Amex GBT

Q2 2022 Earnings Report

August 11, 2022

Legal Disclaimer

Forward-Looking Statements

These slides and the related presentation contain certain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements (other than statements of historical fact) contained in this presentation, including statements with respect to market size and growth opportunities, expectations regarding cost savings and synergies, and statements regarding future financial performance, liquidity, leverage and guidance, are forward-looking statements. Some of these forward-looking statements can be identified by the use of forward-looking words, including "anticipate," "expect," "suggests," "plan," "believe," "intend," "estimates," "targets," "predicts," "projects," "should," "could," "would," "may," "will," "continue," "forecast" or other similar expressions. All forward-looking statements are based upon estimates and forecasts and reflect the views, assumptions, expectations, and opinions of Amex GBT as of the date of this presentation, and may include, without limitation, changes in general economic conditions as a result of the COVID-19 pandemic, all of which are accordingly subject to change. Any such estimates, assumptions, expectations, forecasts, views or opinions set forth in this presentation should be regarded as preliminary and for illustrative purposes only and should not be relied upon as being necessarily indicative of future results.

The forward-looking statements contained in these slides and the related presentation are subject to a number of factors, risks and uncertainties, some of which are not currently known to Amex GBT. You should

carefully consider the risks and uncertainties in the Company's filings with the SEC, including as described in the "Risk Factors" section of the Company's Registration Statement on Form S-1 (the "Registration

Statement") (File No. 333-265748) and similar sections in the Company's other SEC filings. The Company's SEC filings, including the Registration Statement, identify and address other important risks and uncertainties that could cause actual events and results to differ materially from expected results contained in the forward-looking statements. These forward-looking statements are not guarantees of future performance, conditions or results, and involve a number of known and unknown risks, uncertainties, assumptions and other important factors, many of which are outside the control of the parties, that could cause actual results or outcomes to differ materially from those discussed in the forward-looking statements. Important factors, among others, that may affect actual results or outcomes include: (1) changes to projected financial information or our ability to achieve our anticipated growth rate and execute on market opportunities; (2) our ability to maintain our existing relationships with customers and suppliers and to compete with existing and new competitors in existing and new markets and offerings; (3) various conflicts of interest that could arise among us, affiliates and investors; (4) our success in retaining or recruiting, or changes required in, our officers, key employees or directors; (5) intense competition and competitive pressures from other companies in the industry in which we operate; (6) factors relating to our business, operations and financial performance, including market conditions and global and economic factors beyond our control; (7) the impact of the COVID-19 pandemic, Russia's invasion of Ukraine and related changes in base interest rates, inflation and significant market volatility on our business, the travel industry, travel trends and the global economy generally; (8) the sufficiency of our cash, cash equivalents and investments to meet our liquidity needs; (9) the effect of a prolonged or substantial decrease in global travel on the global travel industry; (10) political, social and macroeconomic conditions (including the widespread adoption of teleconference and virtual meeting technologies which could reduce the number of in person business meetings and demand for travel and our services); (11) the effect of legal, tax and regulatory changes; and

  1. other risks and uncertainties described in the Company's SEC filings, including the Registration Statement. Amex GBT cautions that the foregoing list of factors is not exclusive and not to place undue reliance upon any forward-looking statements, which speak only as of the date made. Amex GBT undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required under applicable securities laws.

Use of Projections

This presentation contains projected financial information with respect to Amex GBT. Such projected financial information constitutes forward-looking information and is presented as goals or an illustration of the results that could be generated given a set of hypothetical assumptions that may prove to be incorrect. Such projected financial information should not be viewed as guidance and is not based on Amex GBT's historical operating results and should not be relied upon as necessarily indicative of future results or Amex GBT's actual economics. The assumptions and estimates underlying such financial forecast information are inherently uncertain and are subject to a wide variety of significant business, economic, competitive and other risks and uncertainties, a number of which are beyond the control of Amex GBT and subject to change, including the duration and ongoing impact of the COVID-19 pandemic, that could cause actual results to differ materially from those contained in the prospective financial information. Actual results may differ materially from the results contemplated by the financial forecast information contained in this presentation, and the inclusion of such information in this presentation should not be regarded as a representation

by any person that the results reflected in such forecasts will be achieved. Amex GBT's independent auditors have not audited, reviewed, compiled or performed any procedures with respect to the projections for

the purpose of their inclusion in this presentation, and accordingly, neither of them expressed an opinion or provided any other form of assurance with respect thereto for the purpose of this presentation. Moreover, Amex GBT operates in a very competitive and rapidly changing environment, and new risks may emerge from time to time. It is not possible to predict all risks, nor assess the impact of all factors on Amex GBT's business or the extent to which any factor, or combination of factors, may cause Amex GBT's actual results, performance or financial condition to be materially different from the expectations of future results, performance of financial condition. In addition, the analyses of Amex GBT contained herein are not, and do not purport to be, appraisals of the securities, assets or business of Amex GBT or any other entity.

2

Legal Disclaimer

Industry and Market Data

This presentation also contains information, estimates and other statistical data derived from third party sources, including research, surveys or studies, some of which are preliminary drafts, conducted by third parties, information provided by customers and/or industry or general publications. Such information involves a number of assumptions and limitations and due to the nature of the techniques and methodologies used in market research, none of Amex GBT or the third party can guarantee the accuracy of such information. You are cautioned not to give undue weight on such estimates. Amex GBT has not independently verified any such third party information, and makes no representation as to the accuracy of, such third party information.

Financial Statements and Certain Financial Measures

Some of the financial information and data contained in this presentation, such as EBITDA, Adjusted EBITDA, Adjusted EBITDA Margin and Free Cash Flow have not been prepared in accordance with United States generally accepted accounting principles ("GAAP"). Please refer to slide 17 of this presentation for additional details. Amex GBT believes these non-GAAP measures of financial results provide useful information to management and investors regarding certain financial and business trends relating to Amex GBT's financial cond ition and results of operations. Amex GBT's management uses these non-GAAP measures for trend analyses, for purposes of determining management incentive compensation and for budgeting and planning purposes. Amex GBT believes that the use of these non-GAAP financial measures provides an additional tool for investors to use in evaluating projected operating results and trends and in comparing Amex GBT's financial measures with other similar companies, many of which present similar non-GAAP financial measures to investors. These non-GAAP financial measures should not be considered in isolation from, or as an alternative to, financial measures determined in accordance with GAAP. The principal limitation of these non-GAAP financial measures is that they exclude significant expenses and income and cash flows that are required by GAAP to be recorded in Amex GBT's financial statements. In addition, they are subject to inherent limitations as they reflect the exercise of judgments by management about which expense and income and cash flows are excluded or included in determining these non-GAAP financial measures. In order to compensate for these limitations, management presents non-GAAP financial measures in connection with GAAP results and reconciliations to the most directly comparable GAAP measure are provided on slides 19-21 of this presentation.

Trademarks, Service Marks and Trade Names

Amex GBT owns or has rights to various trademarks, service marks and trade names that they use in connection with the operation of their respective businesses. This presentation also contains trademarks, service marks and trade names of third parties, which are the property of their respective owners. The use or display of third parties' trademarks, service marks, trade names or products in this presentation is not intended to, and does not imply, a relationship with Amex GBT, or an endorsement or sponsorship by or of Amex GBT. Solely for convenience, the trademarks, service marks and trade names referred to in this presentation may appear without the ®, TM or SM symbols, but such references are not intended to indicate, in any way, that Amex GBT will not assert, to the fullest extent under applicable law, their rights or the right of the applicable licensor to these trademarks, service marks and trade names.

Disclaimer

An investment in Global Business Travel Group, Inc. is not an investment in American Express. American Express shall not be responsible in any manner whatsoever for, and in respect of, the statements herein, all of which are made solely by Global Business Travel Group, Inc."

3

Today's Presenters

PAUL ABBOTT

Chief Executive Officer

MARTINE GEROW

Chief Financial Officer

4

Q2 2022 Highlights

Strong Revenue and Earnings Trends

  • Q2 revenue increased 217% to $486M, net loss totaled ($2M)
  • Positive Adjusted EBITDA1 totaled $47M
  • Transaction recovery of 69% vs. 2019 pro forma2 and revenue recovery of 65% vs. 2019 pro forma2
  • Raised full-year 2022 revenue guidance to a range of $1.8 billion - $1.85 billion and full-year Adjusted EBITDA guidance to a range of $90 million - $100 million.

Travel Recovery Has Strong Momentum

  • Transaction recovery improved 22 percentage points quarter-over- quarter from Q1 2022 to Q2 2022
  • Transaction recovery improved 14 percentage points from March 2022 to reach 76% of 2019 pro forma2 levels in June 2022
  • Continued strong demand, despite supply constraints and macroeconomic conditions

A Significant Runway for Growth

  • Customer recognition of the value we deliver only increases in a period of greater travel complexity
  • Pro Forma New Wins Value3 over LTM through the end of July 2022 increased to $4.2B, representing 11% of 2019 pro forma2 TTV
  • SME4 transaction recovery in the month of June reached 84% of 2019 pro forma2 levels
  • Recent new wins include a top 5 Global Financial Services Company
  • 95% LTM customer retention rate through the end of July 2022

On Track to Deliver Egencia Synergies & Cost Savings

  • Two levers for significant margin expansion: $109M in Egencia synergies and $235M of permanent cost savings
  • Remain on track to exceed the forecasted $25M of Egencia synergies in 2022
  • Based on actions completed to date, achieved 65% of synergies expected when volumes are fully recovered
  • Permanent cost savings initiatives 100% actioned, over 80% realized
  1. Adjusted EBITDA is a non-GAAP measure. Please refer to the Supplemental Materials section for reconciliation of Adjusted EBITDA to GAAP
  2. Pro forma assumes Egencia, Ovation and DER acquisitions completed on January 1, 2019, presented with a constant currency adjustment
  3. Pro Forma New Wins Value refers to expected annual average value over the contract term from new client wins based on 2019 spend and is pro forma to include Egencia for the full year 2021
  4. "SME" represents Small & Medium Enterprises
  5. Based on total assets across the largest banks in the world.

5

This is an excerpt of the original content. To continue reading it, access the original document here.

Attachments

  • Original Link
  • Original Document
  • Permalink

Disclaimer

Global Business Travel Group Inc. published this content on 11 August 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 11 August 2022 12:16:15 UTC.