Slide 1: Euronext Q2 2023 results
Euronext Q2 2023 results Analysts call 28 July 2023 Published on 27 July 2023 at 5.45 pm CET
Slide 2: Opening remarks, highlights, business review, financial review
1 Opening remarks 2 Q2 2023 highlights 3 Q2 2023 business review 4 Q2 2023 financial review Stéphane Boujnah Giorgio Modica CEO and Chairman of Chief Financial Officer the Managing Board │2
Slide 3: Opening remarks
Opening remarks 1
Slide 4: Q2 2023 highlights
Q2 2023 highlights 2
Slide 5: Solid Q2 2023 driven by non-volume business organic growth
Solid Q2 2023 driven by non-volume business organic growth and robust performance of market share and yield in cash trading €368.1m €216.1m €1.34 Revenue and income, stable like Adjusted EBITDA, slightly down Adjusted2) EPS, stable for like at constant currencies by -2.1% like for like at constant (
Slide 6: Continuing progress on Borsa Italiana integration
Continuing progress on Borsa Italiana integration Achieved milestones Upcoming strategic milestones June 2022 From September 2023 ✓ Migration of the Core Data Centre from Start of the migrations of other Borsa Italiana markets to Optiq® Basildon (UK) to Bergamo (Italy) leading to the termination of
Slide 7: Confirmed leadership position in European cash equity trading
Confirmed leadership position in European cash equity trading Q2 2023 Target ✓ Positive impact of the migration of Italian cash Equity trading market share 65.4% ≥63% markets onto Optiq® supporting improved market quality. In June 2023, Euronext reported its highest market share over the last twelve
Slide 8: Continued disciplined capital allocation
Continued disciplined capital allocation Disposal of Euronext’s 11.1% stake in LCH SA €200m share repurchase programme ▪ Disposal of Euronext’s 11.1% stake in LCH SA to ▪ Launch of a share repurchase programme for an LCH Group was completed on 6 July 2023 for €111 amount of €200 million for a period
Slide 9: Q2 2023 business review
Q2 2023 business review 3
Slide 10: Solid quarter driven by organic growth of non-volume related business
Solid quarter driven by organic growth of non-volume related business and yield and market share management Q2 2023 revenue and income Technology €27.3m Solutions +13.2% Technology Solutions 7% Listing 15% Advanced Advanced Data Data €56.9m +9.4% Services Services 15% Listing €55.1m €368.1m Cash tra
Slide 11: Strong performance of non-volume related businesses
Strong performance of non-volume related businesses, record data and investor services revenue Technology Solutions Revenue in €m Strong quarter, up +13.2% ▪ Positive impact of the internalisation of colocation services Q2 2023 27.3 following migration of Euronext Core Data Centre to Bergamo in Q2 2
Slide 12: Confirmed leadership in listing in Europe in Q2 2023
Confirmed leadership in listing in Europe in Q2 2023 Revenue grew +2.1% like-for-like at constant currencies, reported revenue was down –0.5% due to NOK depreciation #1 venue for equity listing in Europe and for debt listing worldwide Revenue in €m 55.4 55.1 16 #1 new listings largest IPO in Europe
Slide 13: Less volatile environment partially offset by higher revenue capture
Less volatile environment partially offset by higher cash and derivatives revenue capture Cash trading Revenue in €m ▪ Revenue down -13.3% and AVD down -14.0% reflecting a low volatility environment Q2 2023 65.2 ▪ Average yield at 0.53bps, above guidance following migration of Borsa Italiana cash ma
Slide 14: Strong performance of fixed income and power trading
Continued strong performance of fixed income and power trading activities in Q2 2023 Fixed income trading Revenue in €m ▪ Solid quarter with revenue up +1.4% driven by increasing interest rates Q2 2023 25.3 ▪ Record volumes for MTS repo, TAADV up +27.7%, and other fixed income (+27.4%) Q2 2022 24.9
Slide 15: Solid Q2 2023 for post trade driven by record CSD quarter
Solid Q2 2023 for post trade driven by record quarter for CSD activities Clearing – exc. NTI Revenue in €m ▪ Revenue down -6.4% due to lower equity and derivatives trading Euronext Clearing LCH SA volumes and contribution from LCH SA Q2 2023 11.5 17.9 29.4 ▪ Uplift in bond clearing, partially offset
Slide 16: Q2 2023 financial review
Q2 2023 financial review 4
Slide 17: Q2 2023 adjusted EBITDA down 2.5% to €216.1 million
Q2 2023 adjusted EBITDA down –2.5% to €216.1 million in €m -3.0% 216.1 213.6 1.9 8.9 58.7% 2.7 1.3 0.7 3.0 207.2 Adj. EBITDA 0.8 margin Underlying costs in line with 2023 cost guidance Q2 2022 Revenue Cost Revenue Costs FX impact Non- Q2 2023 Non- Q2 2023 Reported variation variation variation varia
Slide 18: Q2 2023 adjusted net income stable at €142.9 million
Q2 2023 adjusted net income stable at €142.9 million, adjusted EPS at €1.34 per share in €m 142.9 €120.0m +0.9% Reported 22.9 Net Income1) 118.9 4.1 2.1 120.0 +0.9% 6.4 2.0 3.6 7.2 €142.9m Adjusted Net Income1) €1.34 Adjusted EPS1) Q2 2022 EBITDA D&A Net Results Income tax Share of Q2 2023 Total non
Slide 19: Strong cash flow generation continued, dividend paid
Strong cash flow generation continued, dividend paid in Q2 2023 CASH FLOW GENERATION 213.6 Q2 2023 EBITDA to net operating cash flow 207.2 conversion rate impacted by: Reported EBITDA 151.9 ▪ Change in working capital related to Nord Pool and 139.0 Net operating cash Euronext Clearing CCP activities
Slide 20: Q&A
Q&A 5
Slide 21: Q&A - Speakers
Q&A - Speakers Stéphane Boujnah Giorgio Modica Anthony Attia Simon Gallagher CEO and Chairman of the Chief Financial Officer Global Head of Primary Head of Cash and Managing Board Markets & Post Trade Derivatives │ 21
Slide 22: Appendix
APPENDIX
Slide 23: Liquidity at end of Q2 2023
Liquidity at end of Q2 2023 1,748.5 in €m 29.3 23.2 600.0 139.0 240.3 1,231.5 57.0 7.8 23.0 6.3 1,148.5 15.0 8.3 €400m Targeted cash for operation Cash in Change Net operating Net Net Capex Dividends Dividends Net interests Payment Acquisition of Other, inc. FX Cash in Undrawn Liquidity Q1 2023, in
Slide 24: Number of outstanding shares used for EPS computation
Number of outstanding shares used for EPS computation Following the rights issue that occurred on 29 April 2021, whose settlement occured on 14 May 2021, the average outstanding number of shares (basic) to be used for EPS computation is provided below. For comparative purposes, average numbers of ou
Slide 25: Adjusted EPS for Q2 2023
Adjusted EPS for Q2 2023 in €m unless specified otherwise Q2 2023 Q2 2022 Net income reported 120.0 118.9 EPS reported (€) 1.12 1.11 Adjustments of which revenues 0.0 (0.0) of which Operating expenses exc. D&A (8.9) (8.1) of which Depreciation and amortisation (23.8) (23.7) of which Net financing ex
Slide 26: Q2 2023 income statement
Q2 2023 income statement In €m, unless stated otherwise % var Q2 2023 Q2 2022 % var (like-for-like, constant The figures in this document have not been audited or reviewed by our external auditor. currencies) Revenue and income 368.1 374.7 -1.8% -0.5% Listing 55.1 55.4 -0.5% +2.1% Trading revenue, o
Slide 27: Last twelve months income statement
Last twelve months income statement Q3 2022 Q4 2022 Q1 2023 Q2 2023 LTM reported Revenue and income 301.4 347.0 372.3 368.1 1,388.7 Listing 54.0 53.5 54.7 55.1 217.4 Trading Revenue 117.8 116.3 128.9 118.2 481.2 of which Cash trading 67.3 65.1 71.7 65.2 269.3 of which Derivatives trading 14.0 13.4 1
Slide 28: Balance sheet as at 30 June 2023
Balance sheet as at 30 June 2023 in € million As of 30 Jun'23 As of 31 Mar'23 unaudited, in €m As at 30/06/2023 Non-current assets Property, plant and equipment 105.7 107.0 CCP clearing business assets Right-of-use assets 60.9 59.2 CCP trading assets at fair value 11,894.7 Goodwill and other intangi
Slide 29: Q2 2023 cash flows statement
Q2 2023 cash flows statement in € million Q2 2023 Q2 2022 Profit before tax 166.4 167.2 Adjustments for: - Depreciation and amortisation 42.2 38.5 - Share based payments 3.4 4.4 - Share of profit from associates and joint ventures (3.2) (1.2) - Changes in working capital (54.0) (50.3) Cash flow from
Slide 30: Disclaimer
DISCLAIMER This presentation is for information purposes only and is not a recommendation to engage in investment activities. The information and materials contained in this presentation are provided ‘as is’ and Euronext does not warrant as to the accuracy, adequacy or completeness of the informatio
Slide 31: Investor Relations
INVESTOR RELATIONS Aurélie Cohen, Chief Communications and Investor Relations Officer Clément Kubiak, Investor Relations Manager Judith Stein, Investor Relations Officer ir@euronext.com +33 1 70 48 24 27 www.euronext.com/en/investor-relations