Slide 1: First Quarter 2013 Earnings Presentation
IntercontinentalExchange First Quarter 2013 Earnings Presentation May 1, 2013
Slide 2: Forward-Looking Statement and Legends
Forward-Looking Statement and Legends CAUTIONARY STATEMENT REGARDING FORWARD LOOKING STATEMENTS This presentation may contain “forward-looking statements” made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Statements regarding IntercontinentalExchang
Slide 3: Forward-Looking Statement and Legends (cont)
Forward-Looking Statement and Legends (cont) PARTICIPANTS IN THE MERGER SOLICITATION ICE, NYSE Euronext and their respective directors, executive officers and other members of management and employees may be deemed to be participants in the solicitation of proxies in respect of the transactions desc
Slide 4: Earnings Conference Call – First Quarter 2013
Earnings Conference Call – First Quarter 2013 Jeffrey C. Sprecher Chairman and Chief Executive Officer Scott A. Hill Senior Vice President, Chief Financial Officer Charles A. Vice President, Chief Operating Officer Kelly L. Loeffler, CFA Melanie S. Skijus, CFA Vice President, Investor Relations & Di
Slide 5: Commitment to Execution and Growth
Commitment to Execution and Growth ICE Revenues $1,400 $1,327 $1,363 1Q13 Operational Performance $1,150 Average daily volume (ADV) of 3.6MM contracts, -4% y/y $1,050 $995 o Brent ADV +17% y/y, Ag ADV +8% y/y $813 Volume & open interest (OI) records across products $700 -4% y/y Launched 16 new
Slide 6: ICE Financial Performance – First Quarter 2013
ICE Financial Performance – First Quarter 2013 In millions, except per share amounts Change INCOME STATEMENT 1Q13 1Q12 y/y 1Q13 Financial Performance Total Revenues $352 $365 -4% Revenues $352MM, -4% y/y Total Operating Expenses $152 $140 8% o Brent revs +14% y/y, Ag revs +6% y/y Adj Operating Exp
Slide 7: Revenue & Expense Detail – First Quarter 2013
Revenue & Expense Detail – First Quarter 2013 1Q13 Consolidated Revenues 1Q13 Consolidated Expenses SG&A Market Data & Rent & Other Deprec. & Tech. & Amortization 15% Communications 11% 21% 7% Energy 12% Agriculture Prof. Services & Acquisition 17% Costs 61% 12% Financials 34% 10% Cash Comp. & Non-C
Slide 8: ICE Futures – First Quarter 2013
ICE Futures – First Quarter 2013 Annual Futures & Options ADV 1Q13 futures revenues $255MM, -5% y/y -4% y/y 3,600 1Q13 ADV of 3.6MM, -4% y/y 3,000 Record volume quarter in WTI & Coal Options; RBOB Gasoline & Coffee futures 2,400 1,800 1Q13 Rate Per Contract (RPC) Energy* Ags Financials 1,200
Slide 9: ICE Credit Derivatives – First Quarter 2013
ICE Credit Derivatives – First Quarter 2013 CDS Open Interest and Gross Notional Cleared OI (Billions) Notional (Billions) 1Q13 CDS revenues of $33MM $1,800 $45,000 $1,600 $40,000 o $18MM from Creditex, -25% y/y, 57% electronic $1,400 $35,000 o $16MM from CDS clearing, -4% y/y $1,200 $30,000 $1,00
Slide 10: Consistent Cash Generation & Strong Balance Sheet
Consistent Cash Generation & Strong Balance Sheet ICE Operating Cash Flow Solid Cash Position $800 $713 $733 $150MM in operating cash flow in 1Q13 $1.4B in unrestricted cash $600 $534 $487 $2.0B undrawn under existing credit facility $375 o $1.7B available for general corporate use $400 -19% y
Slide 11: ICE NYX Pro Forma 2012
ICE NYX Pro Forma 2012 Combined business well diversified across asset classes, products and geographies Pro Forma Business Mix: Net Revenues Pro Forma Product Mix: Futures Volumes (3) Cash CDS Other Trading 4% 8% 10% Index Futures & 10% Energy & Options Emissions(4) Listings 44% (1) 51% 12% 2012 Ne
Slide 12: ICE NYX Transaction Timeline
ICE NYX Transaction Timeline Competition Review 2/15/13 3/18/13 Filed for US 4/23/13 referral by May/June competition EC confirmed UK, Spain & 2013 1/16/13 clearance to oversee • Phase 1 25 working days Portugal to Anticipate Filed with US under the the European HSR Act European submission • Phase 2
Slide 13: Leading Global Energy Markets
Leading Global Energy Markets Total Oil Futures & Options ICE Endex Transaction - Completed 1Q13 ADV (000) ADV and OI Other Oil OI (000) +20% y/y 7,500 1,200 6,500 Developing transparent, on-exchange & 5,500 accessible EU nat gas market via ICE Endex 800 Leverages ICE infrastructure serving ener
Slide 14: Diverse Global Markets
Diverse Global Markets Ag Futures & Options ADV and OI ADV (000) OI (000) Market Overview 350 3,000 300 2,500 1Q13 Ag ADV (y/y change): Sugar +3%, Cotton 250 2,000 +27%, Coffee +14%, Cocoa +11%; Ag OI +7% 200 from Dec ‘12 to 2.7MM contracts 1,500 150 1Q13 FX ADV +22% y/y 1,000 Continued streng
Slide 15: Five Themes in 2013
Five Themes in 2013 Commitment to Growth, Leadership & Customer Focus Commodity market expansion across energy and ag markets through new products, options market growth and new customers NYSE Euronext transaction regulatory approval, closing and integration Provision of cost- and capital-effi
Slide 16: Appendix
APPENDIX
Slide 17: ICE Summary Balance Sheet
ICE Summary Balance Sheet In millions BALANCE SHEET 3/31/13 12/31/12 CHANGE Low leverage with debt to trailing Assets EBITDA of 1.0x as of 3/31/13 Unrestricted Cash $1,391 $1,612 -$221 Other Current Assets 33,984 32,138 1,846 Unrestricted cash of $1.4B; $911MM Current Assets 35,375 33,750 1,625
Slide 18: Non-GAAP Net Income Attributable to ICE & EPS Reconciliation
Non-GAAP Net Income Attributable to ICE & EPS Reconciliation In thousands 3 Months 3 Months Ended Ended 3/31/13 3/31/12 Net income attributable to ICE $135,442 $147,865 Add: NYSE Euronext transaction costs and banker fee relating to ICE Endex acquisition 17,089 - Add: Duplicate rent expense 3,348 -
Slide 19: Non-GAAP Operating Income, Operating Margin & Operating Expense Reconciliation
Non-GAAP Operating Income, Operating Margin & Operating Expense Reconciliation In thousands 3 Months 3 Months Ended Ended 3/31/13 3/31/12 Total revenues $351,897 $365,194 Total operating expenses 151,819 140,012 Less: NYSE Euronext transaction costs and banker fee relating to ICE Endex acquisition (
Slide 20: Historical Aggregate Data
Historical Aggregate Data 2013 Trading Days* 21 19 20 22 21 21 22 21 21 23 19 22 Average Daily Volume (000s) Jan-13 Feb-13 Mar-13 Apr-13 May-13 Jun-13 Jul-13 Aug-13 Sep-13 Oct-13 Nov-13 Dec-13 Energy 3,093 3,149 3,379 Ags 263 348 231 Financials 123 144 199 Total 3,478 3,640 3,809 *Canada had 22 trad