Virtu Financial, Inc. · NYSE:VIRT
Virtu Financial — Virtual FIA Boca 2021
14 slides from Virtu Financial's conference presentation, Mar 18, 2021
Slide 1: Virtual FIA Boca March 18, 2021
1 Virtual FIA Boca March 18, 2021
Slide 2: Continued Strong Performance
$4.1 $3.9 $12.7 $10.6 $5.7 $7.1 $9.0 $0 $2 $4 $6 $8 $10 $12 $14 FY 2018* FY 2019* 1Q20 2Q20 3Q20 4Q20 FY 2020 Millions per Day Market Making Execution Services Continued Strong Performance Average Daily Adjusted Net Trading Income1 2 2 2021 off to a strong start driven by all aspects of business, in
Slide 3: Solid Fundamentals Continue Into 2021
3 Adj. NTI / Day1 Full-Year Adj. NTI1 Adj. EBITDA1 Normalized Adj. EPS1 $6.00 $1,512 $952 $3.16 $7.00 $1,764 $1,180 $4.05 $8.00 $2,016 $1,415 $4.96 $9.00 $2,268 $1,642 $5.84 $10.00 $2,520 $1,857 $6.68 $11.00 $2,772 $2,071 $7.50 ($M except per share amounts) Updated Illustrative Range of Outcomes Bas
Slide 4: Virtu Investment Highlights
Virtu Investment Highlights Scale Advantage Powers Organic Growth and Innovation Integration drives revenues and margins Leverage scale for product and geographic expansion in Market Making and Execution Services Sizable addressable opportunities Benefiting From Strong Secular Market Shifts Paradigm
Slide 5: Scale Advantage Powers Organic Growth & Innovation
+ 103% CAGR2 Total Adj. NTI1 ($M) from Organic Growth Initiatives % of Adj. NTI: 3% 7% 7% $40 $75 $166 FY 2018 FY 2019 FY 2020 Scale Advantage Powers Organic Growth & Innovation 5 See end notes Previously Highlighted Opportunities Represent a Significant Untapped Incremental Revenue Opportunity % of
Slide 6: Benefiting from Strong Secular Market Shifts
6 Benefiting from Strong Secular Market Shifts Virtu is a beneficiary of the secular shift in market volumes 400 500 600 700 800 900 1,000 1,100 1,200 1,300 1,400 ‐ 500 1,000 1,500 2,000 2,500 3,000 3,500 4,000 Jan ‐ 19 Mar ‐ 19 May ‐ 19 Jul ‐ 19 Sep ‐ 19 Nov ‐ 19 Jan ‐ 20 Mar ‐ 20 May ‐ 20 Jul ‐ 20
Slide 7: Market Making and Execution Services Create a Market Center with Unique Liquidity
7 Virtu Market Making and Execution Services Create a Market Center with Unique Liquidity GLOBAL CLIENT NETWORK Trusted relationships, many developed over 30+ years LIQUIDITY POOLS & EXECUTION TOOLS Efficient and transparent trading See end notes Broad Range of Client Types • Institutional • Retail
Slide 8: Strong Financial Profile
Strong Financial Profile • Aggressively returning capital to shareholders (dividend + buyback) • Strong balance sheet (average of $1.8B in Trading Capital in 2020) – “capital light” model • $170 million share repurchase program in place already • Already repurchased 3 million shares at an average pr
Slide 9: Appendices
VIRTUG FINANCIAL W Appendices
Slide 10: Adjusted Net Trading Income Reconciliation
10 Adjusted Net Trading Income Reconciliation Operating segments 4Q 2019 1Q 2020 2Q 2020 3Q 2020 4Q 2020 Trading income, net 228 803 745 442 466 Commissions, net and technology services 6 1 (1) 9 43 Brokerage, exchange, clearance fees and payment for order flow, net (74) (137) (173) (178) (176) Inte
Slide 11: Adjusted Net Trading Income Reconciliation: Organic growth initiatives
. 11 Adjusted Net Trading Income Reconciliation Organic growth initiatives 2018 2019 2020 Trading income, net 36 77 246 Commissions, net and technology services 7 11 23 Brokerage, exchange, clearance fees and payment for order flow, net (2) (9) (88) Interest and dividends, net (1) (4) (15) Adjusted
Slide 12: Return on Invested Capital
12 Return on Invested Capital See end notes Invested Capital ($mm) As of: 3/31/191 6/30/19 9/30/19 4Q 2019 3/31/20 6/30/20 9/30/20 12/31/20 (+) Cash & cash equivalents 771 458 373 732 711 671 568 890 (+) Cash and securities segregated under federal regs 17 40 22 41 95 77 98 117 (+) Securities borrow
Slide 13: Disclaimer
Disclaimer 13 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 Virtu Financial, Inc.’s (“Virtu’s”, the “Compan
Slide 14: End Notes
End Notes 14 These notes refer to metrics and/or defined terms presented on: Slide 2 1. This reflects a non-GAAP measure. Please refer to slides at the end of this presentation for reconciliation to the equivalent GAAP measure. Prior period reconciliations available at https://ir.virtu.com/financial