Slide 1: Results Presentation FY 2024
RESULTS PRESENTATION FY 2024 30th May 2024 1
Slide 2: Disclaimer
Disclaimer This presentation is to be read as an introduction to the audited consolidated 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 presentation is extracted from the audite
Slide 3: Results Highlights
2. Outstanding growth and delivery in FY2024 1. 3. Strategic Update a) Global leader in travel subscription Results b) Worldwide leading capabilities in Tech & AI Highlights c) Subscription model proven to be effective 4. Closing remarks 3 5. Appendix
Slide 4: eDO grows Cash EBITDA by 44%, and adds 1.5M members net
1. eDO grows Cash EBITDA by 44%, and adds 1.5M members net Outstanding growth and delivery • The Prime business is growing rapidly and is now at an inflection point financially. Cash EBITDA(*) up 44% to €121.4 million, and is expected to grow another 48% in FY25 to €180 million, something not many c
Slide 5: Outstanding growth and delivery in FY2024
2. 3. Strategic Update Outstanding growth a) Global leader in travel subscription and delivery in b) Worldwide leading capabilities in Tech & AI c) Subscription model proven to be effective FY2024 4. Closing remarks 5. Appendix 5
Slide 6: eDO profitability up significantly due to Prime
2. eDO profitability up significantly due to Prime, and Prime Cash Marginal Profit Margin(*) at 40% PRIME DELIVERS SIGNIFICANT UPLIFTS IN PROFIT MARGINS AS THE PRIME MEMBER(*) BASE MATURES CASH MARGINAL PROFIT MARGIN(*) FOR PRIME CONTINUES TO CASH EBITDA MARGIN(*) IMPROVED ALSO AS A RESULT IMPROVE A
Slide 7: eDO is now a subscription business focused on travel
2. eDO is now a subscription business focused on travel: Prime now represents 76% of Cash Marginal Profit(*) and 61% of Cash Revenue Margin(*) > Cash Revenue Margin(*) (LTM) > Cash Marginal Profit(*) (LTM) (€M) (€M) +9% +32% 676 217 621 411 164 284 165 92 46% 61% 56% 76% 337 265 73 53 FY23 FY24 FY23
Slide 8: Strong growth in Cash EBITDA and substantial improvement in margins
2. Strong growth in Cash EBITDA(*) and substantial improvement in margins as the maturity of Prime members(*) increases > P&L with increase in Prime Deferred Revenue Highlights FY24 1. Cash Revenue Margin(*) is 9% above FY23. Cash Marginal Profit(*) and Var. Var. Cash EBITDA(*) improved 32% and 44%
Slide 9: Income Statement
2. Income Statement Highlights FY24 Var. Var. 4Q FY24 4Q FY24 (In euro million) FY24 vs FY23 FY23 FY24 vs FY23 FY23 1. Revenue Margin(*) excluding adjusted revenue items(**) increased by 13% to Revenue Margin(*) €642.6 million. Prime Revenue Margin(*) growth by 63%, was offset by the 168.4 12% 150.1
Slide 10: Cash Flow Statement
2. Cash Flow Statement Highlights FY24 4Q 4Q (In euro million) FY24 FY23 FY24 FY23 1. Net cash from operating activities increased by €36.3 million, mainly Adjusted EBITDA(*) 32.3 15.7 87.8 33.0 reflecting: Adjusted items(*) (5.5) 1.1 (8.9) (8.8) • Working capital inflow of €49.1 million compared to
Slide 11: Strategic Update
3. 3. Strategic 3. 4. a) Closing Update Appendix Remarks Global Leader in travel subscription Strategic a) eDO b) World investment wide leading highlights capabilities in Tech & AI Update (TBC) c) b)Subscription Breakdown bymodel segment proven andtodisaggregated be effective Revenue Margin 11
Slide 12: Global Leader in travel subscription
3. a. 3. Closing Remarks 4. Appendix Strategic Global Leader in a) eDO investment highlights Updatesubscription travel (TBC) b) Breakdown by segment and disaggregated Revenue Margin 12
Slide 13: eDO has one of the fastest paid-members growth among subscription companies
a. eDO has one of the fastest paid-members growth among subscription companies across all industries CAGR (1-6 Years) 7.25M FY18-FY24: 5.8M 177% 4.3M 2.7M 0.6M 0.9M 0.2M Prime Members(*) (Millions) FY19 FY20 FY21 FY22 FY23 FY24 FY25E > CAGR of paid members in the the first 6 years of operation 9% CA
Slide 14: eDO has demonstrated its ability to capture new customers
a. eDO has demonstrated its ability to capture new customers More than 3 million new members over the last 2 years. > Growth in Prime members(*) Share of new Customers(**) within Prime Delta Omicron Ukraine & Middle East war +high inflation members(*) 5.8 71% 5.4 5.1 4.7 4.3 3.9 Prime 3.6 members(*)
Slide 15: Worldwide leading capabilities in Tech & AI
3. b. 3. Closing Remarks 4. Appendix Strategic Worldwide leading a) eDO investment highlights Update (TBC) capabilities in Tech & AI b) Breakdown by segment and disaggregated Revenue Margin 15
Slide 16: eDO has developed world-leading AI capabilities
b. eDO has developed world-leading AI capabilities leveraging its in-house developed AI platform eDreams has the best eDreams ODIGEO is a “key eDO is one of the most implementation of a partner developing new LLM advanced companies in AI is a central part of our competitive datamesh infrastructure s
Slide 17: Leveraging the Prime database through personalisation
b. Leveraging the Prime database through personalisation drives engagement and greater customer experience The advantages of being a subscription company are significant 1 We have wider data 2 We have better data 3 Customers are logged in • As one of the largest flight OTA we generate more • We have
Slide 18: AI is deployed at scale across all areas of our business
b. AI is deployed at scale across all areas of our business creating strong competitive advantages across eDO IT SEO Performance Pricing marketing and many many more areas… Payments & Payments collections Customer experience Prime 18
Slide 19: Subscription model proven to be effective
3. c. 3. Closing Remarks 4. Appendix Strategic Subscription model a) eDO investment highlights Update to proven (TBC) be effective b) Breakdown by segment and disaggregated Revenue Margin 19
Slide 20: Subscription model satisfies customers: engagement and satisfaction
c. eDO subscription model is highly effective at satisfying customers. Engagement and satisfaction continues to grow from already industry leading levels (i) eDO has the highest Trustpilot scores amongst its peers NPS (2) scores continue to improve 4.4 2.2x 4.4 2.9x +26% 3.5 2.0 Improvement 1.5 sinc
Slide 21: Churn continues to improve
c. eDO subscription model is highly effective at satisfying customers. Churn continues to improve (ii) Churn rates continue to improve Prime churn reduction Year 1 Year 2+ Prime Members(*) Prime Members(*) 1% 12% Since the CMD(**) Note: Weighted average for the aggregate of voluntary and involuntary
Slide 22: Subscription model proven effective: outstanding growth and delivery
c. eDO subscription model proven to be effective. Outstanding growth and delivery (iii) eDO is a more stable % of year 2+ members The Prime business is growing and predictable business continue to expand, key driver for rapidly and financials are inflecting improvement in profitability > Cash EBITDA
Slide 23: Closing Remarks
3. 4. 5. 3. Appendix Closing Remarks 4. a) Appendix eDO investment highlights Strategic Closing Remarks b) a) Breakdown eDO investment by segment highlights and disaggregated Update (TBC) b) Revenue Breakdown Margin by segment and disaggregated Revenue Margin 23
Slide 24: eDO has significant growth opportunities
4. eDO has significant growth opportunities eDO Prime today is represented in only 10 of the countries in which … and we are just starting. Today we only have a 3.2% household it operates... penetration in the 7 European markets in which we have launched Prime > Penetration of households as of 31st
Slide 25: eDreams ODIGEO, a recognised leader in AI in Europe
4. eDreams ODIGEO, a recognised leader in AI in Europe: Always being a step ahead Adopting an AI first strategy, At-scale deployment of a Deployed Natural Language Developing in-house AI Agents and We have a proven setting up our own in-house research and development proprietary reinforcement learni
Slide 26: On track to meet FY25 targets
4. On track to meet FY25 targets eDO has a large potential: superior returns for shareholders and customers while transforming and revolutionising the industry. Prime Members (*) >7.25M Tender offer (**) eDO FY25 + 4.5M shares TARGETS Cash EBITDA (*) At a price €6.9 >€180M (*) See definition and rec
Slide 27: Strong fundamental growth potential from FY25 onwards
4. eDO has from FY25 onwards strong fundamental growth potential Increase household penetration on those countries in which we are present Our growth focus areas Add new countries Customer segments STRONG FUTURE GROWTH 27
Slide 28: Appendix: eDO investment highlights
3. a. 3. Closing Remarks 5. Appendix 4. Appendix Strategic Appendix: eDO a) eDO investment highlights a) eDO investment highlights b) Breakdown by segment and disaggregated Update (TBC) investment highlights b) Breakdown by segment and disaggregated Revenue Margin Revenue Margin 28
Slide 29: eDO has one of the fastest paid-members growth among subscription companies
a. eDO has one of the fastest paid-members growth among subscription companies across all industries CAGR (1-6 Years) 7.25M FY18-FY24: 5.8M 177% 4.3M 2.7M 0.6M 0.9M 0.2M Prime Members(*) (Millions) FY19 FY20 FY21 FY22 FY23 FY24 FY25E > CAGR of paid members in the the first 6 years of operation 9% CA
Slide 30: eDO captures new customers through the Prime programme
a. eDO captures new customers through the Prime programme > Growth in Prime Members(*) Share of new Customers(**) within Prime Delta Omicron Ukraine & Middle East war +high inflation members(*) 5.8 71% 5.4 5.1 4.7 4.3 3.9 Prime 3.6 members 3.2 in million 2.7 2.2 1.7 1.2 0.8 0.9 0.6 0.6 0.7 0.4 0.5 0
Slide 31: Within travel, eDO is the Global Flight Leader, Ex China
a. Within travel, eDO is the Global Flight Leader, Ex China #2 PLAYER IN FLIGHTS GLOBALLY > Global flight revenue CY2023 (€M) 2,403 #1 555 #2 379 #3 Source: Company data, Cash Revenue Margin for eDO. Financial Releases published by Trip.com and Expedia. 31
Slide 32: In pole position in the fast-growing leisure market
a. In pole position in the fast-growing leisure market > Sizeable market and one of the largest ATTRACTIVE GROWTH PROSPECTS AFTER EDO IS POSITIONED IN THE RIGHT SEGMENTS e-commerce verticals THE PANDEMIC (ONLINE AND LEISURE) > European Travel Market Size (€Bn) > European Leisure Travel Market Online
Slide 33: eDO is unique in terms of profitability and growth
a. eDO is unique in terms of profitability and growth > Rule of 40 – Ranking leading subscription and OTA companies Satisfy rule of 40 eDo 46% ✓ Bookings Holdings 45% ✓ ✓ Revenue CAGR FY22-25E Netflix 42% Amazon 34% X Tripadvisor 33% X Expedia 31% X Spotify 24% X Hellofresh 11% X Avg. OTAs (1) 38% X
Slide 34: eDreams ODIGEO, a recognised leader in AI in Europe
a. eDreams ODIGEO, a recognised leader in AI in Europe: Always being a step ahead Adopting an AI first strategy, At-scale deployment of a Deployed Natural Language Developing in-house AI Agents and We have a proven setting up our own in-house research and development proprietary reinforcement learni
Slide 35: On track to meet FY25 targets
a. On track to meet FY25 targets eDO has a large potential: superior returns for shareholders and customers while transforming and revolutionising the industry. Prime Members(*) >7.25M eDO FY25 TARGETS Cash EBITDA(*) >€180M (*) See definition and reconciliation of Non GAAP measures on page 40-42. 35
Slide 36: Strong fundamental growth potential from FY25 onwards
a. eDO has from FY25 onwards strong fundamental growth potential Increase household penetration on those countries in which we are present Our growth focus areas Add new countries Customer segments STRONG FUTURE GROWTH 36
Slide 37: Appendix: Breakdown by segment and disaggregated Revenue Margin
b. Appendix: Breakdown 3. by segment and 3. Closing Remarks 5. Appendix 4. Appendix Strategic disaggregated a) eDO investment highlights a) eDO investment highlights b) Breakdown by segment and disaggregated Update Revenue(TBC) Margin b) Breakdown by segment and disaggregated Revenue Margin Revenue
Slide 38: Prime Revenue Margin increases in absolute numbers and share
b. Prime Revenue Margin increases both in absolute numbers and as a share of the total Revenue Margin > Prime > Revenue Margin(*) (excl. Adjusted Revenue Items)(**) (In million) 63% 377.4 (In Euro million) FY24 Var. FY24 vs FY23 FY23 Prime 377.4 63% 232.1 232.1 Non-Prime 265.2 (21)% 337.5 Total 642.
Slide 39: Gradual revenue increases from the subscription programme
b. Gradual revenue increases as a result of the success of the subscription programme > Gradual > Revenue Margin(*) (excl. Adjusted Revenue Items)(**) (In million) 53% 341.5 (In Euro million) FY24 Var. FY24 vs FY23 FY23 223.7 Gradual 341.5 53% 223.7 Transaction date 274.3 (13)% 321.4 Other 26.8 10%
Slide 40: Glossary of definitions
Glossary of definitions Non-reconcilable to GAAP measures 1. Gross Bookings refers to the total amount paid by customers for travel products and services booked 5. Adjusted Net Income means the IFRS net income less certain share-based compensation, through or with the Group (including the part that
Slide 41: Glossary of definitions
Glossary of definitions 11. Cash Revenue Margin means "Revenue Margin" plus the variation of the Prime deferred revenue considers that Gross Leverage Ratio calculated based on Cash EBITDA provides a more accurate corresponding to the Prime fees that have been collected and that are pending to be acc
Slide 42: Glossary of definitions
Glossary of definitions 23. Prime ARPU means the Cash Revenue Margin generated from Prime users on a last twelve months costs related to call centers as well as corporate sales personnel. The Group's Management basis. It is calculated considering all the Cash Revenue Margin elements linked to the bo