SP - Earnings call transcript Q1 2022 | Central Parking Finance Trust PFD TR CV SECS

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Operator

Good afternoon, and welcome to the SP Plus Corporation First Quarter 2022 Earnings Conference Call. [Operator Instructions] Please also note today's event is being recorded. At this time, I'd like to turn the conference call over to Mr. Kris Roy, Chief Financial Officer. Sir, please go ahead.

Kris Roy

good and Jamie, you, afternoon, everyone. Thank

just of SP Jamie the of XXXX said, conference I'm Officer Financial release earnings. quarter first Chief Roy, our Plus. following Kris call As Welcome our to

achievements will management variety including expected plans, and differ intentions, company's implied statements, to could expectations today, call XXXX as performance performance. the make that Actual statements considered to statements COVID-XX, may of due impact those and strategies, and from future financial expressed remarks results, of the factors, this quarterly the for with the operations forward-looking afternoon, SEC. uncertainties and be outlook Plus and materially the During regarding Factors Risk SP or call for company's those earlier company's incorporated XX-Q other is filings described this by reference website report and and risks, in XX-K or the on other Form which purposes reports in issued on earnings annual the Form available release on of including and a

call being live replay other non-GAAP recorded. be informational Plus SP addition, useful financial A website call, the purposes the will be extent end measures measures are provided will In to of investors this way Investor measures is will is and Chairman for evaluate of non-GAAP Officer. provides GAAP and in under appropriate days after to the shortly the Non-GAAP over during performance. Relations of the full the Marc to for financial the results non-GAAP Executive the information with reconciliation Plus Chief the are on A on comparable the now Management presented an broadcast measures our the is Internet XX non-GAAP from turn and I only. financial release. comparable believes information over tables ongoing call. Baumann, Regulation call the posted note, operations the presentation be earnings Please concerning call To website. tab to of reconciliations section in the today. measures discussed were company's will being financial GAAP G available and accompanying the will company's supplemental management discuss the available SP

Marc Baumann

post-pandemic addressable business growth last opportunities in achieved even our EBITDA first inherent the in adjusted in year good together the approach I'm and key levels. representing XX% the quarter for very pipeline, increases only pleased operating business supports model building continued have year. our gross year-over-year business Thank additional development pandemic, SP year-on-year from certain we accomplishment expectation full the will office on performance, as in drove as the as benefited the And operating the and the increase which and impact provides the strong pre-pandemic our with industry-leading recovered services. metrics which execution We market partially or and see markets profit point across you, the with first exceed We a SP afternoon, visibility improvement current that in significant over Plus strong adjusted wins our of Kris, retail, driving this service start our and believe for profitability our The from adjusted of XX% significant our and everybody. scale our inflection amid same-location that advantages contract offerings with conditions. the future the leverage for Plus, periods. income greater position in view market our new improved such and expansion verticals XX% an year, competitive to activity of This quarter, we respectively. demonstrating technology, of of given these are and business

in growth Commercial in adding compared every year more successful and our at also vertical profit turnover. as were business new offset nearly location gross that improve continue to experienced we conditions Looking segment, to of business we last QX than same normal

Sphere Plus winning innovative clients receptive profitability as while touch-free differentiator ways contracts SP continue to reservations. increase in Our prepaid be are also the very to consumer for new their an technology and important the interactions improving experience of through locations, to offerings

new we We Minnesota, active technology-based locations locations and XX the management of X,XXX a city continue contract net adding bring on-street quarter spaces solutions segment XX where including over the operations, location XX and of collection had to covers a city's at also for includes over event to were last to ability new Rochester, grow very We parking count, our meter commercial which months. services. our on the business, selected parking basis our with special

addition, extending NFL In and SP Pro and to services with excited its events. pleased have events very continue and We're XXXX and Bowl renewed the pandemic. the NFL from back the services entertainment transportation XXXX, future provided alongside National expense through largely Plus contract League to parking, for Plus events sporting, manages transportation large are Draft, to Super SP which local social the parking Bowl, that Football we're NFL Kickoff our operations division, mobility venue teams partners. to provide Gameday including since has through NFL and and

this and we millionth and offerings its to it Lake is available. the and aircraft our parking full Sphere awarded recently including with the continue saw curbside two costs. our segment. transportation and area In is without airports not interest now airports travel under seeing been the to provide a year-on-year mobility as contracts over clients first Turning significant operational of employees last also we are from allows management ground to services This upswing. collect contract and from hardstand additional Plus bag revenue services, We growing Salt renewed our gates program. when to Aviation continued in suite City where Plus offering, another shuttles in has shuttling interest drive are infrastructure growth, SP where concierge checked public, on We're new strong reopening to X years, Airport, these that management, the thanks at for quarter, the domestic where the SP the technology

We expect to with shortly service Property. and our The second airlines pilot number other to announced improve that this reducing conversation is helps a airline while congestion overall airports we're partnership program the This appeal a of of by cost it traveler release with a a passenger. airline the partners. is begin in engaged press potential large we and the experience, issued that borne System strategic and morning,

of and be choice the over Plus SP by actively look to We estate solutions platform for Property. its expands to it deploying growth also properties. optimize provider managed properties excellent and portfolio. As as parking to System operations an managed Sphere the as XX technology part owned experience this the will mobility we the forward of real of previously consumer at took at Parks properties see agreement, division our Motor Property System system opportunity

As positive you and from successful to for as that and can business development second SP report a continued quarter pleased see, strong trends into a execution Plus. from the both an perspective start first moved was to busy business XXXX we've have I'm the quarter. standpoint is off

to Kris over turn a Kris? for I'll the Now financial call review.

Kris Roy

Thank you, Mark.

the lays start foundation strong discussed, the As a the that XXXX we for to had of year. remainder Mark

In As an for profit, and confidence and $XX.X the also wins contract other past guidance. our increased that to of spoke first XXXX results around are restructuring that in months in the we costs, first always, year-over-year underscores quarter the I quarter, XX will depreciation, excludes adjusted and XX% Mark full about provide environment additional adjusted our amortization improving seeing which as year the million our color benefit earlier. of business gross

Just the reoccur. a the certain With related year-over-year that concessions, in year more was number million ago did cost benefit not reminder which a growth that even to impressive. $X.X included mind,

million. and quarter First expense, includes restructuring which amounted adjusted costs, G&A other $XX.X XXXX to

a of XXXX and still streamlined allows due profit. related this to investment was I operate the our it structure in cost continued the gross a adjusted of future higher X% support leverage increase, includes below XX% While performance-based pleased approximately overall us G&A including is was organization costs, first business leaner a am comparable XXXX our say compensation. to to quarter the growth that more as year-over-year better period to compensation and in to that

first double last than acquired basis. Excluding of and adjusted assets, of intangible more $X.XX, share $X.XX comparable adjusted per restructuring costs, XXXX earnings quarter earnings per other amortization year's is share which a on was

move federal tax to I the to spoke cash we about we am last on refund all, of call. say million As our we our that pleased $XX flow, received first

operations and from year's were levels, and $XX.X first was cash million. flow were substantially the quarter flow tax a cash operations cash last without As cash totaled result, free both where from quarter first $XX.X refund, both metrics flow Even above negative. free million

March historic was given the performance impressive, also quarter's quarter negative. is our This where often trends,

for sheet, senior we a number allocation flexibility facility broadly capital and to priorities. to As providing of focus pursue on balance increased and the million, credit our amended opportunities upsized growth recently $XXX to while and more constraints removing

gross range the pleased which our we full profit to our represents we XX% Adjusted are at expected from and from group. with of year support pleased current million, guidance. growth XXXX. midpoint year-on-year is received over results lender are million $XXX We on long-standing to XXXX $XXX Based our to visibility, the affirm

$XXX midpoint year-over-year million, growth. We to the expect million EBITDA XX% $XXX adjusted to range from which represents at

and million the million, turn for year Our is With $XX to at increase I'll compared that, a cash call between number. which the $XX back over midpoint Mark. is free XX% to XXXX full outlook flow the

Marc Baumann

Thank you, Kris.

increased now from with heard SP has position, financial you Plus capability. Kris, borrowing a As together strengthened

stronger an as addressable more additional would is shareholders. deployment improve, to pandemic the acquisitions include to with could value value avenues competitor. position and as This SP for formidable continue in that conditions strategies our that summary, additional the ROIs well as business capital and potential investment create expand company In strong and As creation. growth rebounding a we're Plus allocation a from organic of market, consider even

Our robust. rates commitment We we're look now forward through our to Jamie, delivering of we levels continued the pipeline and has business service for our retention as XXXX. move kept new growth questions. ready to high highest

Operator

question today first Our comes from Instructions] Daniel Securities. from Moore CJS [Operator

Daniel Moore

about that. Sorry

-- you Are with service conversations? your four rebounding level Let's the bags customer weeks. over of seeing say on? and color any the again. accelerated eight that's book Talk tenor like to of been base the of to back the starting about the the up start turning with to business, in over travel cruise Just as sharply, interest kind those bags what conversations last, lines

Marc Baumann

clients rather about Sure. some recently that on really the airport That's And airline demand. to airports. been serve and And about is amount domestic amazed both domestic of lot and at very particularly made are and travel consumer myself Dan. congestion, we're you think airline our we serve capacity that trips travel a a in reading we very, see And I congestion. great of the that because that than that the clients concerned question, constraint alleviating congestion I've

so the And think I for conversations accelerated. us, have

model. traveler remote over we're a curbside airlines concierge, cruise offer a And passengers or the can paid happening remarks, proprietary with which is as we from terminals. an they're expanded getting airport, which over interest as bags trying line we've to is in said, past operating. now pay now, for model have processed by and check-in one their through the, But other seeing what's year airline as our lot what just X of also, Our that's capability, and indicated we a prepared the because calling get with a an are airline we million sponsored available we're

Daniel Moore

a Very partnership? detail opportunities And strategic for is that a management does forward? little template agreements. typical other more property that that How system Can contract? bit a provide helpful. shift Maybe from of to differ going you

Marc Baumann

providing parking. property businesses at experts. the taking We're I estate management made as to the said, able requirements prepared one Yes. to strengths. operations were an going But technology, and be to look parking formerly starting that they did of they one They They kind had to some that's successful ourselves. platform is And going are those noticed level, be make at example which and most and They to owners Well, of third some handling are managers I services. aren't perfect real managing are really duplicate around you've over we're we a that themselves. to their also that they be of core mean situations. create at our operator, to not an investments of that primarily they as offering. look parties Sphere And think

cutting-edge to our forward you looking way they estate is business additional acquisitions bring us so technology. said, we growth, these And and focus your to operations, for came our partner choice like But to recognize we'd customer more look, take estate. as real there at revenue on the and and over a importantly, we value parking real as of partner can you to the go is a they going very optimize for in be that operations that who create well because experience

So that because I as of what's that I and behind owned particular think estate think there's years, situations what's for many lots see for parking exciting is it I management both other lots there for do template arrangement. really that's real But us services. people that, and operated have out a

their us, our to think they lines And their that to growth. parking and going I they're opportunity bottom their in operations. that to in estate have drive strength core bringing see management And so, drive real with is by technology that increasingly strength an working and core is

Daniel Moore

Last to your including results ours. would expectations? outpaced me Street's for of how is describe relative Clearly the helpful. Very just internal some QX you estimates,

to we're gave expectations when Just your wondering how pacing initial your embedded guidance relative ago? months couple you of a original

Kris Roy

Hi, coming into I'd probably us, for a it was little year. expected Kris. strong of it was Dan, we a than the is -- originally quarter kind say certainly, stronger this

movement kind just I recovery, thought. spring seeing saw activity typically And probably of just of think passenger get movement Mark I think we a and think earlier we off. saw I out a kicks there. swing, full Certainly, a that into break people lot lot of the as than spring as people that happened kind we break mentioned, of certainly volumes little and you're

first encouraging really it's quarter. So

Daniel Moore

right. I'll with All follow-ups. back jump any

Operator

from next Research. our question Barrington comes And Kevin from Steinke

Kevin Steinke

a you put back maybe again or that your to aviation services some on those How starting much that room question bags they the think clients The pandemic. restart you while the you mentioned was for and you is services aviation about talk about to I for can there. the in I asked sourced services been clients there of bring temporarily just some trends to And mean, your or some to outsourcing those of have trend there? the were hold? recapture of

Marc Baumann

Sure.

aviation our services. I bring something back the XXXX. on call, make talked to fully think being of back decision-making if go you to the to didn't we until I And XXXX, be realized QX the about that aviation expect really recovery that clients that's back

accelerated. is I expected. think what meet what's than happened the the for and and I definitely don't have they I demand. that think to, is to since we're looming, think, we going made There's the more that travel the And the it demand those has services is saying capacity hearing statements airlines anybody the issue that's are

their train and to be they're that the pilots therefore, for this especially rest operate of need bring on going so as to And their to controlling they look year get other ready capacity, staff businesses. to they and

means above services a the that that to But them either. call were in let's more So, And that going in above world in be be levels. than I we pre-pandemic level is pre-pandemic don't now think I our levels to is to think aren't airline good a, news going XXXX capacity cost-conscious pre-pandemic aviation. we're overall it, of

a friction getting a cost. acceptance experience see they with I can't around that and going pocket see And a so able is it's done there's had our airline we can enough cruise deliver of lot the and the because reacting they're other paying for and fine one of services convenience I it's it success a airline. research during pandemic test something great friction we've think whether whether out are has how our as all for and that I can have I they're people these resorts, paying product not for the concierge that alleviation We've experience? for airlines And that alleviate a to lot lot of value. consumer were really fact low-touch with to endure And model airport forward. curbside consumer and how can consumer clients out encouraged of to the airports, How in strong potential they or really and of the emphasize a clients lines saying, and

seeing So both the alleviation of now. seeing other now. it airlines definitely, right almost is are airports are think airlines And priority I their and congestion top

Kevin Steinke

transactional That's And app Great. generate seeing ability to Yes. on and the through volumes maybe any that? fees helpful. Right. that. -- an just through update or volumes of transaction traction -- parking.com Just the your start with you're on of pace that

Marc Baumann

That But were us basis. can ongoing that And on I talking an with call. that started. set Kris exact to We about the bring think say call fine. to data didn't sounds new rapidly. before we continue the we and just It's I growing records the

location. of XXX -- our We have time. adding gateless the we're solution gateless out gateless the more I through running we than have penetration the pushing all know every more solution and locations

rapidly. gated which is complex and on I a same of we've in just platform. months. time, locations But markets and than there. now X% from at transaction about in just more are didn't more the to think to like just little our XX% growing to technically executives Our out certainly the that was start the transactions he parking.com going I Chicago, solution, a was we've talking bit last was XXX eight And through volumes Chicago me today got gone in saying one his

that go definite opportunity there's So, even to for number -- and higher. there's

mobile in of go space. there's transactions way XX% we a are to of think long continued And transaction hovering markets we're locations growth that a client where sort I our for XX%, going and got that kind parking.com company, long we've digital think where a think of long, of got in I we've now I X%, at were as app. time, volumes So, seeing up our through

Kevin Steinke

Great. Right.

forward. You financial or mentioned still business organic the like invest flexibility your ability to your is a priority. Obviously, in going sounds

you give potential might us be of also updated on the interest Can You just acquisitions. some front? mentioned acquisition on what thoughts

Marc Baumann

Sure.

are it our organically to grow all set can technology our we a have internally clients the And we value if sure is as that that that bar provide capital space, needs business the we think clearly as has I it that making possible. solution. fast in the

acquire technology to nicely So the businesses have accelerate partner gas development pedal, and we and predictable that stabilized turn back to the and our somebody we've some have as new little on with are foot for been can If technology lot through organically. areas of we out provide we of full have a roll of pandemic, at, can parking capabilities. visible bit smaller technological more or bus transformation, us most to We or that that's help around regional we're ancillary the whether at also accelerate looked like the somebody financial that are and services we something the looking a attention I it's and can companies. a have that our performance, shuttle at. grown our part even that think now going operations to historically be we potentially But looking

can us just we'll ourselves being interested view client space our asking -- just well we in sustained cast version and basis. larger a a to question, the rapidly value the base us so there of are growing can a And ourselves. of not version our we in being look something and of We're company a businesses the an growth interested a out in acquisition We're more that as out same help help there on can accelerate understand ourselves. bring that and at always

further of cash of see, significant and to that throw we accelerate the amounts growth use to we're want business. you of some the off as grow, going As to we free flow,

Kevin Steinke

results. first the quarter on Congratulations Okay.

Operator

[Operator from Marc Company. Instructions] question Our from comes Sidoti Riddick next &

Marc Riddick

that about time. we the things. been little of some in might today And few a competitive orders made quite far order would gaining talked certainly, benefits flow. a if seen? seeing been about if that bit -- competitive other start I you're landscape, little to success technology maybe a of certainly, the new bit things could there and quite you overall that as I the what as of set things well wondering market could you've was new to the are have point as you there? could accounts for But wondering place with lead have the you to was you've that and was I the some talk Maybe a if share announcement about wondering leading as dynamic, talk maybe bit new gains

Marc Baumann

Sure. been transforming the competitive of at look are Well, you And have out people I technology-driven landscape, businesses. parking one themselves process when or operators, and X have such that you either companies ourselves, think are in historically of into as the types there. not are

competitors attention it's receptivity delivery nature, focus our are those to many very on competitors other some -- with so little kept large are And that Sphere whether of clients platform one-size-fits-all those you are to performance of because clients there, And some our longer. legacy a and competitors who technology are parking then the things out some last-mile in and over mindset. haven't are they any other But of to things we're lot and us, of pure that done bringing of technology, maybe a we that of there really their around to away their in then up. saying are getting facility from on. clients from legacy have that interested space, alternatives technology are turn a some just focusing they have have optimizing And or your them some

just a that will in platform a very solution requirements. And oriented But clients does tech and combination strong needs. putting that are convince it after meet and expertise. their a a they it are technology It's fundamental about the type go might And that, is people be, place. looking one operating to that technology and have where be customized going are of of solution, for whatever generally they buying the some we but that solution what meets a there trying clients' need, developed also clients not complex around needs. that they've toward solution So they

people need using results. in have that tech get expertise You optimal who platform to

we the I proverbial providing both to look see a on leading in boots ground player client future, at the as technology, to being meet the but think as we same combination the ourselves the of So trying time, that management what when for. expertise are to the manage our over wins, technology clients get are they're over, us new looking that to over over and telling results that's looking clients And we announce again, and and the needs, for. cutting-edge

and extensive digital also solutions solutions, in technology results the using looking Your but we're drive your to operating those expertise that for.

Marc Riddick

switching bigger the about then question travel. you of conversations And picture Great. -- to flow gears of around flow traffic, people, on the talked

talk bit returning a So wondering you're as seeing office. could level you to far folks the of if what as about the maybe little

in on and that's who just -- maybe to of hybrid work a seen some was profitability call opposed about maybe think last the far on approach I last that that or year those so the think I matrix maybe our in as on are how the you've day call it and -- office the of traditional talked you looking. in touch last engaged the every this the progress

Marc Baumann

all looking a think, places with out obviously operating But pandemic resumed on think delivering continued continued our was have to some they've we in I . earlier states thousands at companies there throughout trends I in some the places, not day. because are services days week, to were X a every of I have the are that most offices cities back, the setback hybrid a week. and push around Well, return little a office. the model, -- the of with office know employees X year. days have But the We variance running continuing in most Yes. there

workforce if that's kind in everybody's be And what are people think looking those as I their to to well to people for offices be jobs of the going you other were of some that -- want X got are say have in days, that for to be to work alternatives. is looking now.

the that think settled in people I hybrid our and comfortable economy kind we've company So feeling wanting of if a works. with that is model in,

drive management costs are for And to so means app. superefficient. to out facility that that our deliver make makes the no-touch profitability We've does solutions that involve appealing predominantly don't to talked involve times, numerous trying and mean a operation what those is optimizing base for solutions base clients' because for contracts. to And they us? It about client. we contract we the solutions the contract the this to our the have Ultimately, They of mobile the -- with technology and parking.com make touchless the can public want bringing lot facilities traveling or employ they friction clients.

we of management paid in for these all exchange that a So are the being fee. things bringing are

And so our is in facilities. tied the of to profitability not directly cases many, many the actual utilization

for they be for a have parking. somebody clients. discounted days is One to would be somebody solutions monthly our as people monthly a in parking, terms, office, model might parking much around paying if certain for in parking. extent, I pointed And paid have back is is X week, coming out would revenue in more thing as business the great it see while So to before, providing

as revenue hybrid the as the So clients, think great shortfall, of way for model if even you might the business. is permanent isn't the

Marc Riddick

future? in might forward model the so, if new or other potential the could a as, attractive helpful. are that talk think wondering one together. last That's is about and into markets then far opportunities of how the business you as acquisitions move to about for for play into was growth to some if future And for or me see you very expand how I could now that beginning bit opportunities And the

Marc Baumann

provider-of-choice we can at from that, the traditional to of System one We, is is found things operation. no Sure. one our the talked Well, we new be things that there grow we've we away Property. talked arrangement for the market. technology obviously, We've that competitors. try solutions with a things take is of to looking how our are about do and about need But brought clients where

we provide But the where are situations, clients revenue the had requires are very had ground. to definitely necessarily been we're been many aren't the past. adding where increasingly not or efficiently we're in boots charging the boots the situations not ground, If clients going for there on so of these it. collecting situation And on providing and parking

we to way that technology addressable expand a developing for platform So as market the see we're definitely us with that now. our

we're spaces see clients business not take that, where SP I to people ready think can share, you of platform somebody get so like and of it something beyond we some from Plus definitely the have to expertise clearly the that in our realize trying going North major as tech traditional outsource. the competitors, municipal geographies the places that and use if with has. in America, expand and go get we're we most And institutional to grow you're internally, to to do to market

So continue to us for growth well. as I our think that's another organic opportunity

Operator

Blair. our And Tim question William from next comes from Mulrooney

Tim Mulrooney

System that XX Is on could that much curious -- those be their parking real on captured deal, development represent? Property So of properties. portfolio locations of the through portfolio? the additional how their how runway much just entire estate that real estate I'm do here

Marc Baumann

other parking people about providing management were the only services. it's of X No, rest theirs, that Yes. and were they properties

-- primarily properties at were grow in business a have their and level, ours to other of continue a to well. competitor Southern California. some do hope But of So as small they number they in

by not operated those third of parties, them. some are And by properties

along In all with think it's of that of as an them. to forward parties. our that they with if to working them them will those They're are the new further them, moving many are and leases third up, us parking And at is there of relationship And on I properties. is fact, burn off. none with those traction by look with come operated by give as them going opportunity leases operated

One opportunity of the to them operation, parking property like new things the help technology property and you platform. we for Sphere is bring do especially if what evaluate management is in clients the our from try the ownership financial

expect opportunity new be financial the to them to help we acquiring identify try to So them for with them properties. of working

Tim Mulrooney

of contracts parking the I'm ask price your pricing. the to pricing parking your actual about that everything much I That's -- but the consumer. clear. about how pricing Switching contribute portfolio, else cost year? how themselves, Across the not price parking is Okay. of economics of to very of just parking wanted leased the in the pricing, now right tickets, going this location we might see? much that with up to curious is on line gears --

Marc Baumann

and Yes. recommending operate. pricing for a our around clearly, of we've time environment parking this for they done ourselves. charge, competitive client, should long clients it's we those we're thing is we're what is any And to our do, aware Well, decisions we management what and management constantly the facility we one rates make if a leases,

to recommendations can a scraping deployed to One pandemic walk as instead pricing. is tool do around can actually put changes of tech of part making the information, the so to they that get that be surveys, a tools around of with pricing and it having operating web experts, during that but with and our platform our teams clipboard, we rate our we

an in we been thing would of really happened try opportunities I don't last that doing that's markets parkers pricing market. say demand, are the months so to ensure of transient strong to New that's So that ongoing the parkers transient is so parking to that have strong one to particularly discounted for move things this we've with that is monthly miss York, reducing XX demand. parking. The the the we're allocation and like monthly the you

the one parkers. those parking. And their allocating monthly alternative monthly the to we to the less people find for we for or to we're do parking, and we're that an pay monthly of motivating sharply up market the put So is facility ways to prices that parking of

here definitely inflation and but by opportunity -- an much driven there's not simply it's it's by time, this as supply during and demand. So as driven

demand. And so more more as put And we're up occurs, to to continue we're prices. seeing and going that

Tim Mulrooney

different you businesses? But seeing like is year wouldn't we're of characterize to pricing the significantly lot relative of cost this Okay. across prior increasing a years,

Marc Baumann

benefits, in location, input costs, bear in do other 'XX. wages and But it's too. have we mind, have not Probably to if we a pay Tim, lease and necessarily

team or of those incur higher So focused costs higher maybe locations going not that labor lease some is a ensuring as on be profitability input seeing loss our we to keenly very other at costs. we're

recovery, what would situations But rates, there parking the So very last we're in where what I mean. the year, like you we say on that I were focused very, meaning stages that. of doubling is were earlier monthly know

period we're think now. that an in inflationary through are I So But think I we environment.

and We want for But spend be various are people are to they expecting they're services in have going prices shopping fixed to money once to a amounts again, period competitively. up. where consumers of go

to charge to parking competing people. we for rates marketplace So that the we that competitive have ensure with the local we're are

Tim Mulrooney

Got it.

Last me. Okay. from one

hospitality one you comes pandemic understand revenue hardest your at is you can levels. where you've ever by that of percent in got don't But us hit business. hospitality areas to your that what valet disclosed is pre-pandemic business know guys. think I the from of And commercial relative the that help I for

it bad isn't XX% X% which it it still business a Is your necessarily to is back today? in relative It XXXX, if to was For thing? example, to also depressed XXXX, opportunity. represents of X% an significantly

understand is Just that today. trying where to business

Marc Baumann

XX%. division Well, we've revenue but don't probably the pre-pandemic, commercial it's locations locations gross talked. roughly numbers our Right. as profit here, X,XXX have XX%. maybe represented over And and I is hospitality

and So it's services some a commercial closed business. clearly, the during our had hotels of eliminate And significant part pandemic. we or important

because went that's XX pipeline. why the really say, would with is is numbers And significant And thing most competitive skillset. forward it's opportunity point down have added traditional those for our well, locations in and going got But We view, more say of a that in that would important So in might hospitality. the what you growth us now, probably be? we the our a just from hotels. part services I the XX of bit. quarter, We've a

We have more four anybody and resorts else. five diamond than

handling and impression levels, businesses people first at for like and the and And recognize drives property Ritz they to pre-pandemic to We guest back. to think impression expertise or the Seasons customer that as seeking likelihood is have Carlton. come what hotels Four demanding their bring back the restart I last that satisfaction most are clients and the

are KPIs tremendous job. before they're saying, we're that this they're doing on. -- who having somebody a I'd amount from And not not to outsource interest so seeing we're They're a and good hotels else, focused the enough on focused of

we if And competitors at a bit. hospitality, look stumbling so little they're operating for our

And so we definitely see that as a real growth opportunity for us.

Tim Mulrooney

That's great color.

Operator

additional ladies an comes and And from Sidoti have do Riddick Marc we question. Company. gentlemen, & This from

Marc Riddick

start rates to wondering the bit started on little think I was where I go for progress as where retention we the X. touch you a forgot those up I'll we're how well what the gateless something about. both there year finished ask like and I -- start and on locations if just we overall to as wanted I'll just with and that follow could you'd looking with year

Marc Baumann

Yes.

I have but think gated I attention for did on comment and you Marc, a may second, turned the your away, gateless.

now continue gated We pipeline. XXX is solutions. those the the the is sorry, -- and drive drive now solution XXX penetration certainly approaching both to solution The we'll probably with in locations, to over solution is continue gated And of the gateway that. more probably

app. a think mobile see I drive So continue we transaction volumes that through way our parking.com to as to

I the us sure upward into so continued I'm a next rest think year. during this will of that growth for source of be and year, And

to from ran In year. It's in up retention where is was of In most XX% year, rate strong location terms our division quarter, was rate. it. last we of QX which XX%. retention, retention a the slightly it see commercial last of We're glad

that to hard what making understand with clients they delighted up So are on we we're ensuring that we're delivering. and see as what that sure focus pleased looking we for are pleased ticking and

Operator

floor Baumann and session. of closing End the remarks. any ladies be that, turn Q&A we'll gentlemen, like Marc concluding back for with And question-and-answer to today's I'd over to

Marc Baumann

want today. We're next thank for I you forward Take and speaking start you very our to joining obviously care much And to all be to very year about the just us Jamie. quarter. well. and excited of Thanks, looking with strong

Operator

And thank you conclude for call. that, ladies attending today's we presentation. gentlemen, conference will today's with and do We

You your may lines. disconnect now

Central Parking Finance Trust PFD TR CV SECS (CRLKP) 7 May 222022 Q1 Earnings call transcript