Strata Critical Medical, Inc. · NASDAQ:SRTA
Strata Critical Medical — Blade Air Mobility — Q1 2023 Earnings Presentation
45 slides from Strata Critical Medical's earnings presentation, May 11, 2023
Slide 1: Investor Presentation May 2023
Investor Presentation May 2023
Slide 2: Forward Looking Statements
FORWARD LOOKING STATEMENTS This press release contains “forward-looking statements” within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include all statements that are not historical facts and may be identified by the
Slide 3: Blade is a Global Leader in Urban Air Mobility
Blade is a Global Leader in Urban Air Mobility Trailing Twelve Months Revenue ($ in mm) We provide cost-effective and time-efficient $164.8 $146.1 alternatives to congested ground transportation $132.6 $107.2 for passengers and last-mile critical cargo $84.5 $67.2 $50.5 $38.5 $26.2 $29.0 Our platfor
Slide 4: Key Business Segments
Key Business Segments Passenger Segment Medical Segment Short Distance Jet and Other MediMobility Organ Transport • Passenger flights primarily between Blade • Seasonal by-the-seat jet flights, primarily • Largest dedicated air transporter of human terminals in New York, Vancouver and between New Yo
Slide 5: Blade is a Global Urban Air Mobility Platform
Blade is a Global Urban Air Mobility Platform Asset-Light Model Global Footprint with Proprietary Technology and Strategic Infrastructure Logistics Platform Given the urban air mobility ecosystem we have built, we believe no company is better positioned to benefit as traditional helicopters transiti
Slide 6: Blade Works With Operators on an Asset-Light Basis
Blade Works With Operators on an Asset-Light Basis Blade does not own or operate aircraft Instead, Blade buys aircraft time by-the-hour, paying only for flights completed(1). Blade pays a fixed, all-inclusive rate which covers all costs associated with flights, including aircraft, fuel(2), insurance
Slide 7: Blade Safety Overview
Blade Safety Overview Blade partners with third-party aircraft operators who are vetted quarterly by Blade’s safety team • Each core operator must pass comprehensive safety Safety Team Leadership evaluations including: • Brings 25 years of active-duty experience • In-person audits of flight departme
Slide 8: Global Footprint in Highly Strategic Urban Air Mobility Markets
Global Footprint in Highly Strategic Urban Air Mobility Markets Canada Europe • Short Distance service • Short Distance service primarily between between key European Vancouver and Victoria with destinations including Nice, charter available across the Monaco, Cannes, Saint Pacific Northwest Tropez
Slide 9: Strategic Infrastructure and Terminal Network
Strategic Infrastructure and Terminal Network Blade’s strategic infrastructure and terminal network enables security, health and safety, and passenger management Manhattan East 34th St Manhattan Hudson Yards Westchester Airport Newark International Airport New York, NY New York, NY Westchester Count
Slide 10: Blade's Proprietary Technology and Logistics Platform
Blade’s Proprietary Technology and Logistics Platform Blade built a Customer-to-Cockpit urban air mobility technology platform enabling us to manage hundreds of flights per day 1 2 3 4 Automated Flier Consumer Communications Consumer Facing App Includes in-app portal for flight Intuitive interface a
Slide 11: Brand Experience
Brand Experience Tech-Enabled Booking Process Seasoned Flier Experience Team Blade has created an unmatched brand and flier experience as evidenced by our 9.6 Net Promoter Score(1) We’ve made “Blade” into a verb in the markets we fly Trusted Safety on Tarmac and in the Air Seamless Multi-Modal Conne
Slide 12: Brands Partner with Blade
Brands Partner with Blade Blade works with brand partners on a category exclusive basis to amplify flier exposure across our suite of services and geographies. Deals can be for cash, products, or services in-kind Food & Beverages Technology Entertainment/Sports Hospitality/Retail Transportation Fash
Slide 13: Enabling Seamless Transition to Electric Vertical Aircraft
Enabling Seamless • Blade has partnered Transition to Electric Vertical Aircraft Given anticipated lower costs, quiet operation, and zero emissions, EVA are expected to enhance Blade’s business, with several leading manufacturers targeting certification in 2024 Our existing network infrastructure, f
Slide 14: Business Line Overview
Business Line Overview
Slide 15: Short Distance Overview
Short Distance Overview Key Products Short Distance Trailing Twelve Month Revenues • Passenger flights primarily ($ in mm) between Blade terminals in New Leisure/Commuter $51.2 York, Vancouver, and Southern By-the-Seat Primarily routes in New Europe York, Vancouver, and $45.0 Southern Europe $41.8 •
Slide 16: Short Distance Footprint in Markets with Significant Growth Potential
Short Distance Footprint in Markets with Significant Growth Potential Blade sees significant opportunity to grow within its existing footprint, while taking share from land and sea alternatives Market Snapshot: Market Snapshot: Vancouver <> Nanaimo and Victoria Nice <> Monaco Competition Competition
Slide 17: Short Distance Business Offers Attractive Unit Economics
Short Distance Business Offers Attractive Unit Economics Illustrative by-the-seat unit economics for Blade Airport (West 30th Street to JFK) Illustrative Unit Economics at Various Utilization Levels Key Cost Components Base Ticket Price Seats Sold 1 2 3 4 5 • $195 represents base fare price. Additio
Slide 18: Jet and Other Overview
Jet and Other Overview Key Products Jet and Other Trailing Twelve Months Revenue • Seasonal by-the-seat jet ($ in mm) $30.8 flights, primarily between BladeOne $28.6 $30.4 $29.4 $27.7 $25.7 New York and South Florida, By-the-seat jet service primarily between $21.7 as well as jet charter New York an
Slide 19: MediMobility Organ Transport Overview
MediMobility Organ Transport Overview MediMobility Organ Transport Key Value Proposition Trailing Twelve Month Revenues • Largest dedicated air transporter of Attractive, Growing ($ in mm) $85.9 human organs for transplant, End Market providing end-to-end multi-modal Non-cyclical, B2B $71.8 solution
Slide 20: MediMobility Market Overview
MediMobility Market Overview National Heart, Liver, Lung Transplants by Year(2) • Blade’s MediMobility business, doing business as Trinity Medical Solutions, serves over 68 transplant centers and Organ Procurement Organizations across the United States 16,331 15,577 • Trinity primarily generates rev
Slide 21: Financial Overview
Financial Overview
Slide 22: Q1 2023 Financial Highlights
Q1 2023 Financial Highlights Revenue Trailing 12 Month Revenue $45.3m $164.8m 70% YoY reported growth ~52% from Medical 43% pro forma(1) YoY growth Short Distance Pro Forma(1) YoY Growth MediMobility Organ Transport YoY Revenue Growth 12% 111% 148% YoY reported growth Flight Margin Adjusted EBITDA 1
Slide 23: Q1 2023 Financial Highlights (continued)
Q1 2023 Financial Highlights (continued) Total Revenue Short Distance MediMobility Organ Jet/Other ($ in millions) ($ in millions) Transport ($ in millions) ($ in millions) +70% +111% $45.3 +148% $26.8 $26.6 $10.4 $9.8 $12.7 $8.1 $4.2 Q1'22 Q1'23 Q1'22 Q1'23 Q1'22 Q1'23 Q1'22 Q1'23 • Growth led by o
Slide 24: Revenue and Adjusted EBITDA Overview
Revenue and Adjusted EBITDA Overview Both business segments contribute positive Flight Margin Three Months Ended March 31, ($ in millions) 2022 2023 %Δ vs 2022 Passenger revenue growth driven by (i) acquisition in Europe, (ii) continued growth in Passenger Revenue $14.0 $18.5 32.6% Canada and Blade
Slide 25: Track Record of Significant Revenue Growth with Positive Flight Margin
Track Record of Significant Revenue Growth with Positive Flight Margin Quarterly Revenue ($ in millions) Quarterly Flight Margin Jet and Other MediMobility Organ Transport Short Distance 23.0% 22.0% 45.7 45.3 20.3% 20.6% 19.3% 18.2% 38.1 35.6 15.9% 16.0% 15.8% 14.3% 14.3% 26.6 24.6 11.0% 20.3 9.0% 1
Slide 26: Well Capitalized with Significant Liquidity
Well Capitalized with Significant Liquidity • As of March 31, 2023, Blade had $179mm in cash and Cash and Short-Term Investments ($ in millions) short-term investments(1) on its balance sheet $195 • Blade believes its current cash balance provides sufficient ($10) liquidity to fund the company’s gro
Slide 27: Strong M&A Track Record
Strong M&A Track Record Blade views acquisitions as a key driver of shareholder value creation Upfront Purchase Price $23 million(1) US $12 million US $48 million Closing Date September 15, 2021 November 30, 2021 September 1, 2022 • Trinity is an asset-light, multi- • Helijet is North America’s larg
Slide 28: How Blade Creates Value via M&A: Trinity Air Medical Case Study
How Blade Creates Value via M&A: Trinity Air Medical Case Study Since acquiring Trinity, Blade has significantly accelerated growth in the business, enhancing returns for shareholders • Blade acquired Trinity in September 2021 for $23mm Quarterly Revenue ($ in millions) • Trinity’s trailing twelve-m
Slide 29: Electric Vertical Aircraft (EVA) Opportunity
Electric Vertical Aircraft (“EVA”) Opportunity
Slide 30: Blade Expects EVA to Catalyze Demand for Urban Air Mobility
Blade Expects EVA to Catalyze Demand for Urban Air Mobility Given anticipated lower costs, lower noise footprints, and zero emissions, Electric Vertical Aircraft are poised to enhance Blade’s business once certified and available for commercial service, which some manufacturers expect in 2024 Expect
Slide 31: Over $6 Billion Has Been Invested in Electric Vertical Aircraft
Over $6 Billion Has Been Invested in Electric Vertical Aircraft Blade is encouraged by the enormous amount of financial and intellectual capital being deployed to certify EVA Partners • Investor in Blade • Approximately • Approximately • Partnership with • Received $450mm in • Developing airspace $8
Slide 32: Blade Has Partnerships with Leading EVA Manufacturers
Blade Has Partnerships with Leading EVA Manufacturers Though Blade remains manufacturer-agnostic, we have cultivated a strong and growing list of strategic partners to ensure a seamless transition to EVA once certified Partner Date Details • Investor in Blade since 2018 March 2018 • Recently unveile
Slide 33: Components of Aircraft Operating Costs
Components of Aircraft Operating Costs Given the fixed costs associated with operating any aircraft, along with the need for infrastructure owners to make profits from fuel / electricity sales and landing fees, we anticipate that early EVA will produce modest improvements in unit economics Operator
Slide 34: Illustrative EVA Fixed Costs
Illustrative EVA Fixed Costs We estimate that the fixed costs associated with EVA operation will largely resemble helicopter / fixed wing costs, equating to ~$600-$900 per hour assuming 1,000-1,500 hours flown per machine, per year (2) Category Assumption Annualized Per Hour Vs. Heli These costs may
Slide 35: Illustrative EVA Unit Economics
Illustrative EVA Unit Economics Management estimates that EVA will initially enable a modest reduction in flying cost on key routes, with further savings expected over time Illustrative West 30th Street to JFK Economics Hourly Rate $1,500 ~$900 ~$600 ~$1,500 * Duration of Flight 0.2 Hours Traditiona
Slide 36: Appendix
Appendix
Slide 37: Blade Management
Blade Management Rob Wiesenthal Melissa Tomkiel Will Heyburn Founder and Chief Executive Officer President and General Counsel Chief Financial Officer • Founder and Chief Executive Officer of • Previously President and General • Previously at RedBird Capital Partners BLADE Urban Air Mobility, Inc. C
Slide 38: Blade Board of Directors
Blade Board of Directors Eric Affeldt Edward Philip Susan Lyne Jane Garvey Kenneth Lerer Chairman of Board of Directors Chair of Audit Committee Chair of Compensation Committee Chair of Nominating and Corporate Member of Board of Directors Governance Committee • Former Chief Executive Officer of • C
Slide 39: Blade Historical Disaggregated Revenue By Product Line
Blade Historical Disaggregated Revenue By Product Line BLADE AIR MOBILITY, INC. DIS AGGREGATED REVENUE BY PRODUCT LINE ($ in thousands, unaudited) Three Months Ended March 31, December 31, S eptember June 30, March 31, December 31, S eptember June 30, March 31, December 31, S eptember June 30, March
Slide 40: Use Of Non-GAAP Information
Use Of Non-GAAP Information Adjusted EBITDA - To supplement its consolidated financial statements, which are prepared and presented in accordance with U.S. generally accepted accounting principles (“GAAP”), Blade reports Adjusted EBITDA, which is a non-GAAP financial measure. This measure excludes n
Slide 41: Use Of Non-GAAP Information (Continued)
Use Of Non-GAAP Information (Continued) Flight Profit and Flight Margin - Blade defines Flight Profit as revenue less cost of revenue. Cost of revenue consists of flight costs paid to operators of aircraft and cars, landing fees, right-of-use ("ROU") asset amortization and internal costs incurred in
Slide 42: Use Of Non-GAAP Information (Continued)
Use Of Non-GAAP Information (Continued) Pro forma revenue - Pro forma revenue gives effect to revenue from acquisitions that occurred after the commensurate period of the prior year as if they had been acquired on the first day of the commensurate period of the prior year. Pro forma change in revenu
Slide 43: Use Of Non-GAAP Information (Continued)
Use Of Non-GAAP Information (Continued) We operate our business as two reportable segments - Passenger and Medical. Segment Adjusted EBITDA is defined as segment net income (loss) excluding non-cash items or certain transactions that management does not believe are reflective of our ongoing core ope
Slide 44: Use Of Non-GAAP Information (Continued)
Use Of Non-GAAP Information (Continued) We operate our business as two reportable segments - Passenger and Medical. Segment Flight Profit and Flight Margin - Flight Profit is calculated as revenue less cost of revenue excluding non-cash timing of ROU asset amortization. Cost of revenue consists of f
Slide 45: Trinity Air Medical, Inc. Historical Quarterly Revenue
Trinity Air Medical, Inc. Historical Quarterly Revenue Note: The figures below reflect Trinity Air Medical, Inc.’s unaudited revenues for the twelve months ended June 30, 2021, which were prepared by Trinity and provided to Blade. TRINITY AIR MEDICAL, INC. HISTORICAL QUARTERLY REVENUE FOR TWELVE MON