Amadeus It Group Sa Class A · BME:AMS
Amadeus It Group Sa Class A — Q3 2010 Earnings Presentation
19 slides from Amadeus It Group Sa Class A's earnings presentation, Nov 11, 2010
Slide 1: Amadeus 3rd Quarter 2010 Results Presentation
Amadeus 3rd Quarter 2010 Results Presentation 11 November 2010 1
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 of
Slide 3: Airline Industry: Continued Recovery in International Traffic
Airline Industry: Continued Recovery in International Traffic International Air Traffic (1) (% Change, year-on-year) 8.6% 8.7% 7.8% 7.9% 7.6% 7.1% 6.4% 5.4% 4.3% 2.4% 0.1% (1.2%) YTD: 8.1% (3.5%) (6.5%) (8.9%) Q1 '07 Q2 '07 Q3 '07 Q4 '07 Q1 '08 Q2 '08 Q3 '08 Q4 '08 Q1 '09 Q2 '09 Q3 '09 Q4 '09 Q1 '10
Slide 4: GDS Industry: Sustained Growth throughout the Year
GDS Industry: Sustained Growth throughout the Year GDS bookings (% Change, year-on-year) 9.6% 8.8% 9.5% 7.6% 6.1% 3.7% 4.7% 3.6% 0.1% 0.1% (2.8%) YTD: 8.9% (6.6%) (12.2%) (13.4%) (13.2%) 1Q '07 2Q '07 3Q '07 4Q '07 Q1 '08 Q2 '08 Q3 '08 Q4 '08 Q1 '09 Q2 '09 Q3 '09 Q4 '09 Q1 '10 Q2 '10 Q3 '10 The GDS
Slide 5: Distribution Sep YTD Highlights: Proven Benefit from Cyclical Recovery in Travel Volumes
Distribution Sep YTD Highlights: Proven Benefit from Cyclical Recovery in Travel Volumes Amadeus TA Bookings (m) Sep YTD 2010 Amadeus air TA bookings by region +7.7% % Volume Growth 338.6 NA 314.2 LatAm 9.2% 325 44.9 WE 6.2% 300 6.5% 46.0 275 WE CESE 13.2% 250 APAC 48% 225 +9.5% 13.9% MEA 16.4% 200
Slide 6: IT Solutions Sept YTD Highlights: Successful Migration of Key Airlines
IT Solutions Sept YTD Highlights: Successful Migration of Key Airlines, Continued Trend of New Contract Gains Migrated airlines (1) Passengers Boarded (2) (m) 270.6 250 +58.0% 82 225 101.5 67 200 171.3 60 175 11.3 150 +5.7% 125 160.0 169.1 100 75 50 Sep 30, 2009 Dec 31, 2009 Sep 30, 2010 Sept YTD 20
Slide 7: IT Solutions: Contracted Airlines will Drive Future Growth
IT Solutions: Contracted Airlines will Drive Future Growth, 2010 Migrations Achieved as Planned Passengers Boarded (m) 2010 Scheduled Migrations 581 Date +2.4x Aegean Q1 2010 √ TAP Q1 2010 √ Mauritania Q1 2010 √ Saudi Arabia Q2 2010 √ Total LOT Q2 2010 √ Full Year PBs 238 Air France-KLM Q2 2010 √ >
Slide 8: Q3 2010: Continued Business Evolution
Q3 2010: Continued Business Evolution Distribution IT Solutions Cathay Pacific and its regional subsidiary Dragonair, Airline IT as well as Czech Airways and Aeroflot, signed long- Continued growth in customer base: 3 new term, full-content agreements Altéa contracts signed in the third quarter of A
Slide 9: Sep YTD 2010 Financial Review: Significant Revenue Growth across Business Areas
Sep YTD 2010 Financial Review: Significant Revenue Growth across Business Areas. Sustained Profitability Distribution (€ mm) IT Solutions (€ mm) Opodo (€ mm) +49.1% +48.0% +68.6% +65.4% +34.0% +25.6% +19.3% 457.1 +10.2% 1,528.9 383.2 1,387.6 +25.2% +9.8% 84.2 76.6 +7.7% 146.8 313.8 538.2 +45.6% 478.
Slide 10: Group Net Indirect Fixed Costs
Group Net Indirect Fixed Costs Net Indirect fixed costs (1) (€ mm) +2.6% 253.2 259.7 (2) Sep YTD 2009 Sep YTD 2010 (3) Gross indirect costs growth driven by inflation, negative FX impact and increased efforts in R&D Growth in capitalized expenses, given the increased R&D efforts during the period 1.
Slide 11: Research & Development and Capital expenditure
Research & Development and Capital expenditure Total Group R&D spend (€ mm) Total Group Capex (€ mm) 191.3 +39.3 % +28.4% 37.1 137.3 33.7 224.4 154.3 174.7 103.6 (1) Sep YTD 2009 Sep YTD 2010 Sep YTD 2009 Sep YTD 2010 Intangible Assets Tangible Assets % revenue 9.4% 10.9% % revenue 7.5% 9.3% Consist
Slide 12: Group EBITDA
Group EBITDA Contribution to EBITDA growth in Sept YTD 2010 (€ mm) +16.9% 9.0 (6.5) 63.1 52.2 816.6 698.9 (1) (2) Q3 YTD 2009 EBITDA Contri bution Ma rgi n Contributi on Ma rgi n IT EBITDA Opodo Indi rect cos ts a nd Q3 YTD 2010 EBITDA Di s tri bution Solutions ca pi ta li za tions & RTC % revenue 3
Slide 13: Free cash flow generation and Leverage
Free cash flow generation and Leverage Pre-tax free cash flow (1) (€ mm) Covenant Net debt / EBITDA (2) 35.2 +4.5% 70.3 660.5 631.9 3.6x 3.3x 816.6 2.9x 698.9 2.7x (137.3) Dec-09 Mar-10 Jun-10 Sep-10 (191.3) Net Debt (in € mm) EBITDA Capex Change in WC Total 3,289 3,168 2,816 2,700 Sep YTD 2009 (3)
Slide 14: Support Materials
Support Materials aMaDEUS Your technology partner 14
Slide 15: Reconciliation of segmental reporting with Consolidated Group accounts
Reconciliation of segmental reporting with Consolidated Group accounts Reconciliation of Contribution margin and EBITDA (€mm) Q3 YTD 2009(1) Q3 YTD 2010(2) % Change (3) Contribution margin 932.4 1,047.8 12.4% of which, Distribution 681.7 733.9 7.7% of which, IT Solutions 250.8 313.8 25.2% Indirect f
Slide 16: Key Performance Indicators
Key Performance Indicators Sep YTD 2009(1) Sep YTD 2010(2) % Growth Volumes Total Air Traffic Growth (%) (5.6%) 8.1% Total GDS Industry Growth (%) (9.8%) 8.9% Total Amadeus Air TA 268.2 293.7 9.5% Bookings (m) Passengers Boarded 171.3 270.6 58% (PBs) (m) Financial Results Revenue 1,831.2 2,053.6 12.
Slide 17: Extraordinary IPO Costs
Extraordinary IPO Costs Q3 2010 Sep YTD 2010 Personnel and related expenses (1) 5.2 307.2 Other operating expenses (2) 1.6 12.8 Total Impact on Operating Income 6.9 320.0 Interest Expense (3) 0 29.2 Total impact on Profit before Taxes 6.9 349.3 Income taxes (2.1) (108.3) Total impact on Profit for t
Slide 18: Q&A
18 Q&A aMaDEUS Your technology partner
Slide 19: AMADEUS
AMADEUS Your technology partner