Global Business Travel (GBTG) - 2024 Q4 - Annual Results

Financial Performance - Q4 2024 revenue reached $591 million, an 8$2,423 million, reflecting a 6% growth[4]. - Adjusted EBITDA for Q4 2024 was $110 million, up 39$478 million, a 26% increase[4]. - Revenue for the year ended December 31, 2024, increased to $2,423 million, up from$2,290 million in 2023, representing a growth of approximately 5.8%[29]. - Operating income improved to $115 million in 2024, compared to an operating loss of$8 million in 2023[29]. - Net loss attributable to the Company's Class A common stockholders was $138 million in 2024, compared to a net loss of$63 million in 2023[29]. - Basic loss per share attributable to the Company's Class A common stockholders was $0.30 in 2024, compared to$0.25 in 2023[29]. - Adjusted EBITDA for the year ended December 31, 2024, was $478 million, up from$380 million in 2023, reflecting a margin increase from 17% to 20%[53]. - Free Cash Flow for the year ended December 31, 2024, was $165 million, significantly higher than$49 million in 2023[57]. Guidance and Future Expectations - Full-year 2025 revenue guidance is set at $2.50 billion to$2.55 billion, indicating a 5%-7% growth in constant currency[21]. - The company expects Adjusted EBITDA for the year ending December 31, 2025, to include approximately $80 million in interest expense and$60-$80 million in income tax provision[61]. - Free Cash Flow guidance for the year ending December 31, 2025, anticipates net cash from operating activities exceeding$280 million, with capital expenditures over $120 million[62]. - The guidance for 2025 does not account for the potential impact of the proposed acquisition of CWT Holdings, LLC[60]. Customer Metrics - The company achieved a 97$2.8 billion, including $2.2 billion from SME[4]. Cash Flow and Debt Management - Free Cash Flow for full-year 2024 was$165 million, exceeding initial guidance of $100 million, and is expected to exceed$160 million in 2025[4][21]. - As of December 31, 2024, the company's Net Debt stood at $848 million, a decrease from$886 million in 2023, with a Net Debt to LTM Adjusted EBITDA ratio of 1.8x compared to 2.3x in the previous year[58]. - Cash and cash equivalents increased to $536 million in 2024, compared to$476 million in 2023[31]. - Net cash from operating activities for 2024 was $272 million, up from$162 million in 2023[33]. Operational Metrics - Total Transaction Value (TTV) for Q4 2024 was $6,896 million, a 10$30,477 million, an 8% growth[7]. - Adjusted EBITDA margin expanded to 20% for the full year, up 310 basis points year-over-year[16]. - Total operating expenses for the three months ended December 31, 2024, were $561 million, slightly up from$546 million in the same period of 2023[54]. - The company incurred $110 million in Adjusted Operating Expenses for the three months ended December 31, 2024, compared to$80 million in 2023[53]. Risks and Challenges - The company faces risks related to achieving anticipated growth rates and maintaining relationships with customers and suppliers[65]. - Geopolitical conflicts, including the war in Ukraine, may impact the travel industry and global economy[65]. - The company is subject to legal proceedings related to its merger with CWT, including a lawsuit from the Department of Justice[65]. - There are uncertainties regarding the completion and benefits of the merger with CWT, including regulatory approvals[65]. - The company acknowledges the potential impact of prolonged decreases in global travel on its business[65]. - Changes in market conditions and macroeconomic factors could affect the company's financial performance[65]. - The company has outlined various risks that could lead to actual results differing materially from forward-looking statements[65]. - The company does not undertake any obligation to update forward-looking statements unless required by securities laws[65]. Investment and Responsibility - The investment in Global Business Travel Group, Inc. is distinct from an investment in American Express[66]. - American Express is not responsible for the statements made by Global Business Travel Group, Inc.[66].