Slide 1: Euronext Q3 2022 Results
Euronext Q3 2022 Results Analysts call 4 November 2022 Published on 3 November 2022 at 5.45 pm CET
Slide 2: Q3 2022 highlights, Business review, Financial review, Q&A
1 Q3 2022 highlights 2 Business review 3 Financial review 4 Q&A Stéphane Boujnah Giorgio Modica CEO and Chairman of Chief Financial Officer the Managing Board │2
Slide 3: Q3 2022 highlights
Q3 2022 highlights i EURONEXT
Slide 4: Solid quarter demonstrating diversified business model and continued cost discipline
Solid quarter demonstrating Euronext’s diversified business model and continued cost discipline €350.3 million €199.9 million €1.21 Underlying revenue and Adjusted EBITDA Adjusted2) EPS income1) 57.1% €0.71 Adjusted EBITDA margin Reported EPS ▪ Underlying revenue stable ▪ Adjusted EBITDA down -4.4%
Slide 5: Continued delivery of integration plan and synergies
Continued delivery of integration plan and synergies €24.4m ▪ €0.3 million of run-rate annual synergies delivered in Q3 2022 run-rate annual ▪ €37.9 million of cumulated non-recurring implementation costs incurred at synergies delivered the end of Q3 2022, of which €1.2 million in Q3 2022 since Apri
Slide 6: Continued progress on Borsa Italiana integration and significant milestones ahead
Continued progress on Borsa Italiana integration and significant milestones ahead Borsa Italiana cash markets migration onto Optiq ® and expansion of Euronext clearing equity clearing offering on track New listing Optiq® migration European expansion framework in Italy Phase 1 of Euronext Clearing ▪
Slide 7: Q3 2022 business review
Q3 2022 business review i EURONEXT
Slide 8: Euronext has improved and diversified its revenue profile
Euronext has improved and disversified its revenue profile LTM at end of Sept. 2022 2014 FY revenue underlying revenue and income Technology & Investor Services NTI Other 0.3% 4% 7% Listing Technology & Other 15% 7% Listing 14% Advanced Data Advanced Data Services 14% Services 20% €458m €1,491m Cust
Slide 9: Q3 2022 underlying revenue stable in a challenging environment
Q3 2022 underlying revenue stable in a challenging environment, driven by strong results from non-volume related activities €350.6m €350.3m in €m 2.1 2.5 €301.4m 6.3 7.8 ▪ Trading revenue declined by -5.2%, Reported revenue in Q3 2022 24.4 26.0 +6.7% Transitional resulting from a less favourable vol
Slide 10: Listing revenue up +6.3% to €54.0 million in Q3 2022
Listing revenue up +6.3% to €54.0 million in Q3 2022 #1 equity listing venue in Europe and #1 for debt listing worldwide +6.3% 18 €177.7bn Revenue growth New equity Total money listings raised Annual fees ▪ Resilient equity listing performance in a highly volatile market in €m +6.3% 54.0 3.1 environ
Slide 11: Trading revenue down -5.2% at €117.8 million in Q3 2022 (1/2)
Trading revenue down -5.2% at €117.8 million in Q3 2022 (1/2) CASH TRADING ▪ Maintained superior market quality €67.3m €9.6bn 0.53bps 65.9% ▪ Lower cash trading volumes partially offset by improved revenue revenue ADV Yield market share capture -10.2% -11.6% ▪ Market share in line with pre-COVID pan
Slide 12: Trading revenue down -5.2% at €117.8 million in Q3 2022 (2/2)
Trading revenue down -5.2% at €117.8 million in Q3 2022 (2/2) FX TRADING ▪ Continued strong performance for Euronext FX in terms of €7.3m $21.7bn revenue and volumes due to continued momentum of heightened revenue ADV FX volatility +30.1% +24.2% ▪ Like-for-like at constant currencies, revenue increa
Slide 13: Post-trade revenue grew +3.7%, excluding NTI, to €86.2 million
Post-trade revenue grew +3.7%, excluding NTI, to €86.2 million in Q3 2022 Revenue growth driven by strong bonds and derivatives clearing activity and resilient performance of Euronext Securities reflecting its successful diversification CLEARING Euronext Clearing LCH SA ▪ Total clearing revenue: €29
Slide 14: Euronext Securities activity momentum in line with previous years seasonality
Euronext Securities activity momentum in line with previous years seasonality Q3 is usually the lowest quarter in Euronext Securities activity, reflecting several seasonal impacts ▪ Very few general meetings or dividend payments occur in the third quarter, leading to lower revenues related to issuer
Slide 15: Advanced Data Services, Investor Services and Technology Solutions
Advanced Data Services, Investor Services and Technology Solutions ADVANCED DATA SERVICES Q3 2022 53.0 ▪ Strong traction of the core data business, solid index activities and €53.0m good momentum of the advanced data solutions franchise revenue Q3 2021 49.8 +6.3% ▪ Like-for-like at constant currenci
Slide 16: Q3 2022 financial review
Q3 2022 financial review i EURONEXT
Slide 17: Underlying costs exc. D&A in line with seasonality and confirmed 2022 cost guidance
Underlying costs exc. D&A in line with usual seasonality and confirmed 2022 cost guidance Q3 underlying costs excluding D&A are usually positively impacted by seasonal impacts Operating costs excl. D&A growth (like for Underlying costs excl. D&A €150.4 million like at constant currency, exc. VP Secu
Slide 18: Q3 2022 adjusted EBITDA down -4.4% to €199.9 million
Q3 2022 adjusted EBITDA down -4.4% to €199.9 million in €m -4.4% 209.1 0.3 199.9 8.9 2.6 48.9 57.1% Adj. EBITDA 148.3 margin NTI loss related to the partial disposal Continued of the Euronext Clearing portfolio as cost announced in Q2 2022 discipline Q3 2021 Underlying Costs increase Q3 2022 Non- No
Slide 19: Q3 2022 adjusted net income down -5.5% to €129.5 million, adjusted EPS at €1.21
Q3 2022 adjusted net income down -5.5% to €129.5 million, adjusted EPS at €1.21 per share in €m 129.5 -34.5% 115.8 €129.5m Adjusted Net Income1) 53.6 53.3 0.3 75.8 €1.21 Adjusted EPS1) 20.7 0.3 2.7 10.1 -3.2% Negative comparison base with dividend from Euroclear received in Q3 2021 Q3 2021 EBITDA D&
Slide 20: Cash flow generation in Q3 2022 and debt and leverage at end of September 2022
Cash flow generation in Q3 2022 and debt and leverage at end of September 2022 CASH FLOW GENERATION 318.1 Q3 2022 EBITDA to net operating cash flow 265.4 conversion rate impacted by: 213.5 201.6 ▪ €148 million related to other operating activities, Reported EBITDA 169.3 mainly reflecting accrued VAT
Slide 21: Liquidity at end of September 2022
Liquidity at end of September 2022 in €m 344.2 600.0 1,468.7 0.0 28.0 1.5 0.0 0.0 0.3 1,212.9 5.5 19.9 0.4 318.1 946.6 €400m Targeted cash for operation Cash in Net Business Net Capex Purchase of Dividends Dividends Interests Payments Other, Change in Cash in Undrawn Cash in Liquidity Q2 2022 operat
Slide 22: Q&A
Q&A
Slide 23: Q&A - Speakers
Q&A - Speakers Stéphane Boujnah Giorgio Modica Anthony Attia Simon Gallagher CEO and Chairman of the Chief Financial Officer Global Head of Primary Head of Cash and Managing Board Markets & Post Trade Derivatives │ 23
Slide 24: Appendix
APPENDIX
Slide 25: Number of outstanding shares used for EPS computation
Number of outstanding shares used for EPS computation Following the rights issue that occurred on 29 April 2021, whose settlement occurs on 14 May 2021, the average outstanding number of shares (basic) to be used for EPS computation is provided below. For comparative purposes, average numbers of out
Slide 26: Adjusted EPS for Q3 2022
Adjusted EPS for Q3 2022 In €m unless stated otherwise Q3 2022 Q3 2021 Net income reported 75.8 115.8 EPS Reported (€ per share) 0.71 1.08 Adjustments of which Revenues - 48.9 - of which Operating expenses excluding D&A - 2.6 - 7.5 of which Depreciation and amortisation - 22.7 - 20.7 of which Net fi
Slide 27: Q3 2022 income statement
Q3 2022 income statement % var In €m, unless stated otherwise Q3 2022 Q3 2021 % var (like-for-like, The figures in this document have not been audited or reviewed by our external auditor. constant currencies) Revenue and income 301.4 350.6 -14.0% -0.8% Listing 54.0 50.8 +6.3% +5.9% Trading revenue,
Slide 28: Q3 2022 income statement
Q3 2022 income statement Q3 2022 Q3 2021 in € million, unless stated otherwise Underlying Non-underlying Reported Underlying Non-underlying Reported Revenue and income 350.3 (48.9) 301.4 350.6 - 350.6 Listing 54.0 - 54.0 50.8 - 50.8 Trading revenue, of which 117.8 - 117.8 124.2 - 124.2 Cash trading
Slide 29: Last twelve months income statement
Last twelve months income statement Q4 2021 Q1 2022 Q2 2022 Q3 2022 in € million Reported Reported Reported Reported Last 12 months Revenue and income 370.1 395.7 374.7 301.4 1,441.9 Listing 51.9 55.4 55.4 54.0 216.8 Trading Revenue of which Cash trading 79.3 94.0 75.3 67.3 315.9 of which Derivative
Slide 30: Balance sheet as at 30 September 2022
Balance sheet as at 30 September 2022 30 September 30 June 2022 unaudited, in €m As at 30/09/2022 in € million 2022 Non-current assets Property, plant and equipment 103.5 103.8 CCP clearing business assets Right-of-use assets 48.0 53.2 CCP trading assets at fair value 7,882.7 Goodwill and other inta
Slide 31: Q3 2022 cash flows and outstanding debt
Q3 2022 cash flows and outstanding debt in € million Q3 2022 Q3 2021 Profit before tax 106.6 167.6 Outstanding debt issued Adjustments for: Amount Maturity Interest - Depreciation and amortisation 38.8 38.5 - Share based payments 2.6 2.5 €500 million 2025 Fixed - Share of profit from associates and
Slide 32: Disclaimer
DISCLAIMER 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 the informatio
Slide 33: Investor Relations
INVESTOR RELATIONS Aurélie Cohen, Chief Communications and Investor Relations Officer Clément Kubiak, Investor Relations Manager Judith Stein, Investor Relations Officer ir@euronext.com +33 1 70 48 24 27 www.euronext.com/en/investor-relations