Slide 1: Q3 / 2022 Results presentation
Q3 / 2022 Results presentation flatexDEGIRO AG | 19 October 2022
Slide 2: Highlights Q3/2022
Highlights Q3/2022 → Solid operational and financial performance → Continued customer growth despite challenging environment → Interest rate hikes create significant tailwind for top and bottom line → Taken measures will increase monetarization and EBT
Slide 3: Financial performance
Financial performance flatt&>!=DEGIRO
Slide 4: Positive revenue development quarter-on-quarter
Positive revenue development quarter-on-quarter Revenues in € m 150 400 +4% 375 130 350 118.1 325 110 103.4 300 275 88.1 91.6 91.9 90 250 225 70 200 175 50 150 125 30 100 75 10 50 25 Q3 2021 Q4 2021 Q1 2022 Q2 2022 Q3 2022 -10 0 → Q3 2022 results presentation | 19 October 2022 | Page 4
Slide 5: Revenue per trade step-change with DEGIRO goes Zero
Revenue per trade well above 5 EUR, step-change with „DEGIRO goes Zero“ in Dec 2021 +7% +19% € 5.26* € 5.15* € 4.83 € 4.41 Q3 2021 Q3 2022 9M 2021 9M 2022 * excluding revenues resuling from the release of provisions in relations to the variable, long-term incentive programme (Stock appreciation righ
Slide 6: Increased EBITDA
Increased EBITDA * EBITDA in € m 65,0 +25% 55,0 51.7 45,0 37.4 37.6 35,0 30.1 28.8 25,0 15,0 5,0 -5,0 Q3 2021 Q4 2021 Q1 2022 Q2 2022 Q3 2022 * EBITDA impacted from building (2021 and Q1 2022) and releasing (Q2 and Q3 2022) provisions in relations to the variable, long-term incentive programme (Stoc
Slide 7: Operating leverage of lower trading activity visible in Adj. EBITDA
90 Operating leverage of lower trading activity 80 visible in Adj. EBITDA Adj. EBITDA in € m 70 -37% 60 54.5 50 40 38.4 31.0 30 27.3 24.2 20 10 0 Q3 2021 Q4 2021 Q1 2022 Q2 2022 Q3 2022 → Q3 2022 results presentation | 19 October 2022 | Page 7
Slide 8: Marketing expenses aligned with market environment
Marketing expenses aligned with market environment Documentary („True Stories of Investing“) and increased brand awareness campaigns Marketing expenses per quarter in € m 18.4 17.4 12.6 10.8 9.5 9.5 8.8 9.1 6.8 6.4 6.6 5.5 4.0 2.6 2.6 2019 2020 2021 2022 (expected) Q1 Q2 Q3 Q4 → Q3 2022 results pres
Slide 9: Challenging market environment affects trading..
Challenging market environment affects trading.. Settled transactions in m -16% 25 21.9 20 19.8 18.2 16.2 15.3 15 10 5 0 Q3 2021 Q4 2021 Q1 2022 Q2 2022 Q3 2022 → Q3 2022 results presentation | 19 October 2022 | Page 9
Slide 10: ..across the industry
..across the industry DARTs* per customer account 0,20 0,18 0,16 0,14 0,12 0,10 0,08 0,06 flatexDEGIRO 0,04 Nordnet 0,02 0,00 Avanza Q2 2021 Q3 2021 Q4 2021 Q1 2022 Q2 2022 Q3 2022 * Nordnet, Avanza: based on Monthly statistics published by the companies, flatexDEGIRO: excluding days where markets i
Slide 11: Activity of our customers remains very healthy
Activity of our customers remains very healthy Customer activity per quarter Trades per active customer account / quarter 45 Customer activity per quarter 40 60% 1.000.000 35 30 900.000 25 50% 800.000 20 15 700.000 40% 10 600.000 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2019 2019 2019 2019 2020
Slide 12: Q3 customer growth in-line with previous quarter
Q3 customer growth in-line with previous quarter Additional customer accounts in k 9M 2022: +376k 185 141 120 97 94 Q3 2021 Q4 2021 Q1 2022 Q2 2022 Q3 2022 → Q3 2022 results presentation | 19 October 2022 | Page 12
Slide 13: High customer growth & retention
High customer growth & retention Additional customer accounts in k 376 -39 337 Retention rate: -44 294 98.4% 250 Core 221 200 150 104 Avanza Growth100 77 Nordnet 50 FY 2022 (e): FY 2022 (e): 50-55k 100k 40 Fineco Research0 Customer additions Churn Customer additions Organizational Off-Boarding Net c
Slide 14: Stable development of Assets under Custody in Q3
Stable development of Assets under Custody in Q3 Assets under custody in € bn 43.9 43.1 38.0 37.7 Securities: 41.0 Securities: 39.8 Securities: 34.9 Securities: 34.0 Cash: 2.8 Cash: 3.3 Cash: 3.2 Cash: 3.5 Dec 21 Mar 22 Jun 22 Sep 22 → Q3 2022 results presentation | 19 October 2022 | Page 14
Slide 15: Net cash inflows in 9M 2022 of € 5 bn
Net cash inflows in 9M 2022 of € 5 bn with positive inflows continuing in July/August/September despite ECB rate increases Source of net cash inflows1 Use of net cash inflows1 (€ bn) (€ bn) +2.8 5.0 4.3 +2.1 0.6 1 only including customer accounts existing on 30 September 2022 → Q3 2022 results prese
Slide 16: Outlook
Outlook flatt&>!=DEGIRO
Slide 17: Further growth measures initiated
Further growth measures initiated Members get Members Ambassador Programme ▪ Aims at helping the new generation to take their financial future into their own hands ▪ Collaborating with Universities, Business schools, Colleges and Investment Club ▪ Presentations, workshops, job offers and providing s
Slide 18: Rising cash-levels in less trading-active times
Rising cash-levels in less trading-active times Cash under Custody Use of Cash under Custody (€ bn) +22% +9% 3.3 3.5 3.5 3.2 2.8 approx. € 1 bn margin loans approx. € 2.5 bn rate-sensitive Cash ratio liquidity & credit in % of total portfolio 6.4% 7.7% 8.3% 9.2% Assets under Custody Dec 21 Mar 21 Ju
Slide 19: Rising interest rates
12 months EBT potential Rising interest rates € 30-50m Positive effect on EBT* EBT potential* – Average interest rate scenarios 2023 (€ m) (€ m) ~ 50.00 ~ 43.75 ~ 37.50 ~ 31.25 ~8 ~5 Sep-Dec 2022 Oct-Dec 2022 Annualised x 2022 Oct-Dec y FY scenario 1 FY scenario 2 FY scenario 3 FY scenario 4 Deposit
Slide 20: Handling fee DEGIRO
Handling fee DEGIRO Transactions in m Handling fee at DEGIRO increased from 0.50 EUR to 1.00 EUR, effective 1 September 2022. ~ 35 EBT potential in Q4/2022: ~ 20 ~ € 3.5m 9 ~7 12 months EBT potential € ~14m DEGIRO, Kategorie thereof with1 DEGIRO 9M 2022 handling fee with handling (~ 60%) fee, Q4 202
Slide 21: ETP Partnerships DEGIRO
ETP Partnerships DEGIRO STAGE 1, as of Jan 2022 STAGE 2, starting in Q4/2022 (Germany, Netherlands, France) (Spain, Portugal, Italy, Switzerland) ~ 3m Ø 3.5 Ø 2 Revenues per Transaction ETP trades per ETP trades per of 4-5 EUR customer account customer account assuming lower ETP activity 12 months E
Slide 22: Margin Loans DEGIRO
Margin Loans DEGIRO Margin Loans being made available to all DEGIRO customers, effective 1 November 2022. Today Additional potential €15k 5% ~ € 600m ~ 1.3 m utilization average € 5k margin average loan margin loan 15% Interest rate of utilization ~ € 325m 400 bps ~ 250k 12 months EBT potential ~ 65
Slide 23: Q3 / 2022 Results presentation
Q3 / 2022 Results presentation flatexDEGIRO AG | 19 October 2022
Slide 24: Contact
Contact Achim Schreck flatexDEGIRO AG Head of IR and Corporate Communications Omniturm, Große Gallusstraße 16-18 60312 Frankfurt/Main, Germany Mobile +49 160 92774570 Phone +49 69 450001 1700 Mail: achim.schreck@flatexdegiro.com www.flatexdegiro.com
Slide 25: Key figures 9M & Q3 2022
Key figures 9M & Q3 2022 → Q3 2022 results presentation | 19 October 2022 | Page 25