and plan your next holiday · 2020-03-25 · marketing expenses -68.6 -67.0 +2% / -1.6 ... 08/10...

KEEP CALM AND

PLAN YOUR

NEXT HOLIDAY

Final Results 2019Georg Hesse, Nate Glissmeyer & Markus Scheuermann

25 March 2020

Overview FY 2019

Financials 2019

COVID-19

Outlook 2020

Appendix

Agenda

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2

3

4

5

2

1. Overview FY 2019

3

• Insolvencies of Germania and Thomas Cook affectedrevenue and op. EBITDA significantly

• Overall weak development of travel industrythroughout the year; online travel agentsoutperformed offline travel agents

• Revenue and op. EBITDA missed the initial guidance

1. Overview FY 2019Travel industry faced stiff headwinds

Final Results 2019 4

• Improved user experience, especially on bookingplatform

• Tour Operator HolidayCheck Reisen started selling itsfirst package holidays; steady expansion of offering

Productimprovements

Financials

2. Financials 2019

5

2. Financials 2019


In EUR million 2019 2018 Change in% / EUR million

Revenue 143.7 138.9 +4% / +4.8

Marketing expenses -68.6 -67.0 +2% / -1.6

Personnel expenses -41.9 -39.1 +7% / -2.8

Other expenses -31.7 -27.4 +16% / -4.3

EBITDA*EBITDA margin

6.44.5%

10.07.2%

-36% / -3.6

Operating EBITDA*Operating EBITDA margin

7.04.9%

10.77.7%

-35% / -3.7

Depreciation -10.1 -7.0 +44% / -3.1

EBITEBIT margin

-3.7-2.6%

3.02.1%

- / -6.7

Financial result -0.4 -0.2 +100% / -0.2

EBTEBT margin

-4.0-2.8%

2.82.0%

- / -6.8

Consolidated net result -4.6 1.9 - / -6.5

EPS (in EUR) -0.08 0.03 - / -0.11

* Other expenses and EBITDA were positively affected by IFRS 16 effect of EUR +2.7 million in financial year 2019, whereas Depreciation was negatively affected.

42.2

32.7

37.6

31.2

2. Financials 2019

In EUR million


Slight, yet continued revenue growth despite strong 2018 comps

29.632.0

Q2

30.1

Q1 Q3

27.7

Q4

35.633.4

24.9

30.531.4

22.7

28.4

41.411%

2016 20182017 2019

24%2%

11%

13% 8%

11%

25%7%

4%

6%

2%

3. COVID-19 – a historic crisis

8


COVID-19 The Situation

• Promising start in the first 8 weeks

• Spread of the COVID-19 virus led to a sharp decline in bookings in the following weeks; currently hardly any booking activity

• Tourism essentially not present due to travel restrictions

• The cancellation of packageholidays booked in 2019 leads tonegative impact on revenue and earnings in Q1 2020

10

There will be a time after the crisis

11

There will be a time after the crisis

Today A new worldAdaptationWorld beforecrisis

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Today A new worldAdaptationWorld beforecrisis

1. Survive the crisis2. Ready to excel in the new world

Our employees‘ health

Being there for our Urlaubers

Reduce costs and secure liquidity

Ensure productivity

Seize opportunities

Our priorities during COVID-19

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2

3

4

5

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Ensure productivity

Seize opportunities

1

2

3

4

5

14

Survive the crisis





Ensure productivity

Seize opportunities

1

2

3

4

5

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Ready to excel in the new world


COVID-19 1. Our response towards our employees

• The health of our employees is our first priority

• All our employees now work from home, even our Service Center employees

• Fully Remote-capable without any interruptions

• Specific Crisis Workstream addresses Team issues

• Making mental health a priority in remote situation


COVID-19: 2. Our response towards our Urlaubers


• We are there for our Urlaubers. Now morethan ever!

• We assigned an experienced crisis team that meets several times per day

• We managed to handle tens of thousands of enquiries from Urlaubers

• Our strong technology platform helped to solve the enquiries

• Urlaubers are satisfied with our service quality

• Even in the crisis 77% of our customers gave us the best rating (a 5 out of 5)

• Our own tour operator set standards in Urlauber-friendliness – third-party Tour operators having to learn to be Urlauber-friendly in order to preserve future business

Many thanks for your always friendly, competent and fast help! Especially in this (Corona-) time not a

matter of course!

I am surprised how quickly I received an answer and

that in corona chaos! Respect! Great how I

received information. I felt very well looked after. I hope that the time will

come again to book more trips on HolidayCheck.

Many thanks and all the best!

The customer service was great! Extremely

friendly in these, for you surely stormy times!

Very calm and obliging, thank you very much!

COVID-19: 3. Ensuring liquidity


Maximizingavailable cash

Reduce currentcash consumption

• Currently more than EUR 40 million in cash available

• Federal and local subsidies currentlybeing evaluated

• Personnel savings, e.g.: • No pay raises• Reduced working hours (Kurzarbeit)• Executive Board waives 30% of its salary

• Marketing savings, e.g.:• Drastically reduced online marketing

activities

• Other savings, e.g.:• Structured comprehensive review of all

cost positions


COVID-19: 4. Ensure productivityInvestments in our technology team and platform have paid dividends in this time of crisis

HolidayCheck is an unbelievably popular source of information for all Urlaubers in this crisis.• Our work on the website and in SEO allowed us to make

significant gains in a matter of days. Millions of visitors already using our information.

• Multiple updates from multiple players per day in ever-changing world.

• We can build on this traffic to offer deals, concessions (Kulanz) and advice from Tour Operator partners directly

Resilient platform allows us to shift between website, email, and phone seamlessly.• We were able to add automatic handling within less than 1

week• Phone systems and advice to Urlaubers updated more than

1x per day

We are just getting started!

COVID-19: 5. Ready to excel in the new world!


The new world after the crisis will look different

• We expect a consolidated ecosystem

• We expect some shifts in supplier and competitor relations

➔We will look to leverage new opportunities e.g. for our tour operator

Urlaubers’ needs will not change that much

• Urlaubers will want to go back to the beach

• Urlaubers will need convenience and great service

• Urlaubers will want great prices

➔ We will remain able to work on Urlaubers needs that will not change

4. Outlook 2020

21

Results 9M & Q3 2019 22

We want to build the most Urlauber-friendly company in the world!

Our vision

*German term for holidaymaker, vacationer


4. Outlook 2020

• Vision: Unchanged, the crisis shows Urlaubers need ambassadors in the industry more than ever

• Focused Development driving core capabilities for our products and services

• Adjusted marketing mix to the respective demand situation

• Diligent cash management

• Based on our planning scenarios, we expect a significant decline in the gross margin (2019: EUR 141.9m) and a clearly negative operating EBITDA (2019: EUR 7.0m)

• Our cash position of around EUR 40 million will help us to bridge the coming months;

• We will bring them back to the beach!

We‘ll bring themback to the beach!


4. Outlook:Continuity in management also in challenging times


CFO Markus Scheuermann

• Extension of contract until31 December 2023

CPO/CTO Nate Glissmeyer

• Extension of contract until31 December 2022

CEO Georg Hesse

• Extension of contract until30 June 2023

Appendix

4. Outlook 2019:Growth options within the relaxing holidays market

Results 9M & Q3 2019 27

Urlauber-friendliness

Community Expert Advice Artificial Intelligence

ShortTrips

PackageHolidays

CruisePackagedRound-

trips

HotelOnly

RentalHomes

Based on expertise in our core segment, further market segments can be tackled in the mid- to long-term

Tour Operator

Our eco system: a unique combination of a platform & pipelinebusiness


Financial calendar 2020*


May05/08 Interim statement Q1 2020

Jun06/23 Annual General Meeting 2020 – Munich, Germany

Aug08/10 Interim report HY1 2020

Nov11/09 Interim report Q1-3 2020

*Provisional dates

www.holidaycheckgroup.com HolidayCheck Group @HolidayCheckGrp

Contact

Georg Hesse

CEO

+49 89 357 680 911

[email protected]

30

Nate Glissmeyer

CPO/CTO

+49 89 357 680 916

[email protected]

Armin Blohmann

Director Group Comm. & Investor Relations

+49 89 357 680 901

[email protected]

Final Results 2019

Markus Scheuermann

CFO

+49 89 357 680 917

[email protected]

Disclaimer


This presentation contains 'forward looking statements' regarding HolidayCheck Group AG, including opinions, estimates and projections regarding HolidayCheckGroup AG’s financial position, business strategy, plans and objectives of management and future operations. Such forward looking statements involve known andunknown risks, uncertainties and other important factors that could cause the actual results, performance or achievements of HolidayCheck Group AG to bematerially different from future results, performance or achievements expressed or implied by such forward looking statements.

These forward looking statements speak only as of the date of this presentation and are based on numerous assumptions which may or may not prove to becorrect.

No representation or warranty, express or implied, is made by HolidayCheck Group AG with respect to the fairness, completeness, correctness, reasonableness oraccuracy of any information and opinions contained herein.

The information in this presentation is subject to change without notice, it may be incomplete or condensed, and it may not contain all material informationconcerning HolidayCheck Group AG.

HolidayCheck Group undertakes no obligation to publicly update or revise any forward looking statements or other information stated herein, whether as a resultof new information, future events or otherwise.

and plan your next holiday · 2020-03-25 · marketing expenses -68.6 -67.0 +2% / -1.6 ... 08/10...

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