Slide 1: Euronext Q1 2023 results
Euronext Q1 2023 results 1,467.8 Analysts call 17 May 2023 Published on 16 May 2023 at 5.45 pm CET
Slide 2: Agenda and presenters
1 Q1 2023 highlights 2 Q1 2023 business review 3 Q1 2023 financial review 4 Closing remarks Stéphane Boujnah Giorgio Modica CEO and Chairman of Chief Financial Officer the Managing Board │2
Slide 3: Q1 2023 highlights
Q1 2023 highlights 1
Slide 4: Solid Q1 2023 driven by non-volume related organic growth
Solid Q1 2023 driven by non-volume related organic growth €372.3m €218.5m €1.38 Revenue and income, -5.9% Adjusted EBITDA, -13.3% Adjusted2) EPS, -10.7% 58% 58.7% €179.8m of non-volume related1) revenue Adjusted EBITDA margin Net operating cash flow, adjusted for Nord Pool and Euronext Clearing CCP
Slide 5: Major milestones achieved in the Borsa Italiana Group integration
Major milestones achieved in the Borsa Italiana Group integration Achieved milestones Upcoming strategic milestones June 2022 By Q4 2023 ✓ Migration of the Core Data Centre from Migration of other Borsa Italiana markets to Optiq® allowing for Basildon (UK) to Bergamo (Italy) termination of third-par
Slide 6: Successful migration of Borsa Italiana markets to Optiq
Immediate benefits for all market participants now accessing Europe’s largest liquidity pool Successful and timely migration of Borsa Italiana cash and ETF markets to Euronext trading platform on 27 March 2023 EBBO Setting (%) - Weekly - FTSE MIB Securities Euronext Milan MTF 1 MTF 2 MTF 3 Improved
Slide 7: New trading services leading the way for innovation in Europe and beyond
New trading services leading the way for innovation in Europe and beyond For institutional clients For retail investors Dark execution facility Pan-European and US securities trading enabling Euronext participants to benefit from the full suite of on-exchange simplifying access to trading for retail
Slide 8: Euronext Clearing, the last step to complete Euronext's trading value chain
Euronext Clearing, the last step to complete Euronext’s trading value chain One Clearing House, resilient and European, providing services across Euronext and non Euronext markets on Equities, Financial & Commodity Derivatives and Fixed Income 1) A strong clients value proposition Ready to support i
Slide 9: Q1 2023 business review
Q1 2023 business review 2
Slide 10: Solid quarter driven by organic growth of non-volume related business
Solid quarter driven by organic growth of non-volume related business Q1 2023 revenue and income Technology €27.6m Solutions +19.4% Technology Solutions 7% Listing 15% Advanced Advanced Data €56.3m Services Data +7.0% 15% Services Net Treasury Listing €54.7m Income €372.3m -1.2% 2% 58% non-volume dr
Slide 11: Strong performance of non-volume related businesses with record revenue
Strong performance of non-volume related businesses with record revenue in Q1 2023 Technology Solutions Revenue in €m Record revenue, up +19.4% Q1 2023 27.6 ▪ Positive impact of the contribution of new colocation services following migration of Euronext Core Data Centre in June 2022 Q1 2022 23.1 ▪ S
Slide 12: Confirmed leadership in listing in Europe in Q1 2023
Confirmed leadership in listing in Europe in Q1 2023 Revenue grew +0.6% like-for-like at constant currencies, reported revenue was down -1.2% due to NOK depreciation #1 venue for equity listing in Europe and for debt listing worldwide Revenue in €m 55.4 54.7 12 25% new listings international listing
Slide 13: Negative comparison base for cash, derivatives and FX trading
Negative comparison base for cash, derivatives and FX trading in Q1 2023 Cash trading ▪ Revenue down -23.7% and AVD down -26.2% due to negative Revenue in €m comparison base with record level of volatility in Q1 2022 Q1 2023 71.7 ▪ Average yield at 0.48bps negatively impacted by large average Q1 202
Slide 14: Strong performance of fixed income and power trading activities
Strong performance in Q1 2023 of fixed income and power trading activities Fixed income trading Revenue in €m ▪ Revenue up +7.0% driven by increasing interest Q1 2023 26.2 rates Q1 2022 24.4 ▪ Record volumes, MTS repo TAADV up +21.5% ▪ Continued successful geographic expansion ▪ Record quarter for E
Slide 15: Solid Q1 2023 for post trade driven by record CSD activities
Solid Q1 2023 for post trade driven by record quarter for CSD activities Clearing – exc. NTI Revenue in €m ▪ Revenue down -6.0% due to lower equity and derivatives trading Euronext Clearing LCH SA volumes and contribution from LCH SA Q1 2023 12.2 17.8 30.0 ▪ Uplift in bond clearing, partially offset
Slide 16: Q1 2023 financial review
Q1 2023 financial review 3
Slide 17: Q1 2023 adjusted EBITDA down 13.3% to €218.5 million
Q1 2023 adjusted EBITDA down –13.3% to €218.5 million in €m • €36.0m one-off costs for termination -30.4% of contract with LCH SA • Strategic plan implementation costs 246.7 20.6 218.5 13.2 0.7 1.2 1.7 58.7% Adj. EBITDA 41.3 46.8 margin 171.8 €36.0m one-off costs for termination of Underlying contra
Slide 18: Q1 2023 adjusted net income down 10.6% to €147.1 million
Q1 2023 adjusted net income down –10.6% to €147.1 million, adjusted EPS at €1.38 per share in €m -32.9% 147.1 143.8 €147.1m €36.0m one-off costs Adjusted for termination of contract with LCH SA 50.6 Net Income1) 74.9 96.5 1.9 18.9 €1.38 5.3 Adjusted EPS1) 0.3 5.5 -10.7% Q1 2022 EBITDA D&A Net Result
Slide 19: Strong cash flow generation and continued deleveraging
Strong cash flow generation and continued deleveraging CASH FLOW GENERATION 368.6 Reported EBITDA - Q1 2023 EBITDA1) to net operating cash flow 318.2 Adjusted for LCH SA conversion rate impacted by: termination fee provision 246.7 ▪ Change in working capital related to Nord Pool and Net operating ca
Slide 20: Closing remarks
Closing remarks y|
Slide 21: On the path to build the only fully integrated trading value chain across Europe
On the path to build the only fully integrated trading value chain across Europe LISTING TRADING POST-TRADE F R O M Q 4 2023 E x pa ns i on Leading fixed to all Euronext #1 European #1 listing venue income trading markets trading platform platform Core Data Centre #2 derivatives Major platforms for
Slide 22: Q&A
Q&A 5
Slide 23: 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 │ 23
Slide 24: Appendix
APPENDIX
Slide 25: Liquidity at end of Q1 2023
Liquidity at end of Q1 2023 1,831.5 in €m 600.0 23.9 5.1 2.9 6.8 1,231.5 53.3 14.1 318.2 953.5 56.7 €400m Targeted cash for operation Cash in Q4 Change in Net operatinc Net Net Capex Dividends Net interests Payment of Other, inc. FX Cash in Undrawn Liquidity in 2022 exc. cash in transit cash flow(Pu
Slide 26: 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 27: Adjusted EPS for Q1 2023
Adjusted EPS for Q1 2023 in €m unless specified otherwise Q1 2023 Q1 2022 Net income reported 96.5 143.8 EPS reported (€) 0.90 1.35 Adjustments of which revenues (0.0) (0.0) of which Operating expenses exc. D&A (46.8) (5.5) of which Depreciation and amortisation (22.9) (21.8) of which Net financing
Slide 28: Q1 2023 income statement
Q1 2023 income statement In €m, unless stated otherwise % var Q1 2023 Q1 2022 % var (like-for-like, constant currencies) The figures in this document have not been audited or reviewed by our external auditor. Revenue and income 372.3 395.7 -5.9% -5.3% Listing 54.7 55.4 -1.2% +0.6% Trading revenue, o
Slide 29: Q1 2023 income statement
Q1 2023 income statement Q1 2023 Q1 2022 in € million, unless stated otherwise Underlying Non-underlying Reported Underlying Non-underlying Reported Revenue and income 372.3 - 372.3 395.7 0.0 395.7 Listing 54.7 - 54.7 55.4 - 55.4 Trading revenue, of which 128.9 - 128.9 150.8 - 150.8 Cash trading 71.
Slide 30: Last twelve months income statement
Last twelve months income statement Q2 2022 Q3 2022 Q4 2022 Q1 2023 LTM reported Revenue and income 374.7 301.4 347.0 372.3 1,395.4 Listing 55.4 54.0 53.5 54.7 217.7 Trading Revenue of which Cash trading 75.3 67.3 65.1 71.7 279.4 of which Derivatives trading 14.9 14.0 13.4 14.9 57.2 of which Fixed i
Slide 31: Balance sheet as at 31 March 2023
Balance sheet as at 31 March 2023 in € million As of 31 Mar'23 As of 31 Dec'22 unaudited, in €m As at 31/03/2023 Non-current assets Property, plant and equipment 107.0 109.4 CCP clearing business assets Right-of-use assets 59.2 42.3 CCP trading assets at fair value 10,846.3 Goodwill and other intang
Slide 32: Q1 2023 cash flows statement
Q1 2023 cash flows statement in € million Q1 2023 Q1 2022 Profit before tax 135.2 199.6 Adjustments for: - Depreciation and amortisation 40.5 40.2 - Share based payments 3.6 2.8 - Share of profit from associates and joint ventures (3.3) (3.1) - Changes in working capital 168.7 162.1 Cash flow from o
Slide 33: 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 34: 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