Sabre (SABR) 2 May 242024 Q1 Earnings call transcript

Good morning, and welcome to the Sabre First Quarter 2024 Earnings Conference Call. My name is Gerald, and I will be your operator.

As a reminder, please note today's call is being recorded. I will now turn the call over to the Senior Vice President of Investor Relations and Treasurer, Brian Evans. Please go ahead, sir.

morning, good and you, everyone. Thank First Welcome Earnings XXXX to Sabre's Call. Quarter press we investors.sabre.com. is issued morning, release, an at This website earnings which our available on slide page. also remarks on today's which Sabre during the web this call A is Relations Investor presentation, accompanies available prepared today's be available of this website on will call replay our later A morning.

volumes, our technology efficiencies forward-looking about you statements others. commercial including events, We and future arrangements, guidance our strategies, effects represent our our liquidity, that and cash the advise cost benefits that and strategic comments targets, contain among of transformation, flow growth distribution expectations from beliefs financial or and free

forward-looking All ended SEC these filings, uncertainties this for is the risks from statements our may that made earnings XX-Q the morning quarter contained on and XXXX. in risks cause and our XX, call. uncertainties release on actual statements today's issued including to information materially involve results Form differ conference March our and More

will Officer. available Financial website Scott are posted Mike Wilson, President available Ekert, earnings and with Q&A be also have presenting most non-GAAP EPS comparable to EBITDA other me Throughout and and Kurt today's for prepared Chief on adjusted free call remarks. be and non-GAAP EVP measures adjusted certain for items. at certain measures of documents the in exclude References reconciliations release adjusted our call, GAAP flow are financial cash Participating during margin, and EBITDA, adjusted after directly and to Solutions, today's Hospitality investors.sabre.com. and been Randolfi, the will President The we measures. CEO;

Kurt. over With that, to I'll turn call the

for today's in hello, Sabre, session. and everyone. your Brian, We and thank interest you joining Thanks, appreciate

commitment was result our first customers. to and of success our members' a plan of discuss team pleased the quarter, unrelenting execution focus, I'm to direct our of our which

our been solid a margin and today, a previous has QX We achieved commercial and expansion, revenue to continuing and and base. meet adjusted drove EBITDA year a our significant that to products us transformation lower customers' additional next-generation reported EBITDA our for included financial our exceeded speed delivered in Earlier adjusted leads progress full and guidance industry guidance which technology increase wins we advanced that XXXX. needs to increase share growth, This gains, revenue efficiency, all results cost our with trend. substantial increase distribution

me X, you see an Let call. that Slide of and for overview the agenda share the will I On today's Mike cover. topics can

review accomplishments. will First, our and I highlights QX business

our product on provide a wins commercial technology transformation that has achieved. our and of and Next, global brief the I'll update team recent highlight some

to driving. strategies Mike, update results for before will a guidance. to XXXX snapshot Finally, momentum handing off the of and I'll Mike they positive the provide are through you the growth take our close quarter then with an financial first and our

enthusiastic I in Before have Board she Board Gail's Mandel on, I experience extend knowledge Gail my invaluable since vast industry move her Sabre's new and joined on congratulations XXXX. to and chair. team of election April Sabre the travel depth to proven operating as

as CEO leadership Board and unprecedented also history, in We time and well. Sabre's him his Sean wish Menke during to deep Chair gratitude for extend an we

XXXX. fee, Now be versus driven above our a double our growth of the our better-than-expected revenue structure in We guidance growth Sabre's quarter. drove to let's Slide combined traction than average achievements strategies to the achieved These adjusted more to first turn adjusted by for higher EBITDA margin quarter X. and well cost booking solid improvements with EBITDA

X. Slide to On

making. key we have strategic priorities growth form that long-term reminder, X and our drive and allocation resource our a the of decision As foundation

in to significant financial in the track us cash generate EBITDA the sheet in keeps first remain delevering adjusted flow free positive The objectives. cash quarter important generating improvement First, balance XXXX. positive on and free our flow

now sheet. We steps years few balance cash repay to cash from with expectations. the during projected maturities our quarter our We remaining using also align free to important debt flow over our took next the plan further first the maturities XXXX

priority, grow long-term bookings moment. to our touch growth, second air detail continue quarter, in distribution in I industry sustainable of achieving our share first which on greater we in On will a the

Turning to Hospitality Solutions.

begin delivered SynXis team to contract we announcement. to on XX is the within Implementation months CRS strong Our with interim of this on platform. results in Hyatt and financial first just expected our them milestones established is the bring executing quarter to our quarter have

We options, strategic new Sabre while Travel priority booking they their traditional third the our choice of supports content giving and recently flexibility low-cost alongside EDIFACT drive launch LaunchPad, Our to development is partner, more NDC, enhance how agencies solution manage in proposition. workforces. Red and announced value Internova This our and innovation carrier Group.

points from Additionally, results we invest to will focused designed just on a distribution are we that are retailing on moment. provide next-gen each growth to strategies our proof these continue technology. I in delivering resources how of X and in provide intelligent

Last, transformation by cost our objectives operational year-end once delivered team on technology savings and achieve expect XXXX. we our our and to again goals,

a a and helped Turning quarter year-on-year expansion, continued or increase Slide a improvement our mix growth lodging, our richer industry financial solid adjusted fee business million above Distribution to drive booking in the XX% QX previous X. helped sea strong in drive Travel EBITDA. results from share in $XX ground average Travel Solutions first that guidance. Solutions delivered and

to Slide On X.

is growing we industry of highlighted share bookings. Sabre its distribution XXXX, throughout As

for our can expanded year-on-year see, on the quarter you 'XX a As basis. fifth QX consecutive in share

from corporate last year. to relative QX In addition, especially in we improved sequential 'XX our quarter, the trends experienced also in late as the share QX a travel increased on 'XX basis

X. Turning to Slide

the first results Hospitality quarter. delivered on We Solutions our consistently of during Total are CRS transactions growth quarter. team proud the year-over-year in the was revenue X% up in strong solid

addition, EBITDA overall $XX 'XX. grew increased In XX% and versus margins QX EBITDA adjusted million by adjusted approximately

expansion revenue. strong value We generates believe value SaaS operators hotel business. trend IT capabilities, recurring of trajectory model margin As for this consistent last a high Hospitality we revenue, recurring improving mentioned a for operating XX% quarter, our customer Solutions revenue base and support in growth, enhanced proposition an the a steady growing seeking inherent business

Please turn Slide to XX.

technology course on cost continue than cost we achieve to expect greater million Further, targets XXXX by versus overall goals reduction Our to XXXX. of in year-end our from efforts. $XXX technology technology remains an savings and these XXXX transformation

indicates, chart Cloud the continues our to our drive in Google efficiency As migration business. improved to

quarter. nearly declined of approximately our and To In introduced compute unit down enhance XXXX the software by of quarter XXXX. first first we quarter, during engineers first from the cost XX% XXX tools our was versus approximately to productivity, again AI generative XX% the

accelerate that product partnership and throughput Overall, innovation. our customers. in our development Google deliver commitment and continue of We changing investing we our speed will the believe needs modern expect further innovation meet solutions our this initiative technology to with to to

Please significant number distribution turn Slide and business complexity Sabre's how our and customers to Once solutions during travel help modern XX. marketplace. the of QX highlight that intelligent teams delivered consistently again, of sales today's wins a commercial retailing solve our

examples. gains. are India to Air growth some In and industry with expanded distribution, relationship share our Following continues bookings support

addition, of posting bookings. Airlines, signed and distribution Alaska Southwest in rates growth Airlines In with both important overall above-market X carriers we renewals

number investments to to power and On or partners. GDS travelers Concur SAP agency continue to Sabre making integrated growing for provider the Recently, of Sabre's the Order it Offer APIs, more first offer carrier to capability a NDC new Concur distribution we and accelerate serves. SAP and corporate functionality robust NDC, that

fulfill corporations Concur and TMCs NDC book, the now Sabre are to able content using Travel shop, and via service GDS.

online expense booking this Serko, the Sabre's leader NDC travel to and we market. management based platform, travel travel the in online provide a announced in that Sabre business Serko Additionally, Zealand, and platform its has first content launched content via making that week, its in New earlier GDS serves NDC

partnership our modular an on recently solutions and are is retailing of PSS PSS. Availability. Airlines, which This agreement gaining a Dynamic regardless In with for team important our IT, secured testament that our Airline traction customers platform-agnostic Aegean carrier's product a next-gen are competitor's intelligent with operates new

multiyear also Also pricing that optimization adopt signing its renewal Serbia better reaffirmed to network. revenue for Sabre's and Air Sabre SabreSonic and partnership recently its within by with announced inventory IT, will it manage Airline and a suite early

Sabre announced customer intelligent utilizing personalize will management cloud-native maximize month, revenue, strategies last Airlines adopt our IQ, LATAM and Price just and solution offers revenue travel data, to Additionally, Group real-time designed Air retailing that artificial it models. intelligence

and On a agreement new the U.S. converted a agency Travel, leader government multiyear in the Duluth we front, signed to Sabre. travel,

announced our cutting-edge more technology In agency we initiative personalized addition, AI a online with travel with we provide technology in and experiences. apply enhanced leading will recently users Korea, to Triple, South travel content travel the where Interpark

one agencies largest of We the with agencies Group, based also ETraveli important signed with and globally of also one largest the WXM, Spain. five in by distribution bookings, deals

customers. new achieving for of quarter team during our In wins both summary, I existing first with commend number commercial a the and

to progress on during XX. our distribution to to meaningful report the each quarter, to am modern designed of made I meet technology which and of Slide the deliver growth are On strategies, retailing needs evolving the pleased marketplace. that we first

APIs platform we content low-cost and business coupled XX to functionality, EDIFACT Integrated platform believe and include that LCC, has with carrier expanded from logic proprietary partners. airline multisource content best-in-class. offers Our new are our Sabre's place, in NDC one

their sell user Our efficiency importantly, choice, needs. all channels enables experience the intermediaries, seamless dynamically powerful through across carriers buyers while meets and best speed, transparency, platform to providing that

first realized solid as partner. share implemented especially buyers earlier, rich for business in multisource platform, On compelling with new business announced offering, carriers as yet IT distribution of expansion. technology as Distribution global signed share and as as distribution Expansion, select the We our continue demands mentioned as quarter, believe to with again gains wins well recent preferred their I us in distribution Sabre position not we Air but air India, a continued or such pipeline our well complex

strong up bookings. in contributor up ground lodging, business, first quarter air Distribution points. sea The year-over-year growth hotel to to rates XX% X.X experienced and attachment largest the with bookings hotel our Hotel and

disparate channels, offering. customers leading content brings APIs believe will drive sources, shopping our accommodation numerous responses content our intelligent lodging it myriad meaningful through consumable across services relevant is which growth and provides integrates and and We platform, our a as

In the unlock this of excited about believe well to payments, substantial business our over opportunity and position growth products us we long the leading term. returns are

more than first XX and the signed our year-over-year. jumped virtual customer XX% quarter, deployments During agreements new card we

quarter. in first Airline Sabre IT made significant next-generation strides solutions delivering and products the in

Price product excited and and this are Offer on wins, solutions and and Availability expect the Dynamic in to we make Air commercial to months. Order addition about our technology IQ suite progress coming of In on announcements the commercial significant

continue momentum in we Solutions. Last, to Hospitality see strong

to I As our this implementation Central at work System technology quarter. to with pace, expected is with SynXis previously, moving begin provide implementation Hyatt mentioned Reservation

ahead year Wyndham than our migration X successful SynXis hotels We the of also highlights Hub that more announced an schedule. to of important Wyndham multiyear yesterday platform, Property renewal with X,XXX nearly

properties expanded addition, of Solution by In year-to-date. SynXis XX% has Retailing our the number next-generation to adopt

a achievements double-digit These now why these term. I summary, to In are reasons sustainable to continue revenue Hospitality the strategies and for our focus improvement forward and just the over few will over margin we to growth deliver walk to XXXX. of on Mike performance financial growth drive believe substantial call you our outlook. that long hand will we Solutions expect the through

Thanks, XX. Slide Kurt, and good morning, everyone. Please to turn

a drive We quarter growth significant was solid quarter guidance on efficiency to our exceeded continued as first metrics each The our in expansion. combined Sabre. of for with focus margin key strong revenue

containing expenses and cost meaningfully transformation structure our to lower. commitment technology Our drove

delivering initiatives greater that improved our the our ability our base are fund long-term on to and strategic development efficiency priorities. enhances research Importantly, cost to product critical and

our the million also of flexibility maturity debt several generation earlier to sheet operating addition transactions significant balance extended free year refinancing with the maturities. and upcoming additional our cash slide, that better timeline. outlined team performance These In here approximately on align future debt projected delivered strong provide $XXX transactions this flow

the achieve to sheet. plan the flow with moving and XXXX remaining for in maturities expect forward quarterly XXXX cash positive from to We repay cash year, and balance free our full

turn XX. to Slide Please

line, prior from about by QX As quarter. driven on free total bottom flow is compared cost to continued driven than $XX With this is efficiencies for adjusted by bookings. distribution as enabling first cash booking beat. a and expected average we outperformance exceeded the EBITDA X/X million and adjusted our guide, you regards strong to higher about can table, drove the fee X/X revenue, flow-through revenue Revenue EBITDA and higher strength to in see our our guidance

year. XX. Distribution Slide was million, or $XXX to $XXX Turning million, or to XXXX. X% in last X% million an increase increase $XXX $XX of totaled compared QX million million $XX versus Total revenue revenue QX a

$XX quarter, Our bookings QX XXXX. total compared million million in X% $XX to increase in distribution were the a

in $X.XX resulting fees. first travel was volumes, higher quarter, in in XXXX the Our increase booking we realized QX up as booking average fee X% corporate from an

versus million the the Solutions a totaled previously Hospitality $X totaled revenue disclosed by million, $XX improvement quarter. of $XXX adjusted revenue decline first $XX EBITDA an year, quarter QX $XX XXXX. years. Adjusted This X IT quarter demigrations. versus million $XX the million EBITDA of the improvement in versus million revenue was XXXX X% represents driven in was in in a of or first QX $X revenue million prior XXXX. QX $XXX in strongest Solutions million million, This

the property With on growth strong track growth, revenue of double-digit in implementation, from are with XXXX our pipeline double-digit new additions including for we Hyatt margins.

million $XX QX improvement of QX XXXX EBITDA million an $XX $XXX year-over-year. million in versus represented adjusted Sabre's in XXXX

over flow by XX% first seasonal basis SG&A capital and $XXX of drive quarter year-over-year expenses cash million, balance in $XX first mentioned our adjusted a We cash earlier, actions quarter I margin million. XX% was helped in Free to trends. from the and the a about working year this we X% EBITDA of the adjusted As XXXX implemented quarter our in on first with typical technology driven by negative last reduced the year. cost QX primarily ended

XX. expect over our with to maturities financial aligned coming focus liquidity we that the our XXXX Slide better on These million, transactions over a million to as completed increased maturities to generate years. long-term free debt and and cash refinancing by priorities. of flow $XXX our sheet in reduced strategic during by quarter first balance we projected We our number to Turning our refinancings the continue strengthen $XX

see continue continue our to can significant slide, expect our to come a on improve. momentum not you next maturity financial will business to the gain As until XXXX, June as our significant performance providing and due we to runway

of XXXX our to result we from these maturities our with balance remaining debt a plan sheet. now transactions, As recent cash repay

Slide to Turning XX.

approximately approximately for the Regarding million, and $XXX XXXX, EBITDA cash free we of adjusted guidance quarter second of revenue million flow. expect positive of $XXX

are reminder, the a bookings seasonal trends, to quarter. high distribution As typically second with regard lower sequential versus digits by typical first quarter air single

EBITDA expect the of we For XXXX, $X.XX full and billion approximately million. approximately of $XXX revenue year adjusted

from updated we continue on see leverage transformation expect As in heightened outlook, you can containment. this to cost focus strong technology our and operating

and we in second, to refinancings In now expect interest generate addition, XXXX, full fourth and we for curve, With flow rate the the in third to year. expect interest positive cash forward free approximately respect to cash quarters the $XXX changes in and be million.

through As million now we spend $XX look at the pace of we capital April, year. expenditures expect this approximately to

track Furthermore, QX are that in EBITDA earnings cash we we our February. achieve adjusted greater $XXX and during in million than $XXX our XXXX we in flow greater free million believe on to targets than call of outlined

reduce and accomplishments priorities, are strong of In free conclusion, first our objectives. us innovation results deliver the achieved strategic have we and important cash accomplish and our to enable communicated which and outlook delivered quarter delever to flow commercial today cost a to firmly drive believe operational that members financial support sustainable our structure. generate those team will number sheet, growth, balance to the We

the operator, questions. please And with for open that, line

Instructions] Jed first comes from from of line Operator Kelly Our the question Oppenheimer.

And better cost then the SabreSonic commentary if two, level of you a just where you shares I may. the about you Just Solutions outlook around your I get seeing the to of structure. are for One, some Airline how kind rightsize business? stabilizing on Can talk a to sense of the appreciate the sort wins. GDS

Kurt. you. Jed, This is thank

I we about sector a strong basically by quarter. at X.X% was what the corporate And corporate, with the all, GDS we quarter is the bit up saw specifically, when TMC very in industry, more offset talked volume of look market in the prior leisure, was what GDS for saw a GDS on First as growth first business you or basis. the

Sabre, and was X.X% number For between that X%.

seeing we're So gains specifically there. sequential share

year, then on offset taking those last that the I with the technology We hold we For full by costs believe need that the is somewhat that sector coming do the year industry of and that trends have side generally with next cost that the and and is leisure overall, benefits quarter. do actions the effect took the transformation the we business our that right investment on the for profile overall, today on forward. right focus structure to structure cost structure going what for our just and cost the last discussed we

And of we business encouraged the you from When quarter will, has both market you stabilized. saw expect revenue in Order, very through look a mentioned months, that, in a as a fashion balance at the that roughly in is future and revenue you to doing set a we specifically, is modular winning Airline the our Retail few on in what quarters very solutions. points. our seems first product customer Intelligence by well with see and this cloud-based solution. I of built, the of that robust year XXXX. have we're should what is for One standpoint The We're which the coming be to prepared future discuss remarks, Offer and Solutions

So the very we're Solutions Airline business. actually optimistic of future long-term the for

comes question next of James Mizuho. Lee Our from

also is Maybe pretty And good on new region you Can talk about going is about you you on metric growth bit been enhancing Great. Travel My about your Congrats has can prior touched question for the about a frontier fee in some talk talk And understand applications of on understand That last a us us building investment. the on. cases difference takes that's And lot maybe Obviously, that guys you Solutions average little are upon which second that often puts of commentary. the well costs, of you're more there. use which you the managing you're business. how and models the doing rate product? metric. the on strength? the enterprises of seeing out can Which -- help durability over growth your headwinds help forward? booking few AI your Maybe main quarters. here. quarter question

I'll average Yes, booking the take I'll off, start and fee question.

saw you look And that a quarter this and types just Pacific As and the us, year. quarters, fourth airlines the significant was been of average strength is what of region. saw the have of it which very bookings. unlike that travel quarter, where strength we group it favorable Asia the higher seen, at region. a form but of average mix mix we last the terms first out group we've the the Asia over Pacific necessarily to in in out booking booking specifically, fee the of was actually And strength, we favorable continued of fee, in is, of several primarily bookings, strength wasn't It saw

Secondly, sea. we've goes land what average benefit into there. -- as fee the significant and And average the is lodging, And also is our slightly strength booking you average. fee booking above ground of the see, had there

So our average also that booking to fee. accretive was

we say booking would forward, through at in year. we would we that quarter, and range I look the first as generally average move As we produced fee look a be in we the expect to similar this

the AI front. on And

been several Google. for So with last years, the partnered we've

airline hotelier we're host certain Google's think solutions, of AI into very such the in primary at We When well. next-gen applications. about have horizon AI, those you embedded a of resonated looking Intelligence, have capabilities and and supplier-facing, as Retail X our all meaning,

throughput. development product our to respect with is One

both are much rate a enables produce and they a them or faster did using Google historically. Our engineers solution than better that new-code rate Microsoft the now much to effectively

opportunity. at as of look the in we this faster innovation terms So

we terms Number two is in how our clients. of service

traditionally to which one large automate infrastructure look and experience both data leading good into is very importantly, AI is at manual we have and user a learning. lot of probably generative last forms largest AI, in and embedding improve as quantum that then to that. have as do to opportunity as was There world And generative a productivity. of of only the data most the We the and AI, we the the sets AI

to tools, airline-facing, differentiate that So our is from pack. think embed hotel-facing, as there in the agency-facing we an we opportunity

the Our Brett from next line question from Fitzgerald. Cantor of comes Knoblauch

it's just in how on you the year. and fee. fee or for in just expect on the guess the mix out a would steady average any industry terms if your see away, the far the price, bookings look just color quarter, the between on I X%, booking implied and of you Maybe year. I fee? booking fourth stay growth imply decline of said that guidance year-over-year. I X% average of throughout global guess, booking you to at playing bookings the guess know what's a but bit rest the But you I

Mike, I'll and the Brett. Sure. This is thanks question, start. for

to air growth with bookings our is baseline about we million gave As terms $XXX guidance EBITDA. we of in think distribution just the normal bookings the of or in general, flat assumption

optimistic. that. lot I traffic dynamics in of high basically would be than of passenger mid- that. coming a what continue would international and that to projections There's better digits, bookings we say book Now in be mid-single -- will higher that up travel and is to be are distribution We've -- than single seen indicate volumes supportive the IATA that

America. positive, a booking we've Similarly, But from capacity, that lot seen they've that's adding favorable of of North capacity. internationally, is tempering still even capacity airlines, in they're tempered trends. most and And of then back corporate though

is reason a baseline there. to our flat distribution normal be So that's baseline growth assumption. but to think really bookings, positive We on assumption good air there's

we we we call be articulated, the it, as quarters. move been that fee, subsequent in, expect to booking the the range in to roughly as we've On $X.XX,

Yes.

strong reporting growth Let when very at bookings, do lot airlines revenue. On the you me a we that quickly. corporate distribution derived of in -- very look year-on-year believe are corporate the piece, just add

not largely leisure GDS indicated, sector We perspective seen very the from trends, in not versus on accruing marketplace. travel rate that and versus Sabre see I as airline to specifically. a yield-driven basis, traditional an that it's to as the we the believe with volume airlines corporate break out corporate have strong is We yields but differential returning

from lapping should second And of specifically, year-on-year first spoke of quarter, quarter the half in be we a the of for easier most the OTA challenging little dynamics about with us compare a the and are second the perspective, in last year, XXXX. bit some this

And of and very that's No, end it know at it. back year, the was just the I and scare the on beginning Got then very of year helpful. then a guys you bounced in got corporate, in strong January. little the

curious Is thinking Just as into are now it quarter, corporate? a month a second about the back we're with still how you vengeance?

Yes, in we're seeing -- the in the trends at continue relatively pace. saw second quarter, that we're at same seeing we quarter first the the

Perfect. Appreciate it.

of from Morningstar. from question next comes Our the Wasiolek line Dan

a Congrats on nice quarter here.

that, the on and commentary seeing technology helpful. what transformation Just been your very you've revitalization and with

offering would to win technology the question would currently, the kind your your levels the for second kind on before transformation? before then renewal this where versus think to competition? versus were they transformation, be you offering Just Is QX rate wondering, the 'XX of that How maybe and that? you should just kind of the with 'XX. How going on how is the use run relative fair see you And of progressed for rate say, expense. how about and it started product we

side, there. the take I'll is expense and start This then it out Mike. will Kurt on from

So things. a couple of

little that about had $XXX million million incrementally benefit, actions year. back expect million $XXX $XXX had build that attributable of $XX benefit. what transformation we our to that in articulated expense, you that tech you cost would we XXXX If million to we XXXX, in be XXXX. cost the of a in about about highlighted Of million would was efficiency transformation. took XXXX, and attributable technology of to about was of in on between that tech we million go have our to over benefit, $XXX and this efficiency from Of and we to of then February, go bit back XXXX $XX

of how $XX working loaded more P&L say to expenses the flows would because down have As see this to And is environment. backward through continuing think the the the you're to I seeing what But benefit we of some million in you and as it cadence compute first then optimize expect year benefit costs. it progresses. and year, that more there's our P&L, bubble We're the is quarter. of we slowly cloud definitely cloud the the environment we're continue capacity in in the

this And $XXX to year. think loaded, entirely. about That's then not somewhat So that at we million million we'll way another that XXXX have over is backward it and incrementally $XX least the XXXX. expect between

Yes.

the have take me Mike what is nor at benefit than a forward, And have I cloud-built fundamentally hindsight. the don't what you first if of I so the But modularized before going look question. we here XXXX, set have Let technology, great have neither were today, different mainframe we're we monolithic to of of going which past.

artifacts. thoughts So any historical business that this is technology are a dinosaur

business. is a This platform modern

first traction of cloud-based. fully our air the and to our that in And believe services as Order cloud-based. modularized platform, Those are marketplace, IT. Offer retailing things look our look that in built all, content are are our Hospitality best-in-class gaining we've SynXis Solutions the PMS booking been such really platform, fully capabilities you business, hotel cloud-based different platform, If and everything able our Airline is lodging retail are some in content businesses, of our our build distribution, the across multisource that we've we that's Red, tools. solutions Sabre you our When the in at CRS, intelligence

technology with businesses have, we've new and believe able best-in-breed move across corporations, pace partner can in by hoteliers. is look we different we're implementation of I when solutions at And a a to clients. being very airlines, been terms the in you of as say what today terms So innovation, chosen by we by agencies of the

And moves important made in are complete of that competitive continuing so has very that we're terms position. to the our Sabre

from of Alex comes Bernstein. question Irving next Our

Two from me, please.

bookings going travel. corporate is be in around to First

I So seen X%, XX% U.S. year-on-year, to if that up a you've airlines right. corporate capital increase of network discussing your are corporate either have the bookings managed X% couple about a in

of can we explain and a agents, if air yield You from if aggregators that things that And you're you have of shift, conclude agreements? content whole to full please? connections. about airlines direct which cadence the then differential, the currently the could we few mentioned right explain would you And you gap, airline bookings a share me channel think be second, just NDC, please whether what gap, would but comes with expect as going rest not, tell I'd forward, your

corporate. citing Yes. we when first travel, are -- of all, you. in what know Thank XX%, airlines corporate the On for don't improvement year-on-year example,

and in by I We up corporate travel. sector United, shift a the GDS very is to sector basis. corporate managed in cited quarter any that they X.X% broke and Delta volume is of rate. substantially travel, think not believe very We occurring majority to don't in believe channel for of believe with versus is all GDS the managed We up as indicated, significant perhaps X.X%, do growth on a a of the unit were the there's or disremediation Sabre. travel significant example, I was that portion accruing evidence believe that we of out With terms portion rate. it we corporate

have air in we and would our question, content that of carriers content agreements over percent XXX full well for, it, in agreements, of bookings. the XX-plus call second with The account terms world, distribution full

next Victor question of America. line the Our comes Bank of of from Cheng

$XX time, recovery. it savings. on every And is additional a at at the quarters obviously, I transformation equates you've maybe million I if just tech it first that bit if now. million million look that But talked in ago, $XXX a I XX% slides may. of $XX believe was recovery the couple on tech to I guess, of based about XX% or of Two, transformation, point

so follow-up. think about the savings. roughly have as well, to XX%, assuming cost to that Cloud any salaries this Is And there And we'd that assumptions I as closer a on on and right $XXX we're expect And at Google inflation, both way million well? then tech it? in inflation, baked then are on transformation

Yes.

guide. articulated think do of than that recent $XXX and that's our originally and transformation, level. it, wage to more efficiency. recovery we $XXX P&L. to obviously, inflation, are expected our expect were in what of and terms call in that of what on So partly that's February, we in million $XXX of benefit technology, million. because tech with that's it's, as in you substantially a what it out cost benefit we That's And reflected be do million most called little of higher because they particularly $XXX-plus assumes hits it component about that, today, the regard in that's our rates, We pre-pandemic, salaries million than lower a partly indicated, the We

long-term commercials the that also contract, our would time. of a for with with long I fixed a Google is period note relationship

in how Understood. about debt But do just obviously, we [XX] minimum think know, paying are one generally you liquidity required? And liquidity for maybe is the what's the cash. follow-up the down for I company? Sabre, minimum speaking,

Yes.

look if operated So in Sabre you had million. $XXX cash, pre-pandemic, at actual we to with terms $XXX of -- million

liquidity that a more we the revolver because had we had Now than at time.

out balance a to maintain this So most our stage, part, for higher desire liquidity the of prudence. is at

with about million As we quarter $XXX is we ended think to this million -- things the of cash. -- $XXX

for full cash QX, to expect the QX, be combined. positive year QX, We flow free in

cash you simply the million QX, we're the with add cash quarters. at of math in So what remaining $XXX in do X consumed if we least going to in

to And generate end sheet positions that in $XXX us we'll our balance, it, especially the than call a that we greater XXXX. cash in balance flow $XXX off maturities year million think taking cover So account XXXX, of cash of with approximately we into expect well to free million.

the question floor Morgan The line next is from of comes Baer yours. Stanley. of Our Josh

Bressner Ryan on for Josh. have You

dig into respect progress front? and update to the around you And on can comments Wyndham recent hoping a the the PMS. business and your traction on Hyatt? announcement with What give with hospitality any little this to enterprise is So more and

actually We Yes. online. I'll And have Wilson that. ask to Scott you answer Scott,

great Louvre pretty onto Hyatt. Great. the Josh. to of And into and remarks, years this This closed we from timeline over Thanks. -- our the execute in we've next. course a migration expectation platform year with months. their and we've them XX of implementation set actually the SynXis started of the have things prepared couple excited in the And that we about. as in in reflect enterprise actually deals last Yes, continue you, mentioned in CR is we we're the X hear properties will and And to X that

believe is on So quite be some that Hyatt and for to of front, with excellent a that really going positive we us an lot partner momentum time.

renewal we product It's about with type in select we was a do a was have the renewal PMS just on strong forward is in We this the additional X-part we On of Management deal. we robust incredibly a really our space. keep mind, an and of believe that service Hub. with pipeline continue cloud-native year Wyndham front, -- side, actually PMS announcing that service product the and Yesterday's limited Property have product PMS PMS Wyndham a deal their that hotel We this look is and them. this built one in with CR have a very to SynXis announcement mind. and actually of the the properties, have supports and to successes number deals deal

than hoteliers go confident good is and very in So their place our not occurrences. think on through continue our are assessment going winning news and that opportunities, of show We needs, front. the of a we But we're can -- participating well These that will of enterprise fair lot to as win. that enterprise be frequent technology forward. strategic more share we a

is park in Yes, of knocking here. the there. it just would me say and out let team chime I the

burned this quarter million year. think $X.X an million a year, you $XX million was year-over-year and business We had improvement If of that of the about generated this first last EBITDA EBITDA. $X

XXXX forward-looking more growth solutions. in are our last XXXX. bring and the attributable you firmly of in growth, half That about the provided on look just hospitality proportion strategic and generate double-digit job. EBITDA an commentary guidance team million would EBITDA. in $XX put this year, to of growth EBITDA to XXXX we we and our is path XXXX at would We February, Hospitality $XX than approximately we're in strategies what look to about you our forward-looking double-digit expected think in the initiatives that the awesome with we expect doing commentary our at and to which million if Also, margins between articulated business, revenue to year year-on-year about $XX attributable approximately Solutions, at If us million

comes the of question Victor from next line Cheng Our Bank of America. of

NDCs. one time United and just both last quick please? And of for NDC I are NDC on know NDC, about for But follow-up NDC it's to question it, ramping Delta on talked up terms in start American we we minimal on moving full and and still any the of as Sabre. volumes Where their kind volumes updates volumes. year, expectation the

Yes.

number do we buyers. still this what intermediary there air their and dynamics sector, connectivity, beyond we've certainly we business volumes positioned a Sabre, about, downstream We distribution from perspective on TMCs of GDS the all at on the only technology that we any such all that see need is from on and that based as the grow buyers work a in terms XXXX the substantially through do, of total well includes There For X% content built very logic but end both functionality do of about buyers. focus believe and for we're those big is NDC you volumes. to in future. provider other that talked think will Victor, or

number So substantially, we albeit think off a will burn that low base.

our as one it there, Victor, does in commentary, that providing. significant NDC, of our XXXX that's commentary uptake any in and assume we're thing on Yes. forward-looking And the add about XXXX we're commentary is, and would a forward-looking I incorporated the talking

it showing closing Mr. this remarks. Ekert The time. is I'm floor at to now would no questions for I like turn to back further yours.

forward of interest very with to today. That again again your concludes all in deeply appreciate soon. call. for Thank you you joining speaking today's We us Sabre and look

participating for today's conclude does the in This program. you conference. Thank

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