Final Results HY1 & Q2 2017 - HolidayCheck Group AG · Final Results HY1 2017 9 3. Product update...

Final Results HY1 & Q2 2017Georg Hesse (CEO)

Markus Scheuermann (CFO)

8th August 2017

Final Results HY1 2017 2

1. Overview HY1 & Q2 2017: Strong booking seasonMarket development• Central-European package travel industry with strong booking season in HY1• OTA growth outperformed other segments

Financials• HolidayCheck Group revenue up 11% in HY1 2017 and 12% in Q2 2017• Operating EBITDA of EUR 2.8m in HY1 2017; operating EBITDA of EUR -1.6m

in Q2 2017 due to kick-off cost & extraord. cost of EUR 2.7m, esp. for LTI, RSP, marketing campaign

• FY 2017 revenue guidance raised to 7 – 11% yoy growth

Miscellaneous• New marketing campaign ‘Buch Dein Ding! (Book your thing!)’ successfully

launched mid-June • Invest in people: 46 new employees hired yoy (+12%), 24 new developers• Share buyback program of 1.5m shares completed

2. Financials HY1 & Q2 2017

2. Financials HY1 & Q2 2017: Invest in brand marketingand new hires


In EUR million HY1 2017 HY1 2016 Change Q2 2017 Q2 2016 Change

Revenue 61.2 55.0 +11% / +6.2 27.7 24.9 +12% / +2.8

Marketing expenses -29.5 -30.0 -2% / +0.5 -14.6 -12.9 +14% / -1.7

Media portion of marketing expenses overall -2.1 -3.1 -35% / -1.0 -1,8 -0,3 >100% / -1.5

Personnel expenses -19.4 -15.0 +29% / -4.4 -9.9 -7.2 +38% / -1.7

Long-term incentive plans and pensions & RSP front loading as portion of personnel expenses -1.3 0.4 -1.7 -1.1 0.1 -1.2

EBITDAEBITDA margin

1.52.5%

1.01.8%

+49% / +0.5 -2.7-9.7%

0.31.2%

-3.0

Operating EBITDAOperating EBITDA margin

2.84.6%

0.20.4%

>100% / +2.6 -1.6-5,8%

-0.2-0.8%

>100% / -1.4

Depreciation -3.0 -2.8 +7% / -0.2 -1.6 -1.4 +9% / -0.2

EBITEBIT margin

-1.5-2.5%

-1.8-3.3%

-16% / +0.3 -4.3-15.5%

-1.1-4.4%

>100% / -3.2

Financial result -0.1 0.1 -0.2 0.0 0.1 -0.1

EBTEBT margin

-1.68.4%

-1.7-2.3%

-7% / +0.1 -4.3-15.5%

-1.0-4.0%

>100% / -3.3

Consolidated net result of continued operations -2.1 -1.7 +22% / -0.4 -4.0 -1.0 >100% / -3.0

Consolidated net result -1.8 -1.6 +10% / -0.2 -3.7 -1.3 >100% / -2.4

EPS of continued operations (in EUR) -0.04 -0.03 -0.01 -0.07 -0.02 >100% / -0.04

2. Financials HY1 & Q2 2017: HolidayCheck Group is debt free –equity ratio of 83% & net cash position of EUR 29m


41.352.1 53.7

76.386.1 83.2

58.747.9 46.3

23.713.9 16.8

12/2012 12/2013 12/2014 12/2015 12/2016 06/2017

Equity ratio vs. debt ratio 2012 – Q2 2017in percent

Equity ratio Debt ratio

100%


2. Financials Q2 2017: Share buy-back program completed

• Total no. of own shares bought back: 1,500,000• Average price per share: EUR 2.65 • Current holding of own shares: 1,372,510

25,000 shares were issued to employees in June

102,490 shares were issued to employees in July as a salary component of a restrictedstock program (RSP)

• IFRS regulations lead to front-loading of cost ofEUR 0.3m for RSP in Q2 2017

3. Product & marketingupdate Q2 2017


3. Marketing update Q2 2017:New brand marketing campaign

• New brand marketing campaign ‚Buch Dein Ding! (Book your thing!)‘ launched in June

• Targeted media mix with selected TV stations, leading news portals (bild.de, focus.de), YouTube and outdoor advertising

• Main Goals: strengthen brand awareness and drawparticular attention on booking opportunity

• Q2 cost of EUR 1.5m for production and media

• Campaign to be continued in HY2 2017 & 2018 on a sustainable basis


3. Product update Q2 2017: Passion search

• as a corresponding feature to our brandmarketing campaign the new passion search islive on HolidayCheck.de

• Urlaubers can now search our reviews by keywords, e.g. ‚family holidays‘, ‚water park‘ or‚snorkeling‘ in order to find the hotels that fit their personal interest best

• Metadata drawn from Natural Language Processing of reviews to garner actual Urlauber sentiment

4. Outlook 2017


4. Outlook 2017:We stick to our vision & mission

Our vision:

We are the most Urlauber*-friendly company in the world

Our mission:

We make life of Urlaubers better!

* Urlauber [uːɐlaʊbɐ] is the German term for vacationer, holiday-maker


4. Outlook 2017:Brick and mortar travel agencies are our source of business

Our source of business:

2/3 of all package holidays in Germany are still booked offline.

We aim to change that!


4. Outlook 2017:Our invest areas

Our invest areas in HY2 2017:

• Package: core product experience• Hotel only: continue to grow• Scale travel center by hiring further

employees• Improve cruise experience on website by

launching own cruise product in winterseason 2017/2018

• Build where we can, buy where we need


4. Outlook 2017:We specify our guidance

Specified guidance 2017:

• July well on track despite intensified traveladvice for Turkey by the German ForeignOffice

• We raise our revenue guidance to a growthrate of 7 – 11% yoy (old 5 – 10%)

• HY2 2017: We will continue to invest in people, tech and esp. in brand marketing

• op. EBITDA guidance remains at EUR -5 to 0m • We are hunting the big game!

Our long-term ambition:• Sustainable double-digit growth

• Invest now to gain leverage on personnel and marketing costs in out years

THANK YOUFOR YOUR ATTENTION!

Appendix

High need for advice of Urlaubers offers an interesting growth potential


Package is key segment for HolidayCheck

Today still offline dominated

Significant growth potential

72%44%

33%

28%56%

67%

Offline

HotelFlight/ Train

Online

*Package

Total size of German travel market 2016: € ~55 bn(thereof package holidays 2016: € ~15 bn)

*All privately booked trips with a duration of at least 2 days and one pre-paid element, at leastSource: Own estimate based on the GfK Travelscope 2.0 survey


Package holidays; 24.8 bn €

Short-trip/Wellness; 3.9 bn €Rental homes; 8.3 bn €

Packaged roundtrips; 14.0 bn €

Cruise; 4.2 bn €

Other; 0.8 bn €

Total: 56.0 bn €

*gross revenue; own estimation based on travel industry data

Recreational holidays in DACH + Benelux* - a multibillion niche market segment

Improve packageholiday

experience

Improve quality of

data & content

Strengthen brand

awareness

Scale servicecenter

1 2 3 4

Invest in people: mostly tech Invest in peopleInvest in brandmarketing

Additionally: New product(s), MietwagenCheck carve-out, Zoover IT migration

19

Company goals & invest areas 2017

Final Results HY1 2017


Outlook 2017:Our way towards excellence

Transformation Delivery Differentiation Execution

2016 2017 2018 2019

Tech Excellence

Marketing Efficiency

Customer Experience

Team Quality

Strategic areasof development

Financial calendar


Date* Event Location8 September 2017 db Access European TMT Conference 2017 London, United Kingdom

18 September 2017 Goldman Sachs & Berenberg 6th German Corporate Conference Munich-Unterschleissheim, Germany

8 November 2017 Publication of Interim Statement Q1-3 2017 Munich, Germany

November 2017 German Equity Forum 2017 Frankfurt, Germany

* Provisional dates

www.holidaycheckgroup.com HolidayCheck Group @HolidayCheckGrp

Georg HesseCEO

T: +49 89 357 680 [email protected]


Armin BlohmannDirector Group Comm. & Investor Relations


Markus ScheuermannCFO


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 be correct.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 result ofnew information, future events or otherwise.

Final Results HY1 & Q2 2017 - HolidayCheck Group AG · Final Results HY1 2017 9 3. Product update...

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