Slide 1: 3Q20 Earnings Supplement
Intercontinental Exchange Earnings Supplement Third Quarter 2020 October 29, 2020 3Q20 Earnings Supplement October 29, 2020
Slide 2: Cautionary Statement Regarding Forward Looking Statements
CAUTIONARY STATEMENT REGARDING FORWARD LOOKING STATEMENTS This presentation may contain “forward-looking statements” made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Statements regarding ICE’s business that are not historical facts are forward-look
Slide 3: ICE 3Q20 Earnings Call Participants
ICE 3Q20 EARNINGS CALL PARTICIPANTS Management: Jeff Sprecher Ben Jackson Scott Hill Chairman & CEO President Chief Financial Officer Chairman, NYSE Investor Relations: Warren Gardiner, CFA Vice President, Investor Relations warren.gardiner@theice.com Mary Caroline O'Neal, CPA Manager, Investor Rela
Slide 4: 3Q20 & 2020 YTD Highlights
3Q20 & 2020 YTD HIGHLIGHTS in millions except per share amounts Strong 3Q & YTD performance INCOME STATEMENT HIGHLIGHTS 3Q20 3Q19 % Chg 3Q'20 Pro-forma Total revenue Net Revenues $1,411 $1,336 6% Pro-forma for Ellie Mae(1) 7% +7% y/y, CC (1) 3Q'20 Pro-forma Adj. Op Expenses $611 $551 11% 3Q'20 Data
Slide 5: 3Q20 Trading & Clearing Segment
3Q20 TRADING & CLEARING SEGMENT ▪ October open interest (OI): energy +9% y/y including nat gas +18% y/y and environmentals +3% y/y ▪ On a pro-forma basis, 3Q'20 Mortgage Tech revenues were +62% y/y Const Total Futures & Options in millions 3Q20 3Q19 % Chg Curr Open Interest (OI) Revenue, net: lots i
Slide 6: 3Q20 Data & Listings Segment
3Q20 DATA & LISTINGS SEGMENT ▪ Record data revenue in 3Q20, +6% y/y, CC; P&A revenue +5% y/y, CC ▪ Annual subscription value (ASV)(1) +5% y/y, CC(2) entering 4Q20; Pricing & Analytics ASV +5% y/y CC entering 4Q20 ▪ The NYSE helped customers raise $57B in capital in 3Q20, including $35B in IPOs Data
Slide 7: Diverse Energy Network Positioned for Long-Term Growth
DIVERSE ENERGY NETWORK POSITIONED FOR LONG- TERM GROWTH ▪ YTD Energy revenues +15% y/y ▪ Liberalization of natural gas and rise of LNG driving demand for ICE TTF & JKM contracts ▪ Increased demand for environmental products and regulatory emissions programs driving growth across our US & EU environm
Slide 8: Facilitating an Analog to Digital Conversion
FACILITATING AN ANALOG TO DIGITAL CONVERSION ▪ Comprehensive digital solution from lead generation & application through to closing and secondary • Data & analytics are critical to addressing current workflow inefficiencies ICE Mortgage Technology Offerings Span the Full Workflow Lead Generation Pro
Slide 9: Investments in Data & Technology Driving Growth
INVESTMENTS IN DATA & TECHNOLOGY DRIVING GROWTH ▪ Data Services is a core competency that is applied across all ICE asset classes ▪ Quality data, leading technology & strong sales productivity has driven 43 consecutive quarters of y/y revenue growth ▪ Developing new products that leverage current ex
Slide 10: Consistent Track Record of Growth
CONSISTENT TRACK RECORD OF GROWTH YTD Highlights Record net revenues +10% y/y, CC2 Record adj. op income +11% y/y2 (1) $3.88 Record adj. EPS +15% y/y (1) $3.59 Record capital return, +10% y/y f 1 7% $3.37 (1) Completed $11 billion Ellie acquisition R o CAG (1) EPS $2.79 (1) $2.97 e d dj ust A (1) $2
Slide 11: Appendix
APPENDIX Intercontinental Exchan
Slide 12: Average Daily Volume and Rate per Contract (RPC) Trends
AVERAGE DAILY VOLUME AND RATE PER CONTRACT (RPC) TRENDS lots in thousands Energy ADV & RPC ADV RPC ADV Ags ADV & RPC RPC 4,000 1.50 600 2.50 3,500 500 3,000 400 2,500 1.25 2.25 300 2,000 1,500 200 1,000 1.00 100 2.00 2017 2018 2019 YTD 3Q20 2017 2018 2019 YTD 3Q20 ADV RPC ADV RPC ADV Interest Rates
Slide 13: Average Daily Volume and OI Trends
AVERAGE DAILY VOLUME AND OI TRENDS lots in thousands Energy ADV & OI Ags ADV & OI ADV OI ADV OI 4,000 45,000 600 4,400 3,500 500 3,300 3,000 30,000 400 2,500 2,200 2,000 15,000 300 1,500 1,100 200 1,000 0 2017 2018 2019 YTD 100 0 3Q20 2017 2018 2019 YTD 3Q20 ADV OI ADV OI ADV Interest Rates ADV & OI
Slide 14: Data & Listings Supplemental Data
DATA & LISTINGS SUPPLEMENTAL DATA 3Q20 Data Revenue by Region, Annual Subscription Value (ASV) Constant Currency FX Impact in millions 3Q20 3Q19 EMEA APAC 19% 6% ASV(1) $2,098 $1,982 Adjusted for: FX — 12 ASV, CC 2,098 1,994 Americas 75% (1) ASV is defined as the annual value of subscriptions under
Slide 15: 3Q20 GAAP Results
3Q20 GAAP RESULTS INCOME STATEMENT HIGHLIGHTS GAAP GAAP in millions except per share amounts 3Q20 3Q19 % Chg Net revenues $1,411 $1,336 6% Operating Expenses $784 $630 25% Operating Income $627 $706 (11)% Operating Margin 44% 53% (9 pts) Net Income attributable to ICE $390 $529 (26)% Diluted EPS $0.
Slide 16: 3Q20 Balance Sheet
3Q20 BALANCE SHEET in millions 09/30/2020 12/31/2019 CHANGE Assets ▪ $610 million unrestricted cash Unrestricted Cash $610 $841 $(231) Other Current Assets 88,527 67,138 21,389 ▪ Total debt of $17.3 billion; Adj. Debt-to- Current Assets 89,137 67,979 21,158 EBITDA(1) of 4.2x PPE (net) 1,693 1,536 15
Slide 17: Adjusted Net Income Attributable to ICE and EPS
ADJUSTED NET INCOME ATTRIBUTABLE TO ICE AND EPS Three Months Three Months Nine Months Nine Months Ended Ended Ended Ended September 30, 2020 September 30, 2019 September 30, 2020 September 30, 2019 Net income attributable to ICE $ 390 $ 529 $ 1,563 $ 1,485 Add: Amortization of acquisition-related in
Slide 18: Adjusted Net Income Attributable to ICE and EPS
ADJUSTED NET INCOME ATTRIBUTABLE TO ICE AND EPS 12 Months 12 Months 12 Months 12 Months 12 Months 12 Months 12 Months Ended Ended Ended Ended Ended Ended Ended in millions except per share amounts 12/31/19 12/31/18 12/31/17 12/31/16 12/31/15 12/31/14 12/31/13 Net income attributable to ICE $1,933 $1
Slide 19: Adjusted Operating Income, Operating Margin & Operating Expense Reconciliation
ADJUSTED OPERATING INCOME, OPERATING MARGIN & OPERATING EXPENSE RECONCILIATION Trading and Clearing Data and Listings Segment Segment Consolidated Nine Months Ended Nine Months Ended Nine Months Ended September 30, September 30, September 30, 2020 2019 2020 2019 2020 2019 Total revenues, less transa
Slide 20: Adjusted Operating Income, Operating Margin & Operating Expense Reconciliation
ADJUSTED OPERATING INCOME, OPERATING MARGIN & OPERATING EXPENSE RECONCILIATION Trading and Clearing Data and Listings Segment Segment Consolidated Three Months Ended Three Months Ended Three Months Ended September 30, September 30, September 30, 2020 2019 2020 2019 2020 2019 Total revenues, less tra
Slide 21: Adjusted EBITDA Reconciliation
ADJUSTED EBITDA RECONCILIATION Trailing Twelve Months in millions Ended 9/30/20 Adjusted net income $2,395 Add: Adjusted interest expense(1) 297 Add: Adjusted income tax expense(1) 718 Add: Adjusted depreciation and amortization(1) 342 Adjusted EBITDA from Continuing Ops $3,752 Pro forma EBITDA (pre
Slide 22: Adjusted Effective Tax Rate Reconciliation
ADJUSTED EFFECTIVE TAX RATE RECONCILIATION Three Months Three Months in millions Ended 9/30/20 Ended 9/30/19 Income before income taxes $583 $640 Income tax expense 189 103 Effective tax rate 32 % 16 % Income before income taxes 583 640 Add: Amortization of acquisition-related intangibles 94 79 Add: