Accor Sa · EURONEXT:AC
Accor Sa — Shareholder Meeting (April 2021)
59 slides from Accor Sa's shareholder meeting presentation, Apr 29, 2021
Slide 1: Combined Shareholders' Meeting
Combined Shareholders’ Meeting April 29, 2021 A ACCOR
Slide 2: Sébastien Bazin, Chairman & CEO
Faena Hotel Miami Beach – U.S.A 1 Sébastien Bazin Chairman & CEO
Slide 3: Besma Boumaza, Group General Counsel & Board Secretary
SO/ Paseo del Prado La Habana - Cuba 2 Besma Boumaza Group General Counsel & Board Secretary
Slide 4: Jean-Jacques Morin, Deputy CEO & CFO
Sofitel Singapore City Centre – Singapore 3 Jean-Jacques Morin Deputy CEO & CFO
Slide 5: 2020 Results
SLS Cancun - Mexico 1 2020 Results
Slide 6: FY 2020 financial highlights
FY 2020 financial highlights Performance better Business Strong balance than provided highlights sheet sensitivity 1 Systemwide RevPAR 1 Convertible Bond issuance (62)% L/L 1 €(391)m EBITDA €500m 7-year EBITDA sensitivity 6.5x oversubscribed below €19m per RevPAR point 2 New €560m Revolving 2 Net Or
Slide 7: Controlling the controllable: RESET plan
Controlling the controllable: RESET plan €200m recurring EBITDA A fast pay-back benefit in 2022 €200m 1 Less than 2 years payback €135m 2 50-50 mix between Staff & Non-Staff costs €20m 2020 2021 2022 3 €300m implementation costs Non-Staff Staff €70m+ EBITDA gain expected for 2021
Slide 8: Operating Leverage & Cash burn
Operating Leverage & Cash burn Decreased EBITDA Reduced monthly sensitivity to RevPAR cash burn March H1 H2 €28m “North of €20m” provided in April “Less than €20m” provided in August €(42)m €19m €18m €(79)m “€80m” provided in August “€100m” provided in May €(150)m March H1 H2
Slide 9: +1.9% net organic system growth
+1.9% net organic system growth In rooms, as of December 2020 346k Network Hotels 5,139 242k Rooms 753k 99k Pipeline 66k 62k 54k 42k Hotels 1,209 37k 13k 3k Rooms 212k Europe Asia-Pacific Middle East South America North America, & Africa Central America & the Caribbean
Slide 10: Key openings in 2020
Key openings in 2020 Mondrian Seoul, South Korea Raffles Bali, Indonesia Mama Shelter Luxembourg 296 rooms 32 rooms 145 rooms 21c Museum Hotel Chicago, USA Tribe Paris Batignolles, France Sofitel Dubai The Obelisk Residences, UAE 297 rooms 70 rooms 433 rooms
Slide 11: Revenue decline in line with RevPAR
Revenue decline in line with RevPAR Reported L/L In € millions 2019 2020 change change HotelServices 2,894 1,142 (61)% (60)% Hotel Assets 1,077 398 (63)% (46)% New Businesses 159 91 (43)% (43)% Holding & Intercos (81) (9) N/A N/A Total 4,049 1,621 (60)% (55)% Mantis Costa Rica
Slide 12: EBITDA mainly driven by HotelServices
EBITDA mainly driven by HotelServices Reported L/L In € millions 2019 2020 change change HotelServices 741 (257) (135)% (133)% Hotel Assets 216 3 (98)% (78)% New Businesses (2) (25) N/A N/A Holding & Intercos (129) (112) N/A N/A Total 825 (391) (147)% (140)% Mondrian Seoul Itaewon, South Korea
Slide 13: From EBITDA to Net Profit
From EBITDA to Net Profit In € millions FY 2019 FY 2020 EBITDA 825 (391) Depreciation, amortization and provision (328) (274) (a) • AccorInvest EBIT 497 (665) Share of net losses of associates and JVs 3 (578) (a) Non-recurring items (o/w impairments) 177 (958) (b) (b) • Intangible assets impairment
Slide 14: Strong liquidity maintained with no significant maturity before 2023
Strong liquidity maintained with no significant maturity before 2023 Debt profile(1) at end-February Liquidity In € millions €4.2bn 858 €3.5bn o/w €1,8bn 600 o/w undrawn €1,2bn RCF 500 500 undrawn 296 RCF Commercial Paper 198 24 2021 2022 2023 2024 2025 2026 2027 Dec. 19 Dec. 20 (1) Excluding hybrid
Slide 15: Q1 2021 Business
Fairmont El San Juan – Porto Rico 2 Q1 2021 Business
Slide 16: Q1 2021 highlights
Q1 2021 highlights Business highlights Sensitivity confirmed Strong balance sheet 1 Systemwide RevPAR 1 Liquidity at €3.6bn (64)% L/L vs. 2019 1 EBITDA sensitivity of which €1.8bn cash & confirmed at slightly below €1.8bn Revolving Credit €18m per RevPAR point Facility 2 Net Organic System Growth +1
Slide 17: Share price evolution since last AGM
Share price evolution since last AGM A s o f A p r i l 2 7 th, 2 0 2 1 150 140 +42% 130 +27% SBF 120 120 110 100 90 80 Jun-20 Jul-20 Aug-20 Sep-20 Oct-20 Nov-20 Dec-20 Jan-21 Feb-21 Mar-21
Slide 18: Sébastien Bazin, Chairman & CEO
Pullman Phuket Panwa Beach Resort – Thailand 4 Sébastien Bazin Chairman & CEO
Slide 19: More than 1bn reduction in international travelers
More than 1bn reduction in international travelers 1461 1408 1333 1243 1197 1143 1097 1044 997 930 952 913 893 856 810 757 673 675 695 692 2009 ECONOMIC CRISIS -37m decline in international 2003 travelers (-4%) SARS EPIDEMIC 381 million -2m decline in international travelers (-0.4%) 2020 COVID-19 PA
Slide 20: Priorities for 2021
Priorities for 2021 1 Position to benefit from prospective rebound by leveraging our brands and footprint 2 Deliver on the RESET cost saving plan 3 Fully leverage our Loyalty platform 4 Accelerate system growth 5 Preserve talent engagement 6 Reinforce our CSR commitments
Slide 21: Our strongest assets
Our strongest assets Brand Distribution Network Balance People Powerhouse Loyalty Leadership Sheet
Slide 22: Long-term consumer mega trends
Long-term consumer mega trends DIFFERENT EXPERIENCES A MEANINGFUL LIFE A RECONNECTED WORLD REMOTE DIGITAL GOING PERSONALISED PURPOSEFUL HEALTHY THE RIGHT GOING MOVING LIVING SHOPPERS PHYGITAL LIVING LEISURE LIVING PACE LOCAL SMART New experiences and more Bespoke experiences, in holistic Everyday hu
Slide 23: Lifestyle brands – 25% of Accor pipeline fees
13 Lifestyle brands – 25% of Accor pipeline fees
Slide 24: All Heartist Fund
All Heartist Fund Context Status as of April 2021 1 April 2020: Creation of the "ALL Heartist Fund" 1 €24m allocated; ca. 74k grants financed 2 Allocation: 2 Main focus on employees/financial hardship = 25% of the 2020 planned dividend, i.e. €70m 95% of total fund allocation 3 The priority of the fu
Slide 25: CSR: Four major advances in 2020-21
CSR: Four major advances in 2020-21 CARBON STRATEGY DIVERSITY & INCLUSION Accor’s commitments aligned with the • Accor named Leader of the « Gender- Paris Agreement’s +1.5° ambition based Violence » Coalition for 2021- 26 • 2030: Reduce by -46% the Group’s carbon emissions • New objectives: « Women
Slide 26: Accor, recognised for its CSR commitments
Accor, recognised for its CSR commitments In 2021, Accor joints the new Euronext Index “CAC 40 ESG” In addition the following index: STOXX®, Euronext Vigeo index, FTSE4Good index series, Ethibel Sustainability Index (ESI) Agencies Score Industry Ranking ECOVADIS Gold Medal, for the 10th consecutive
Slide 27: Besma Boumaza, Group General Counsel & Board Secretary
Sofitel Beijing Central – Beijing, China 5 Besma Boumaza Group General Counsel & Board Secretary
Slide 28: Membership of the Board of Directors
Membership of the Board of Directors 12 directors (of which 2 directors representing employees, including Mrs. Christine SERRE appointed on January 27, 2021) 60% independent 40% women
Slide 29: Board of Directors' work in 2020
Board of Directors’ work in 2020 17 meetings with an average attendance rate of 96.57% Key topics covered: • Monitoring the health crisis and its • Completion of the sale of 85.8% of the share consequences for the Group capital of Orbis to Accor Invest and the Sale • Monitoring the missions conducte
Slide 30: Board Committees
Board Committees 4 specialized committees Audit, Compliance & Risks (5 members) Commitments (3 members) International Strategy (5 members) Appointments, Compensation & CSR (7 members)
Slide 31: Report of the Appointments, Compensation & CSR Committee
Novotel Canary Wharf 6 Report of the Appointments, Compensation & CSR Committee Sophie Gasperment Committee chairman
Slide 32: Besma Boumaza
Sofitel Sofitel Roma, Roma, Villa Villa Borghese Borghese -- Italy Italy Besma Boumaza Group General Counsel & Board Secretary
Slide 33: Statutory Auditors' Reports
Sofitel Rabat Jardin des Roses Maroc 7 Statutory Auditors’ Reports Jean-Christophe Goudard Ernst & Young et Autres
Slide 34: Results of the resolutions
SO Tribe Sofitel PerthHua Australia Hin - Cha Am - Thailande 8 Results of the resolutions Besma Boumaza Group General Counsel & Board Secretary
Slide 35: First resolution
First resolution APPROVAL OF THE PARENT COMPANY FINANCIAL STATEMENTS AND THE REPORTS THEREON FOR THE YEAR ENDED DECEMBER 31, 2020 Net loss: - €1,054 million APPROVED FOR 99.99 % AGAINST 0.01 %
Slide 36: Second resolution
Second resolution APPROVAL OF THE CONSOLIDATED FINANCIAL STATEMENTS AND THE REPORTS THEREON FOR THE YEAR ENDED DECEMBER 31, 2020 Consolidated revenue: €1,621 million Net profit Group share: - €1,988 million APPROVED FOR 99.99 % AGAINST 0.01 %
Slide 37: Third resolution
Third resolution APPROPRIATION OF PROFIT FOR THE YEAR ENDED DECEMBER 31, 2020 Appropriation of 2020 net loss for the year to retained earnings, which, as a result, will amount to €2,187,132,705.58 APPROVED FOR 99.98 % AGAINST 0.02 %
Slide 38: Fourth resolution
Fourth resolution REPORT ON THE COMPENSATION OF EXECUTIVE OFFICERS FOR THE YEAR ENDED DECEMBER 31, 2020 Say on pay ex post (FY 2020): shareholders’ approval on the report relating to the compensation of executive officers (including members of the Board of Directors) for the year ended December 31,
Slide 39: Fifth Resolution
Fifth Resolution COMPENSATION AND BENEFITS OF THE CHAIRMAN AND CEO FOR THE YEAR ENDED DECEMBER 31, 2020 Say on pay ex post (FY 2020): shareholders’ approval on fixed, variable and exceptional components of the total compensation and benefits of any kind paid or awarded to Sébastien Bazin, Chairman a
Slide 40: Sixth resolution
Sixth resolution COMPENSATION POLICY APPLICABLE TO THE CHAIRMAN AND CHIEF EXECUTIVE OFFICER FOR 2021 Say on pay ex ante (FY 2021): shareholders’ approval on the compensation policy applicable to the Chairman and Chief Executive Officer for 2021 APPROVED FOR 94.79 % AGAINST 5.21 %
Slide 41: Seventh resolution
Seventh resolution COMPENSATION POLICY APPLICABLE TO MEMBERS OF THE BOARD OF DIRECTORS FOR 2021 Say on pay ex ante (FY 2021): shareholders’ approval on the compensation policy applicable to the Directors for 2021 APPROVED FOR 99.76 % AGAINST 0.24 %
Slide 42: Eighth resolution
Eighth resolution SPECIAL REPORT OF THE STATUTORY AUDITORS ON RELATED-PARTY AGREEMENTS FOR 2020 Approval of the Statutory Auditors' report on related-party agreements, which does not refer to any new agreement entered into during 2020 APPROVED FOR 99.92 % AGAINST 0.08 %
Slide 43: Ninth resolution
Ninth resolution AUTHORIZATION FOR THE BOARD OF DIRECTORS TO TRADE IN THE COMPANY’S SHARES Maximum number of shares that may be acquired: 10% of the share capital Maximum purchase price: €70 per share Duration: 18 months APPROVED FOR 82.37 % AGAINST 17.63 %
Slide 44: Tenth resolution
Tenth resolution AUTHORIZATION FOR THE BOARD OF DIRECTORS TO REDUCE THE COMPANY’S SHARE CAPITAL BY CANCELLING TREASURY SHARES Maximum number of shares that may be cancelled: 10% of the share capital Duration: 24 months APPROVED FOR 96.85 % AGAINST 3.15 %
Slide 45: Eleventh resolution
Eleventh resolution FINANCIAL AUTHORISATIONS RELATING TO THE COMPANY’S SHARE CAPITAL Issue of ordinary shares and/or securities giving access to the share capital with pre-emptive subscription rights for existing shareholders, within the limit of 50% of the share capital APPROVED FOR 98.27 % AGAINST
Slide 46: Twelfth resolution
Twelfth resolution FINANCIAL AUTHORISATIONS RELATING TO THE COMPANY’S SHARE CAPITAL Issue of ordinary shares and/or securities giving access to the share capital, through public offer, without pre-emptive subscription rights for existing shareholders, within the limit of 10% of the share capital APP
Slide 47: Thirteenth resolution
Thirteenth resolution FINANCIAL AUTHORISATIONS RELATING TO THE COMPANY’S SHARE CAPITAL Issue of ordinary shares and/or securities giving access to the share capital through an offer as defined in Article L. 411-2, 1° of the French Monetary and Financial Code, without pre-emptive subscription rights
Slide 48: Fourteenth resolution
Fourteenth resolution FINANCIAL AUTHORISATIONS RELATING TO THE COMPANY’S SHARE CAPITAL Increase in the number of securities to be issued as part of a capital increase with or without pre-emptive subscription rights, within the limit of 15 % of the initial issue APPROVED FOR 94.78 % AGAINST 5.22 %
Slide 49: Fifteenth resolution
Fifteenth resolution FINANCIAL AUTHORISATIONS RELATING TO THE COMPANY’S SHARE CAPITAL Issue of ordinary shares and/or securities giving access to the share capital in payment for contributions in kind made to the Company, within the limit of 10% of the share capital APPROVED FOR 99.42 % AGAINST 0.58
Slide 50: Sixteenth resolution
Sixteenth resolution FINANCIAL AUTHORISATIONS RELATING TO THE COMPANY’S SHARE CAPITAL Increase of the Company’s share capital by capitalizing reserves, profits or the share premium account, within the limit of 50% of the share capital APPROVED FOR 98.98 % AGAINST 1.02 %
Slide 51: Seventeenth resolution
Seventeenth resolution BLANKET CEILING ON THE OVERALL AMOUNT OF CAPITAL INCREASES WHICH MAY BE CARRIED OUT PURSUANT TO THE ABOVE AUTHORIZATIONS Maximum issue: • 50% of the share capital for the capital increases carried out under the 11th to 16th resolutions, and • 10% of the share capital for the c
Slide 52: Eighteenth resolution
Eighteenth resolution AUTHORIZATION FOR THE BOARD OF DIRECTORS TO ISSUE ORDINARY SHARES AND/OR SECURITIES CARRYING RIGHTS TO SHARES TO MEMBERS OF AN ACCOR GROUP EMPLOYEE SHARE OWNERSHIP PLAN “PEG” WITHOUT PRE-EMPTIVE SUBSCRIPTION RIGHTS FOR EXISTING SHAREHOLDERS Issue of ordinary shares and/or secur
Slide 53: Nineteenth resolution
Nineteenth resolution AUTHORIZATION FOR THE BOARD OF DIRECTORS TO GRANT FREE SHARES WITHOUT PERFORMANCE CONDITIONS TO ACCOR GROUP EMPLOYEES Allocation of free shares, without performance conditions, to employees of the Accor Group only (excluding executive officers), within the limit of 0.2% of the
Slide 54: Twentieth resolution
Twentieth resolution AMENDMENTS TO THE BYLAWS Amendment of Article 1 of the Company’s Bylaws in order to reflect the new codification of the French Commercial Code resulting in a specific division for listed companies. APPROVED FOR 99.20 % AGAINST 0.80 %
Slide 55: Twenty-first resolution
Twenty-first resolution AUTHORIZATION FOR THE BOARD OF DIRECTORS TO ISSUE FREE SHARE WARRANTS TO SHAREHOLDERS IN THE EVENT OF A PUBLIC OFFER FOR THE SHARES OF THE COMPANY Maximum issue: 25% of the share capital Implementation subject to the prior approval of a special committee of the Board of Direc
Slide 56: Twenty-second resolution
Twenty-second resolution POWERS TO CARRY OUT FORMALITIES Usual resolution granting powers to carry out the relevant formalities further to this Meeting. APPROVED FOR 99.98 % AGAINST 0.02 %
Slide 57: Q&A
La Coupole MGallery Vietnam 9 Q&A
Slide 58: Thank you
Thank you RAFFLES \ ORIENT EXPRESS \ FAENA \ BANYAN TREE \ DELANO \ SOFITEL LEGEND \ FAIRMONT \ SLS \ SO SOFITEL \ THE HOUSE OF ORIGINALS \ RIXOS \ ONEFINESTAY \ MANTIS \ MGALLERY \ 21C \ ART SERIES MONDRIAN \ PULLMAN \ SWISSOTEL \ ANGSANA \ 25HOURS \ HYDE \ MOVENPICK \ GRAND MERCURE \ PEPPERS THE S
Slide 59: ACCOR
ACCOR RAFFLES \ ORIENT EXPRESS \ FAENA \ BANYAN TREE \ DELANO \ SOFITEL LEGEND \ FAIRMONT \ SLS \ SO SOFITEL \ THE HOUSE OF ORIGINALS \ RIXOS \ ONEFINESTAY \ MANTIS \ MGALLERY \ 21C \ ART SERIES MONDRIAN \ PULLMAN \ SWISSOTEL \ ANGSANA \ 25HOURS \ HYDE \ MOVENPICK \ GRAND MERCURE \ PEPPERS THE SEBEL