Company Presentation - ir.deliveryhero.com · Delivery Hero AG. Company Presentation. 20 We Remain...
Transcript of Company Presentation - ir.deliveryhero.com · Delivery Hero AG. Company Presentation. 20 We Remain...
2Delivery Hero AG. Company Presentation.
Our Clear Vision
Create an amazing takeaway experience
AMAZING
FOOD
AMAZING
ORDERING
AMAZING
SERVICE
3Delivery Hero AG. Company Presentation.
We Are an Online Food Orderingand Delivery Marketplace
USER RESTAURANT
1
2
Customer Order
Received (TBU)
3
Search
OrderReceive
Deliver
4
Eat
Cook
6
RESTAURANT
DRIVER
Customer Order
Received (TBU)
5
4Delivery Hero AG. Company Presentation.
Delivery Hero in 2017 at a Glance: Best-in-class Performance and Global Leadership
Present in over
40Countries
>€70bn3
Current Food Delivery Market Taking on
>€500bn3
Food Services Opportunity
Source: Company information; Euromonitor; World Bank; United Nations
Notes:1. Including Indian operations.2. On a constant currency basis. 60% on a reported basis.3. Management estimates.4. Source: Euromonitor International; Economies and Consumers; data as of 2016.
292mOrders in 2017
€3.8bn1
Gross Merchandise Value in 2017
Already Reaching
2.7bn People4
+65%1,2
Revenue Growth
5Delivery Hero AG. Company Presentation.
1 Large Market Opportunity
2 Highly Attractive Markets
3 Very Strong Business Fundamentals
4 Leadership in Innovation and Technology
5 Global Category Leadership
6 Multiple Drivers for Long-term Growth
DELIVERY HERO HIGHLIGHTS
6Delivery Hero AG. Company Presentation.
Unlocking the Large and UnderpenetratedFood Market
Online & Mobile Engagement
On-demand &Last-mile Logistics
Life-style, Urbanization & Convenience
Mega Trends That Drive Additional Growth Total Food Market
€7.5tn2
Takeaway Market in Delivery Hero’s Countries
>€70bn1
Food Services in Delivery Hero’s Countries
>€500bn1
Opportunity
Source: Company information; Euromonitor
Notes:
1. Management estimates.2. Source: Euromonitor International; Economies and Consumers; Global Food Market represents Consumer Expenditure on Food and Catering,
value at fixed 2016 exchange rates; data as of 2016.
1
Delivery Hero GMV
€3.8bn in 2017
7Delivery Hero AG. Company Presentation.
Our Customers Consistently Increasing Order Frequency Across our Highly Attractive Markets2
High and increasing order frequency across highly attractive markets over time
Month 1 Month 47 Month 1 Month 47 Month 1 Month 47 Month 1 Month 47 Month 1 Month 47 Month 1 Month 47
INCREASING # OF ORDERS Average Monthly Orders per Active Customer Over Time
Source: Company information
Note:• Example: Cohort (March 2013) is shown; “Month 1” refers to April 2013.
MENA excl. Turkey Turkey Asia Americas Europe excl. Nordics Nordics
+40%
+33%
+27%
+19%
+95%
+32%
8Delivery Hero AG. Company Presentation.
3 Highly Predictable Customer Behaviour With Accelerating Growth…
Source: Company information
Note:1. “Cohort” refers to customers grouped by the calendar year in which they first placed an order with Delivery Hero.
2015 2016 2017
Orders From2015 Cohort
MAJORITY OF ORDERS FROM RETURNING CUSTOMERSTotal Orders per Cohort per Year
High ReturningCustomer-base
Increasing First-timeCustomer-base
Orders From2017 Cohort
Orders From2016 Cohort
+29%
+31%
v
• Customer Experience driving our retention and frequency
• Returning customers continue to order more frequently
• Customer acquisitions continue to grow
• Word of mouth and referrals continue to be a major driver of new customers
• We expect frequency to continue to increase
9Delivery Hero AG. Company Presentation.
RESTAURANT PARTNER SOLUTIONS
Restaurant-facing technology to deepen our relationship with our restaurant partners
Tools for restaurants:
• Order transmission
• Order processing
• Partner integration
• Order tracking
• Restaurants performance reports
• Business Intelligence to enable better product and operational decisions
DESCRIPTION
LOGISTICS SERVICES
Improvements in logistics efficiency (e.g. delivery rider scheduling, fleet management, etc.) via central services, enabling to cut delivery fee
Our technology provides smart and efficient delivery processes:
• Rider scheduling
• Rider staffing
• Fleet management
• Route Optimization
• Real-time delivery estimates
DESCRIPTION
PLATFORM
Localisation challenge solved with:
• Central services:
• Personalization and Search & Discovery
• Restaurant Partner Solutions
• Logistics Services
• Data warehouse & Analytics
• Performance Marketing
• Restaurant CRM (Salesforce)
• Finance systems
• Customer reviews
• Regional platforms:
• Cultural specifics
• Address systems
• Integrated payment systems
DESCRIPTION
Discovery based on inspirational content and next generation browsing experience
Personalisation based on consumer preferences and machine learning
Recommendation to customers with targeted messages and tailored product experience
Our goal is for the customer to ultimately outsource its food decision to us
PERSONALIZATION SEARCH & DISCOVERY
DESCRIPTION
Leadership in Innovation and Technology4
10Delivery Hero AG. Company Presentation.
Source: World Development Indicators, 2018; rounded figures
Notes:1. Excluding foodora own-delivery only countries (Australia, Canada, France, Italiy, Netherlands, Norway) as well as Costa Rica and Paraguay.
5 We Are One of the Global Leaders in Online Food Delivery with Significant Reach, Scale and Growth
11Delivery Hero AG. Company Presentation.
Multiple Driversfor Long-term Growth and Profitability6
Source: Company information; management estimates; Euromonitor
Notes:1. Based on our IPO disclosure.2. Source: Euromonitor International; Economies and Consumers; Global Food Market represents Consumer Expenditure on Food and Catering, value at fixed 2016 exchange rates; data as of 2016.
€72bnTakeaway Market
Going Online1
Taking on
€7.5tn Food Market Opportunity2
Increased Frequency Through Better
Experience
Take-rate Expansion
with Best Marketplace
Markets Already +18%
Above 50% EBITDA Margin
in Best Markets
Ongoing
IndustryConsolidation
FOOD MARKETTRANSFORMATION
TAKE-RATEIMPROVEMENT
MARGINEXPANSION
M&AFOR SCALE
ONLINETRANSITION
TECHNOLOGY & INNOVATION
13Delivery Hero AG. Company Presentation.
Our Business Model Is Designed for MultiyearRevenue Growth
AverageBasket Size
GMV RevenueOrders
Recurring high quality cohorts combined with
strong new customer growth and increasing
frequency
Take-rate expansion driven
by market maturity and own delivery
Take-rate
IN
CR
EA
SIN
G
IN
CR
EA
SIN
G
14Delivery Hero AG. Company Presentation.
Growing Take-rates With Significant Long-termUpside Potential
Source: Company informationNotes:1. For the like-for-like definition, please refer to the “Definitions” slide.2. Total segment revenues.
17.2 %16.9 %
10.2 %
12.9 %
15.4 %15.6 %
12.3 %
14.3 %13.9 %
14.8 %
Q1 2016 Q1 2017 Q1 2018
Europe
Asia
Americas
Group
MENA
REGIONAL TAKE-RATES1 SEGMENT REVENUE 2017 BY SOURCE2
Commissions75%
Premium placements
9%
Delivery fees 9%
Credit card use 4%
Other4%
15Delivery Hero AG. Company Presentation.
Group Continuous Track Record of Growth
Source: Company informationNotes:1. For the like-for-like definition, please refer to the “Definitions” slide.2. Total segment revenues.3. Growth rates are on a constant currency basis.
Orders 1
+48% Y-o-Y Growth
GMV 1
571598
673
781
832
892
960
1,083
1,150
Revenues 1,2
70
79
86
106
116
126
135
157
171
Q1 Q2 Q3 Q4 Q1 Q2
2016 2017
Q3 Q4
+38% Y-o-Y Growth +47% Y-o-Y Growth
Q1
2018
Q1 Q2 Q3 Q4 Q1 Q2
2016 2017
Q3 Q4 Q1
2018
Q1 Q2 Q3 Q4 Q1 Q2
2016 2017
Q3 Q4 Q1
2018
+52% Y-o-Y Growth Constant Currency Basis
4446
49
5960
66
71
82
89
+61% Y-o-Y Growth Constant Currency Basis
16Delivery Hero AG. Company Presentation.
Q1 2018 Financial Highlights
Source: Company informationNotes:1. For the like-for-like definition, please refer to the “Definitions” slide.2. Total segment revenues.3. Growth rates are on a constant currency basis.
€171mREVENUES
+61% Y-o-Y Growth 3
89mORDERS
+48% Y-o-Y Growth
€1.2bnGROSS MERCHANDISE VALUE
+52% Y-o-Y Growth 3
1,211
17Delivery Hero AG. Company Presentation.
+30%
+60%
+53%
Growth across all Segments
Europe MENA Asia AmericasAverage Order Value
€ 15.5€ 15.9
Average Order Value
€ 10.7€ 11.2
Average Order Value
€ 15.0€ 16.4
Average Order Value
€ 12.5€ 13.8
Ord
ers
1
Q1 2017 Q1 2018 Q1 2017 Q1 2018 Q1 2017 Q1 2018 Q1 2017 Q1 2018
1722 26
41
1218
6 8
GM
V1
Q1 2017 Q1 2018 Q1 2017 Q1 2018 Q1 2017 Q1 2018 Q1 2017 Q1 2018
289
440
190266
79 96
273348
Reven
ue
1
Q1 2017 Q1 2018 Q1 2017 Q1 2018 Q1 2017 Q1 2018 Q1 2017 Q1 2018
4759
30
57
29
41
10 14
Source: Company informationNotes:1. For the like-for-like definition, please refer to the “Definitions” slide.
+34%
+27%
+52%
+40%
+21%
+25% +92%
+42%
+41%
18Delivery Hero AG. Company Presentation.
Increasing Share of Revenues from MENA, Asia and Americas
Europe41%
MENA26%
Asia25%
Q1 2017REVENUE SHARE PER SEGMENT1
Q1 2018REVENUE SHARE PER SEGMENT
Source: Company informationNotes:1. For the like-for-like definition, please refer to the “Definitions” slide.
MENA 33%+7 percentage points
Asia24%
Europe34%
Americas8%Americas
8%
19Delivery Hero AG. Company Presentation.
REVENUE(€m, aggregated)1
147
199
82
15387
145
25
47
Europe MENA Asia Americas
FY 2016 FY 2017
Source: Company informationNotes:1. Total segment revenues.2. Including Indian operations.
1,2
+60%
Strong Revenue Growthand Improving Adj. EBITDA Margins
-28 -26
616
-38
-24
-10
-11
H1 2016 H1 2017
Europe MENA Asia Americas
ADJ. EBITDA2
(€m, aggregated)
ADJ. EBITDAMARGIN2
(%, aggregated)
-47% -18%
544
341
-70
-45
Europe -40% -27%
MENA 19% 25%
Asia-108 %
-36%
Americas -99% -51%
Group
+65%Constant Currency Basis
20Delivery Hero AG. Company Presentation.
We Remain on Track to Meet our IPO Guidance
StatusGuidance at IPO
v• >40% in short & mid-term
• >30% in the long-term v
Q1 order and revenue growth of 48% and 61% (on a constant currency basis)
Developing ahead of plan with continued investmentin Marketing, Product and Technology
Growth as No.1 Priority
v
Continued consolidation of countries and focus on leadership positions
Continued expansion into logistics in MENA and Americas
v
• Further build global leadership ssssssssssssssssssssssssss
• Further build leadership positions across all markets
Invest for Leadership
v Continued investment in personalization, restaurant
partner solutions, logistics services, enhancing global data and machine learning
v• Invest in technology and continue to innovate to
build an amazing takeaway experience
Build Tech & Product Leadership
v On plan (expected at the end of 2018)
On planv
• Achieve breakeven in the course of 2018
• Achieve breakeven on a full-year basis in 2019
Growing into Profitability
21Delivery Hero AG. Company Presentation.
vSubstantial Market Opportunity
v v v v vLong-term Take-rate Upside
Highly AttractiveRegions
Leader in Product and Technology
More Leadership Positions
Best-in-Class Delivery Operations
1 2 3 4 5 6
DELIVERY HERO SUMMARY
23Delivery Hero AG. Company Presentation.
+58%+54%
+63%+46%
+53%
+36%+39%+42%+49%+34%
+60%
+71%+62%
+60%
MENA+60%
+27%+33%+29%+23%
+30%
Orders:Quarterly Y-o-Y Growth
Source: Company informationNotes:• For the like-for-like definition, please refer to the “Definitions” slide.
Europe
Asia Americas
12 1315
17 18
Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018
6 7 7 8 8
Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018
2628
32
37
41
Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018
17 18 1821
22
Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018
24Delivery Hero AG. Company Presentation.
+47%+40%+67%
+63%
+40%
+42%+48%+73%+91%
+21%
+28%
+34%+30%+24%
+27%
+51%
+59%
+63%+59%
+52%
Source: Company informationNotes:• For the like-for-like definition, please refer to the “Definitions” slide.
Europe
Asia Americas
289313
366402
440
Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018
190206 217
254 266
Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018
7994 94 102 96
Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018
273 278 283
326348
Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018
GMV:Quarterly Y-o-Y Growth
MENA
25Delivery Hero AG. Company Presentation.
+55%
+48%+87%+101%
+42%
+67%+80%+109% +41%
+85%
+91%
+86%+87%
+92%+28%
+46%+33%+38%
+25%
2933 33
40 41
Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018
Source: Company informationNotes:• For the like-for-like definition, please refer to the “Definitions” slide.
MENA
Asia Americas
47 48 49
5559
Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018
3033
42
49
57
Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018
10 12 12 14 14
Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018
Revenue:Quarterly Y-o-Y Growth
Europe
+131%
26Delivery Hero AG. Company Presentation.
Date Event
Jun 6, 2018 Annual General Meeting
Sep 13, 2018 Half-Year Report 2018
Nov 7, 2018 Q3/9M Quarterly Statement 2018
Financial Calendar 2018
27Delivery Hero AG. Company Presentation.
Definitions
• “Like-for-like” figures include foodpanda and exclude the results of our disposed operations in the United Kingdom and India. The results of smaller acquisitions and disposals are not adjusted for. In addition, please note that:
• No adjustments have been made for HungerStation (first fully consolidated in July 2016).
• Asia KPIs exclude our former operations in China, which were sold in May 2016.
• All “like-for-like” numbers are excluding Indian operations, with for full year 2017:• Orders: 11.6 million.
• GMV: EUR 57.5 million.
• Revenues: EUR 9.9 million.
• Gross Merchandise Value (GMV) is the total value of orders (including VAT) transmitted to restaurants.
• Revenues presented for Delivery Hero represent the total segment revenues.
• Adjusted (Adj.) EBITDA represents earnings before interest, taxes, depreciation and amortization adjusted for extraordinary expenses related to transactions and financings, our planned IPO, restructuring expenses and expenses related to major IT projects and for expenses for share-based payments.
• Adjusted (Adj.) EBITDA Margin refers to adjusted EBITDA divided by revenues.
28Delivery Hero AG. Company Presentation.
Important Notice
• ALL FINANCIAL FIGURES INCLUDED IN THE FOLLOWING PRESENTATION ARE BASED ON IFRS, UNLESS NOTED OTHERWISE.
• For the purposes of this notice, “presentation” means this document, its contents or any part of it. This presentation does not, and is not intendedto, constitute or form part of, and should not be construed as, an offer to sell, or a solicitation of an offer to purchase, subscribe for or otherwiseacquire, any part of it form the basis of or be relied upon in connection with or act as any inducement to enter into any contract or commitment orinvestment decision whatsoever.
• This presentation is neither an advertisement nor a prospectus and should not be relied upon in making any investment decision to purchase,subscribe for or otherwise acquire any securities. The information and opinions contained in this presentation are provided as at the date of thispresentation, are subject to change without notice and do not purport to contain all information that may be required to evaluate Delivery HeroAG. Delivery Hero AG undertakes no obligation to update or revise this presentation. No reliance may or should be placed for any purposewhatsoever on the information contained in this presentation, or any other information discussed verbally, or on its completeness, accuracy orfairness.
• The information in this presentation is of preliminary and abbreviated nature and may be subject to updating, revision and amendment, and suchinformation may change materially. Neither Delivery Hero AG nor any of its directors, officers, employees, agents or affiliates undertakes or isunder any duty to update this presentation or to correct any inaccuracies in any such information which may become apparent or to provide anyadditional information.
• The presentation and discussion contain forward looking statements, other estimates, opinions and projections with respect to anticipated futureperformance of Delivery Hero AG (“Forward-looking Statements”). These Forward-looking Statements can be identified by the use of forward-looking terminology, including the terms “believes”, “estimates”, “anticipates”, “expects”, “intends”, “aims”, “plans”, “predicts”, “may”, “will” or“should” or, in each case, their negative, or other variations or comparable terminology. These Forward-looking Statements include all mattersthat are not historical facts. They appear in a number of places throughout this presentation and include statements regarding Delivery Hero AG’sintentions, beliefs or current expectations concerning, among other things, Delivery Hero AG’s prospects, growth, strategies, the industry in whichit operates and potential or ongoing acquisitions. By their nature, Forward-looking Statements involve significant risks and uncertainties, becausethey relate to events and depend on circumstances that may or may not occur in the future. Forward-looking Statements should not be read asguarantees of future performance or results and will not necessarily be accurate indications of whether or not such results will be achieved.Similarly, past performance should not be taken as an indication of future results, and nor representation or warranty, express or implied, is maderegarding future performance. The development of Delivery Hero AG’s prospects, growth, strategies, the industry in which it operates, and theeffect of acquisitions on Delivery Hero AG may differ materially from those made in or suggested by the Forward-looking Statements contained inthis presentation or past performance. In addition, even if the development of Delivery Hero AG’s prospects, growth, strategies and the industry inwhich it operates are consistent with the Forward-looking Statements contained in this presentation or past performance, those developments maynot be indicative of Delivery Hero AG’s results, liquidity or financial position or of results or developments in subsequent periods not covered bythis presentation. Any Forward-Looking Statements only speak as at the date of this presentation is provided to the recipient and it is up to therecipient to make its own assessment of the validity of any Forward-looking Statements and assumptions. No liability whatsoever is accepted byDelivery Hero AG in respect of the achievement of such Forward-looking Statements and assumptions.