Comprehensive Video Presentation by David de la Elizaga
In this comprehensive video presentation, David de la Elizaga, CFO of eDreams ODIGEO, presents the company’s impressive financial performance and strategic progress for the fiscal year ending March 31, 2024. Elizaga underscores the robust growth propelled by its Prime membership model, a testament to the company’s agility in adapting to evolving market dynamics and driving substantial growth at a crucial financial inflexion point.
Financial Performance Highlights
Cash EBITDA Growth
Elizaga reports that the company achieved a remarkable 44% increase in Cash EBITDA, reaching €121.4 million, and anticipates a further 48% growth to €180 million in FY25. This impressive performance is attributed to the rapid expansion of Prime members, which grew by 34% to 5.8 million. This marks the fastest-growing subscription program across all industries, with a compound growth rate of 177% over the past six years.
The Prime business significantly contributed to a 32% rise in Cash Marginal Profit to €217.3 million, alongside a notable improvement in profitability, with the Cash EBITDA margin up by eight percentage points to 18% in FY24.
Effectiveness of the Subscription Model
Trustpilot Scores and NPS Improvement
Elizaga emphasises the effectiveness of eDreams ODIGEO’s subscription model, which boasts the highest Trustpilot scores among its peers and a significant improvement in Net Promoter Score (NPS).
Prime members, who book 3.8 times more than non-Prime members, have driven the company towards a more stable and predictable revenue stream. The percentage of Cash Marginal Profit from Prime members increased by 26% over two years, underscoring the model’s success.
Roadmap for FY25
Ambitious Targets
Elizaga provides a detailed roadmap for FY25, outlining ambitious targets, including exceeding 7.25 million Prime members and generating over €90 million in Free Cash Flow, excluding Non-Prime Working Capital.
The company also plans to accelerate its share repurchase program, targeting 4.5 million shares at €6.9 each, clearly reflecting its confidence in its undervalued stock and potential for future growth.
Long-term Growth Potential
Expansion and Technological Innovation
Elizaga highlights the long-term growth potential beyond 2025, driven by the increasing demand for online leisure travel, expansion into new markets, and the continuous enhancement of Prime offerings.
He particularly underscores the company’s leadership in AI, which has been a cornerstone of eDreams ODIGEO’s strategy since 2015. This has inspired excitement about its technological innovation and position ahead of the curve.
Conclusion
Overall, the presentation by David de la Elizaga showcases eDreams ODIGEO’s strong financial health, strategic foresight, and unwavering commitment to delivering superior returns for shareholders and exceptional service for customers. This commitment and their innovative subscription model’s transformational impact instil confidence in the company’s future.
May 29, 2024
12:46 
