24 slides from Booking Holdings Inc. Common Stock's conference presentation, Dec 5, 2007
Slide 1: NASDAQ 20th Investor Program December 5, 2007
NASDAQ 20th Investor Program December 5, 2007
Slide 2: Disclosure Regarding Forward-Looking Statements
Disclosure Regarding Forward-Looking Statements Priceline.com would like to remind you that this presentation contains forward looking statements. These forward-looking statements are not guarantees of future performance and are subject to certain risks, uncertainties and assumptions that are diffic
Slide 3: Mission Statement
Mission Statement To be the leading European on-line hotel reservation service for leisure and unmanaged business travel To be the leading on-line travel business for value-conscious leisure travelers in North America
Slide 4: Booking.com Highlights
Booking.com Highlights 38,000 hotels, up 13K yr/yr, in over 60 countries Content and customer service available in 16 languages Customer and supplier friendly model 2006 Organic Gross Bookings Growth Rate: 111%(1) LTM Gross Bookings of $2.3B, up 95% yr/yr 1) Organic growth assumes acquired business
Slide 5: Model Differences
Model Differences Booking.com Agency – Supplier Friendly 10-15% margins Hotel pays after stay Hotel connects via extranet Customer pays at check-out Competition Merchant 15-40% margins Hotel gets paid after stay Hotel connects via extranet/GDS Customer pays upfront
Slide 6: Booking.com Market Opportunity
Booking.com Market Opportunity Europe population of 810M vs. U.S. at 302M(1) Europe Internet penetration of 38.9% vs. U.S. at 69.9%(1) Europeans on average have 6.9 holiday and vacation weeks per year vs. Americans at 3.9(1) Hotel stays facilitated by ease and low cost of intra-Europe air travel Ove
Slide 7: Booking.com Supply Environment
Booking.com Supply Environment Independents 75%(1) 1) Source: PhocusWright Chains 25%(1)
Slide 8: Multi-Lingual Demand
Multi-Lingual Demand Paris: English Paris: Italian Paris: French Paris: Spanish Paris: Dutch Paris: German
Slide 9: Booking.com Opportunities
Booking.com Opportunities Geographic and supply expansion Europe online travel growth Integration between US and European business
Slide 10: Asian Market
Asian Market Population of 407 million (excluding China and India)(1) Internet penetration of 37% (vs. 70% U.S. and 40% Europe)(1) Forecast leisure online travel growth at 30%+ in 2007-2008(2) Growing international travel between Asia and U.S. and Europe Source: www.internetworldstats.com Source: Ph
Slide 11: Agoda
Agoda Headquartered in Bangkok, Thailand International hotel supply in 12 languages YTD October 2007 gross bookings of $36 million (up 122% yr/yr) Experienced management team Integration opportunities Hotel network Distribution network
Slide 12: Priceline.com – United States
Priceline.com – United States Air Hotel Rental Car Vacations Name Your Own Price® Savings Best Deal Save up to 40 % when you Name Your Own Price SAVE UP TO HALF OFF Name Your Own Prices’ for Hotels. Get your answer in seconds! BEST DEAL Save up to 30% when you Name Your Own Price BEST DEAL flight +
Slide 13: Priceline.com United States Highlights
Priceline.com United States Highlights Differentiated opaque services appeal to deal-driven travelers 3Q gross bookings growth: 19% Earnings growth from merchant volume and marketing efficiency, despite weak retail airline product margins
Slide 14: Priceline.com Opportunities
Priceline.com Opportunities Continuous product improvement New mapping functionality (aerial view, pan and zoom) Exclusive Zagat Survey content
Slide 15: Priceline.com Opportunities
Priceline.com Opportunities International travel Brand building – Elimination of retail airline ticket processing fee
Slide 16: Consolidated Gross Bookings
Consolidated Gross Bookings ($ in thousands) 40.6% 49.1% 32.0% 52.0% (4.7%) $0 $500,000 $1,000,000 $1,500,000 $2,000,000 $2,500,000 $3,000,000 $3,500,000 $4,000,000 2003 2004 2005 2006 YTD06 YTD07
Slide 17: International Gross Bookings
International Gross Bookings ($ in thousands) 94.1% 185.0% 625.2% 603.9% NM $0 $500,000 $1,000,000 $1,500,000 $2,000,000 $2,500,000 2003 2004 2005 2006 YTD06 YTD07
Slide 18: LTM International Organic Gross Bookings
LTM International Organic(1) Gross Bookings 1) Assumes Booking.com owned for all periods presented. $0 $500,000 $1,000,000 $1,500,000 $2,000,000 $2,500,000 4Q04 1Q05 2Q05 3Q05 4Q05 1Q06 2Q06 3Q06 4Q06 1Q07 2Q07 3Q07 0.0% 20.0% 40.0% 60.0% 80.0% 100.0% 120.0% LTM Gross Bookings (000s) Year/Year Growt
Slide 19: Consolidated Pro Forma Gross Profit
Consolidated Pro Forma Gross Profit ($ in thousands) Please see priceline.com's Form 8-K dated November 9, 2007 which reconciles pro forma financial information with financial results under GAAP. . (17.9%) (7.8%) 37.8% 34.2% 48.6% 53.0% $0 $50,000 $100,000 $150,000 $200,000 $250,000 $300,000 $350,00
Slide 20: International Pro Forma Gross Profit
International Pro Forma Gross Profit ($ in thousands) Please see priceline.com's Form 8-K dated November 9, 2007 which reconciles pro forma financial information with financial results under GAAP. . NM 643.0% 165.7% 100.8% $0 $50,000 $100,000 $150,000 $200,000 $250,000 $300,000 2002 2003 2004 2005 2
Slide 21: Pro Forma Net Income per Share
Pro Forma Net Income per Share 5 Year CAGR: 75% Please see priceline.com's Form 8-K dated November 9, 2007 which reconciles pro forma financial information with financial results under GAAP. . $0.24 $0.48 $0.96 $1.37 $2.03 $1.46 $3.16 $0.00 $0.50 $1.00 $1.50 $2.00 $2.50 $3.00 $3.50 2002 2003 2004 20
Slide 22: Geographic Presence
Geographic Presence
Slide 23: Global Scale in Online Hotel Sales
Global Scale in Online Hotel Sales 21 million global room night sales YTD; larger than Orbitz and Travelocity Number one in Europe online hotel sales New Asian presence - Agoda Scale provides opportunities for future organic growth, building international business from US POS, geographic expansion a
Slide 24: priceline.com
priceline.com