Emerald Holding, Inc. · NYSE:EEX
Emerald — Debt Investor Presentation (January 2025)
31 slides from Emerald's debt investor presentation, Jan 15, 2025
Slide 1: Emerald Holding, Inc. Lender Presentation January 2025
Exhibit 99.1 Emerald Holding, Inc. Lender Presentation January 2025
Slide 2: Forward-Looking Statements
Notes Forward-Looking Statements The information provided in this presentation is for general informational purposes only. This presentation contains certain forward-looking statements regarding Emerald Holding, Inc. and its subsidiaries (the “Company”), including, without limitation, statements reg
Slide 3: Preliminary Financial Results
Preliminary Financial Results The Company’s audited consolidated financial statements for the year ended December 31, 2024 are not yet complete. The information set forth below regarding the Company’s expected results for this period is a preliminary estimate, based solely on management estimates us
Slide 4: Today's Presenter
Today’s Presenter David Doft Chief Financial Officer • Joined the Company in 2020 • Prior to joining Emerald, served as CFO of MDC Partners for 12 years, as well as interim Co-CEO in early 2019 as MDC Partners underwent a strategic review • Prior to MDC Partners, David spent 14 years as a sell-side
Slide 5: Agenda
Agenda • Transaction Overview 1 2• Company Overview 3• Key Credit Highlights 4• Financial Summary 5• Appendix Confidential – Not for Distribution
Slide 6: Transaction Overview
~ Transaction Overview
Slide 7: Transaction Overview
Transaction Overview • Emerald Holding, Inc. (“Emerald” or the “Company”) is the largest U.S. based B2B events platform with a portfolio of “must attend” events and a suite of complementary digital properties across a diverse range of end markets th • The Company has performed well coming out of the
Slide 8: Sources & Uses and Pro Forma Capitalization
Sources & Uses and Pro Forma Capitalization Sources & Uses Pro Forma Capitalization ($ in millions) Current Pro Forma ($ in millions) Maturity 9/30/24 (Adj.) 9/30/24 Sources Amount Extended Revolving Credit Facility -- Cash & Cash Equivalents $189 $6 $195 (1) New First Lien Term Loan $415 Revolving
Slide 9: Summary of Indicative Terms
Summary of Indicative Terms Borrower: Emerald X, Inc. (The “Borrower”) Guarantors: Holdings and all of the Borrower's material wholly-owned domestic restricted subsidiaries, subject to customary exceptions (Same as Existing) First lien on substantially all of the present and after-acquired assets of
Slide 10: Summary of Indicative Terms: Key Transaction Dates
Summary of Indicative Terms January 2025 Sun Mon Tue Wed Thu Fri Sat 1 2 3 4 Bank Holiday 5 6 7 8 9 10 11 Key Transaction Dates 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 Week of: Event: th th January 13 • Lender Conference Call (January 15 ) rd • Lender Commitments Due (January 23
Slide 11: Company Overview
~ Company Overview
Slide 12: Emerald at a Glance
Emerald at a Glance Business Overview Key Stats • Emerald is the largest U.S. based B2B events platform with $20bn significant diversification across end markets. The company (2) $400mm 100+ 2.6 mm Total Global operates across three business lines: 2024E Events & Media Active Addressable Revenue Pro
Slide 13: Emerald's Monetization Engine Across Its Three Segments
Emerald’s Monetization Engine Provides Diverse And Highly Visible Revenue Generation Across Its Three Segments Connections Content Commerce (~90% of FY 2024E Revenue) • Collection of leading B2B trade shows and • B2B websites and publications that provide • SaaS software enables year-round B2B buyin
Slide 14: Emerald's Diversified Portfolio Serves a Broad Range of Markets
Emerald’s Diversified Portfolio Serves a Broad Range of Markets Gift, Home & Technology, Design & General Industrial Advertising & Sports & Outdoor Luxury Food Construction Merchandise Marketing (Water & board sports and resort-oriented (Antique and estate (Manufacturers & (Leading event in the dist
Slide 15: Three Pillars of Value Creation
Three Pillars of Value Creation Emerald’s focus is on maximizing value of operations and expanding offerings Customer Centricity 365-Day Engagement Portfolio Optimization • Action the holistic consolidated customer database • Daily content and insights across 20 • Targeted accretive M&A industries •
Slide 16: Key Credit Highlights
~ Key Credit Highlights
Slide 17: Key Credit Highlights
Key Credit Highlights Significant Opportunity for Growth in a Large, Fragmented Market with Strong Secular Trends 1 Leading B2B Events Provide High ROI Marketing and Lead Generation for Recurring Client Base 2 Diversified and Growing Portfolio of Market-Leading Brands 3 4 History of Acquiring and In
Slide 18: Significant Opportunity for Growth in a Large, Fragmented Market
1 Significant Opportunity for Growth in a Large, Fragmented Market Top US Scaled Exhibition Organizers are a Small Part of Overall Market • Emerald’s leading market position and successful track record of accretive acquisitions makes it the acquiror of choice in a large and highly fragmented market
Slide 19: Leading B2B Events Provide High ROI Marketing and Lead Generation
2 Leading B2B Events Provide High ROI Marketing and Lead Generation for Recurring Client Base 60% 70% of executives report 38 that in-person events – of buyers prefer hybrid lead to significant and in-person New leads generated, knowledge transfer and experiences where (3) on average, per trade LT p
Slide 20: Diversified and Growing Portfolio of Market-Leading Brands
3 Diversified and Growing Portfolio of Market-Leading Brands Design & Construction • Well-balanced and diversified • Emerald’s largest five shows represent 29% of FY 2024E revenues Industrial Action Sports • No single customer is more than 1% of revenue, and largest trade show is in single-digit % o
Slide 21: History of Acquiring and Integrating High-Quality Events
4 History of Acquiring and Integrating High-Quality Events with a Robust Acquisition Pipeline Emerald Has Completed and Integrated Over 30 Acquisitions Over the Last Decade Totaling $897mm in Capital Deployed Commentary Selected Recent Acquisitions • Successfully acquired and integrated 30 trade sho
Slide 22: Attractive Financial Profile with Strong Balance Sheet and Free Cash Flow
5 Attractive Financial Profile with Strong Balance Sheet and Free Cash Flow Conversion Commentary Revenue Adj. EBITDA Adj. EBITDA Margin % (excl. insurance proceeds) • Pro forma liquidity of $189mm cash and 35.4% NM NM 17.5% 24.8% ~25% $110mm undrawn revolver (1) $240 $400+ $383 $361 • Favorable cas
Slide 23: Best-in-Class Management Team with Deep Industry Experience
6 Best-in-Class Management Team with Deep Industry Experience Name & Title Previous Experience Commentary • Leadership team have significant strategic and operational experience to implement strategy and (1) Hervé Sedky deliver long-term growth President & CEO • Rigorous commercial and operational m
Slide 24: Financial Summary
~ Financial Summary
Slide 25: 2024 Guidance Signals Continued Growth and Margin Expansion
(1) 2024 Guidance Signals Continued Growth and Margin Expansion Revenue 2024 Revenue Guidance ($ in Millions) (1) At least $400 mm $382.8 • FY 2024 Revenue expected to $325.9 (1) be at least $400 million $145.5 2021 2022 2023 2024 (1) Adjusted EBITDA ex-Insurance 2024 Adjusted EBITDA ($ in Millions)
Slide 26: Revenue and Adjusted EBITDA by Segment
Revenue and Adjusted EBITDA by Segment Quarterly Annual Connections ($ in Millions) $133.4 $382.8 $122.3 $325.9 $101.5 $86.5 $86.0 $72.5 $72.6 Revenue FY 2022 FY 2023 Revenue 1Q 2023 2Q 2023 3Q 2023 4Q 2023 1Q 2024 2Q 2024 3Q 2024 Connections $282.6 $340.2 Connections $112.2 $75.6 $62.0 $90.4 $123.4
Slide 27: FY 2024 Preliminary Results
FY 2024 Preliminary Results Revenue Adj. EBITDA FY 2024 Preliminary Results Approx. $400 million Approx. $100 million Note: Please refer to Slide 3 for disclaimer regarding Preliminary Financial Results. 26 Confidential – Not for Distribution
Slide 28: Capital Allocation and Financial Policy Priorities
Capital Allocation and Financial Policy Priorities Objectives Actions • Leverage is 2.1x as of September 30, 2024, which is (1) Maintain Net Leverage Ratio • Target 2.0 – 3.0x long-term Net Leverage Ratio within the targeted range • Acquire leading B2B events or related assets in existing verticals
Slide 29: Growth Framework
Growth Framework • 2024 projected growth driven by (a) continued yield optimization through value-based pricing, (b) full integration of recently acquired brands, (c) expansion of the eCommerce Business and (d) offset by pruning of small underperforming events • Long-term plan goal for mid-high sing
Slide 30: Appendix
~ Appendix
Slide 31: Adjusted EBITDA Reconciliation
Adjusted EBITDA Reconciliation ($ in millions) FYE December 31 LTM 9/30/24 • Intangible asset impairment charges represent non-cash 1 2021 2022 2023 2024 charges of $6.3 million for the three and nine months ended September 30, 2024, for certain indefinite-lived intangible Net Income (Loss) ($78) $1
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