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

Gielda Papierow Wartosciowych W Warszawie — Giełda Papierów Wartościowych w Warszawie S.A. (GPW) — Q3 2017 Earnings Presentation

31 slides from Gielda Papierow Wartosciowych W Warszawie's earnings presentation, Oct 31, 2017

  1. Slide 1: GPW Group's Financial Results Q3 2017

    GPW Group’s Financial Results Q3 2017 31 October 2017

  2. Slide 2: Summary of the GPW Group's Activity in Q3 2017

    Summary of the GPW Group’s Activity in Q3 2017 Financial Results of the GPW Group in Q3 2017

  3. Slide 3: Poland's Promotion to Developed Markets

    Poland’s Promotion to Developed Markets: Success of Poland’s Economy and Capital Markets Aids classification of Poland amongst the 25 Highly appreciated Polish capital market… Developed Markets…  Well-developed and stable market infrastructure  Broad selection of listed stocks and high liquidity 

  4. Slide 4: GPW Group's Very Good Financial Results Supported by One-offs

    GPW Group’s Very Good Financial Results Supported by One-offs Sales revenue Net profit PLN mn +13.4% PLN mn +18.9%  Net profit increased by 12.0% QoQ and 18.9% YoY in Q3’17 to record- 259.8 116.7 high PLN 47.0 mn, primarly owing to -7.4% +12.0% 229.2 98.2 one-offs 87.6 81.1 47.0  Interest refunded

  5. Slide 5: Sizable IPOs Improve GPW's Position in Europe

    Sizable IPOs Improve GPW’s Position in Europe Value and number of IPOs on the Main Market  #3 in Europe’s IPO market in Q3’17, after LSE and IPO’s value in PLN bn 7 6 SIX, according to PwC IPO Watch Report 4 3 3 3 2  Play Communications’s IPO worth over PLN 4.4 bn, 5.1 the biggest private IPO in P

  6. Slide 6: Derivatives Market Under Pressure of Long-term Low Volatility

    Derivatives Market Under Pressure of Long-term Low Volatility Volume of derivatives trade  Volume of trading in futures down to 1.67 million in mn contracts -10.5% Q3’17 (down by 15.5% QoQ and by 10.5% YoY) 2.2 2.2 1.9 2.0 2.0 1.9 1.7 -15.5%  Volume of trading in WIG20 futures at 0.97 mn contracts

  7. Slide 7: Commodity Market in Q3'17

    Commodity Market in Q3’17  Gas market – trading in Q3’17 up by 96.7% QoQ Volume of spot and forward transactions in electricity and gas and 159.3% YoY Electricity (TWh) Natural Gas (TWh) 33.3 33.0 46.4  Electricity market – trading up by 8.7% QoQ 29.6 30.6 and down by 7.0% YoY 27.6 37.4 25.4 21.5

  8. Slide 8: Financial Results of the GPW Group in Q3 2017

    Summary of the GPW Group’s Activity in Q3 2017 Financial Results of the GPW Group in Q3 2017

  9. Slide 9: High Profits of Q3'17 Driven by Seasonal and One-off Events

    High Profits of Q3’17 Driven by Seasonal and One-off Events Net profit and net profit margin Sales revenue EBITDA and EBITDA margin PLN mn PLN mn PLN mn 53.7% 58.3% 70.6% 70.7% 47.9% 58.1% 64.0% 40.3% +10.1% 51.4% 30.5% 91.0 87.6 81.7 81.1 +10.3% 73.7 +18.9% 56.1 57.4 52.0 47.0 47.5 46.8 39.5 41.9 3

  10. Slide 10: Trading Revenue on the Financial Market

    Trading Revenue on the Financial Market Q3’17: 39.3% Trading revenue – financial market PLN mn  Trading revenue on the financial market at PLN 31.9 mn (down by 11.3% QoQ, up by 3.1% YoY) +3.1%  Average turnover in shares per session in Q3’17 – PLN 922.9 mn vs. PLN 1,205.0 mn in Q2’17 and PLN 38.8

  11. Slide 11: Stable Listing Revenue

    Stable Listing Revenue Q3’17: 7.7% Listing revenue PLN mn  Total value of IPOs and SPOs in Q3’17 at PLN 35.1 bn  3 IPOs on the Main Market in Q3’17 worth PLN 5.1 bn (Morizon SA, GetBack SA, Play Communications SA) 8.4%  Stable revenue from listing fees despite a decrease of the 6.3 6.3 number of

  12. Slide 12: Continued Growth of Revenue from Information Services

    Continued Growth of Revenue from Information Services Q3’17: 13.2% Revenue from information services1  New contracts with clients in different market segments PLN mn  2 non-display clients  1 index provider using GPW data  4 processed data recipients 7.3%  Sale of WIBOR data started on 1 July (

  13. Slide 13: Growing Trading Revenue on the Commodity Market

    Growing Trading Revenue on the Commodity Market Q3’17: 20.6%  Increase of revenue from trading in electricity QoQ Trading revenue – commodity market driven by volumes of forward trading up by 13.5% PLN mn QoQ (down by 6.7% YoY) +22.7%  Increase of revenue from trading in gas due to much higher vol

  14. Slide 14: Activity of Register of Certificates of Origin Participants Impacted by Seasonality

    Activity of Register of Certificates of Origin Participants Impacted by Seasonality Q3’17: 11.6% Revenue from clearing PLN mn  Increase of revenue from clearing by 25.1% YoY +25.1% driven by higher trading volumes 11.1 10.3  Seasonally lower volumes of the Register of 9.3 9.4 7.5 +1.9% Certificate

  15. Slide 15: Optimised Operating Expenses

    Optimised Operating Expenses  Operating expenses up by 12.1% YoY in Q3’17, net of one-offs Operating expenses: -13.9% QoQ and +15.0% YoY  Provisions of PLN 5.8 mn released in Q3’17 due to PFSA fees lower than expected in 2017 (PLN 5.6 mn v. PLN 11.4 mn) PLN mn 46.5  Cost of harmonisation with MIF

  16. Slide 16: Share of Profits of Associates

    Share of Profits of Associates Share of profit of associates  Profit of the KDPW Group : Aquis KDPW CG  Difference between expected and paid PFSA fees at a PLN mn 3.6 negative PLN 3.9 mn, including PLN 1.0 mn attributable 3.0 2.3 to GPW Group 1.2 1.5  Aquis Exchange: 3.5 4.3 3.2  Share in the Eu

  17. Slide 17: GPW Group's Consolidated Balance Sheet

    GPW Group’s Consolidated Balance Sheet  Decrease of trade receivables following PLN mn 30.09.2016 31.12.2016 31.03.2017 30.06.2017 30.09.2017 the payment of some of TGE’s VAT Non-current assets, including among others 584.7 597.3 597.3 597.2 594,8 correction invoices (from PLN 66.2 mn as Property,

  18. Slide 18: Annex: Back-up Slides

    Annex: Back-up Slides

  19. Slide 19: GPW Group's Consolidated Profit & Loss Account

    GPW Group’s Consolidated Profit & Loss Account PLN mn Q2'16 Q1'17 Q2'17  Operating expenses Revenue 73.7 87.6 81.1  Q3’17: adjustment of PFSA fees at Group level at a negative PLN 5.8 mn (PLN 11.2 mn booked in Financial market 46.7 52.5 48.9 Q1) Trading 30.9 36.0 31.9  Q3’16: adjustment of PFSA f

  20. Slide 20: GPW Group's Consolidated Cash Flows

    GPW Group’s Consolidated Cash Flows 9m ended on 30 September PLN mn 2016 2017  Cash flows from operating activities: Cash flows from operating activities, including among others: 169.0 93.7 significant cash flows due to changes in Cash flows from operating activities 185.8 148.3 receivables and lia

  21. Slide 21: GPW v. Other European Exchanges

    GPW v. Other European Exchanges Market Capitalisation of domestic companies Value of equity trade, EOB1 Number of listed companies2 GPW 163.4 GPW 886 GPW 42.0 CEESEG - Vienna 120.6 CEESEG - Vienna 25.0 CEESEG - Vienna 375 Irish SE 119.7 Athens Exchange 207 Irish SE 17.3 Luxembourg SE 54.0 Luxembourg

  22. Slide 22: GPW Group's Revenue Structure

    GPW Group’s Revenue Structure PLN 341.5 mn PLN 133.2 mn 0.5% Other revenues 0.1% Information services 11.7% Clearing Commodity Register of Certificates of Origin market: 7.7% Trading - other 39.0% 39.0% 3.2% Trading - property rights Trading - natural gas 10.6% Trading - energy 3.2% 2.5% Information

  23. Slide 23: Financial Market: Trading in Equities

    Financial Market: Trading in Equities Value of trading in equities and number of transactions Average number of transactions per session (thou.) Value of trading in equities, EOB (PLN bn) 31.6%1 80.5 70.1 69.2 65.9 55.3 51.9 55.5 51.4  Revenue drivers: 48.4 46.4 38.2 251  Value of trading in equit

  24. Slide 24: Financial Market: Trading in Derivatives

    Financial Market: Trading in Derivatives Volume of trading in derivatives Number of Open Interest (thou.) 3.6%2 Volume of trading, m contracts 184.8 168.1 165.0 147.8 131.0 132.8 137.2 138.1 122.5 104.2 80.4  Revenue drivers: 15.5 13.8 14.7 12.6 11.3 12.6 9.5  Volume of trading in futures 8.2 8.0

  25. Slide 25: Financial Market: Other Instruments and Fees Paid by Participants

    Financial Market: Other Instruments and Fees Paid by Participants Value of trading on Treasury BondSpot Poland, PLN bn Cash Conditional 1,062 3.4%1 1,037 307 845 450 767 35.8% 347 599 2.2%2 327 260 413 404 324 731 298 612 158 135 498 255  Revenue drivers: 439 185 84 101 339 188 246 158 112  Value

  26. Slide 26: Financial Market: Listing

    Financial Market: Listing Market capitalisation of domestic companies Market capitalisation/GDP (%) 7.3%1 Market capitalisation of domestic companies (PLN bn) +30.3% 36.8% 36.5% 34.8% 30.7% 32.0% 28.9% 30.0% 2 27.9%  Revenue drivers: 20.0% 672 593 591  Capitalisation at YE 421 543 446 523 517 557

  27. Slide 27: Financial Market: Information Services

    Financial Market: Information Services Number of data vendors Domestic Foreign 12.3%1 57 58 58 58 52 54 53 52 50 50 51 34 31 37 37 30 28 28 27 31 32 33  Revenue drivers: 24 27 24 25 24 24  Number of data vendors 19 18 19 20 21  Number of subscribers 2008 2009 2010 2011 2012 2013 2014 2015 2016 Q3

  28. Slide 28: Commodity Market: Trading in Electricity and Gas

    Commodity Market: Trading in Electricity and Gas Volume of trading in electricity (TWh)1 Spot Forward 186.7 186.7 5.7%2 176.6 22.3 23.7 25.1 139.4 130.8 126.6 -22.4% 21.3 gaz 21.7 27.6 96.0 87.9 20.3 74.5  Revenue drivers: 13.4 154.3 163.0 161.6 18.5 109.1 118.1 99.0  Volume of trading in electric

  29. Slide 29: Commodity Market: Trade in Property Rights

    Commodity Market: Trade in Property Rights Trade in property rights (TWh) Green certificates 62.2 +13.2% 10.6%1 Cogeneration certificates 58.9 48.8 50.8 50.2 19.9 44.8 45.6 26.6 40.3 13.2 15.1 39.3 36.0 24.0 29.9 20.7 19.1 21.8  Revenue drivers: 42.4 35.7 32.1 35.2 35.6 32.3 26.2 24.9  Volume of t

  30. Slide 30: Commodity Market: Register of Certificates of Origin

    Commodity Market: Register of Certificates of Origin Volume of issued property rights (TWh) Green certificates 50.7 +2.3% 7.7%1 Cogeneration certificates 47.2 41.1 42.2 38.6 39.5 36.6 37.2 23.4 18.9 31.9 15.3 10.8 10.7 29.5 21.6 27.6 16.4 18.5  Revenue drivers: 11.9 25.8 26.6 25.9 27.3 28.3  Volum

  31. Slide 31: IR events Contact: GPW Investor Relations

    IR events Disclaimer This presentation has been prepared by Giełda Papierów Wartościowych w Warszawie S.A. (“Warsaw Stock Exchange”, “GPW” or “Company”) for its  5-9 December 2017 shareholders, analysts, and other contractors. This presentation has been prepared Wood’s Winter Wonderland Conference,

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