Slide 1: FY 2018 & Q4 2018 Results
FY 2018 & Q4 2018 RESULTS 15 February 2019 Released on 14 February 2019 – 17.45pm CET
Slide 2: Main Speakers
MAIN SPEAKERS Stéphane Boujnah CEO & Chairman of the Managing Board Giorgio Modica CFO Euronext FY and Q4 2018 results |2
Slide 3: Agenda
AGENDA I Q4 and FY 2018 Highlights II Q4 2018 Financials III Tender offer on Oslo Børs VPS Euronext FY and Q4 2018 results |3
Slide 4: Q4 and FY 2018 Highlights
Il. Q4 AND FY 2018 HIGHLIGHTS
Slide 5: Strong Increase of Euronext Performance Through 2018
STRONG INCREASE OF EURONEXT PERFORMANCE THROUGH 2018 Strong revenue growth thanks to good performance of core businesses notably cash trading and advanced data +15.5% Revenue services1), recent acquisitions and growth initiatives €615.0m +€83m Q4 revenue of €157.3m (+12.6% vs. Q4 2017) Core business
Slide 6: Achievement One Year in Advance of Most of the 2019 Targets
ACHIEVEMENT ONE YEAR IN ADVANCE OF MOST OF THE 2019 TARGETS Deliver value to 61.6% EBITDA margin ~€340m capital deployed since 2016 50% pay out For core business and selected shareholders growth initiatives1) with a floor at €1.42/share of which ~€100m for bolt-ons Vs. 61-63% target Vs. 50% target €
Slide 7: Euronext Has Scaled Its Perimeter Up: +€63m Revenue in 2018
EURONEXT HAS SCALED ITS PERIMETER UP : +€63M REVENUE IN 20181) ▪ Successful expansion of Euronext decentralised model ▪ Integration of Dublin management into Euronext governance, and Central Bank of Ireland joined Euronext College of Regulators ▪ €2.7 million of synergies3) achieved since Q2 2018 €2
Slide 8: 2019 Cost Guidance
2019 COST GUIDANCE ✓ In 2018, Euronext has extended its scope of activity through acquisitions (€62.9 million revenue in 2018) ✓ Most of the 2019 targets of the Agility for Growth plan have been achieved one year in advance To simplify and improve the tracking of its performance, Euronext will now ✓
Slide 9: Q4 2018 Financials
II. Q4 2018 FINANCIALS
Slide 10: Q4 2018 Revenue Up 12.6%
Q4 2018 REVENUE UP 12.6% KEY DRIVERS: ACQUISITIONS, TRADING AND ADVANCED DATA SERVICES PERFORMANCE Revenue +12.6% Q4 2018 revenue up 12.6% to €157.3m (+€17.6m) In €m 157.3 ▪ Strong increase in listing revenue thanks to the consolidation of Euronext Dublin and the good 139.7 29.5 +36.2% performance o
Slide 11: Listing Revenue Up 36.2% to €29.5m in Q4 2018
LISTING REVENUE UP 36.2% TO €29.5M IN Q4 2018 CONTRIBUTION OF EURONEXT DUBLIN AND CORPORATE SERVICES Listing revenue In €m +36.2% ▪ Contribution of Euronext Dublin +€5.6m 29.5 5.9 +3.8% ▪ Continued clients traction from Corporate Services Equity 21.6 recording €5.2m of revenue 4.8 -6.5% Annual fees
Slide 12: Cash Trading Revenue Up 8.2% to €52.8m in Q4 2018
CASH TRADING REVENUE UP 8.2% TO €52.8M IN Q4 2018 IMPROVED REVENUE CAPTURE AND VOLUMES Cash trading Revenue per trade1) Market share for Q4 2018 Cash trading: revenue up +8.2% to €52.8m In bps, single counted ▪ Cash equity market share at 66.4%, despite uptick in +1.1% volatility in October. 0.51 66
Slide 13: Strong Derivatives Trading and Spot FX Trading Revenue in Q4 2018
STRONG DERIVATIVES TRADING AND SPOT FX TRADING REVENUE IN Q4 2018 Derivatives trading Derivatives trading: revenue up +15.2% to €11.4m Average daily volume Revenue per lot Financial derivatives In ‘000 lots, single counted In €, double counted ▪ Volumes supported by volatility +8.5% ▪ Increased reve
Slide 14: Other Businesses
OTHER BUSINESSES GOOD PERFORMANCE OF ADVANCED DATA SERVICES AND NON TRANSACTIONAL BUSINESSES Advanced data services In €m +7.6% ▪ Positive impact of new market data agreements in 2018 27.7 29.8 ▪ Incremental contribution from Euronext Dublin activities Q4 2017 Q4 2018 Euronext technologies & Other r
Slide 15: Q4 2018 EBITDA Up 10.5% to €86.9m
Q4 2018 EBITDA UP 10.5% TO €86.9M INCREMENTAL REVENUE FROM ACQUISITIONS COMBINED WITH CONTINUED COST DISCIPLINE In €m EBITDA up +10.5% to €86.9m (55.3% margin), due to +10.5% the consolidation of new businesses ▪ Impact of consolidation of Euronext Dublin, -4.6 -2.7 86.9 17.6 -1.8 -0.3 combined with
Slide 16: Solid Cash Flow Generation and Liquidity Position
SOLID CASH FLOW GENERATION AND LIQUIDITY POSITION EBITDA to Net operating cash flow conversion rate Debt In €m 31 December 2017 31 December 2018 In €m 69.5% 63.1% 509 354.3 165 297.8 223.5 207.0 EBITDA 111 Net operating cash flow 2017 2018 (after tax) Gross debt Net debt -23 Gross debt Net debt Liqu
Slide 17: Tender Offer on Oslo Børs VPS
III. Tender offer on Oslo Børs VPS
Slide 18: Euronext Reaffirms Its Commitment to Complete Oslo Børs VPS Acquisition
EURONEXT REAFFIRMS ITS COMMITMENT TO COMPLETE OSLO BØRS VPS ACQUISITION AND IMPROVES ITS OFFER Strong Irrevocable pre- support 50.5% commitments1) for 5.3 % from majority of of capital secured following an invitation 45.2% of direct ownership Oslo Børs from Oslo Børs VPS of capital 4th largest VPS s
Slide 19: Euronext and Oslo Børs VPS Combined Financials
EURONEXT AND OSLO BØRS VPS COMBINED FINANCIALS – A DIVERSIFIED GROUP Standalone FY 2018 Revenue Combined group FY 2018 Revenue Euronext Technologies & other Custody & Settlement Listing Clearing 3.6% 17.3% 9.0% 5.9% Euronext Technologies & other Custody & Settlement 5.4% Listing Advanced Data 19.2%
Slide 20: Oslo Børs VPS as the 3rd Revenue Contributor to the Group
OSLO BØRS VPS AS THE 3RD REVENUE CONTRIBUTOR TO THE GROUP Standalone FY 2018 Revenue Combined group FY 2018 Revenue US Other Ireland Belgium 3.6% Portugal 5.3% 4.0% US 5.7% Other 0.3% Ireland Belgium 3.0% Portugal 4.5% 53.4% France 3.4% €615.0m 4.8% 0.2% 27.8% Netherlands Norway 15.1% 45.3% France C
Slide 21: Q&A
Q&A Stéphane Boujnah Anthony Attia CEO & Managing Board Member Chairman of the Managing Board Giorgio Modica CFO Euronext FY and Q4 2018 results |21
Slide 22: Appendix
APPENDIX
Slide 23: IFRS 15 Deferral Adjustments Impacts
IFRS15 DEFERRAL ADJUSTMENTS IMPACTS P&L adjustments – for informative purpose only Reported (incl. IFRS Excl. IFRS 15 Reported Reported 15) Adjusted for IFRS 15 IFRS 15 deferral adjustments impact (excl. IFRS 15 impact) Unaudited, In €m Q4 2018 Q3 2018 Q2 2018 Q1 2018 Q3 2018 Q2 2018 Q1 2018 Q3 2018
Slide 24: Q4 2018 P&L
Q4 2018 P&L Unaudited, In €m Q4 2018 Q4 2017 % var FY 2018 FY 2017 % var Revenue 157.3 139.7 +12.6% 615.0 532.3 +15.5% Listing 29.5 21.6 +36.2% 106.5 84.2 +26.4% Trading revenue 69.8 63.1 +10.6% 276.6 237.9 +16.3% Cash Trading 52.8 48.8 +8.2% 210.9 190.3 +10.9% Derivatives Trading 11.4 9.9 +15.2% 43
Slide 25: Q4 2018 Summarised P&L by Perimeter
Q4 2018 SUMMARISED P&L BY PERIMETER in M€, including IFRS 15 2018 FY Q4 Q3 H1 Q2 Q1 Core business excluding clearing 495.8 124.8 118.9 252.1 123.7 128.4 AfG 17.6 5.4 4.3 7.9 4.0 3.9 Revenue Core business + AfG, excl. Clearing and new perimeter 513.4 130.2 123.2 259.9 127.7 132.3 New Perimeter (FastM
Slide 26: Adjusted EPS Definition
ADJUSTED EPS DEFINITION In €m unless stated otherwise Q4 2018 Q4 2017 FY 2018 FY 2017 Net Income Reported 49.6 105.1 216.0 241.3 EPS Reported (€ per share) 0.71 1.51 3.10 3.47 Intangible assets adj. related to acquisitions (PPA) - 2.0 - 2.4 - 7.4 - 2.4 Exceptional items - 5.5 - 0.6 - 21.5 - 14.8 Res
Slide 27: Balance Sheet as at 31 December 2018
BALANCE SHEET AS AT 31 DECEMBER 2018 Unaudited, In €m As at 31 Dec 2018 As at 31 Dec 2017 Non-current assets Property, plant and equipment 38.9 27.8 Goodwill and other intangible assets 705.6 515.1 Deferred income tax assets 20.9 8.0 Investments in associates and JV 72.7 75.0 Financial assets at fai
Slide 28: Q4 2018 Cash Flow & Liquidity
Q4 2018 CASH FLOW & LIQUIDITY Cash Flow Statement for Q4 2018 Liquidity for Q4 2018 Unaudited, In €m Q4 2018 Q4 2017 FY 2018 FY 2017 Profit before tax 71.1 112.2 311.7 311.1 Unaudited, In €m Q4 2018 Q4 2017 Adjustments for: Cash beginning of period 407.6 140.6 - Depreciation and amortization 6.1 6.3
Slide 29: Disclaimer and Contacts
DISCLAIMER AND CONTACTS 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 t