Oslo Børs VPS Holding ASA 4th Quarter 2013

Transcription

1 Oslo Børs VPS Holding ASA 4th Quarter 13 February 214

2 4th quarter at a glance Continuing high level of activity in the fixed income market Currently increased interest in equity listings Six companies approved for listing in 13, 12 in total for Increased savings and growth in value for VPS-registered mutual funds increases Assets Under Management Evolution gained its first Norwegian customer in 13 Continuing good performance for projects and underlying costs Oslo Børs took over NIBOR fixing in December Companies listed on Oslo Børs were winners in three of four categories in EU Commision s awards for best recently-listed European companies VPS enters into collaboration with Clearstream for collateral management Proposed dividend of NOK 7 per share for 2

3 4th quarter at a glance Revenues up NOK 44 million or 22% to NOK 242 million from After correction for one-offs and purchases up NOK 19 million Expenses up NOK 44 million or 52% to NOK 129 million from 12 - After correction for one-offs and purchases down NOK 5 million EBITDA in line with 12 at NOK 113 million - After correction for one-offs and purchases up NOK 24 million NOK million NOK million Revenues Oslo Børs VPS EBITDA and EBITDA-margin Oslo Børs VPS 1 45% 17 49% 82 43% % % % % EBITDA EBITDA margin 47% 242 6% 4% 2% %

4 Oslo Børs Revenues up 33% or NOK 3 million to NOK 124 million from 12 EBITDA up 12% or NOK 7 million to NOK 69 million from 12 One-off costs NOK 18 million higher in 13 vs 12 Revenues and EBITDA from Burgundy and Fish Pool NOK 22 million and NOK 17 million in 13 Increased activity in first hand market for both equities and 4 fixed income instruments NOK 1 NOK million Revenues Oslo Børs Equity Markets Fixed Income Markets Derivatives Markets 8, 6, 4, 2,, EBITDA and EBITDA-margin Oslo Børs 54% 56% 57, % 61 66% EBITDA 37 37% 54 EBITDA margin 5% 64 59% 69 56% 8% 6% 4% 2% %

5 Oslo Børs primary market Steady increase in number of listed bonds and certificates Fixed fees from issuers up 11% from Revenues primary market Fixed fees driven by number of issuers and market capitalisation January 1 Market cap. issuers up 4% from Market cap. issuers 214 up 2% from NOK Fixed fees- issuers Prospectus and admission fees Number and market value of listed bonds and certificates Number of and market capitalisation of issuers of equity 25 Number No. of issuers Number Value (NOK bill) No. of issuers Market cap (NOK bill) 5

6 Oslo Børs primary market Prospectus and admission fees up NOK 9 million to NOK 15 million in 13 Revenues driven by number and size of IPOs and issues Six new listings in 13 Somewhat increasing level of issues of equity High level of issues of fixed income instruments NOK million New listings No. of listings Issues of equity Issues (NOK mill) 6

7 Oslo Børs secondary market Revenues from trading on Oslo Børs down NOK 4 million from 12 Revenues from Burgundy and Fish Pool NOK 22 million Value of turnover up 3% from 12 Reduction in fees from Derivatives revenues driven by activity level and composition of derivatives trading 7 - No of contracts on Oslo Børs up 29% from 12 - Revenues up 13% from 12 NOK 1 Value Revenues secondary market Equities trading Derivatives trading Fixed Income trading Equities - value of turnover and number of transactions Value (NOK bill) Trans (1)

8 Market share equities trading YTD December Turquoise LSE Group 4 % 5 % Nasdaq OMX Nordic 6 % BATS Chi-X Europe 16 % Other 3 % Oslo 4 % Orderbook lit - market share 7% 6% 5% 4% 3% 2% 46% 52% 61% 58% 1% Markit BOAT 26 % % London Stockholm Frankfurt Oslo Increased use of Smart Order Routers 8 Increased internalisation in Europe (Source: Thomson Reuters)

9 Oslo Børs market data Revenues down NOK 1 million or 5% to NOK 29 million from in 13 Revenues primarily driven by number of professional end users of data from Oslo Børs Professional users down 4% from 12 NOK Revenues market data Market data - number of end-users

10 Key market activities Rebuild Burgundy market share Go live with NIBOR calculation in December Common marketing activities with Fish Pool - Listings on Oslo Børs - Trading on Fish Pool Nordic ABM - Nordic bond offering for high yield bonds Continous improvement of microstructure - Marketplace rules, pricing structure, technology, networks and products Efficient post trade - Interoperability 1

11 Oslo Clearing Revenues up 7% from 12 EBITDA up to NOK 2 million Equity turnover (value) up 3% from 12 Derivatives turnover (contracts) up 29% from 12 Clearing revenues driven by trading activity and members choice of fee structures activity level and composition of derivatives trading Interoperability with LCH ultimo 14 Magica increased competetiveness in clearing NOK 19 million in cash collateral under management as of Development of functionality for clearing of derivatives NOK Revenues Oslo Clearing Equities clearing Derivatives clearing Interest margin cash collateral etc Derivatives - number of standardised contracts and value of turnover Contracts (1) Turnover (MNOK)

12 VPS Revenues up NOK 13 million or 14% to NOK 16 million from 12 EBITDA down NOK 13 million or 23% to NOK 43 million from 12 One-off costs NOK 23 million higher in 13 vs 12 Revenues and EBITDA from Evolution NOK 4 million and NOK 1 million in 13 Modernisation of core ITsystems 12 NOK 1 NOK million Revenues VPS Investor products Issuer products Settlement products Fund products Other revenues EBITDA and EBITDA-margin VPS 43% 51 49% 39 42% 56 6% EBITDA 45 43% 57 51% EBITDA margin 48 48% 43 41% 8% 6% 4% 2% %

13 VPS investor products Revenues up 13% to NOK 28 million in 13 Revenues primarily driven by number of VPS accounts and market value of holdings January 1 Modernisation of user interface for investors NOK Revenues investor products Number of investor accounts and market value of holdings VPS accounts (1) Holdings (NOK bill) 35 13

14 VPS issuer products Revenues up 17% to NOK 33 million in 13 Increase in yearly registration fees, but reduced activity in corporate actions Revenues driven by number and composition of issuers and level and composition of corporate activity - AGM-season in Additional revenue from value added products 14 - AGM-services - Bond holders meeting - Stock purchase programs - Nominee-ID NOK Revenues issuer products Number of companies and bond issues registered Companies Bond issues 2292

15 VPS settlement products Revenues up 6% to NOK 24 million in Revenues settlement products Revenues driven by number of participants and number of settlement transactions NOK Number of trade transactions processed in VPS (1)

16 VPS fund products Revenues in 13 up NOK 5 million from 12, including NOK 4 million in revenue from Evolution Revenues primarily driven by assets under management and number of transactions Project new fund system finalized its delieveries in 13 Evolution gained its first Norwegian customer in NOK Revenues fund products Asset under management and number of transactions AUM (NOK bill) Transactions (1)

17 Oslo Market Solutions Revenues up 27% from 12 EBITDA up to NOK 1.7 million in ,9,4 Revenues and EBITDA Oslo Market Solutions 5,5 5,6 1,5 5,1 1,2, , Revenues 4,2 EBITDA 4,8 5,1,7 1, 6,5 1,7 17

18 European regulation implications MiFID II and MiFIR EMIR - More level playing field and increased transparency expected in Opportunity for CCPs in mandatory clearing - Requirements for CCPs organisation, capital and access and interoperability CSD-legislation expected in Increased competition opportunity and threat Limited political support for implementation of financial transactions tax in Norway for the time being 18

19 Summary Increased activity in the capital markets Continued intense competition and pressure on market share Continuous focus on operating costs Structural changes to take new positions and adapt to challenging competitive environment Focus forward - Attract new listings/registrations and members - Increased sale to existing customers, e.g. Cairo in Norway - Strengthen competitive position in secondary market - Successful execution of projects - Magica and modernisation of VPS IT - Market activities with Burgundy, Fish Pool and Evolution 19

20 Appendix

21 P&L 4th Quarter 4th Quarter Change Change in % in % Operating revenues % % Operating expenses Capitalisation of internal resources Salary and other personnel expenses Other operating expenses Depreciations and write-downs Amortisations Operating expenses before capitalisation of internal resources, depreciations and amortisations % % Total operating expenses % % EBITDA % % Operating profit (EBIT) % % Net financial items Ordinary pre-tax profit Tax Earnings for the period % % Actuarial gains/losses defined benefit pension plans Tax-effect Total comprehensive income % % Earnings per share (NOK) 1,33 1,31 1 % 4,98 4,51 1 % Diluted earnings per share (NOK) 1,33 1,31 1 % 4,98 4,51 1 % Earnings per share (NOK) before amorisations 1,68 1,8-7 % 6,33 6,17 3 % 21

22 Breakdown revenues Oslo Børs segment Revenues per area Equity Markets Fixed Income Markets Derivatives Markets Financial Market data Other Total Oslo Børs Revenues per category Fixed fees- issuers Trading fees Prospectus and admission fees Financial market data Other income Total Oslo Børs

23 Breakdown revenues VPS segment VPS Investor products Issuer products Settlement products Fund products Other revenues Total VPS

24 Balance sheet Fixed assets 31. Dec 31. Dec IT-systems Customer relations Registrations Goodwill Deferred tax assets Tangible assets Treasury bills and bonds Financial fixed assets Current assets Market value of outstanding derivatives positions Receivables Treasury bills and bonds Cash and cash equivalents Assets Equity Contributed equity Earned equity - - Non-controlling interests Total equity Liabilities 24 Pension liabilities Deferred tax liabilities Cash collateral Market value of outstanding derivatives positions Current liabilities Equity and liabilities

25 Cash flow 4th Quarter 4th Quarter Cash flow from - operational activities investment activities investments in systems and tangible assets investments in subsidiaries investments in treasury bills and bonds received cash collateral from members financial income financing activities Cash and cash equivalents at period's start Change in cash and cash equivalents Cash and cash equivalents at period's end Cash flow per share (NOK) 3,1-2,66 6,23 9,55 Treasury bills, bonds and bank deposits Cash collateral from members Net after deduction for cash collateral from members

26 Equity 4th Quarter 4th Quarter 2 13 Equity at period's start Total comprehensive income Dividends Purchase of own shares Acturial gains/losses in the period Change in non-controlling interests Equity at period's end Equity ratio 44 % 57 % 44 % 57 % 26

27 Largest shareholders 3 February

28 Share price Oslo Børs VPS Holding ASA 28

29