Amadeus It Group Sa Class A · BME:AMS
Amadeus It Group Sa Class A — Amadeus It Group Sa Ord — FY2023 Earnings Presentation
23 slides from Amadeus It Group Sa Class A's earnings presentation, Feb 28, 2024
Slide 1: 2023 Results
2023 Results February 28, 2024 1 © Amadeus IT Group and its affiliates and subsidiaries
Slide 2: Disclaimer
Disclaimer • This presentation may contain certain statements which are not purely historical facts, including statements about anticipated or expected future revenue and earnings growth. Any forward-looking statements in this presentation are based upon information available to Amadeus on the date
Slide 3: Operating Review
Luis Maroto Review President & CEO Operating 3 © Amadeus IT Group and its affiliates and subsidiaries
Slide 4: 2023 Highlights
2023 Highlights • Revenue €5,441 million, +21% – Strong performance across our segments • EBITDA €2,063 million1, +30%1 – +2.5 p.p. EBITDA margin expansion © Amadeus IT Group and its affiliates and subsidiaries • Operating income €1,383 million1, +52%1 – +5.1 p.p. operating income margin expansion •
Slide 5: Air Distribution
Air Distribution 2023 Air Distribution revenue +23.6% Developments Amadeus bookings (millions) • Renewed / signed 13 distribution agreements in the quarter (60 in the full year). • Important progress on NDC with travel agencies: +13.6% – Priceline to access NDC-sourced content via the Amadeus Travel
Slide 6: Air IT Solutions
Air IT Solutions 2023 Air IT Solutions revenue +21.6% Developments Amadeus PB (millions) Airline IT • Israir, tour operator and airline, to deploy Amadeus Altéa PSS and other Amadeus solutions. +26.8% 1,952.3 • A large U.S. carrier signed for Amadeus’ cloud-based Revenue Accounting system. 78.4 • Up
Slide 7: Hospitality & Other Solutions (HOS)
Hospitality & Other Solutions (HOS) 2023 HOS revenue +14.2% Developments and Performance • 2023 HOS revenue: +14.2% vs. 2022. Q4’23 revenue: +5.2%, or +10% ex. FX, vs. Q4’22. • Both Hospitality and Payments delivered strong growth vs. 2022, supported by new customer implementations and volume expans
Slide 8: Financial Highlights
CFO Till Streichert Financial Highlights 8 © Amadeus IT Group and its affiliates and subsidiaries
Slide 9: Financial performance: non-recurring effects
Financial performance: non-recurring effects Figures shown in slides 10-12 have been adjusted to exclude non-recurring effects 2023 2022 Ex. Non- Non- Ex. Non- Non- €millions recurring recurring Reported recurring recurring Reported effects effects effects effects © Amadeus IT Group and its affiliat
Slide 10: Revenue evolution by segment
Revenue evolution by segment Group revenue (€millions) • • Group revenue: +21.3% in 2023 vs. 2022, driven by strong performances across segments. Air Distribution revenue: +23.6% in 2023 vs. 2022, driven by the bookings’ evolution (+13.6%) and an 8.8% higher revenue per booking than in 2022 (fundame
Slide 11: Segment contribution evolution
Segment contribution evolution €millions • Air Distribution contribution: +27.6% in 2023 vs. 2022, as a Air Distribution Air IT Solutions result of 23.6% revenue growth and 20.3% cost increase, resulting from (i) higher variable costs, due to volume growth 46.6% 71.6% +21.7% 71.7% +27.6% 1,600.0 1,4
Slide 12: EBITDA and Adjusted profit
EBITDA and Adjusted profit EBITDA1 (€millions) Adj. Profit1,2 (€ millions) / Adj. EPS1,2 (€) 2,500.0 45.0% 2,000.0 2.90 +29.8% 37.9% 40.0% 1,800.0 +59.8% 2.51 35.4% 2.40 2,000.0 35.0% 1,600.0 +60.7% 2.45 1,400.0 1.90 1.56 30.0% 1,500.0 1,200.0 +59.9% © Amadeus IT Group and its affiliates and subsidi
Slide 13: R&D investment and Capital expenditure
R&D investment and Capital expenditure R&D investment (€millions) Capital Expenditure (€millions) 1,000.0 +12.9% 900.0 12.6% +6.0% 14.0% 800.0 11.0% 12.0% 700.0 566.7 600.5 10.0% 600.0 61.1 © Amadeus IT Group and its affiliates and subsidiaries 500.0 39.5 8.0% 1,115.6 988.4 400.0 6.0% 527.2 539.4 30
Slide 14: Free cash flow generation and Leverage
Free cash flow generation and Leverage Free cash flow1 (€millions) Net debt (€millions) and leverage3 +42.7% 1.4x Ex. tax 3,000.0 collection 1,116.72 1.4x and distributor 2,500.0 1.2x Ex. grant 1.0x © Amadeus IT Group and its affiliates and subsidiaries payment2 and impl. 782.92 1.0x Costs2 2,000.0
Slide 15: Outlook
2024 Outlook 15 © Amadeus IT Group and its affiliates and subsidiaries
Slide 16: 2024 Views
2024 Views1 Outlook Generally expected dynamics • AD: booking growth, supported by commercial wins, and an expansionary revenue per booking should potentially support high single-digit to a low double-digit Group revenue revenue growth. growth: – YTD mid-Feb 2024 booking growth similar to Q4’23. Mar
Slide 17: Annex
Annex 17 Annex © 2023 Amadeus IT Group and its affiliates and subsidiaries © Amadeus IT Group and its affiliates and subsidiaries
Slide 18: Q4 Revenue evolution by segment
Q4 Revenue evolution by segment Group revenue (€millions) • Group revenue: +15.9% in Q4 2023 vs. Q4 2022, driven by strong performances across segments. +15.9% • Air Distribution revenue: +16.9% in Q4 2023 vs. Q4 2022, driven by the bookings’ evolution (+6.9%) and a 9.3% higher revenue per booking t
Slide 19: Q4 EBITDA and Adjusted profit
Q4 EBITDA and Adjusted profit EBITDA1 (€millions) Adj. Profit1,2 (€ millions) / Adj. EPS1,2 (€) 700.0 45.0% 700.0 1.00 +17.8% 40.0% 0.90 34.6% 600.0 34.1% 600.0 +37.4% 0.80 35.0% 500.0 500.0 0.70 30.0% 400.0 400.0 +39.5% 0.56 0.60 © Amadeus IT Group and its affiliates and subsidiaries 25.0% 20.0% 0.
Slide 20: Q4 Free cash flow generation and Leverage
Q4 Free cash flow generation and Leverage Free cash flow1 (€millions) Net debt (€millions) and leverage3 300.0 +17.5% 3,000.0 1.4x Ex. 250.0 distributor 2,500.0 1.1x 1.2x payment2 219.02 1.0x Ex. impl. +22.5%2 1.0x 200.0 costs2 178.82 2,000.0 © Amadeus IT Group and its affiliates and subsidiaries 0.
Slide 21: Alternative Performance Measures
Alternative Performance Measures This document includes unaudited Alternative Performance Measures, such as segment contribution, EBITDA, net financial debt as defined by our credit facility agreements, adjusted profit, Free Cash Flow, R&D investment and their corresponding ratios. These Alternative
Slide 22: Key terms
Key terms • “ACRS”: stands for “Amadeus Central Reservation System” • “ACUS”: stands for “Amadeus Airport Cloud Use Service” • “AI’: stands for “Artificial Intelligence” • “CRS”: stands for “Central Reservation System” • “D&A”: stands for “depreciation and amortization” • “EBIT”: stands for “Earning
Slide 23: Thank you
Amadeus. It’s how travel works better. Thank you 23 © Amadeus IT Group and its affiliates and subsidiaries
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