Corporate Presentation April 2016

Transcription

1 Corporate Presentation April 2016

2 Disclaimer The information contained in this presentation (the Presentation ), including but not limited to forward-looking statements, is provided as of the date hereof and is not intended to give any assurances as to future results. No person is under any obligation to update, complete, revise or keep current the information contained in the Presentation, whether as a result of new information, future events or results or otherwise. The Presentation includes statements that are forward-looking in nature, including, among other factors, changing economic, business or other market conditions, changing regulatory conditions and the prospects for growth anticipated by Parques Reunidos management. Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements, which are other than statements of historical facts. The words believe, expect, anticipate, intends, estimate, forecast, project, will, may, should and similar expressions identify forward -looking statements. Other forward-looking statements can be identified from the context in which they are made. By their nature, forward-looking statements involve known and unknown risks, uncertainties, assumptions, estimates and other factors, which may be beyond Parques Reunidos control and which may cause actual results or performance to differ materially from those expressed or implied from such forward-looking statements, and such forward-looking statements are not intended to give any assurances as to future results. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, you should not place undue reliance on forward-looking statements due to the inherent uncertainty therein. The information in the Presentation has not been independently verified and will not be updated. Parques Reunidos expressly disclaims any obligation or undertaking to disseminate any updates or revisions to the information, including any financial data and any forward-looking statements, contained in the Presentation, and will not publicly release any revisions that may affect the information contained in the Presentation and that may result from any change in its expectations, or any change in events, conditions or circumstances on which these forward-looking statements are based or whichever other events or circumstances arising on or after the date of the Presentation. Market data and statements regarding competitive position used in the Presentation not attributed to a specific source are estimates of Parques Reunidos and have not been independently verified. In addition, the Presentation contains certain operational information in relation to other companies operating in the leisure sector. This information has been derived from publicly-available sources and Parques Reunidos does not accept any responsibility whatsoever and makes no representation or warranty, expressed or implied, for the fairness accuracy, completeness or verification of such information. Accordingly, you should not place undue reliance on this information. Certain financial and statistical information contained in the Presentation is subject to rounding adjustments. Accordingly, any discrepancies between the totals and the sums of the amounts listed are due to rounding. Certain management financial and operating measures included in the Presentation, including number of visitors or revenues per capita, have not been subject to a financial audit or been independently verified by a third party. 2

3 1. Key Highlights 2. Financial Performance 3. Closing Remarks 4. Appendix 3

4 Key highlights Key developments Q1 is a marginal quarter in the context of the full year (represents c.11% of total revenues) Solid performance across de regions Off season events (Halloween and Christmas Lights) have worked well Spain has benefited from benign weather conditions Dubai openings on track Announcement of the extension of the agreement with Viacom to roll out Nickelodeon Mall Entertainment Centers First Nickelodeon-branded MEC signed (to be opened in Spain, in 2017) Overview of financial performance (Q1 FY16 vs. Q1 FY15) +5.2% LfL (1) attendance growth +3.8% LfL (1) revenue growth LfL (1) EBITDA improvement of MM LTM Revenue of 600 MM and EBITDA of MM of the current perimeter (2) Two specific issues to take into account: Marineland (France) closed since 4 th October 2015 due to a strong storm Park is expected to reopen by the end of March 2016 Damage suffered and loss of profit is covered by the insurance policy Decrease of breakage revenue in the US Notes 1. Excludes Valencia Oceanographic (Parques Reunidos declined to tender in 2015 for the extension of the management agreement) and Marineland (closed since 4 th October 2015 due to a strong storm) 2. Excludes Valencia Oceanographic 4

5 Recent Developments New debt facilities agreed: 575 million term loan facilities 230 million Term Loan A 345 million Term Loan B 200 million multicurrency Revolving Credit Facility Expected to significantly reduce net debt / EBITDA and related finance costs 5

6 1. Key Highlights 2. Financial Performance 3. Closing Remarks 4. Appendix 6

7 Solid financial performance during the first quarter of FY 2016 From 1 st October 2015 to 31 st December 2015 Reported Like-for-Like excluding Marineland (1) MM MM Revenue Q1 FY15 Q1 FY16 0 Q1 FY15 Q1 FY16 MM MM - - (2) (2) EBITDA (4) (3.2) (4) (6) (5.1) (6) (5.6) (8) (8) (7.5) (10) Q1 FY15 Q1 FY16 (10) Q1 FY15 Q1 FY16 Note 1. Excludes Valencia Oceanographic (Parques Reunidos declined to tender in 2015 for the extension of the management agreement) and Marineland (closed since 4 th October 2015 due to a strong storm) 7

8 LTM Revenue and EBITDA LTM Reported MM 2015 Q1 FY 2015 Q1 FY 2016 LTM Revenue EBITDA (5.1) (3.2) LTM of Current Perimeter (1) MM 2015 Q1 FY 2015 Q1 FY 2016 LTM (2) Revenue EBITDA (6.9) (3.2) Notes 1. Excludes Valencia Oceanographic (Parques Reunidos declined to tender in 2015 for the extension of the management agreement) 2. LTM revenue and EBITDA of current perimeter excluding Marineland advanced payment of MM and MM, respectively 8

9 Financial performance by region MM Like-for-like (1) Revenue bridge (0.4) (0.2) Q1 FY2015 excluding Marineland Spain Rest of Europe US HQ Q1 FY2016 excluding Marineland Marineland Q1 FY2016 Like-for-like (1) EBITDA bridge MM 5 0 (5) (10) (7.5) (1.1) 0.2 (5.6) 2.4 (3.2) (15) Q1 FY2015 excluding Marineland Spain Rest of Europe US HQ Q1 FY2016 excluding Marineland Marineland Q1 FY2016 Note 1. Excludes Valencia Oceanographic (Parques Reunidos declined to tender in 2015 for the extension of the management agreement) and Marineland (closed since 4 th October 2015 due to a strong storm) 9

10 Parques Reunidos Group Q1 FY16 Results Group Like for Like (1) (excluding Marineland) MM Q1 FY15 Q1 FY16 Var. Visitors (000's) 2,225 2, % Revenue % Ticketing revenue % In-park revenue % Other revenue (16.7%) Total percap (1.3%) Ticketing percap (0.7%) In-park percap % Highlights Robust visitors growth across all regions Successful off-season events in Spain, Rest of Europe and the US Percaps decrease driven by a decrease in breakage revenue in the US and a change in mix of parks in Rest of Europe (higher growth of parks with lower percaps) Continued implementation of dynamic pricing initiatives EBITDAR (4.9) (3.1) (37.6%) % margin (8.5%) (5.1%) EBITDA (7.5) (5.6) (25.7%) % margin (12.9%) (9.2%) Season capex on track As a percentage of revenue it is naturally higher than yearly average given that capex is typically undertaken during the off-season Capex % % revenue 12.9% 18.7% Note 1. Excludes Valencia Oceanographic (Parques Reunidos declined to tender in 2015 for the extension of the management agreement) and Marineland (closed since 4 th October 2015 due to a strong storm) 10

11 Spain Q1 FY16 Results Spain Like for Like (1) MM Q1 FY15 Q1 FY16 Var. Visitors (000's) % Highlights Spain continues to deliver strong performance both in terms of attendance and percaps Revenue % Ticketing revenue % In-park revenue % Other revenue (15.0%) Total percap % Ticketing percap % In-park percap % Successful Halloween and Christmas events in Warner Park and Parque Atracciones Madrid Improved percaps driven by the implementation of dynamic pricing initiatives in more Spanish parks (Zoo Aquarium, Faunia) and the improvement of F&B offering (Halloween and Christmas dinners) EBITDAR % % margin 8.6% 18.1% Continued benign macro momentum in Spain EBITDA % Favourable weather conditions % margin 6.2% 16.2% Capex (33.1%) % revenue 7.3% 4.3% Note 1. Excludes Valencia Oceanographic (Parques Reunidos declined to tender in 2015 for the extension of the management agreement) 11

12 Rest of Europe (Excluding Marineland) Q1 FY16 Results ROE Like for Like (Excluding Marineland) MM Q1 FY15 Q1 FY16 Var. Visitors (000's) % Highlights Solid performance in Rest of Europe mainly driven by: Revenue % Ticketing revenue % In-park revenue % Other revenue (13.3%) Total percap (0.3%) Ticketing percap % In-park percap % EBITDAR % Successful Halloween events at Movie Park Germany, Bobbejaanland and Bonbon-Land Openings in mid/late season of the Slagharen Water Park and the Penguin exhibit at Bournemouth Oceanarium Strong attendance as a result of the above and limited percap growth due to mix of parks (higher growth of parks with lower percaps) % margin 7.0% 10.6% EBITDA % % margin 6.2% 9.7% Capex % % revenue 14.8% 14.6% 12

13 US Q1 FY16 Results US Like for Like MM Q1 FY15 Q1 FY16 Var. Visitors (000's) % Revenue (2.1%) Ticketing revenue (3.1%) In-park revenue (0.7%) Other revenue (5.9%) Total percap (4.0%) Ticketing percap (5.0%) In-park percap (2.6%) Highlights US performance is also strong but not yet captured in the P&L accounts: 2% attendance growth driven by successful off season events However, revenue decrease of 2.1% as a result of decreasing percaps which is driven by a decrease in breakage revenue Higher capex spending due to the construction of a roller coaster at Lake Compounce EBITDAR (3.2) (4.3) 36.5% % margin (16.4%) (22.9%) EBITDA (5.1) (6.2) 22.0% % margin (26.4%) (32.9%) Capex % % revenue 14.5% 36.3% 13

14 Headquarter costs Q1 FY16 Results Headquarters Like for Like MM Q1 FY15 Q1 FY16 Var. Revenue (36.6%) Operating Expenses (5.5) (5.1) (7.6%) Personnel (3.4) (3.4) (1.8%) Other operating expenses (2.1) (1.7) (17.0%) Highlights Decrease in revenues driven by lower development fees of the Dubai Management Contracts partially offset by new consultancy fees from China DreamEast Like for like EBITDA improved due to continuous control of overhead expenses EBITDA (4.8) (4.7) (3.5%) Capex % % revenue 52.3% 98.3% 14

15 Net income Q1 FY16 Results Key P&L Items Highlights MM Q1 FY15 Q1 FY16 Reported EBITDA (5.1) (3.2) D&A (14.0) (15.7) Net losses on impairments (0.0) - Change in trade provisions (0.0) (0.0) Other non-recurrent expenses (0.8) (2.2) Operating Profit (19.9) (21.2) Financial income Borrowing costs (21.0) (22.8) Exchange gains / (losses) EBT (40.5) (43.6) Income tax Net income (33.4) (30.9) Attributable to Parent shareholders (33.5) (31.0) Non-controlling interests D&A: Impact of the U.S. exchange rate Non-recurrent expenses: Includes personnel restructuring and non-recurrent advisory services Borrowing costs: Impact of the U.S. exchange rate 15

16 Net debt evolution Net debt reflects the seasonality of the business MM Sept Dec Gross Debt 1, ,169.0 Net Debt Swing Cash & Equivalents RCF Draw Down (179.8) (112.2) Net Debt Swing of 84.4 MM Net Debt ,

17 1. Key Highlights 2. Financial Performance 3. Closing Remarks 4. Appendix 17

18 Closing remarks Q1 is a marginal quarter in the context of the full year Strong financial performance Marineland on track to reopen in late March as scheduled Advanced conversations to capitalize on existing pipeline of management contract opportunities First Nickelodeon-branded MEC already signed 18

19 1. Key Highlights 2. Financial Performance 3. Closing Remarks 4. Appendix 19

20 Revenue and EBITDA reconciliation Revenue Reconciliation MM Q1 FY15 Q1 FY16 Var. (%) Reported % Valencia Oceanografic contract termination (1.9) - FX impact Consolidation adjustments (0.8) - Highlights Reported: Represents the historical financial figures as reflected in the unaudited interim accounts under IFRS standard IAS 34 Like-for-Like : Reflects the performance of the portfolio excluding the following changes in perimeter and exchange rates Like-for-Like % Marineland closure (4.6) (5.2) Like-for-Like excluding Marineland % Valencia Oceanographic contract termination: Parques Reunidos declined to tender in 2015 for the extension of the management agreement and therefore it will no longer be part of Parques Reunidos portfolio going forward EBITDA Reconciliation MM Q1 FY15 Q1 FY16 Var. ( MM) Reported (5.1) (3.2) 1.9 Valencia Oceanografic contract termination (0.7) 0.0 FX impact (1.1) - Like-for-Like (6.9) (3.2) 3.7 Marineland closure (0.6) (2.4) Like-for-Like excluding Marineland (7.5) (5.6) 1.9 FX Impact: Re-statement of the financials to show performance on a constant currency exchange rate as of Q1 FY 2016 Like-for-Like excluding Marineland:: Reflects the performance of the portfolio excluding the additional following change in perimeter: Marineland closure: Since 4 th October 2015 Marineland (France) is closed due to a strong storm that brought floods to the area. Damage suffered is covered by the insurance policy and 5 MM revenues have already been recognized in Q1 FY16 as advanced payment. Final amount to be received is still pending to be agreed 20

21 Profit & Loss account Q1 FY16 Results P&L Summary Reported Like-for-Like (1) (excluding Marineland) MM Q1 FY15 Q1 FY16 Q1 FY15 Q1 FY16 Visitors (000's) 2,522 2,342 2,225 2,341 % growth (7.1)% 5.2% Percap ( ) % growth 13.4% (1.3)% Revenues % growth 5.3% 3.8% Cost of sales (7.7) (6.5) (6.3) (6.5) Gross Profit % margin 87.7% 90.1% 89.1% 89.3% Personnel expenses (30.1) (31.8) (29.3) (30.0) Other operating expenses (29.6) (30.7) (30.1) (29.6) EBITDA (5.1) (3.2) (7.5) (5.6) % margin (8.1)% (4.9)% (12.9)% (9.2)% D&A (14.0) (15.7) Net losses on impairments (0.0) - Change in trade provisions (0.0) (0.0) Other non-recurrent expenses (0.8) (2.2) Operating Profit (19.9) (21.2) Financial income Borrowing costs (21.0) (22.8) Exchange gains / (losses) EBT (40.5) (43.6) Income tax Net income (33.4) (30.9) Attributable to Parent shareholders (33.5) (31.0) Non-controlling interests Note 1. Excludes Valencia Oceanographic (Parques Reunidos declined to tender in 2015 for the extension of the management agreement) and Marineland (closed since 4 th October 2015 due to a strong storm) 21

22 Profit & Loss account by region (Excluding Marineland) Q1 FY16 Results Like for Like (1) (Excluding Marineland) P&L Summary by region Spain Rest of Europe US Group's Headquarters Total MM Q1 FY15 Q1 FY16 Q1 FY15 Q1 FY16 Q1 FY15 Q1 FY16 Q1 FY15 Q1 FY16 Q1 FY15 Q1 FY16 Visitors (000's) ,225 2,341 % growth 7.8% 4.2% 2.0% 5.2% Percap ( ) % growth 3.9% (0.3)% (4.0)% (1.3)% Revenues % growth 12.0% 3.9% (2.1)% (36.6)% 3.8% Cost of sales (1.9) (2.1) (2.8) (2.7) (1.6) (1.7) (6.3) (6.5) Gross Profit % margin 89.0% 89.2% 86.8% 87.7% 91.5% 91.1% 100.0% 100.0% 89.1% 89.3% Personnel expenses (6.1) (6.3) (9.0) (9.4) (10.8) (11.0) (3.4) (3.4) (29.3) (30.0) Other operating expenses (8.0) (7.7) (8.2) (7.8) (11.9) (12.3) (2.1) (1.7) (30.1) (29.6) EBITDA (5.1) (6.2) (4.8) (4.7) (7.5) (5.6) % margin 6.2% 16.2% 6.2% 9.7% (26.4)% (32.9)% (12.9)% (9.2)% Note 1. Excludes Valencia Oceanographic (Parques Reunidos declined to tender in 2015 for the extension of the management agreement) and Marineland (closed since 4 th October 2015 due to a strong storm) 22

23 Profit & Loss account by region (Including Marineland) Q1 FY16 Results Like for Like (1) (Including Marineland) P&L Summary by region Spain Rest of Europe US Group's Headquarters Total MM Q1 FY15 Q1 FY16 Q1 FY15 Q1 FY16 Q1 FY15 Q1 FY16 Q1 FY15 Q1 FY16 Q1 FY15 Q1 FY16 Visitors (000's) ,324 2,342 % growth 7.8% (6.3)% 2.0% 0.8% Percap ( ) % growth 3.9% 12.7% (4.0)% 3.7% Revenues % growth 12.0% 5.5% (2.1)% (36.6)% 4.5% Cost of sales (1.9) (2.1) (3.3) (2.8) (1.6) (1.7) (6.9) (6.5) Gross Profit % margin 89.0% 89.2% 87.1% 89.9% 91.5% 91.1% 100.0% 100.0% 89.1% 90.1% Personnel expenses (6.1) (6.3) (11.2) (11.2) (10.8) (11.0) (3.4) (3.4) (31.5) (31.8) Other operating expenses (8.0) (7.7) (9.5) (8.9) (11.9) (12.3) (2.1) (1.7) (31.5) (30.7) EBITDA (5.1) (6.2) (4.8) (4.7) (6.9) (3.2) % margin 6.2% 16.2% 7.3% 16.6% (26.4)% (32.9)% (11.0)% (4.9)% Note 1. Excludes Valencia Oceanographic (Parques Reunidos declined to tender in 2015 for the extension of the management agreement) 23

24 Balance sheet Q1 FY16 Results Assets MM FY15 (30 Sept. 15) Q1 FY16 (31 Dec. 15) Var. Property, plant and equipment Goodwill Intangible assets (5.3) Non-current financial assets Deferred tax assets Total non-current assets 1, , Inventories (1.2) Trade and other receivables (13.4) Current tax assets Other current financial assets (28.0) Other current assets (0.0) Cash and cash equivalents (38.9) Total current assets (76.6) Total assets 2, ,195.1 (0.4) Equity and Liabilities MM FY15 (30 Sept. 15) Q1 FY16 (31 Dec. 15) Var. Share capital Share premium Other reserves (283.7) (263.6) 20.1 Other comprehensive income Retained earnings(parent) 20.1 (31.0) (51.1) Equity (Parent) (27.3) Non- controlling interests Total equity (27.2) Financial liabilities from issuing bonds Loans and borrowings Deferred tax liabilities (4.4) Provisions (0.6) Other non-current liabilities Total non-current liabilities 1, , Financial liabilities from issuing bonds (8.3) Loans and borrowings Trade and other payables (44.3) Current tax liabilities (4.3) Other current liabilities Total current liabilities (34.2) Total liabilities 1, , Total equity and liabilities 2, ,195.1 (0.4) 24