Equita Group Spa · MIL:EQUI

Equita Group Spa — FY2023 Earnings Presentation

18 slides from Equita Group Spa's earnings presentation, Mar 14, 2024

  1. Slide 1: EQUITA Group FY'23 Results

    EQUITA Group FY’23 Results March 14th, 2024 – IR Conference Call 1

  2. Slide 2: Very Resilient Performance in FY'23 and Significant Growth in 4Q'23

    Very Resilient Performance in FY’23 and Significant Growth in 4Q’23 Key Financial Highlights €87.5m €16.9m FY (+2% YoY) (+5% YoY) 26% 5.0x 195 (29% in 2022) (5.0x in 2022) (+4% YoY) Net Revenues Adj. Net Profits (1) Return on Tangible IFR # of Professionals €28.1m (+27% YoY) €6.4m (+106% YoY) 4Q Net

  3. Slide 3: Tough Year for Equities (Brokerage, Capital Markets) and M&A in Italy

    Tough Year for Equities (Brokerage, Capital Markets) and M&A in Italy Market figures ▪ Euronext Milan +28% YoY Third Parties Brokered Volumes (1) in 4Q’23 ▪ Euronext Growth Milan +13% YoY ▪ Bonds +45% YoY Equity – Euronext Milan Equity – Euronext Growth Milan (EGM) Fixed Income (MOT) Var FY’22-FY’23

  4. Slide 4: Better Performance compared to Peers, Implied Increase in Market Share

    Better Performance compared to Peers, Implied Increase in Market Share Comparison between Selected International Investment Banks and Advisory Firms vs EQUITA FY’23 vs FY’22 (1 Jan – 31 Dec) % Var Net Revenues % Var Net Profits Margin % Investment bank ABG Sundal Collier 0% (13%) 14% Investment bank

  5. Slide 5: Strong Results in All Divisions

    Strong Results in All Divisions Trend in Net Revenues since IPO and Divisional Performance (€m) Commentary 40,8 37,2 40,9 ▪ Sales & Trading affected by the overall weak levels 31,5 33,8 of investors’ activity on equities, especially in 30,5 29,9 Var ’22-’23 22,9 19,5 +10% Small-Mid Caps trading Mark

  6. Slide 6: Investment Banking: Plenty of Growth Opportunities

    Investment Banking: Plenty of Growth Opportunities 5,1% Adjusting EKF performance in FY’22 for the Salice deal Revenue Pot and EQUITA market share (Italian market, €m) 6,9% 6,3% 5,1% 5,1% 2,7% 3,8% 3,3% M&A 5,1% 1.039 DCM 301 696 754 ECM 555 552 597 572 282 370 433 284 284 362 315 Market share % 456

  7. Slide 7: P&L and Focus on Cost Structure

    P&L and Focus on Cost Structure Reclassified P&L (€m) Focus on Personnel Var % 4Q Var % FY'23 FY'22 4Q'23 4Q'22 FY’23 FY’22 Var % 23-22 23-22 Personnel Costs (1) (41,9) (42,2) (1%) Client-related 76,7 82,3 (7%) 23,3 20,8 12% Non-client (Dir. Trading) 7,4 2,7 176% 2,5 1,1 132% FTEs (End of Period) 19

  8. Slide 8: Results since IPO

    Results since IPO EZ EQUITA

  9. Slide 9: Successful Track-Record since IPO

    Successful Track-Record since IPO Net Revenues (€m) % of Net Revenues Summary of Key Initiatives Growth More balanced breakdown Proven track-record and Key Results in all areas and contribution strong execution 40,9 +34% ▪ Acquisition of Retail Hub (Brokerage 30,5 (Var ’17-’23) 19,6 & Primary Market

  10. Slide 10: Successful Track-Record since IPO

    Successful Track-Record since IPO Change since IPO Results to Date Larger Group scale 87,5 Net 53,9 ▪ Mix of initiatives contributing to Revenues +62% CAGR ’17-’23 growth, including accretive M&A (Var ’17-’23) +8% (€m) (Nexi, EQUITA K Finance…) ▪ Larger scale, to compete with 2017 (IPO) 2023 traditi

  11. Slide 11: What's Next

    What's Next EZ EQUITA

  12. Slide 12: What's Next and Mitigants

    What’s Next Mitigants ▪ Higher interest rates are now digested ▪ Still difficult global environment (war, inflation, recession…) ▪ Ongoing simplification to ease access to capital markets, potentially increasing liquidity in financial markets Market ▪ Soft start of the year in terms of trading volum

  13. Slide 13: Appendix

    Appendix EZ EQUITA

  14. Slide 14: Balance Sheet

    Balance Sheet (€m) FY’23 9M’23 1H’23 1Q’23 FY’22 1H’22 FY’21 FY’20 Cash & Cash equivalents 130.5 75.1 74.0 106.3 107.9 125.3 136.1 117.2 Financial assets at fair value with impact on P&L 77.4 99.3 95.5 90.4 111.7 79.6 49.2 43.8 Financial assets at amortized cost 101.2 122.5 144.6 128.0 99.6 97.1 91.

  15. Slide 15: Why Us?

    Why Us? Some Reasons to Invest Track record Track record in diversification, growth and remuneration of shareholders Leadership Leading positioning in Italy and increasing footprint abroad Investments Significant investments made to date, to boost growth in the future Brand Strong brand to develop n

  16. Slide 16: Successful Track-Record since IPO

    Successful Track-Record since IPO Key Metrics 2017 (IPO) March 2024 Variation 3.3m shares distributed to professionals to: ▪ Execute M&A deals No. of shares 50.0m 51.3m +1.3m ▪ Serve incentive plans required by applicable Share regulation No. of treasury shares 4.7m 2.7m +2.0m Align interests of new

  17. Slide 17: Disclaimer

    Disclaimer Il presente documento ha natura strettamente riservata e confidenziale. I destinatari, ricevendolo, acconsentono a non riprodurre, riassumere, descrivere o consegnare a terzi, né ad esso far riferimento con qualunque persona senza la preventiva autorizzazione scritta di EQUITA Group S.p.A

  18. Slide 18: www.equita.eu

    i lia D's EQUITA www.equita.eu

EQUITA Group — FY2023 Earnings Presentation on 6ix