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

Gielda Papierow Wartosciowych W Warszawie — Giełda Papierów Wartościowych w Warszawie S.A. (GPW) — Q4 2020 Earnings Presentation

36 slides from Gielda Papierow Wartosciowych W Warszawie's earnings presentation, Mar 12, 2021

  1. Slide 1: Financial Results of the GPW Group Q4 2020

    FINANCIAL RESULTS OF THE GPW GROUP Q4 2020 12 March 2021

  2. Slide 2: Agenda

    1. GPW Group milestones and summary of trading on the financial market in Q4 2020 2. GPW Group financial results in Q4 2020 3. Summary of trading on the commodity market and TGE Group financial results 4. Other financials 5. Enclosures

  3. Slide 3: GPW Group milestones in 2020

    GPW Group milestones in 2020 Products Technology Relations • New listing of WIG20levBeta ETF: • GPW Tech product • Analytical Coverage Financial seventh ETF listed on GPW and fourth development: trading Support Programme – market Beta ETF system, TCA Tool, GRC, expansion from 39 to 51 • Futures on s

  4. Slide 4: GPW: European leader of equity turnover growth in 2020

    GPW: European leader of equity turnover growth in 2020 2020 vs. 2019: change of EOB equity turnover value 56,1% 37,7% 34,8% 28,0% 28,8% 20,5% 20,5% 14,7% 11,0% 11,3% 3,0% 3,7% 4,0% -0,9% -9,9% -12,3% -36,2% -34,5%  Equity turnover on the Electronic Order Book (EOB) in 2020 increased by 56.1% YoY on

  5. Slide 5: GPW: high velocity in 2020

    GPW: high velocity in 2020  In October 2020, GPW was the most liquid exchange in EU (measured by velocity)  Average velocity was 59.8 in 2020  GPW ranked second in EU by velocity as at 31 December 2020 5 Source: FESE, data in EUR

  6. Slide 6: Continued strong investor activity on the cash market

    Continued strong investor activity on the cash market  Increase of the Main Market EOB turnover value to PLN 102.8 bn in Q4’20 (+129.1% YoY, +63.2% QoQ) Main Market EOB turnover vale  Main Market EOB turnover value in 2020: PLN 297.3 bn 103 10 0 EOB Trading Turnover velocity (FESE) 90 ,00% (+55.3%

  7. Slide 7: Increase in derivatives turnover

    Increase in derivatives turnover  Increase of the derivatives turnover volume in Derivatives turnover volume Q4’20 to 3.3 mn instruments (+96.0% YoY and +41.9% QoQ) mn +96.0%  Derivatives turnover volume in 2020 at 11.5 mn instruments (+64.6% YoY) 3.3 3.1 2.7  Increase of the WIG20 futures turnov

  8. Slide 8: Activity on GPW markets in 2020

    Activity on GPW markets in 2020 PLN PLN 6.1 2.5 14.7 +925.3% +58.0% mn +70.7% 297.3 +55.3% mn bn YoY YoY YoY bn YoY Main Market EOB NewConnect EOB WIG20 futures Single-stock equity turnover equity turnover futures PLN PLN 2.4 0.4 2.8 768 +339.4% +83.2% +48.7% +111.8% mn mn bn mn YoY YoY YoY YoY FX f

  9. Slide 9: ESG – environmental, social, governance factors

    ESG – environmental, social, governance factors Development of ESG competences  GPW as a public company Development Support for of ESG issuers and competences investors  GPW as the organiser of trading Actions Product  Continued development of GPW’s ESG competences in alignment with the internati

  10. Slide 10: GPW Group financial results in Q4 2020

    1. GPW Group milestones and summary of trading on the financial market in Q4 2020 2. GPW Group financial results in Q4 2020 3. Summary of trading on the commodity market and TGE Group financial results in Q4 2020 4. Other financials 5. Enclosures

  11. Slide 11: Record-high revenue and EBITDA in 2020

    Record-high revenue and EBITDA in 2020 Sales revenue Operating expenses  Sales revenue 59,0% Sales revenue in Q4’20 up by 44.4% PLN mn +20.1% 53,9% C/I 49,7% 51,6% YoY to PLN 115.9 mn, sales revenue in 403.8 +15.1% 2020 up by 20.1% YoY to PLN 403.8 PLN mn mn. 336.1 208.5  Operating expenses 181.1

  12. Slide 12: Financial results by quarter

    Financial results by quarter Sales revenue EBITDA and EBITDA margin Net profit and net profit margin 61.8% 55.6% 42.5% 51.3% 51.5% 53.2% 36.2% 40.3% PLN mn 30.1% +44.4% 14.0% 115.9 PLN mn +56.5% 101.1 97.0 PLN mn 89.7 64.4 +316.7% 80.3 63.2 50.0 47.0 43.5 46.7 41.2 29.3 32.0 11.2 Q4’19 Q1’20 Q2’20 Q

  13. Slide 13: YoY increase of trading revenue on the financial market

    YoY increase of trading revenue on the financial market Q4’20: 51,4%  Trading revenue on the financial market at PLN 59.6 mn in Trading revenue – financial market Q4’20 (+119.7% YoY, +48.3% QoQ). PLN mn  Average EOB turnover in shares per session on the Main +119.7% Market: PLN 1,827.5 mn in Q4’20

  14. Slide 14: Increase of listing revenue

    Increase of listing revenue Q4’20: 4,5%  Five new listings on the Main Market and three new listings on NewConnect in Q4’20. Listing revenue  Seven new listings on the Main Market and 14 new listings on NC PLN mn in 2020.  IPO value (MM+NC) in Q4’20 at PLN 9,542 mn vs. PLN 9 mn in Q4’19. +21.5% 

  15. Slide 15: Continued increase of revenue from information services

    Continued increase of revenue from information services Q4’20: 12,1%  New GPW Group data agreements were signed in Q4’20 Revenue from information services: with users in different market segments : financial market and commodity market  GPW data: 1 non-display client (8 in 2020)  GPW Benchmark da

  16. Slide 16: Commodity market and TGE Group financial results

    1. GPW Group milestones and summary of trading on the financial market in Q4 2020 2. GPW Group financial results in Q4 2020 3. Summary of trading on the commodity market and TGE Group financial results in Q4 2020 4. Other financials 5. Enclosures

  17. Slide 17: Commodity market turnover in Q4'20

    Commodity market turnover in Q4’20  Electricity market – Total electricity turnover volume in Q4’20 was 60.7 TWh (-8.9% YoY, +14.6% QoQ). The spot turnover Electricity and gas spot and forward turnover volume volume was 9.4 TWh (+4.7% YoY, +11.4% QoQ). The forward turnover volume was 51.3 TWh (-11.

  18. Slide 18: Revenue from the electricity, gas, and property rights markets

    Revenue from the electricity, gas, and property rights markets  Increase of revenue from trade in electricity in Q4’20 Q4’20: 15,6% to PLN 5.3 mn (+8.0% YoY) driven by an increase of Trading revenue – commodity market transaction fees on the spot electricity market and an PLN mn increase of spot tu

  19. Slide 19: Revenue from clearing

    Revenue from clearing Q4’20: 10,9%  Increase of revenue from clearing in Q4’20 Revenue from clearing to PLN 12.7 mn (+2.6% YoY). PLN mn +2.6%  Increase of revenue from the operation of the Register of Certificates of Origin in Q4’20 to PLN 5.5 mn (+8.7% YoY) 12.4 13.1 12.7 due to postponement of E

  20. Slide 20: Other financials

    1. GPW Group milestones and summary of trading on the financial market in Q4 2020 2. GPW Group financial results in Q4 2020 3. Summary of trading on the commodity market and TGE Group financial results 4. Other financials 5. Enclosures

  21. Slide 21: Operating expenses and financial expenses in Q4'20

    Operating expenses and financial expenses in Q4’20  Cost/income ratio (C/I): 49.7% in Q4’20 vs. 59.0% in Q4’19. Operating expenses: PLN 57.6 mn (+21.5% YoY, +15.6% QoQ)  Depreciation: PLN 8.8 mn in Q4’20 (-6.7% YoY, +0.9% QoQ). PLN mn 57.6 56.1 0.1  Employee costs: PLN 29.0 mn in Q4’20 (+45.5% Yo

  22. Slide 22: Share of profit of entities measured by equity method in Q4'20

    Share of profit of entities measured by equity method in Q4’20  Group’s share of profit of entities measured by Share of profit of entities measured by equity method equity method in Q4’20 was PLN 4.8 mn (+147.4% YoY, +5.5% QoQ). Share of profit in 2020 was PLN PLN mn PAR KDPW CG 15.7 mn vs. PLN 11

  23. Slide 23: GPW Group's consolidated statement of financial position

    GPW Group’s consolidated statement of financial position PLN mn 31.12.2019 31.03.2020 30.06.2020 30.09.2020 31.12.2020  Increase of assets as at 31 December 2020 vs. 31 December Non-current assets, including among others 586,1 587,8 577,4 579,7 588,8 2019 mainly driven by an increase Property, plan

  24. Slide 24: Appendix: Back-up slides

    Appendix: Back-up slides

  25. Slide 25: GPW Group consolidated statement of comprehensive income

    GPW Group consolidated statement of comprehensive income PLN mn 2019 2020 Q4'19 Q4'20  YoY increase in sales revenue in 2020 driven by an Revenue 336,1 403,8 80,3 115,9 increase in trading revenue on the financial market by Financial market 185,0 256,0 43,6 78,6 38.4% YoY i.e. PLN 71.0 mn to PLN 25

  26. Slide 26: GPW Group consolidated statement of cash flows

    GPW Group consolidated statement of cash flows PLN mn 12 months period ended 31 December of 2020 2019 Total net cash flows from operating activities 231,4 191,1  Positive cash flows from operating activities in Net prof it of the period 151,4 119,3 2020 increased by PLN 40.3 mn YoY mainly Adjustmen

  27. Slide 27: GPW Group's revenue structure: 12 months ended 31 December 2020

    GPW Group’s revenue structure: incremental for 12 months ended 31 December 2020 GPW Group: PLN 403.8 mn incl. TGE Group: PLN 144.3 mn Other(0,9%) Market data (commodity market) 0,9% 0,2% Clearing 11,6% Register of Certificates of Origin Commodity Market: Other 35,7% 6,0% 35.7% 3,3% Trading - propert

  28. Slide 28: Financial market: Trade in equities

    Financial market: Trade in equities Equity turnover value and number of transactions Average number of transactions per session (thous.) 37,4%1 Value of trading in equities (PL bn) 158.5 133.2 80.2 70.1 73.1 72.1 71.9 65.9 55.3 51.9 55.5 297 46.4 251 236 220 205 203 204 188 190 191 103 45 2011 2012

  29. Slide 29: Financial market: Trade in derivatives

    Financial market: Trade in derivatives Derivatives turnover volume Number of Open Interest (thous.) Volume (mn) 3,8%2 290,0 290,0 184,8 171,2 171,2  Revenue drivers: 137,2 138,1 165,0 140,1 143,6 132,8 15,5 104,2  Derivatives turnover volume 11,3 12,6 11,5 9,5 8,2 8,0 7,6 8,2 7,0  Number of open

  30. Slide 30: Financial market: Other instruments and fees paid by participants

    Financial market: Other instruments and fees paid by participants Treasury BondSpot Poland turnover value, PLN bn Cash transactions Repo transactions 2,5%1 1.037 1.062 307 845 450 767 1,9%2 347 327 599 535 260 413 407 196 731 147 282 612 255  Revenue drivers: 498 439 339 338 86 169 36 260 197 44 56

  31. Slide 31: Financial market: Listing

    Financial market: Listing Capitalisation of domestic companies Market capitalization / GDP (%) Market capitalization of domestic companies 4,8%1 36,8% 36,5% 34,8% 34,8% 32,0% 27,9% 28,9% 30,0% 30,0% 25,0%  Revenue drivers: 23,6% 671 593 591 579  Capitalisation at YE 543 446 523 517 557 550 539  V

  32. Slide 32: Financial and commodity market: Information services

    Financial and commodity market: Information services Number of data vendors Domestic 12,9%1 Foreign 87 83 78 37 57 58 58 58 37 54 53 52 36 37 34 31 37 30 28 27  Revenue drivers: 46 50 42  Number of data vendors 20 21 24 27 24 25 25  Number of subscribers 2011 2012 2013 2014 2015 2016 2017 2018 20

  33. Slide 33: Commodity market: Trade in electricity and gas

    Commodity market: Trade in electricity and gas Electricity turnover volume (TWh)1 Spot Forward 243,2 7,5%2 186,8 186,7 226,1 27,7 228,9 33,9 34,8 176,6 23,8 25,1 22,3 gaz 139,4 130,8 126,7 21,3 111,7 21,7 27,7  Revenue drivers: 25,2 198,3 195,0 208,3 154,3 163,0 161,6 118,1  Electricity turnover v

  34. Slide 34: Commodity market: Trade in property rights

    Commodity market: Trade in property rights Property rights spot turnover (TWh) Green certificates 2 5,3%1 Cogeneration certificates 62,2 58,9 58,1 59,3 50,8 50,2 19,9 26,6 43,9 15,1 39,3 29,8 30,8 36,0 24,0 25,9 27,0  Revenue drivers: 21,8 42,4 32,1 35,7 32,3  Property rights turnover 26,2 28,3 28

  35. Slide 35: Commodity market: Register of Certificates of Origin

    Commodity market: Register of Certificates of Origin Volume of issued certificates of origin (TWh) 50,7 4,8%1 Green Cogeneration 47,2 48,5 47,5 41,1 42,2 37,2 23,4 18,9 19,9 35,1 24,5 10,7 15,3 29,5 21,6  Revenue drivers: 21,0 22,3 11,9  Volume of issued property rights 26,6 25,9 27,3 28,3 27,6 24

  36. Slide 36: IR events

    IR events Disclaimer  16 March 2021 This presentation has been prepared by Giełda Papierów Wartościowych w Warszawie S.A. (“Warsaw Stock Exchange”, “GPW” or “Company”) for its Extraordinary General Meeting of Giełda Papierów shareholders, analysts, and other contractors. This presentation has been

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