NYSE$GBTG

Global Business Travel Group I · Q4 2022 earnings

Q4 2022 earnings · · Investor relations

Briefing

Reported strong financial results for Q4 and full year 2022, exceeding full-year guidance and demonstrating continued SME momentum.

American Express Global Business Travel reported strong Q4 and full year 2022 financial results, driven by record new wins, high customer retention, and strong SME segment performance. Revenue increased significantly, and Adjusted EBITDA improved, positioning the company for continued growth in revenue, profitability, and cash flow.

  • Revenue increased by $240 million, or 84%, compared to the same period in 2021.
  • Travel Revenue increased by $227 million, or 122%, driven by the Egencia consolidation and transaction growth.
  • Net loss improved by $137 million due to a decrease in operating loss and a reduction in loss on early extinguishment of debt.
  • Adjusted EBITDA improved by $144 million, primarily due to revenue growth.

Headline financials

Total Revenue

$527M

No prior period
EPS (adj)

-$0.13

No prior period
Adjusted EBITDA margin

0.0%

No prior period
Capital Expenditures

$21M

No prior period
Free Cash Flow

-$21M

No prior period
Net Income

-$58M

Previous: $0.00
Operating Income

-$68M

Previous: -$2.9M-2243.2%
Gross Profit

$527M

Previous: $0.00
Cash & Equivalents

$303M

No prior period
Total Assets

$3.73B

No prior period
Stock-Based Comp

$16M

No prior period

Revenue & EPS history

GBTG · Revenue · Quarterly

$527M

Q4 2022
Beat estimate in 8 of 14 quarters(57%)
ActualEstimate

Revenue by segment

GBTG · $519M total across 2 segments · Q4 2022

  • Travel revenue
    $413M+122.0%
  • Products & services
    $106M+14.0%

Forward guidance

In 2023, the company expects to deliver double-digit revenue growth, drive significant margin expansion, and turn Free Cash Flow positive during the year. Looking beyond 2023, the company remains on track to deliver pre-COVID Adjusted EBITDA of approximately $500 million at an 86% revenue recovery, or achievement of $2.4 billion in revenue.

Tailwinds

  • Double-digit revenue growth expected in 2023
  • Significant margin expansion expected in 2023
  • Free Cash Flow to turn positive during 2023
  • On track to deliver pre-COVID Adjusted EBITDA of approximately $500 million
  • Targeting $2.4 billion in revenue

Headwinds

  • Guidance considers various material assumptions.
  • Actual results may differ materially from the guidance due to a number of factors.
  • Industry performance under various scenarios is difficult to predict.
  • Competition, general business, economic, market and financial conditions are difficult to predict.
  • The Company has not provided a quantitative reconciliation of Adjusted EBITDA guidance to forecasted net income (loss) determined under U.S. GAAP.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 13 quarterly earnings reports · overlaid with Q4 2022

Historical avgQ4 2022

+0.0%

Avg return

Earnings day

-2.7%

Avg return

5 days after

+4.1%

Avg return

30 days after

30%

6 / 20 earnings

Positive

+16.7%

Q2 2024

Best reaction

-10.4%

Q1 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.6%-1.2%-1.2%
Q4 2025+1.4%-3.1%-3.8%
Q3 2025-3.8%-9.8%-1.0%
Q1 2025-10.4%-15.4%-5.7%
Q4 2024-5.9%-6.3%-14.6%
Q3 2024+0.7%+7.6%+23.0%
Q2 2024+16.7%+9.8%+17.1%
Q1 2024-4.3%-4.0%+5.9%
Q4 2023-0.5%-1.6%+5.3%
Q3 2023+2.4%-2.0%+10.7%
Q2 2023+7.5%+6.3%-13.3%
Q1 2023+9.0%+8.7%+39.5%
Q4 2022-10.0%-12.3%-4.3%
Q3 2022-0.2%-14.0%-0.2%
Q2 2022
Q1 2022-0.2%
Q4 2021+0.0%
Q4 2020-0.3%
Q3 2021-0.1%
Q2 2021+0.0%
Q1 2021-0.8%
Q3 2020

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