American Express Global Business Travel, which is operated by Global Business Travel Group, Inc. GBTG (“Amex GBT” or the “Company”), the world’s leading B2B travel platform, today announced financial results for the second quarter ended June 30, 2023.
Second Quarter 2023 Highlights
Outstanding Q2 Results
- Financial results exceeded Q2 2023 guidance
- Revenue totaled $592 million, an increase of 22% versus Q2 2022.
- Adjusted EBITDA1 totaled $106 million, an increase of 126% versus Q2 2022, with an Adjusted EBITDA Margin2 of 18%. Net loss totaled $(55) million, with a net loss margin of (9)%.
- Net cash provided by operating activities totaled $46 million. Free Cash Flow3 totaled $19 million.
Significant New Wins and Continued Share Gains
- Total transactions grew 12% versus Q2 2022.
- LTM Total New Wins Value4 totaled $3.4 billion per annum.
- 95% LTM customer retention rate.
Excellent SME Growth
- SME transactions grew 15% versus Q2 2022.
- LTM SME New Wins Value4 totaled $2.3 billion per annum, a record for the Company.
- Approximately 30% of LTM SME New Wins Value came from the unmanaged category.
Raised Full-Year 2023 Guidance
- Raised revenue guidance to a range of $2.25 billion – $2.28 billion, representing 22% – 23% year-over-year growth.
- Raised Adjusted EBITDA1 guidance to a range of $365 million – $385 million.
Paul Abbott, Amex GBT’s Chief Executive Officer, stated: “We reported strong second quarter 2023 results, including the highest quarterly revenue in our company’s history and strong Adjusted EBITDA growth, and reached a huge milestone returning to positive Free Cash Flow ahead of projections. Specifically, we delivered strong SME growth, including yet more traction in the unmanaged segment, and record SME new wins. This positive momentum gives us the confidence to raise our full-year 2023 guidance.”
Second Quarter 2023 Financial Summary
(in millions, except percentages; unaudited)