Tel Aviv Stock Exchange Ltd. · TASE:TASE
Tel Aviv Stock Exchange — FY2023 Earnings Presentation
31 slides from Tel Aviv Stock Exchange's earnings presentation, Jun 26, 2024
Slide 1: Tel-Aviv Stock Exchange (TASE) Investors Presentation Year 2023
Tel-Aviv Stock Exchange (TASE) Investors Presentation Year 2023 1
Slide 2: Important Notice
IMPORTANT: You must read the following before continuing. The following applies to the presentation with respect to The Tel-Aviv Stock Exchange Limited and its subsidiaries and affiliates (collectively, “TASE”). In accessing the presentation, you agree to be bound by the following terms and conditio
Slide 3: TASE at a Glance / 2023 by the Numbers
TASE at a Glance / 2023 by the Numbers Established in 1953, TASE is the only Securities Exchange in Israel and a cornerstone of its growing capital market Average Daily Turnover Listings and Offerings (‘000 Contracts) (NIS Billions) (NIS Billions) (NIS Billions) (NIS Billions) (NIS Billions) (NIS Bi
Slide 4: TASE at a Glance / 2023 by the Numbers - Continued
TASE at a Glance / 2023 by the Numbers Continued Financial Metrics (NIS Millions) (NIS Millions) (NIS Millions) )NIS( (NIS Millions) (NIS Millions) 389.9 157.6 89.3 0.859 155.3 272.7 Revenue Adj. EBITDA)1( Adj. net profit )1( Basic EPS Acquisition of Dividend(2) Treasury shares 8% Y-o-Y Growth 17% Y
Slide 5: Issuance Volume
Issuance Volume Number of Issuances(2) 2023(1) Capital Issuances(1) (NIS in billions) Secondary offerings IPO 3% IPO Secondary offerings 2% 195 Secondary Offerings 170 164 26.4 Equity Market 8.5 39% Private Placements 21.7 NIS in IPOs billions 56% 8.5 94 Exercise of Warrants 10.5 13 1 0.1 2.3 2021 2
Slide 6: The results for 2023
The results for 2023 NIS, in thousands Year Ended Revenue 389.9 December 31, December 31, 361.0 IFRS (GAAP) 2023 2022 Difference -% (NIS Millions) Revenue from services Expenses 389,855 291,516 361,011 277,813 8% 5% 8% Y-o-Y Growth Profit before financing income, net 98,339 83,198 18% 2022 2023 Fina
Slide 7: Revenue 2023
Revenue 2023 NIS, in thousands 40% transactional Year Ended 60% non-transactional % of the % of the December Company’s December Company’s Difference - 31, 2023 total 31, 2022 total % 1% revenues revenues 9% of the increase in revenue from trading and clearing commissions results from the increase in
Slide 8: 2023 Revenue Composition
2023 Revenue Composition 40% transactional Trading and Clearing Commissions Clearing House Services 60% non-transactional ▪ Trade execution and ▪ Custodian services, clearing across asset 9% clearing of corporate 7% Shares 1% classes and clearing for actions, and transfer Custodian fees 36% Corporat
Slide 9: Adjusted Expenses 2023
Adjusted Expenses(*) 2023 NIS, in thousands Year Ended % of the % of the 0% December 31, December 31, Company’s Company’s Difference -% 2023 2022 total expenses total expenses 18% Compensation 153,643 54% 147,905 53% 3% 1% 2023 Computer and Communications 38,559 14% 29,953 11% 29% Adjusted 3% Expens
Slide 10: The results for Q4'23
The results for Q4’23 NIS, in thousands Quarter Ended Revenue 101.4 December 31, December 31, IFRS (GAAP) 2023 2022 Difference -% (NIS Millions) 86.3 Revenue from services Expenses 101,448 76,886 86,325 67,468 18% 14% 18% Y-o-Y Growth Profit before financing income, net 24,562 18,857 30% Q4'22 Q4'23
Slide 11: Revenue Q4'23
Revenue Q4’23 NIS, in thousands 41% transactional 59% non-transactional Quarter Ended % of the % of the December Company’s December Company’s Difference -% 31, 2023 total 31, 2022 total 1% revenues revenues 18% 14% of the increase in revenue from trading and clearing commissions is due to the increa
Slide 12: Q4'23 Revenue Composition
Q4’23 Revenue Composition 41% transactional Trading and Clearing Commissions Clearing House Services 59% non-transactional ▪ Trade execution and ▪ Custodian services, 8% clearing of corporate 6% clearing across asset Shares 1% classes and clearing for actions, and transfer Custodian fees creation/re
Slide 13: Adjusted Expenses Q4'23
Adjusted Expenses(*) Q4’23 NIS, in thousands Quarter Ended % of the % of the 1% December 31, December 31, Company’s Company’s Difference -% 2023 2022 total expenses total expenses 18% Compensation 40,334 54% 35,131 52% 15% 1% Q4’23 Computer and Communications 10,449 14% 8,430 13% 24% Adjusted 3% Exp
Slide 14: Balance Sheet and Liquidity Position
Balance Sheet and Liquidity Position as of December 31st 2023 | NIS Thousands Assets: Capital requirements in respect of the risk components: Current assets Cash and cash equivalents 408,484 Credit risk 9,220 Financial assets at fair value through profit or loss 90,182 18,671 Market risk 2,766 Trade
Slide 15: Cash Flow
Cash Flow NIS in Millions Item Q1’23 Q2’23 Q3’23 Q4’23 2023 Q1’22 Q2’22 Q3’22 Q4’22 2022 Adjusted EBITDA(1) 43,534 35,575 38,412 40,061 157,582 36,849 35,755 30,514 32,076 135,194 Operating Changes in working capital 8,803 )2,151( )5,401( 9,904 11,155 13,095 )11,943( )6,603( )1,543( )6,994( Activiti
Slide 16: Appendix
APPENDIX PROTA ge TELAVIV STOCK EXCHANGE ~~
Slide 17: Revenue Trends
Revenue Trends NIS in Millions 389.9 361.0 1% Annual 323.7 1% 18% 6סידרה Revenue 304.3 2% 16% Other revenue 1% 16% 260.0 16% 20% Data distribution and connectivity services 2% 20% 16% 19% 20% Clearing House services 20% 23% 21% Listing fees and levies 19% 21% 21% Trading and clearing commissions 4
Slide 18: Adjusted Operating Expenses Trends
Adjusted Operating Expenses(1) Trends NIS in Millions Annual 268.5 277.3 285.4 254.2 Expenses(1) 242.0 4סידרה 28% 28% 27% 26% 27% Other 18% 19% 18% 19% 18% Depreciation and amortization Compensation 55% 55% 53% 54% 55% 2019 2020 2021 2022 2023 Quarterly Expenses(1) 70.2 68.6 73.3 68.0 68.7 67.3 69
Slide 19: Profitability Trends
Profitability Trends NIS in Millions 45% 200.0 50% 40% 60.0 44% 40% 39% 40% 180.0 37% 38% 39% 38% 157.6 40% 50.0 37% 34% 35% 160.0 43.5 35% 31% 32% 31% 31% 30% 135.2 40.1 140.0 38.4 30% 30% 40.0 36.8 35.8 35.6 32.1 120.0 24% 30.5 25% 103.0 29.5 95.1 Adjusted EBITDA 20% 30.0 24.6 26.2 20% 100.0 22.8
Slide 20: Revenue Drill Down | Transactional - Shares
Revenue Drill Down | Transactional - Shares Velocity 53% 40% 43% 43% 46% 40% 41% 38% 49% 43% 40% 40% 46% 44% 39% 42% 2.60 2.30 2.39 2.17 2.14 2.07 1.88 2.00 1.88 1.97 1.99 1.87 1.93 1.86 1.86 1.79 Average Daily Turnover (NIS billions) 2020 2021 2022 2023 Q1'21 Q2'21 Q3'21 Q4'21 Q1'22 Q2'22 Q3'22 Q4'
Slide 21: Revenue Drill Down | Transactional - Bonds
Revenue Drill Down | Transactional - Bonds Velocity 109% 81% 73% 81% 87% 76% 68% 77% 74% 76% 67% 75% 91% 78% 75% 89% Corporate Bonds Government Bonds 4.53 4.49 4.14 3.93 3.93 3.96 4.08 0.83 3.78 3.70 3.60 3.56 3.48 3.40 3.40 3.51 0.96 1.08 0.91 0.99 3.18 1.09 1.02 0.92 0.97 1.05 0.88 1.29 0.93 1.08
Slide 22: Revenue Drill Down | Transactional - Mutual Funds
Revenue Drill Down | Transactional - Mutual Funds 1.50 1.47 1.42 1.41 1.31 1.23 1.06 0.99 0.94 0.95 0.94 0.89 0.86 0.87 0.92 0.79 Average Daily Turnover (NIS billions) 2020 2021 2022 2023 Q1'21 Q2'21 Q3'21 Q4'21 Q1'22 Q2'22 Q3'22 Q4'22 Q1'23 Q2'23 Q3'23 Q4'23 0.0124% 0.0130% 0.0120% 0.0116% 0.0113%
Slide 23: Revenue Drill Down | Transactional – Derivatives
Revenue Drill Down | Transactional – Derivatives Daily Contracts (thousands) Single-stock Derivatives FX derivatives Options on Indices 170.1 168.0 176.1 159.3 159.2 157.3 163.0 160.4 160.6 164.4 158.8 3.0 145.3 3.4 7.5 148.9 150.2 153.2 152.3 5.0 4.3 4.6 7.3 3.1 12.3 12.7 43.3 2.9 3.5 10.1 18.4 10.
Slide 24: Revenue Drill Down | Non-transactional
Revenue Drill Down | Non-transactional NIS in Millions Unless Otherwise Noted Custodian fees (Clearing House Services) 3,034 3,131 3,116 3,004 2,975 2,983 2,890 2,958 2,946 2,865 2,877 2,946 2,908 2,776 2,829 2,491 Asset Value (NIS billions) 2020 2021 2022 2023 Q1'21 Q2'21 Q3'21 Q4'21 Q1'22 Q2'22 Q3
Slide 25: Revenue Drill Down | Non-transactional
Revenue Drill Down | Non-transactional NIS in Millions Unless Otherwise Noted 38.1 39.8 30.3 33.1 Annual Levies 9.4 9.5 9.6 9.6 10.0 9.9 10.0 9.9 8.3 8.3 8.2 8.3 2020 2021 2022 2023 Q1'21 Q2'21 Q3'21 Q4'21 Q1'22 Q2'22 Q3'22 Q4'22 Q1'23 Q2'23 Q3'23 Q4'23 46.4 41.4 36.0 29.6 Examination and Listing Fe
Slide 26: Transactional Metrics
Transactional Metrics Quarter Ended Year ended 31.12.23 30.09.23 30.06.23 31.03.23 31.12.22 30.09.22 30.06.22 31.03.22 31.12.23 31.12.22 31.12.21 31.12.20 Number of trading days 66 61 58 64 58 61 61 64 249 244 244 248 SHARES Market cap of Shares (ex. ETFs) 952 964 927 893 949 1,007 1,008 1,135 952 9
Slide 27: Transactional Metrics | Continued
Transactional Metrics | Continued Quarter Ended Year ended 31.12.23 30.09.23 30.06.23 31.03.23 31.12.22 30.09.22 30.06.22 31.03.22 31.12.23 31.12.22 31.12.21 31.12.20 Number of trading days 66 61 58 64 58 61 61 64 249 244 244 248 TREASURY BILLS Market cap (in NIS billions) 305 316 282 272 209 144 13
Slide 28: Non-Transactional Metrics
Non-Transactional Metrics Quarter Ended Year ended 31.12.23 30.09.23 30.06.23 31.03.23 31.12.22 30.09.22 30.06.22 31.03.22 31.12.23 31.12.22 31.12.21 31.12.20 CLEARING HOUSE SERVICES Average Monthly Market value of assets (in 2,908 2,946 2,877 2,829 2,865 2,946 3,004 3,116 2,890 2,983 2,975 2,491 NI
Slide 29: Non-Transactional Metrics | Continued
Non-Transactional Metrics | Continued Quarter Ended Year ended 31.12.23 30.09.23 30.06.23 31.03.23 31.12.22 30.09.22 30.06.22 31.03.22 31.12.23 31.12.22 31.12.21 31.12.20 LISTING FEES AND LEVIES The value of issuance used to calculate Listing fees (in NIS millions) Companies – Shares, Bonds and ETFs
Slide 30: Non-Transactional Metrics | Continued
Non-Transactional Metrics | Continued Quarter Ended Year ended 31.12.23 30.09.23 30.06.23 31.03.23 31.12.22 30.09.22 30.06.22 31.03.22 31.12.23 31.12.22 31.12.21 31.12.20 DATA DISTRIBUTION AND CONNECTIVITY SERVICES Average number of data terminals Domestic business clients(1) 7,446 7,311 7,245 7,379
Slide 31: Contacts
CONTACTS Yehuda Ben Ezra Orna Goren EVP CFO Head of Communication & PR unit Email: cfo@tase.co.il Email: tase.ir@tase.co.il Tel: +972-76-8160442 Tel: +972-76-8160405 31
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