Gielda Papierow Wartosciowych W Warszawie S.a. · GPW:GPW

Gielda Papierow Wartosciowych W Warszawie — Giełda Papierów Wartościowych w Warszawie — FY2023 Earnings Presentation

44 slides from Gielda Papierow Wartosciowych W Warszawie's earnings presentation, Apr 11, 2024

  1. Slide 1: GPW Group Financial Results Q4 2023 and 2023 FY

    GPW GROUP FINANCIAL RESULTS Q4 2023 AND 2023 FY 11 April 2024

  2. Slide 2: Agenda

    Agenda Summary of 2023 milestones, external environment I. and conditions on the local capital market II. Market Information – Financial Market III. GPW Group Financial Results IV. Market Information – Commodity Market V. TGE Group Financial Results VI. Other Financials VII. Annexes

  3. Slide 3: Summary 2023

    Summary 2023  Among the best performing indices in Europe and globally: WIG gained 36.5% in 2023, mWIG40 gained 39.3%, sWIG 80 gained 30.1%.  The drop in turnover on European exchanges also affected GPW, with EOB turnover in shares on the Main Market at PLN 274.5 million (-3.9% YoY). Relatively hi

  4. Slide 4: Market environment

    Market environment Total return indices - % change Total return indices - % change from 2 January 2023 to 9 April 2024 from 13 October 2023 to 9 April 2024 Nikkei 225 TR WIG20 TR 26% 59% Athex Composite TR WIG 57% 25% WIG Nikkei 225 TR 45% 24% WIG20 TR 43% S&P 500 TR 21% S&P 500 TR 39% Athex Composi

  5. Slide 5: Key challenges and opportunities for the Polish capital market

    Key challenges and opportunities for the Polish capital market Share of savings (cash and deposits) in household financial assets in Market capitalisation of domestic companies to GDP Poland compared to European countries in 2022 Germany EU average UK Poland 59% 58% 53% 124% 51% 50% 49% 49% 48% 113%

  6. Slide 6: GPW performance vs. other European exchanges in Q4 2023

    GPW performance vs. other European exchanges in Q4 2023 YoY change in EOB shares turnover (EUR)1 Velocity2 Bucharest Stock Exchange 73% Deutsche Börse 47,7% Athens Stock Exchange 71% 41,2% 38% BME 41,2% Boerse Stuttgart 13% Tel Aviw 39,6% Budapest Stock Exchange 7% Nasdaq Nordics & Baltics 37,9% -2%

  7. Slide 7: Agenda

    Agenda Summary of 2023 milestones, external environment I. and conditions on the local capital market II. Market Information – Financial Market III. GPW Group Financial Results IV. Market Information – Commodity Market V. TGE Group Financial Results VI. Other Financials VII. Annexes

  8. Slide 8: Investor activity

    Investor activity EOB turnover value in shares on the Main Market ETF turnover value PLN bn turnover velocity 1 PLN mn 43,6% 38,1% -3,9% +8,7% 285,6 274,5 1 117,3 1 027,9 +29,3% +26,9% 78,6 354,5 60,8 61,5 279,3 215,4 Q4’22 Q3’23 Q4’24 2022 2023 Q4’22 Q3’23 Q4’24 2022 2023 Summary Q4 2023 Summary 20

  9. Slide 9: Derivatives turnover

    Derivatives turnover Derivatives turnover volume WIG20 futures turnover volume WIG and WIG20 volatility mn instruments mn instruments WIG WIG20 -5,9% -7,2% 29,1% 15,6 9,3 14,7 8,7 25,9% 25,2% 21,7% 22,1% 20,3% 19,0% 17,3% 17,3% -2,6% -21,5% 14,0% 4,2 4,1 2,5 2,4 3,1 1,9 Q4’22 Q3’23 Q4’24 2022 2023 Q

  10. Slide 10: IPOs and SPOs

    IPOs and SPOs Initial Public Offerings (IPO) value1 IPO, PLN mn IPO (Main Market and NewConnect) in 2023: PLN 502 mn 9 625 MAIN MARKET NEWCONNECT ✓ 10 IPOs (incl. 9 transfers from NC) ✓ 14 IPOs 9 360 ✓ IPOs value: PLN 444.3 mn ✓ IPOs value 502 ✓ Biggest IPO: Murapol – issue value: PLN 57.6 mn 346 PL

  11. Slide 11: Primary debt market

    Primary debt market Non-Treasury instruments value introduced  2023 was a record-breaking year for the corporate Issues in PLN bond market, with more than 100 issues worth number of issues value of issues (PLN mn) more than PLN 26 bn introduced to trading. 150 19 084 19 215 110 14 110 85 10 708 56

  12. Slide 12: GPW Group ESG Strategy in 2023

    Summary Financial results TGE Other financials Annexes GPW Group ESG Strategy in 2023 Implementing and operational activities of the Group in pursuit of the GPW Group ESG Strategy 2025: ESG Reporting ✓ Continuing the decarbonisation trajectory: emissions monitoring, purchase of energy from Guideline

  13. Slide 13: Agenda

    Agenda Summary of 2023 milestones, external environment I. and conditions on the local capital market II. Market Information – Financial Market III. GPW Group Financial Results IV. Market Information – Commodity Market V. TGE Group Financial Results VI. Other Financials VII. Annexes

  14. Slide 14: GPW Group financials

    GPW Group financials GPW Group 2023 results change change PLN mn Q4 2023 Q4 2022 2023 2022 YoY YoY Dividend from 2022 profit Revenue 115.9 91.5 +26.7% 444.9 389.3 +14.3% PLN 113.3 mn PLN 2.70 per share EBITDA 41.7 40.8 +2.2% 160.2 167.4 -4.3% EBITDA margin 36.0% 44.6% -8.6 pp 36.0% 43.0% -7.0 pp Tot

  15. Slide 15: Financial performance

    Financial performance Sales revenue Operating expenses PLN mn PLN mn +14.3% +25.4% Sales revenue 444.9 319.5 Revenue up 26.7% YoY to PLN 115.9 mn in Q4’23. Revenue from the financial market up 24.4% YoY +26.7% to PLN 71.4 mn (including PLN 6.3 mn AMX 389.3 +30.3% 254.9 revenue) and revenue from the

  16. Slide 16: GPW Group revenue diversification

    GPW Group revenue diversification Change in GPW Group revenue mix GPW Group revenue by segment 2023 Financial market Market data1 Commodity market Other revenue 2 Listing 3 Other revenue +14,3% Derivatives AMX Debt 5,1% 3,0% 5,3% 444,9 instruments Electricity 2,8% 4,4% 18,7 6,6% 389,3 60,2 Gas 3,5 3

  17. Slide 17: Revenue on the financial market

    Revenue on the financial market Trading Listing PLN mn -1,7% PLN mn -0,5% +20,6% 167,5 164,7 Trading revenue 123,7 119,3 Shares 23,0 22,9 44,9 Revenue from trading up 20.6% YoY to 40,1 37,2 PLN 44.9 mn in Q4’23. 19,6 Derivatives Revenue from trading down 1.7% YoY in 21,3 32,9 19,3 18,8 Listing 2023.

  18. Slide 18: Agenda

    Agenda Summary of 2023 milestones, external environment I. and conditions on the local capital market II. Market Information – Financial Market III. GPW Group Financial Results IV. Market Information – Commodity Market V. TGE Group Financial Results VI. Other Financials VII. Annexes

  19. Slide 19: Commodity market turnover

    Commodity market turnover Electricity and gas spot and forward turnover volume Electricity, TWh Natural Gas, TWh +4,3% -6,0% Electricity market 147,5 141,6 141,4 133,1  Total electricity turnover volume in Q4'23 was 42.4 TWh (+55.9% YoY, +17.6% QoQ). The spot turnover volume was 17.8 TWh +55,9% -9,

  20. Slide 20: Agenda

    Agenda Summary of 2023 milestones, external environment I. and conditions on the local capital market II. Market Information – Financial Market III. GPW Group Financial Results IV. Market Information – Commodity Market V. TGE Group Financial Results VI. Other Financials VII. Annexes

  21. Slide 21: Revenue from the electricity, gas and property rights markets

    Revenue from the electricity, gas and property rights markets Trading revenue – commodity market  Increase in revenue from trading in electricity in Q4’23 to a record PLN PLN mn 9.2 mn (+233.8% YoY; +16.4% QoQ), driven mainly by record turnover volumes on the spot market and an increase in transact

  22. Slide 22: Revenue from clearing

    Revenue from clearing Revenue from clearing PLN mn +15,6%  Increase in revenue from clearing to PLN 13.8 mn in Q4’23 (+26.3% YoY; +33.2% QoQ) mainly driven by a sharp increase in revenue 49,3 from clearing of spot electricity trade vs. Q4’22 (+311.4%). 42,6  YoY decrease in revenue from the operat

  23. Slide 23: Agenda

    Agenda Summary of 2023 milestones, external environment I. and conditions on the local capital market II. Market Information – Financial Market III. GPW Group Financial Results IV. Market Information – Commodity Market V. TGE Group Financial Results VI. Other Financials VII. Annexes

  24. Slide 24: Operating expenses (OPEX) and CAPEX

    Operating expenses (OPEX) and CAPEX OPEX by quarter and by year PLN mn +25,4%  Increase driven by: (1) higher GPW Group headcount (incl. 319,5 acquisition of AMX); (2) salary raises and higher annual bonuses 19,1 AMX and awards. 254,9  GPW Group’s FTE number2 as at 31.12.2023 was 573 (incl. 83 FTE

  25. Slide 25: Share of profit of entities measured by the equity method

    Share of profit of entities measured by the equity method Share of profit of entities measured by the equity method PLN mn Centrum Giełdowe KDPW +20,8% 34,1  Share of profit of entities measured by the 28,3 equity method in Q4 2023 amounted to PLN 10.4 mn (up 37.2% YoY, up 0.4% QoQ). +37,2%  Share

  26. Slide 26: Outlook

    Outlook EOB turnover value in shares on the Main Market WIG performance in 20241 mld zł +18,4% +7,6% 82,7 78,6 85 000 69,8 80 000 75 000 Q1’23 Q4’23 Q1’24 01.01.2024 01.02.2024 01.03.2024 01.04.2024  Increase in equity turnover on the Main Market in Q1 2024 by 18% YoY to PLN 82.7 bn  Continued ral

  27. Slide 27: GPW Group Financial Results Q4 2023 and 2023 FY

    GPW GROUP FINANCIAL RESULTS Q4 2023 AND 2023 FY 11 April 2024

  28. Slide 28: GPW Group's consolidated statement of financial position

    GPW Group’s consolidated statement of financial position PLN mn 31.12.2022 30.09.2023 31.12.2023 Non-current assets, including among others 651.6 707.1 758.0 Property, plant and equipment 107.6 105.6 109.4 Intangible assets 282.9 306.5 323.8 Investment in entities measured by the equity method 241.3

  29. Slide 29: GPW Group consolidated statement of cash flows

    GPW Group consolidated statement of cash flows PLN mn period ended 31 December of 2022 2023 Total net cash flows from operating activities 216.2 146.4 Net profit of the period 145.0 157.6 Adjustments: 116.1 16.8 Income tax 29.9 30.8 Depreciation and amortisation 36.8 32.3 Share of (profit)/loss of e

  30. Slide 30: GPW Group consolidated statement of comprehensive income

    Summary Financial results TGE Other financials Appendices GPW Group consolidated statement of comprehensive income PLN mn Q4’22 Q1’23 Q2’23 Q3’23 Q4’23 Revenue 91.5 112.3 110.7 106.1 115.9 Financial market 57.4 66.5 61.1 65.7 71.4 Trading 37.2 44.4 39.2 40.1 44.9  Revenue up 26.7% YoY to PLN 115.9

  31. Slide 31: Separate financial data of GPW and TGE Group

    Separate financial data of GPW and TGE Group GPW PLN mn 2022 2023 Sales revenue 248.0 245.0 Operating expenses -170.3 -191.0 Other expenses 2.3 6.9 Pozostałe koszty -11.3 -3.2 Operating profit 69.2 57.3 Financial income 49.8 73.6 Financial expenses -4.0 -1.1 Profit before tax 115.0 129.7 Income tax

  32. Slide 32: GPW Group objectives

    GPW Group objectives Financials Development ESG Increased recurrent Ensuring market 498 35% 215 revenue transparency mn mn Continued dividend policy Revenue CAGR Recurrent revenue EBITDA CAGR Significant impact on 2023-2027 CAGR 2023-2027 2023-2027 Opportunistically trading venue seeking investment

  33. Slide 33: GPW Group revenue mix in last 12 months

    Summary Financial results TGE Other financials Appendices GPW Group revenue mix in last 12 months1 GPW Group: PLN 444.9 mn Financial Market: PLN 269.5 mn Commodity Market: PLN 156.8 mn 6.6% Electricity Financial 3.3% Gas Trading Shares 26.8% market 19.0% Trading 47.2% 4.5% Property rights 37.0% 4.7%

  34. Slide 34: KDPW Group

    Summary Financial results TGE Other financials Appendices KDPW Group CASH MARKET CASH MARKET KDPW_CCP CLEARING INSTRUMENTS ISSUER SERVICES OTHER SETTLEMENT SERVICES DEPOSITORY Recording and processing Depository fees Transaction settlement Transaction clearing Trade Repository securities Account ope

  35. Slide 35: KDPW Group – financial results

    Summary Financial results TGE Other financials Appendices KDPW Group – financial results KDPW Group financial results KDPW operating revenue in Q4 2023  Depository: increase in revenue by 21% YoY to PLN 21.0 mn due PLN mn Q4 Q4 change 2023 2022 change to higher capitalisation of shares and other se

  36. Slide 36: Financial market: Trade in equities

    Summary Financial results TGE Other financials Appendices Financial market: Trade in equities Equity turnover value and number of transactions Average number of transactions per session, thous. Value of trading in equities, PLN bn 133.2 135.9 131.4 137.3 80.2 73.1 72.1 65.9 70.1 51.9 55.5 297 313 28

  37. Slide 37: Financial market: Trade in derivatives

    Summary Financial results TGE Other financials Appendices Financial market: Trade in derivatives Derivatives turnover volume Number of open interest, thous. Volume, mn. 406.6 400.8 330.1 290.0 184.8 165.0 171.2 138.1 140.1 143.6 104.2 15.6 14.7 12.6 12.0 11.5 9.5 4,5%2 8.2 8.0 7.6 8.2 7.0 2013 2014

  38. Slide 38: Financial market: Other instruments and fees paid by participants

    Summary Financial results TGE Other financials Appendices Financial market: Other instruments and fees paid by participants Treasury BondSpot Poland turnover value Cash Transactions, PLN bn Repo Transactions, PLN bn 3,0%1 845 767 347 599 327 535 474 260 413 407 64 416 196 369 147 282 76 135 255 2,8%

  39. Slide 39: Financial market: Listing

    Summary Financial results TGE Other financials Appendices Financial market: Listing Capitalisation of domestic companies on the Main Market Market Cap/GDP, % Market Cap of local companies, PLN bn 36,5% 34,8% 34,8% 30,0% 30,0% 28,9% 27,2% 25,0% 23,6% 23,4% 20,9% 760 671 701 4,8%1 593 591 557 579 550

  40. Slide 40: Financial and commodity market: Information services

    Summary Financial results TGE Other financials Appendices Financial and commodity market: Information services Number of data vendors Local Remote 102 96 87 90 83 78 35 36 35 37 58 58 37 54 53 52 36 34 31 30 28 27 67 13,1%1 55 60 46 50 42 24 27 24 25 25 2013 2014 2015 2016 2017 2018 2019 2020 2021 2

  41. Slide 41: Commodity market: Trade in electricity and gas

    Summary Financial results TGE Other financials Appendices Commodity market: Trade in electricity and gas Electricity turnover volume1 Spot, TWh Forward, TWh 243.2 226.1 228.9 225.2 34.8 27.7 33.9 36.2 186.8 186.7 176.6 23.8 25.1 22.3 147.5 141.4 126.7 111.7 33.0 27.7 63.2 25.2 198.3 195.0 208.3 188.

  42. Slide 42: Commodity market: Trade in property rights

    Summary Financial results TGE Other financials Appendices Commodity market: Trade in property rights Property rights spot turnover 2 Green certificates (RES), TWh Cogeneration certificates, TWh 58.9 58.1 59.3 50.2 43.9 26.6 30.8 39.3 29.8 36.0 24.0 25.9 27.0 25.9 21.8 24.8 19.7 3,2%1 32.1 32.3 28.3

  43. Slide 43: Commodity market: Register of Certificates of Origin

    Summary Financial results TGE Other financials Appendices Commodity market: Register of Certificates of Origin Volume of issued certificates of origin Green certificates (RES), TWh Cogeneration certificates, TWh 50.7 47.2 48.5 47.5 42.2 23.4 18.9 19.9 35.1 24.5 29.5 21.6 21.0 22.3 11.9 19.6 19.8 16.

  44. Slide 44: IR events, Disclaimer and Contact: GPW Investor Relations

    IR events Disclaimer 2 May 2024 This presentation has been prepared by Giełda Papierów Wartościowych w Warszawie S.A. (“Warsaw Stock Exchange”, “GPW” or “Company”) for its shareholders, analysts, and other Introduction of the period of limited investor contractors. This presentation has been prepare

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