Slide 1: Update on Horizon 2026 strategy and financial results
Q3/2024 Update on Horizon 2026 strategy and financial results Analyst and Investor Conference Call 23 October 2024
Slide 2: Agenda
Agenda Update on Horizon 2026 strategy Stephan Leithner, Co-CEO Q3 and 9M/2024 financial results Gregor Pottmeyer, CFO Deutsche Börse Group │ 23 October 2024
Slide 3: Key messages
Update on Horizon 2026 strategy Key messages 1 The better-than-expected development in 9M/2024 has led to specifying our increased outlook for 2024 (~€5.8 billion net revenue and €3.3–3.4 billion EBITDA) 2 Smooth CEO transition well underway with confirmation of key strategic pillars and financial t
Slide 4: Strategic continuity with Horizon 2026: trends intact and good progress on implementation
Update on Horizon 2026 strategy Strategic continuity with Horizon 2026: trends intact and good progress on implementation Strong Operating in attractive markets Secular industry trends are fully intact, and we are organic and benefitting from secular I industry trends is driving strong well on-track
Slide 5: For 2025 and 2026 we expect an acceleration of underlying organic net revenue growth
Update on Horizon 2026 strategy For 2025 and 2026 we expect an acceleration of underlying organic net revenue growth without treasury result Net revenue | €bn Net revenue w/o treasury result | €bn We will continue to pursue our strategy and 8% our financial targets for 2026 are unchanged 7% organi
Slide 6: All segments expected to contribute almost equally to underlying organic net revenue growth until 2026
Update on Horizon 2026 strategy All segments are expected to contribute almost equally strong to the underlying organic net revenue growth until 2026 Net revenue growth organic w/o treasury result 2022-26E 2024-26E Software Solutions: growth trajectory based on best-in-class front-to-back investme
Slide 7: Agenda
Agenda Update on Horizon 2026 strategy Stephan Leithner, Co-CEO Q3 and 9M/2024 financial results Gregor Pottmeyer, CFO Deutsche Börse Group │ 23 October 2024
Slide 8: The year-to-date development exceeded our initial expectations
Q3 and 9M/2024 financial results The year-to-date development exceeded our initial expectations Net revenue | €m EBITDA | €m Cash EPS1 | € +18% +15% +11% The consolidation of SimCorp +7% (organic) +11% (organic) contributed 11% inorganic net revenue growth in 9M/2024; Software Solutions
Slide 9: Operating costs
Q3 and 9M/2024 financial results Operating costs 9M/2024 Operating cost bridge | €m Note Organic M&A base effect mainly due to (w/o EEX/NDAQ) SimCorp consolidation +3% Organic cost growth of 3% was 1,769 mainly driven by inflation, additional 1,703 investments and share based 51 payments 15 27
Slide 10: Group financials
Q3 and 9M/2024 financial results Detailed income statement Group financials Q3/2024 Net revenue | €m EBITDA | €m Cash EPS1 | € Note +18% +17% +10% Key driver for results was continued +9% (organic) +15% (organic) secular net revenue growth, while cyclicality was almost neutral 1,404 (int
Slide 11: Investment Management Solutions
Q3 and 9M/2024 financial results Detailed income statement Investment Management Solutions Q3/2024 Net revenue | €m EBITDA | €m Business development +69% +153% Software Solutions benefited from +7% (organic) +8% (organic)1 renewals, new clients and upsells at SimCorp, but saw higher point
Slide 12: Trading & Clearing
Q3 and 9M/2024 financial results Detailed income statement Trading & Clearing Q3/2024 Net revenue | €m EBITDA | €m Business development +10% +11% Financial Derivatives positively impacted by continued high fixed income derivatives volumes, which 581 were partly offset by incentives as part 527
Slide 13: Fund Services
Q3 and 9M/2024 financial results Detailed income statement Fund Services Q3/2024 Net revenue | €m EBITDA | €m Business development +15% +14% Fund Services segment benefitted from higher equity market levels and growth from new clients and portfolios, 123 resulting in record levels of assets un
Slide 14: Securities Services
Q3 and 9M/2024 financial results Detailed income statement Securities Services Q3/2024 Net revenue | €m EBITDA | €m Business development +7% +5% Securities Services positively affected by ongoing high level of fixed income issuance activity and higher equity 404 market levels, resulting in rec
Slide 15: Outlook
Q3 and 9M/2024 financial results Outlook FY/2024 Net revenue | €bn EBITDA | €bn New 2024 guidance ~5.8 (from >5.7) For 2024 we originally expected net revenue of more than €5.6 billion and EBITDA of more than €3.2 billion 5.1 Mainly because of the better-than-expected performance New 2024 guidan
Slide 16: Appendix
Appendix Deutsche Börse Group │ 23 October 2024 15
Slide 17: Income statement – group level
Back to group overview Income statement – group level Income statement | €m Q3/24 Q3/23 Change % 9M/24 9M/23 Change % Sales revenue 1,452.0 1,200.9 21% 4,378.4 3,641.9 20% Treasury result from banking business 252.1 246.0 2% 788.1 732.7 8% Other operating income 6.8 3.5 94% 19.8 26.8 -26% Total reve
Slide 18: Detailed income statement – Investment Management Solutions
Back to segmental overview Detailed income statement – Investment Management Solutions Income statement Volume Revenue per volume Q3/24 Q3/23 Change Unit Volume Change Unit RPV Change €m €m % % % Net revenue 294.9 174.7 69 Software Solutions 143.3 28.3 406 ARR (€m) 551 11 On-premises 52.6 0.0 SaaS (
Slide 19: Detailed income statement – Trading & Clearing
Back to segmental overview Detailed income statement – Trading & Clearing Income statement Volume Revenue per volume Q3/24 Q3/23 Change Unit Volume Change Unit RPV Change €m €m % % % Net revenue 581.4 527.0 10 Financial Derivatives 316.5 285.7 11 1 Equities 125.6 118.4 6 Contracts (m) 270 7 €/contra
Slide 20: Detailed income statement – Fund Services
Back to segmental overview Detailed income statement – Fund Services Income statement Volume Revenue per volume Q3/24 Q3/23 Change Unit Volume Change Unit RPV Change €m €m % % % Net revenue 123.4 107.3 15 Fund Processing 1 65.9 53.5 23 AuC (€bn) 3,773 15 bps p.a. 0.699 7 Fund Distribution 23.0 19.4
Slide 21: Detailed income statement – Securities Services
Back to segmental overview Detailed income statement – Securities Services Income statement Volume Revenue per volume Q3/24 Q3/23 Change Unit Volume Change Unit RPV Change €m €m % % % Net revenue 404.2 379.3 7 Custody 1 161.4 150.6 7 AuC (€bn) 15,140 5 bps p.a. 0.426 2 Settlement 32.8 27.7 18 Transa
Slide 22: Financial calendar and contact details
Financial calendar and contact details Financial calendar 26 November 2024 Business deep dives – Software Solutions and Financial Derivatives (fixed-income) (2pm CET) Deutsche Börse AG 27 November 2024 Deutsches Eigenkapitalforum (Frankfurt) Investor Relations 3 December 2024 Redburn Atlantic CEO Co
Slide 23: Disclaimer
Disclaimer Cautionary note with regard to forward-looking statements: This document contains forward-looking statements and statements of future expectations that reflect management's current views and assumptions with respect to future events. Such statements are subject to known and unknown risks