29 slides from Pursuit Attractions And Hospitality's earnings presentation, Feb 8, 2024
Slide 1: Fourth Quarter and Full Year 2023 Earnings Call
fourth quarter and full year 2023 EARNINGS CALL February 8, 2024
Slide 2: Forward-looking statements
Forward-looking statements This presentation contains a number of forward-looking statements. Words, and variations of words, such as “will,” “may,” “expect,” “would,” “could,” “might,” “intend,” “plan,” “believe,” “estimate,” “anticipate,” “deliver,” “seek,” “aim,” “potential,” “target,” “outlook,”
Slide 3: Non-GAAP Financial Measures
NON-GAAP FINANCIAL MEASURES This document includes the presentation of “Adjusted EBITDA” and ”Net Income (Loss) Before Other Items (Adjusted Net Income (Loss))”, which are supplemental to results presented under accounting principles generally accepted in the United States of America (“GAAP”) and ma
Slide 4: Q4'23 & FY'23 Earnings Call Highlights
Q4’23 & FY’23 Earnings Call HIGHLIGHTS 4 36% Adjusted EBITDA growth 11% Adjusted EBITDA growth ~16-30% Adjusted EBITDA growth
Slide 5: Financial Performance & Outlook
FINANCIAL PERFORMANCE & OUTLOOK
Slide 6: Solid Q4'23 Results
6 solid Q4’23 RESULTS 6 Revenue grew 17.6% versus Q4’22, reflecting healthy growth at both Pursuit and GES Adjusted EBITDA* grew $16.5 million with improvements at both Pursuit and GES Net Loss Before Other Items* improved by $10.9 million primarily driven by stronger Adjusted EBITDA partially offse
Slide 7: Pursuit Q4'23 Year-over-Year Results
7 PURSUIT Q4’23 YEAR-OVER-YEAR RESULTS 7 * Refer to Appendix for a discussion and reconciliation of this non-GAAP financial measure to its most directly comparable GAAP financial measure. ** Same-Store metrics include only attractions and lodging properties that Pursuit operated at full capacity, co
Slide 8: GES Q4'23 Year-over-Year Results
8 GES Q4’23 YEAR-OVER-YEAR RESULTS 8 Revenue increased 16.6% year-over-year reflecting: Continued underlying growth Incremental revenue of about $9 million from non-annual shows Loss of about $13 million in revenue from ON Services (sold in December 2022) Excluding the impacts of major non-annual sh
Slide 9: Strong FY'23 Results
Strong FY’23 RESULTS 9 CONSOLIDATED REVENUE ($M) +10% CONSOLIDATED ADJ. EBITDA* ($M) +27% $ MILLIONS, except per share data FY’23 CHANGE VS. FY’22 Revenue $1,238.7 $111.4 Pursuit Revenue $350.3 $51.0 GES Revenue $888.4 $60.4 Net Income Attributable to Viad $16.0 $(7.2) Net Income Before Other Items
Slide 10: Financial Outlook – Q1'24 & FY'24
FINANCIAL OUTLOOK – Q1’24 & FY’24 $ MILLIONS Q1’24 GUIDANCE FY’24 GUIDANCE Pursuit: Revenue Adjusted EBITDA $35 to $39 $(12) to $(8) Up mid-single digits $105 to $115 GES: Revenue Adjusted EBITDA $225 to $245 $15 to $19 Up low-double digits $80 to $90 Consolidated: Revenue Adjusted EBITDA* Cash from
Slide 11: Pursuit
PURSU, T*
Slide 12: Pursuit's FY'23 Attraction Performance
12 PURSUIT’s Fy’23 attraction PERFORMANCE TICKET REVENUE ($M) +25% 2023F 2024P 25% year-over-year ticket revenue growth driven by strong increases in visitation and pricing Substantial increases in visitation from the return of international tourism to Western Canada and Iceland Newer experiences la
Slide 13: Pursuit's FY'23 Lodging Performance
13 PURSUIT’s FY’23 LODGING PERFORMANCE ROOM REVENUE ($M) +12% 2023F 2024P 12% year-over-year room revenue growth with increases in both ADR and occupancy Room revenue increased across all geographies, with exceptionally strong performance from our Canadian hotels Benefited from return of internation
Slide 14: Pursuit's Lodging Booking Pace
14 PURSUIT’s LODGING BOOKING PACE +22% US LODGING ROOM REVENUE ON THE BOOKS* (USD $M) +4% CANADIAN LODGING ROOM REVENUE ON THE BOOKS* (CAD $M) 2022 2023 2024 * Room Revenue on the Books data represents reservations taken to date as of February 2, 2022, 2023, and 2024. 2022 2023 2024 ADR +17% vs. 202
Slide 15: Pursuit's Overall Revenue Growth
15 PURSUIT’s OVERALL REVENUE GROWTH FY REVENUE ($M) +17% 2022 2023 17% year-over-year revenue growth in 2023 Continued revenue growth expected in 2024 Key Drivers: Strong demand for iconic, unforgettable, inspiring experiences Pricing power FlyOver Chicago opens March 2024 Increased visitation 2024
Slide 16: Pursuit's Margin Expansion
16 PURSUIT’s margin expansion FY ADJUSTED EBITDA MARGIN (%) +370 bps 2022 2022 2023 370 bps year-over-year margin increase in 2023 Continued strong margin improvement expected in 2024 to reach 30% target Key Drivers: Higher attraction visitation with strong throughput Revenue management Prudent labo
Slide 17: Slide 17
Slide 18: GES 2023 Year-over-Year Revenue Growth
18 GES 2023 YEAR-OVER-YEAR Revenue growth 18 Total revenue grew 7% year-over-year 19% y-o-y growth when adjusting to exclude the impact of ON Services and Major Non-Annual Shows 19% y-o-y excluding impact of ON Services and Non-Annuals $Millions
Slide 19: Exhibitions' Industry Has Substantially Recovered With Room for More Growth
19 EXHIBITIONS’ INDUSTRY HAS SUBSTANTIALLYRECOVERED WITH ROOM FOR MORE GROWTH 19 In Q4’23, GES Exhibitions’ same show revenue remained above 2019 levels FY same-show revenue growth vs. 2022 was 18.6% Show sizes on average remain below pre-pandemic levels Substantial opportunity for future growth as
Slide 20: Spiro's Growth Strategy
20 SPIRO’S GROWTH STRATEGY LARGE FRAGMENTED GROWING MARKET Experiential marketing is forecasted to rise globally at ~9% CAGR to $105B by 2026 ~80% of brands view experiential events as their most important marketing channel ~86% of brands plan to attend or host more in-person events in 2024 than in
Slide 21: GES' Overall Revenue Growth
21 GES’ OVERALL REVENUE GROWTH FY REVENUE ($M) 2022 2023 7% year-over-year revenue growth in 2023 Excluding ON Services and major non-annual shows: 19% overall revenue growth 23% Exhibitions revenue growth 11% Spiro revenue growth Continued revenue growth expected in 2024 Key Drivers: Continued reco
Slide 22: GES' Margin Expansion
22 GES’ margin expansion FY ADJUSTED EBITDA MARGIN (%) +30 bps 2022 2022 2023 2024 Est. 30 bps year-over-year margin increase in 2023 Continued margin improvement expected in 2024 to surpass 8% target Key Drivers: Exhibitions’ show sizes recovering New Spiro wins with improved SG&A leverage Continue
Slide 23: Appendix
APPENDIX
Slide 24: Revenue and Adjusted EBITDA
24 REVENUE AND ADJUSTED EBITDA
Slide 25: Forward-Looking Non-GAAP Financial Measures
FORWARD-LOOKING NON-GAAP FINANCIAL MEASURES We have also provided forward−looking guidance for Adjusted EBITDA, a non−GAAP financial measure. We do not provide a reconciliation of the forward−looking guidance of Adjusted EBITDA, a non−GAAP financial measure, to the most directly comparable GAAP fina
Slide 26: Non-GAAP Financial Reconciliation
26 NON-GAAP FINANCIAL RECONCILIATION Remeasurement of finance lease obligation attributable to Viad represents the non-cash foreign exchange loss/(gain) included within Cost of Services related to the periodic remeasurement of the Sky Lagoon finance lease obligation that is attributed to Viad’s 51%
Slide 27: Pursuit Key Performance Metrics
27 Pursuit key performance metrics 27
Slide 28: Pursuit Metrics vs. Pre-Pandemic 2019
PURSUIT METRICS vs. pre-pandemic 2019 28 Note: Same-Store metrics include only attractions and lodging properties that Pursuit operated at full capacity, considering seasonal closures, for the entirety of the 2023, 2022, and 2019 periods presented. For experiences located outside the United States,
Slide 29: Cash Flow and Balance Sheet Highlights
29 Cash Flow and Balance Sheet highlights 29