Scandic Hotels Group AB · OMXSTO:SHOT

Scandic Hotels Group AB — Q1 2021 Earnings Presentation

20 slides from Scandic Hotels Group AB's earnings presentation, April 2021

  1. Slide 1: Financial Update

    SCANDIC HOTELS

  2. Slide 2: Prepared for recovery

    PREPARED FOR RECOVERY EXPECTED RECOVERY BEFORE SUMMER MEASURES IN PLACE TO CAPTURE DEMAND EXTENDED LIQUIDITY HEADROOM Scandic

  3. Slide 3: Total market occupancy

    (TOTAL MARKET OCCUPANCY) (TOTAL MARKET OCCUPANCY) (TOTAL MARKET OCCUPANCY) (TOTAL MARKET OCCUPANCY) Source: Benchmarking Alliance 3

  4. Slide 4: Y-o-Y change in market RevPAR

    (Y-O-Y CHANGE IN MARKET REVPAR) (Y-O-Y CHANGE IN MARKET REVPAR) (Y-O-Y CHANGE IN MARKET REVPAR) (Y-O-Y CHANGE IN MARKET REVPAR) Source: Benchmarking Alliance 4

  5. Slide 5: Occupancy by country, April 2021

    5 10% 20% 25% 15% 0% 5% 01-04-21 02-04-21 03-04-21 04-04-21 05-04-21 06-04-21 07-04-21 08-04-21 09-04-21 10-04-21 11-04-21 12-04-21 13-04-21 14-04-21 15-04-21 16-04-21 17-04-21 18-04-21 19-04-21 20-04-21 21-04-21 22-04-21 23-04-21 24-04-21 25-04-21 10% 15% 20% 25% 30% 0% 5% 01-04-21 02-04-21 03-04-2

  6. Slide 6: Expected recovery

    EXPECTED RECOVERY VACCINATIONS GAINING MOMENTUM IMPROVED COVID-19 DATA RESTRICTIONS GRADUALLY BEING EASED OCCUPANCY INCREASES DRIVEN BY DOMESTIC DEMAND GRADUAL INCREASE IN THE PACE OF RECOVERY OCCUPANCY IN SUMMER EXPECTED TO EXCEED LAST YEAR’S LEVEL GRADUAL MARKET STABILIZATION INTRA-NORDIC BUSINESS

  7. Slide 7: Occupancy 2019, 2020, 2021

    2019 2020 2021 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 7

  8. Slide 8: Source: Benchmarking Alliance

    Source: Benchmarking Alliance 8

  9. Slide 9: Hotel openings 2021-2022

    April 2021 Scandic Grand Central Helsinki Helsinki, Finland New 491 Opened in April May 2021 Scandic Strandpark (Copenhagen Airport) Copenhagen, Denmark New 357 May 2021 Scandic Landvetter Airport Gothenburg, Sweden New 223 September 2021 Scandic Nørreport Copenhagen, Denmark New 100 October 2021 Sc

  10. Slide 10: Slide 10

  11. Slide 11: Net sales Jan-Mar

    Jan-Mar Jan-Mar 2021 2020 % Net sales 930 3,343 -72.2% Q1 FX -27 -0.8% Sweden -72.3% Organic -2,387 -71.4% Norway -62.8% New hotels 18 0.5% Finland -73.5% Exited hotels -70 -2.1% Other Europe -81.4% Like-for like -2,336 -69.9% Total -71.4% 11

  12. Slide 12: State aid & rent discounts in Q1

    2 STATE AID & RENT DISCOUNTS IN Q1 TOTAL DIRECT STATE AID IN Q1: 247 MSEK, OF WHICH SUPPORT SWEDEN: 97 MSEK FOR RENT OF 145 MSEK NORWAY: 124 MSEK FINLAND: 0 MSEK OTHER: 26 MSEK ADDITIONAL ~250 MSEK STATE AID EXPECTED IN Q2 RENT DISCOUNTS IN Q1: 143 MSEK SIMILAR LEVEL OF DISCOUNTS EXPTECTED IN Q2 Sca

  13. Slide 13: Net sales and adjusted EBITDA by segment

    January-March Net sales Adjusted EBITDA Adjusted EBITDA % 2021 2020 2021 2020 2021 2020 2021 ex. MSEK state aid Sweden 319 1,154 -214 -311 1 -67.1% 0.1% Norway 319 888 -74 -198 -64 -23.2% -7.2% Finland 209 833 -217 -217 36 -104.0% 4.3% Other Europe 83 468 -194 -220 -40 -233.6% -8.5% Central costs &

  14. Slide 14: Cash flow and net debt

    Q1 Adjusted EBITDA -775 Change in working capital -4 Paid tax -50 Interest, pre-opening costs and other items -66 Cash flow from operations -895 Investments in existing operations -21 Free cash flow before expansion capex -917 Expansion capex -64 Free cash flow -980 Net debt 5,768 Available liquidit

  15. Slide 15: Sensitivity analysis during recovery phase

    SENSITIVITY ANALYSIS DURING RECOVERY PHASE ~40% OCC ~50% OCC Scandic

  16. Slide 16: Strengthened financing

    16 STRENGTHENED FINANCING Gross proceeds: 1,609 MSEK Conversion price: SEK 43.3621 Yield to maturity: 3.25% (no coupon) Issue price: 89.41% of par value Expiry date: October 8, 2024 Maximum dilution: 41.5m shares (17,83%) * Total facilities extended until December 31, 2023 ° Certain adjustments of t

  17. Slide 17: IFRS accounting effects

    7 IFRS ACCOUNTING EFFECTS Due to temporary rent discounts and extended maturity of lease portfolio, the negative IFRS impact on net result is expected to increase to -560 MSEK for 2021 With the current portfolio, the negative impact will diminish over time and become positive from 2027 Estimated int

  18. Slide 18: CONCEVEING R

    CONCEVEING R

  19. Slide 19: Scandic is prepared for recovery

    SCANDIC IS PREPARED FOR RECOVERY LOW COST BASE * BROAD MID MARKET OFFERING + ENTERING RECOVERY WITH LOW COST BASE * HIGH FOCUS ON DOMESTIC GUESTS * SUSTAINABLE COST REDUCTIONS, ESPECIALLY WITHIN * DEVELOPED OFFERING TO CAPTURE GROWING LEISURE DEMAND GROUP FUNCTIONS & COUNTRY SUPPORT OFFICES > Scandi

  20. Slide 20: Thank you

    THANK YO WV Need || W Tie ic Z--— 4 oe | :

Scandic Hotels Group — Q1 2021 Earnings Presentation on 6ix