Euronext Nv · EURONEXT:ENX
Euronext Nv — Q2 2024 Earnings Presentation
28 slides from Euronext Nv's earnings presentation, Jul 26, 2024
Slide 1: Euronext Q2 2024 results
Euronext Q2 2024 results Analysts call Published on 25 July 2024 at 5.45 pm CEST
Slide 2: Q2 2024 highlights, business review, financial review
1. Q2 2024 highlights 2. Q2 2024 business review 3. Q2 2024 financial review Stéphane Boujnah Giorgio Modica CEO and Chairman of the Chief Financial Officer Managing Board │2
Slide 3: Q2 2024 highlights
Q2 2024 highlights 1
Slide 4: Strong start of the year with record topline driven by organic growth
Strong start of the year with record topline driven by strong organic growth of Euronext’s diversified business model €412.9m €256.8m €1.59 Revenue and income, up +12.2% Adjusted EBITDA, up +18.8% Adjusted2) EPS, +19.0% 58% 62.2% €152.5m non-volume related1) revenue Adjusted EBITDA margin, +3.5pts N
Slide 5: Entering the last phase of the Borsa Italiana Group integration
Entering the last phase of the Borsa Italiana Group integration Successfully achieved milestones Last milestone March 2023 September 2023 November 2023 May 2024 ✓ Migration of ✓ Phase 2 of BITA Optiq® ✓ Euronext Clearing ✓ Migration of MTS to Borsa Italiana migration and expansion to all Euronext Co
Slide 6: Q2 2024 business review
Q2 2024 business review 2
Slide 7: Continued strong topline growth driven by diversified business model
Continued strong topline growth driven by Euronext’s diversified business model Q2 2024 revenue and income Trading €142.7m Technology +20.7% Listing & Solutions; 6% Corporate Advanced Data Services; 14% Services; 15% Post €108.9m Trade +16.9% Investor Services; €412.9m Advanced 1% Cash trading; 18%
Slide 8: Sustained leadership in listing in Europe in Q2 2024
Sustained leadership in listing in Europe in Q2 2024 Revenue grew +5.9% mainly driven by the strong performance of debt listing and of Euronext Corporate Services Sustained leadership in equity listing in Europe and in debt listing worldwide Revenue in €m 58.4 14 337 55.1 New equity listings Follow-
Slide 9: Strong performance of non-volume related businesses
Strong performance of non-volume related businesses Advanced Data Services ▪ Revenue up +5.4% driven by solid demand for fixed-income and power Revenue in €m trading data and increased demand for non-professional usage Q2 2024 60.0 ▪ Continued traction from analytic products Q2 2023 56.9 ▪ GRSS cont
Slide 10: Strong performance of trading activities across all asset classes (1/2)
Strong performance of trading activities across all asset classes (1/2) Cash trading ▪ Revenue up +13.8% supported by increased volatility in equity trading Revenue in €m with ADV up +10.7% over the quarter Q2 2024 74.2 ▪ Average yield at 0.53bps, reflecting efficient yield management Q2 2023 65.2 ▪
Slide 11: Strong performance of trading activities across all asset classes (2/2)
Strong performance of trading activities across all asset classes (1/2) Fixed income trading ▪ Record quarter with revenue up +40.7% driven by supportive economic Revenue in €m environment and positive volatility, and sustained level of issuance ▪ MTS Cash ADV at €36.3 billion, up +67.7% Q2 2024 35.
Slide 12: Strong performance of all Post-Trade activities
Strong performance of all Post-Trade activities Clearing – exc. NTI ▪ Strong quarter with revenue up +33.2% Revenue in €m ▪ Revenue contribution from the expansion of Euronext Clearing Q2 2024 16.1 23.1 39.2 activities to European equities Q2 2023 11.5 17.9 29.4 ▪ Dynamic bond clearing activity Euro
Slide 13: Q2 2024 financial review
Q2 2024 financial review 3
Slide 14: Q2 2024 adjusted EBITDA up +18.8% to €256.8 million
Q2 2024 adjusted EBITDA up +18.8% to €256.8 million in €m +20.6% 256.8 249.9 6.9 3.7 0.7 0.3 0.2 2.3 43.8 62.2% 207.2 Adj. EBITDA margin Underlying costs up +2.7% Q2 2023 Revenue Cost Revenue Costs FX impact Non- Q2 2024 Non- Q2 2024 Reported variation at variation at variation variation underlying
Slide 15: Q2 2024 adjusted net income at €165.2 million, up +15.6%
Q2 2024 adjusted net income at €165.2 million, up +15.6% in €m +18.2% 165.2 5.8 5.3 2.0 €141.7m 14.5 23.4 Reported 4.0 141.7 Net Income 42.7 +18.2% 120.0 €165.2m Adjusted Net Income1) +15.6% €1.59 Adjusted EPS1) + 19.0% Q2 2023 EBITDA D&A Net Results Income tax Share of Q2 2024 Total non- Q2 2024 re
Slide 16: Continued strong cash flow generation
Continued strong cash flow generation CASH FLOW GENERATION Q2 2024 EBITDA to net operating cash flow conversion rate 249.9 impacted by: 207.2 Reported EBITDA ▪ Change in working capital related to Nord Pool and 139.0 151.9 152.5 Net operating cash flow Euronext Clearing CCP activities for -€41.1mill
Slide 17: Q&A
Q&A
Slide 18: Q&A - Speakers
Q&A - Speakers Stéphane Boujnah Giorgio Modica Anthony Attia Nicolas Rivard CEO and Chairman of the Chief Financial Officer Global Head of Derivatives & Global Head of Cash Equity & Managing Board Post Trade Data Services │ 18
Slide 19: Appendix
APPENDIX
Slide 20: Liquidity at end of Q2 2024
Liquidity at end of Q2 2024 in €m 1,965.7 44.9 17.1 20.8 600.0 1,554.4 111.5 276.2 38.5 16.9 1,365.7 4.2 10.0 1.2 5.4 Acquisition of GRSS €400m Targeted cash for operation Cash in Q1 Net Exc. Net Net Capex Dividends Business Net Payment Acquisition Employee Other, Cash in Undrawn Liquidity in 2024,
Slide 21: Number of outstanding shares used for EPS computation
Number of outstanding shares used for EPS computation Following the rights issue that occurred on 29 April 2021, whose settlement occurred on 14 May 2021, the average outstanding number of shares (basic) to be used for EPS computation is provided below. For comparative purposes, average numbers of o
Slide 22: Adjusted EPS for Q2 2024
Adjusted EPS for Q2 2024 in €m unless specified otherwise Q2 2024 Q2 2023 Net income reported 141.7 120.0 EPS reported (€) 1.37 1.12 Adjustments of which revenues 0.0 0.0 of which Operating expenses exc. D&A (6.8) (8.9) of which Depreciation and amortisation (26.0) (23.8) of which Net financing expe
Slide 23: Q2 2024 income statement
Q2 2024 income statement In €m, unless stated otherwise % var The figures in this document have not been audited or reviewed by our external auditor. Q2 2024 Q2 2023 % var (like-for-like, constant currencies) Revenue and income 412.9 368.1 +12.2% +11.9% Listing 58.4 55.1 +5.9% +5.8% Trading revenue,
Slide 24: Last twelve months income statement
Last twelve months income statement Last twelve Q3 2023 Q4 2023 Q1 2024 Q2 2024 months Revenue and income 360.2 374.1 401.9 412.9 1,549.1 Listing 54.6 56.2 57.7 58.4 226.9 Trading Revenue 118.3 124.5 138.4 142.7 523.9 of which Cash trading 64.4 64.1 70.6 74.2 273.3 of which Derivatives trading 13.4
Slide 25: Balance sheet as at 30 June 2024
Balance sheet as at 30 June 2024 in € million 30 June 2024 31 March 2024 unaudited, in As at 30/06/2024 Non-current assets Property, plant and equipment 106.1 107.2 53.1 56.1 CCP clearing business assets Right-of-use assets Goodwill and other intangible assets 6,104.6 6,069.8 CCP trading assets at f
Slide 26: Q2 2024 cash flows statement
Q2 2024 cash flows statement in € million Q2 2024 Q2 2023 Profit before tax 206.7 166.4 Adjustments for: - Depreciation and amortisation 47.9 42.2 - Share based payments 2.9 3.4 - Share of profit from associates and joint ventures (0.1) (3.2) - Changes in working capital (67.9) (54.0) - Gain on sale
Slide 27: Disclaimer
DISCLAIMER This presentation is for information purposes only and is not a recommendation to engage in investment activities. The information and materials contained in this presentation are provided ‘as is’ and Euronext does not warrant as to the accuracy, adequacy or completeness of the informatio
Slide 28: Investor Relations
INVESTOR RELATIONS Aurélie Cohen, Chief Communications and Investor Relations Officer Clément Kubiak, Investor Relations Manager Judith Stein, Investor Relations Officer ir@euronext.com +33 1 70 48 24 27 www.euronext.com/en/investor-relations