 2Q 6M VAR FY19 6M Highlights 1H FY20 FY20 FY19 FY20 FY19 VS FY19 VS FY18 1. Revenue Margin increased by 5%, principally due to an REVENUE MARGIN 139.7 5% 132.9 281.2 5% 267.6 increase in Revenue Margin per booking of 5%. 2. Variable costs grew 5% dri
Slide 9: Cash Flow Statement Highlights 1H FY20
2 CASH FLOW STATEMENT (IN EUROS MILLION) 2Q FY20 2Q FY19 6M FY20 6M FY19 Highlights 1H FY20 1. Net cash from operating activities improved by €26.3 ADJUSTED EBITDA (*) 29.1 26.5 57.2 52.6 million, mainly reflecting: In 1H, the lower outflow in working capital is due to NON RECURRING ITEMS -1.5 -0.7
Slide 10: Debt
2 DEBT 1. Benefits from the refinancing coming through. GROSS LEVERAGE RATIO (*) (Total Gross Financial debt / LTM Adjusted EBITDA) Financial loss decreased by 29% compared to the same period of last year, a reduction of €5.9 million in financial expenses, as a result of our +2,4x 6.0x reduction on
Slide 11: Outlook
Overview 1H Results FY20 OUTLOOK Appendix 11
Slide 12: Up Up Up – FY 2020 Outlook
3 FY 2020 OUTLOOK We expect FY20 to be a much better year than FY19, but it will still not reflect all our underlying potential as we have major markets with less than 12 months with the new revenue model. Our results in 2Q have been in line with the guidance. OUTLOOK From 3Q onwards we expect growt
Slide 13: #1 Winner in Europe
3 #1 Winner in Europe 2 1 32% Significant revenue European diversification OTA flight market 2 share 1 World leading capabilities 1 2 1 WHY EDREAMS ODIGEO? 1 1 RoW Top 6 # Market position SOURCE: Internal analysis; Amadeus bookings data; Phocuswright European Travel Overview 2018 13
Slide 14: Appendix
Overview 1H Results FY20 Outlook APPENDIX 14
Slide 15: Diversification Revenue Continues Strong Growth
4 DIVERSIFICATION REVENUE CONTINUE WITH STRONG GROWTH AND 69% LARGER THAN OUR CLASSIC CUSTOMER REVENUE DIVERSIFICATION REVENUE MARGIN (IN € MILLION) +18% (IN EUROS MILLION) 1H FY15 1H FY19 1H FY20 CAGR CAGR +20% DIVERSIFICATION 63,4 118,0 142,1 18% 142.1 CLASSIC CUSTOMER 114,2 101,8 84,3 -6% 118.0 C
Slide 16: Revenue Diversification Drives Growth in Rest of the World Markets
4 REVENUE DIVERSIFICATION DRIVES GROWTH IN THE REST OF THE WORLD MARKETS, 22% CAGR OVER THE PAST 5 YEARS REST OF THE WORLD REVENUE MARGIN (IN € MILLION) +22% (IN EUROS MILLION) 1H FY15 1H FY19 1H FY20 CAGR CAGR +22% FRANCE 84.9 69.2 74.8 -2% 66.9 SPAIN + ITALY 48.0 60.6 56.6 3% 54.7 GERMANY, NORDICS
Slide 17: Slide 17
Slide 18: Glossary of Definitions
Glossary of Definitions Non-reconcilable to GAAP measures 1. Acquisition Cost per Booking Index refers to the most relevant marketing expenses incurred to acquire new customers (encompassing Paid search, Metasearch and Affiliates), divided by the total number of Bookings. For any given period, the r
Slide 19: Glossary of Definitions
Glossary of Definitions Other Defined Terms 15. Advertising and Metasearch Revenue represents revenue from other ancillary sources, such as advertising on our websites and revenue from our metasearch activities. Our management believes that the presentation of the Advertising and Metasearch Revenue
Slide 20: Glossary of Definitions
Glossary of Definitions Other Defined Terms 25. Fixed Costs per Booking means fixed costs divided by the number of bookings. See definitions of "Fixed costs" and "Bookings". 26. Non-recurring Items refers to share-based compensation, restructuring expenses and other income and expense items which ar