Slide 1: Results Presentation Full Year to 31st December 2006
MARKET TECHNOLOGY Results Presentation Full Year to 31st December 2006 ress MARKET TECHNOLOGY February 2007
Slide 2: Group Performance
iress MARKET TECHNOLOGY Group Performance Adjusted Group Profit $29.644 m Up $4.752 million, 19.1% on PY Segment Contribution against prior year 2Information Services Contribution $3.986 84% >Financial Planning Contribution $1.349 28% >Canada ($0.583) (12)% $4.752 100% > Final dividend 13 cents, ful
Slide 3: Segment Performance Against Prior Half
ress MARKET TECHNOLOGY Segment Performance Against Prior Half > Information Services » Operating Revenue up 10.3% » EBITDA up 8.3% >PAT 5.6% increase in profit > Financial Planning » Operating Revenue up 87.8% (32.7% excl. P’tech) »EBITDA up 77.0% >PAT 79.6% increase in profit > Canada (assuming 100
Slide 4: Strategic & Non-Recurring Items
iress MARKET TECHNOLOGY Strategic & Non-Recurring Items » Strategic Charges (amortisation of purchased intangibles) > XPLAN Software $2.140m (closing WDV $2.617m) > Plantech Software $0.953m (closing WDV $10.487m) > Canada $0.07m (closing WDV $0.088m + CXT commissions in ‘07) > Non Recurring ($0.504
Slide 5: Review of Group Recurring Subscription Revenue
ress MARKET TECHNOLOGY Review of Group Recurring Subscription Revenue Client & Central Comm Rev _. ilk 87 ee Sub Rev (ne 400 4 recur) 35.0 4 : Sub Rev 300 4 (recurring) 25.0 4 20.0 4 15.0 4 10.0 5.0 H1'02 H1' 03 H1' 04 H1'05 H1'06 Info Services Recurring HFinPlan Recurring © Canada Recurring (AUD)
Slide 6: PCP change in Group Recurring Subscription Revenue
ress MARKET TECHNOLOGY $m PCP change in Group Recurring Subscription Revenue Acquisition of Plantech business 7.0 5 in Sept’06 6.0 4 5.0 4 Acquisition of 100% . Acquisition of of Canada business 40 | existing business as in Apri?06 . part of Cad JVin ApriP'04 3.0 4 2.0 4 1.0 4 H2'01 H1'02) -H2'02,-H
Slide 7: Review of Group EBITDA
ress MARKET TECHNOLOGY $m Review of Group EBITDA* 24.0 19.0 14.0 9.0 4.0 (1.0) Ht 03 H2' 03 Ht" 04 G Info Services “Defintion of EBITA as per IRESS Media Release H2'04 H1'05 H2'05 H1'06 H2°06 @ Fin Plan f@ Canada (AUD)
Slide 8: PCP change in Group EBITDA
iress MARKET TECHNOLOGY PCP change in Group EBITDA* Acquisition of Plantech business in Sept’06 A 4 Acquisition of existing business as 25 4 part of Cad JVin : ApriPo4 2.0 ] 15 4 1.0 4 05 4 H1'04 H2'04 H1'05 (0.5) 4 Info Services @ Fin Plan & Canada (AUD) Acquisition of 100% of Canada business * Def
Slide 9: Review of Operations and Outlook
iress MARKET TECHNOLOGY Review of Operations and Outlook > Info & Trading Systems > Year on year growth virtually replicates 2005 > Revenue growth across all products. In % terms WebIRESS. FIX and FTS highlights. IRESS desktop the major absolute contributor > Competitors present at bottom end of mar
Slide 10: Review of Info Services Revenue
§ ress Review of Info Services Revenue 35 5 30 4 25 4 20 4 $m 16 | 10 7 Subscription Revenue News, Royalty & Comms H1’01 to H2’06
Slide 11: Info Services Revenue — split by type
ress MARKET TECHNOLOGY Info Services Revenue — split by type 25 4 20 4 18 4 $m 10 J IRESS+ Services Trading Services Hardw are/DR Other New s, Royalty & Comms H1’01 to H2’06
Slide 12: PCP change in Info Services Revenue
ress MARKET TECHNOLOGY PCP change in Info Services Revenue 40 5 3.5 4 3.0 4 2.5 | 2.0 4 $m 1.5 4 1.0 4 05 4 H2'01 H102 H2'02 H1'03 Hea H1'04 H2'04 HI'05 H2'05 H106 H2'06 (0.5) * IRESS+ Services O Trading Services f Hardware/DR Other News, Royalty & Comms
Slide 13: Info Services — Monthly Subscription Rev
iress _ “=| Info Services — Monthly Subscription Rev 5.0 4 Millions 455 404 3.54 3.0 4 2.5 T 1 Jan-03 Jan-04 Jan-05 dan-06
Slide 14: Core Business Highlights 2006
iress MARKET TECHNOLOGY Core Business Highlights 2006 > ASX Move to ITS > Consumed substantial resources across the market > Impacted nearly all products 2 Implementation smooth and running reliably since > OTS Trading Terminal > Akeystroke based alternative available over the ITS change > Establish
Slide 15: Core Business Highlights (cont)
iress MARKET TECHNOLOGY Core Business Highlights (cont) => WebiRESS upgraded to new Java platform » Good growth despite HSBC loss > New top 5 broker group => FIX+ released now sets the benchmark in Australia for performance and reliability. With IOS+ unique service for FIX DMA clients. > Focus on in
Slide 16: IPS and FTS+
ress MARKET TECHNOLOGY IPS and FTS+ > IPS > Implementation at major NZ broker introduces multi-currency service. > Custodial features introduced to support IMS / SMA administration and index based modelling. > “per portfolio” pricing structure targets retail advisers specifically. > FTS+ » Significa
Slide 17: Daily Trades on the ASX
Daily Trades on the ASX o i a f Millions
Slide 18: XPLAN - Financial Planning
ress MARKET TECHNOLOGY XPLAN - Financial Planning Exceptional performance in ‘06 More than doubled revenue, Moved to pre-tax profit of $2.9m Plan Tech acquisition expands scale and deliver risk research and analytics leadership Independence a key and unique strength for IRESS / XPLAN Outsourced serv
Slide 19: Plan Tech Integration
ress MARKET TECHNOLOGY Plan Tech Integration > Risk researcher content available on day 1 > Full risk researcher and analytics service integrated in XPLAN by March > Merger well received by client of both companies and new prospects > Commission management system “COMMPAY” and STP life insurance pro
Slide 20: Plantech — South Africa
iress MARKET TECHNOLOGY Plantech — South Africa > Operation is small but we believe it has potential > Our goal is to diversify and expand revenue. > Moving to direct distribution structure > Expanding support resources > Good initial interest in web delivered alternative » Interested in acquisition
Slide 21: Financial Planning — Monthly Subscription Rev
6 sTeRS Financial Plan. — Mthly Subscription Rev 1.25 Millions 1.04 0.8 5 0.6 4 0.44 0.24 Xplan if P’'Tech was excluded 0.0 dan-03 Jan-04 dan-05 Jan-06
Slide 22: Financial Planning Subscription Revenue
iress MARKET TECHNOLOGY Financial Planning Subscription Revenue fPlanTech @ Xplan
Slide 23: PCP change in Financial Planning Subscription Revenue
6 ress a . ; raverrecwnouoy| | ~PCP change in Financial Planning Subscription Revenue 3.0 5 25 4 Acquisition of 2.0 4 Plantech Sept ‘06 & 15 J 1.0 5 = | | a L oe oe H1' 03 H1'04 H1'05 H1'06 H Xplan O Plantech
Slide 24: Canada Business
ress MARKET TECHNOLOGY Canada Business > Business scaled up significantly following move to 100% ownership and signing of CX Trader conversion arrangement. > Agreement with TSX will provide our clients with uniquely low latency => Best Market Router is complete and in final testing. Believe we are l
Slide 25: Canada — CX Trader
a ress MARKET TECHNOLOGY Canada _— CX Trader > CX Trader OE product fully complete: > Process of signing customers well underway >» 40% plus of CX revenue signed worth over C$2.5 million mostly yet to be installed » Most contracts include additional sales of IRESS products » Client acceptance at use
Slide 26: Canada: Outlook
iress MARKET TECHNOLOGY Canada : Outlook => Contracted CX OE revenue alone will push growth to around C$10m annualised. Installation is underway and will continue over coming months. = With more OE contracts been signed each week and good prospects for OMS acceptance (plus NATM etc) prospects for hi
Slide 27: Canada — Monthly Subscription Revenue
ress MARKET TECHNOLOGY Canada — Monthly Subscription Revenue* 0.600 4 0.580 4 0.560 4 CAD Millions Pre-IRESS full production level offering > ,_¢ 0.540 1\ 1 0.520 { V 0.500 { 0.480 | 0.460 | 0.440 47 0.420 4 0.400 T T Apr-04 Apr-05 Apr-06 * Assumes 100% ownership
Slide 28: Review of Group Operating Expenses
iress Review of Group Operating Expenses MARKET TECHNOLOGY Info Services aComms & Other S m General Administration Expenses g 9 C1 Occupancy Expenses 2 ; O Hardware & Software Expenses ; m@ Other Employee Related Expenses 3 @ Total Direct Staff Costs (Inc AL) ' HI 08 HH 04 HOS HH'O6 Financial Planni
Slide 29: Breakdown of operating expenses H2 2006
ress MARKET TECHNOLOGY Breakdown of operating expenses H2 2006 Info Services @ Total Direct Staff Costs (Inc AL) m@ Other Employee Related Expenses Oi Hardware & Software Expenses i UO Occupancy Expenses m@ General Administration Expenses Comms & Other FinPlan Canada (CAD) 2% 1% 6% 1% i
Slide 30: Headcount & Direct staff costs
ress MARKET TECHNOLOGY Headcount & Direct staff costs* 250 4 Canada headcount grow th 200 4 90+% due to acquistion of control, balance represents underlying increase. 150 100 Full time equivalent staff Fin Pian headcount grow th 90+% due to acquistion Plantech Dec-O1 dun-2 Dec-02 dun-03. Dec-03 dune
Slide 31: Intangible Assets
iress MARKET TECHNOLOGY Intangible Assets => No capitalisation of software development > Intangibles only arise through the acquisition of a business or company > Comprises: 2006 A$m Description >» $2.140 Xplan Software (A$11.034m over 5 years to Mar 08) » $0.953 PlanTech Software (A$11.440m over 3
Slide 32: Share price vs S&P/ASX
Share price vs S&P/ASX 200 eee TRESS sm §&P/ASX 200 MARKET TECHNOLOGY
Slide 33: Dividends
ress MARKET TECHNOLOGY Dividends > Final Dividend 13 cents (21.0 cents full year) > Full franked > Payable 30 March 2006 > Based on VWAP price for 12 months to Dec 06 of $5.88 » Dividend yield 3.6% > Adjusted for franking credits 5.1% = Franking credit balance $14.553m (2005: 11.220m)
Slide 34: Capital Management
iress MARKET TECHNOLOGY Capital Management > Continued high dividend payout » 80% of earnings before strategic charges => Encouraging opportunities: >» Domestic >» Canada > South Africa > The company remains open to acquisition and joint venture opportunities where these are consistent with our inve
Slide 35: mess
jress MARKET TECHNOLOGY mess MARKET TECHNOLOGY