IR UPDATE NOVEMBER 2017 - InvestingRomania
←
→
Page content transcription
If your browser does not render page correctly, please read the page content below
IR UPDATE NOVEMBER 2017
Contents
1. Company Highlights 3
2. Recent Accomplishments 8
3. Business Strategy 14
4. Romanian Capital Market Overview 17
5. Appendix: Financial Data 22
6. IR contact 28
WWW.BVB.RO 2
Company Highlights
Company Highlights
Bucharest Stock Exchange (BVB)
Indicator BVB BVB share performance
ISIN ROBVBAACNOR0
November 3, 2014 - November 3, 2017
Reuters ROBVB.BX
40
Bloomberg BVB.RO
Bloomberg BBGID BBG000BBWMN3
Share price ( November 10, 2017) EUR 6.5 / RON 30 36
Market Cap (November 10, 2017) EUR 49.6 mn / RON 230.2 mn 2015 dividend:
No. of outstanding shares 7,674,198 32 RON 0.87/share
ADT 12TM (ended November 10, 2017) RON 0.1 mn Ex-div date: 16 May
P/E (price as of November 10, 2017, 12TM EPS) 22.0x*** 28
P/BV (price as of November 10, 2017) 2.4x*** 2016 dividend:
Turnover velocity (2016)* 10% 24 RON 0.92/share
Ex-div date: 15 May
Liquidity (2016)** 7%
* value traded ÷ average market cap ** no. of shares traded ÷ no. of shares outstanding 20
*** P/E and P/BV are calculated based on BVB Group financials as of June 31, 2017 11/3/2014 5/8/2015 11/2/2015 5/9/2016 11/3/2016 5/8/2017 11/3/2017
100% free-float, listed on own floor since 2010 Analyst coverage
Analyst 12M TP
Last report
(Company) (Recommendation)
20% ownership threshold,
majority institutional shareholders Hai Thanh Le Phoung 38.0
10-Aug-17
(Concorde) (Buy)
Shareholding structure*: Lucian Albulescu 37.0
20-Mar-17
(Wood&Co) (Buy)
Romanian institutional investors – 72.10%
Mihaela Podgorski 30.15
Foreign institutional investors – 13.94% 24-Aug-16
(Swiss Capital) (Buy)
Romanian private investors – 12.72% Catalin Diaconu 30.4
12-May-16
Foreign private investors – 1.24% (Raiffeisen Bank) (Hold)
*Data as of October 31st, 2017 WWW.BVB.RO 4Company Highlights
Why Bucharest Stock Exchange?
As per the decision of FTSE Russell published on the 29th of September 2017, the Romanian capital market
maintained on the list of countries that have substantial potential to be upgraded to the Emerging Market status.
Emerging Market Watchlist
In case of Romania, the upgrade will depend on the progress as regards the market liquidity and the presence
on the market of largest companies with significant individual liquidity.
Romanian Capital Market has recorded one of the highest dividend yields in the world in 2016 and 2017. BET
Total Return (BET-TR) index, which includes the dividends granted by the blue chips companies listed on BVB,
Largest dividends in the world
has increased by more than 30% in USD terms in the first 3 quarters of 2017, reporting one of the fastest growth
among all 23 MSCI Frontier Markets Index countries.
Pension funds’ total assets (pillar II and III) advanced by 27% during the first nine months of 2017, after a
Growing Domestic Potential comparable increase of 28% Y-o-Y in 2016. The AuM of the Romanian investment funds equal EUR 5.8 bn as of
September 30, 2017. There is a big potential vested in the currently small, but active local retail investors base.
Constant work on ameliorating the investment landscape, with focus on: easing investors’ access to the market
and fiscal compliance, reducing the cost of the market, improving the servicing of investors’ rights, simplifying
Wide market reforms
procedures related to primary markets for equities and bonds and developing the market infrastructure. New
regulations regarding lending & borrowing operations were approved.
Increase in favorable perception of BVB as the financing destination for local entrepreneurs looking for capital,
Potential privatizations and a
which results in ever-growing pipeline of private companies interested in floating shares or bonds on BVB’s
pipeline of private companies
markets. Additionally, rich portfolio of state-owned companies as the state has majority stake in 250
companies. Some are currently pending the privatization. State-owned companies expected to float on BVB are:
WWW.BVB.RO Source: FSA, AAF 5Company Highlights
Main financial indicators
Business model
Main financial indicators of the BVB Group, 9M
2017 vs. 9M 2016 BVB operates two markets:
29.2
(RON mn) • Main Market - where shares and rights of international and
Romanian entities, debt instruments (corporate,
23.3 municipality and government bonds) issued by Romanian
and international entities, UCITs (shares and fund units),
structured products and tradable UCITS (ETFs) are traded;
8.32 7.38 • AeRO Market – where shares and bonds of local and
4.15 4.29
foreign start-ups and SMEs, are traded.
9M 2017 9M 2016 BVB’s operating revenues are generated mainly from: trading of all the
listed financial instruments, fees charged to issuers for the admittance
Operating revenues Operating profit Net profit
and maintenance to the trading system, as well as from data vending to
various users.
Dividends and dividend yield
3.50 9%
8%
Stable dividend policy
3.00
6.1% 7%
2.50
6%
4.2% • Stable dividend policy, with a payout ratio of 100%, after legal
2.00 4.0% 5%
3.5% reserves;
4%
1.50 2.7%
1.00
3% • The gross dividend distributed for 2016 was RON 0.92028/share;
1.46 2%
0.50 1.12 1.18 0.87 0.92 1%
• The dividend policy is expected to remain unchanged.
0.00 0%
2012 2013 2014 2015 2016
Dividend/share [RON] Dividend yield [%]
WWW.BVB.RO 6Company Highlights
Latest developments
New sources of short-term revenues Expense management discipline
• Intensify projects dedicated to retail investors as well as, separately, to • Increased attention paid to cost management discipline;
entrepreneurs, in order to bring new liquidity to the market; • Budget of CSD pre-approved by the Bucharest Stock Exchange.
• Support the implementation of short selling and market making;
• Launch of new products such as warrants;
• Expand data vending and IT&C services;
• Attract partnerships for current events and projects.
Transparency Operational developments
• BVB becomes one of the first IRIS (new reporting system) users; • Reducing the multitude of trading venues through the merger with
• Annual Report includes the Corporate Governance compliance; SIBEX, the Sibiu Stock Exchange, approved on October 4th 2017 by
• Quarterly calls and yearly meetings with analysts; the Romanian Financial Supervisory Authority;
• Annual meetings with investors during international roadshows • Plans for CCP services establishment for both spot & futures
(London, Warsaw, Budapest and New York); markets.
• Reporting in both Romanian and English languages;
• New IFRS standard consolidated reporting.
WWW.BVB.RO 7Recent Accomplishments
Recent Accomplishments
Bucharest Stock Exchange – key figures
EUR 10.4 mn/day, +17.7%
Over 9.7%
EUR 12.0 mn/day, +21.4% (including offers)
BET index evolution in 2017*
Average daily turnover in shares for the first
10 months of 2017**
19.4%
BET-TR index evolution in 2017*
Romanian Capital Market maintained by
(BET Total Return index includes the dividends
FTSE Russell on the Emerging Market
distributed by companies included in the main Proven growth story
index of the market, BET) Watchlist (September 2017)
3 companies, the minimum criterion
The biggest dividend Future Emerging
imposed by MSCI for promoting the local
yield in the world Market
market to the Emerging Market status
8.6%
BET companies are expected to pay
8.6% DivY in 2017
Reforms for local market modernization and
development projects
Significant • Supporting listing of state owned and
transactions Steps for improving private companies
the market • Modernization according to EU regulation
and standards
RON 1.23 bn (EUR 272 mn) • Expanding the individual investors base
The value of private companies IPOs • Improvement of the corporate governance
in 2017 amongst the issuers
RON 3.7 bn (EUR 824 mn)
The value of corporate bonds issuances
in 2017
*in RON, as of November 10th, 2017
WWW.BVB.RO ** Data as of October 31st, 2017 9Recent Accomplishments
2016 vs 2017 turnover increase
As per FESE data, Bucharest Stock Exchange has registered an impressive increase in turnover in first three quarters of 2017 when
compared to the same period of 2016. BVB remains ahead of other significant regional stock exchanges such Vienna, Budapest or
Prague.
Turnover % change Y-O-Y
Q1-Q3, 2017 vs 2016
35.60%
31.50%
21.20%
18.80%
13.70%
11.40%
7%
5.60%
CEESEG
Prague
Warsaw Stock Bucharest Ljubljana Stock CEESEG Budapest Stock SIX Swiss Deutsche Euronext
Exchange Stock Exchange Vienna Exchange Exchange Borse
Exchange -7.10%
WWW.BVB.RO *Source: FESE Data 10Recent Accomplishments
2017 significant transactions
Shares Bonds
Third corporate bonds issuance from IIB in
September 2017, first ever in the history of BVB of
IPO on the Main Market, carried out between
bonds denominated in euros. Bank managed to attract
October 24th and November 2nd 2017. 25% stake
RON 300 mn (EUR 67 mn) and additional EUR 60 mn
sold by shareholders for RON 285 mn (EUR 62
through denominated bonds.
mn).
IPO on the Main Market, carried out between Company attracted RON 9.7 mn (EUR 2,1 mn) in
October 24th and 25th 2017, closed after less than January 2017, listed the bonds on AeRO market in
48 hours following the subscription rate over September 2017.
270%. 25% stake sold by shareholders for RON 9
mn (EUR 2 mn). Attracted RON 610 mn (EUR 135,5 mn) through
issuance of corporate bonds on the Main Market in
IPO on the Main Market, carried out between June July 2017.
8th and 9th 2017, closed after less than 48 hours
following the subscription rate of over 270%. 15% The largest corporate bonds issuance in the history of
stake sold by shareholders for RON 5.5 mn (EUR BVB of EUR 550 mn with bonds being traded in Euro
1.2 mn). denominations but the settlement being performed in
RON according to BNR’s exchange rate from the
previous trading session.
IPO on the Main Market, carried out between April
28th and May 10th 2017. Largest private IPO in the
BVB history following the sale of 25,6% stake in BVB’s Main Market issuer attracted RON 38.25 mn
the company for RON 944 mn (EUR 207 mn). (EUR 8,5 mn) through its 1st issuance of corporate
bonds on the Main Market in April 2017.
WWW.BVB.RO 11Recent Accomplishments
2017 events
Issuance of 3rd edition
Globalworth bonds float on of Whitebook on
Wood&Co Launch of 7/24
15 out of 167 companies the Main Market following Communication of BVB
becomes Super Capital, a weekly
selected in Made in Romania the largest corporate bonds Listed Companies
Market Maker on online show on
project for private companies stock market issue to date on BVB Superbet bonds
BVB shares
interested in BVB float on AeRO
BVB and National Trade
30% gain registered by Launch of GSM approves
Registry launch project Sphera Franchise
the winner of the real- Romanian merger with SIBEX,
targeting local Group floats on
life trading competition National change of tariffs and Release of My first
entrepreneurs the Main Market
‘Driven by Return’ Investment buy-back program investment book
Day project AAGES floats on the
Main Market
3 March 20 March 4 April 11 April 11 May 16 May 7 August 14 September 28 September 2 November
14 June 19 June
5 January 7 March 3 April 6 April 13 April 12 May 17 May 19 June 31 July 17 August 20 September 9 October 9 November
DIGI Communications floats
Launch of
500 participants to the on Main Market following the 3rd issuance of International
InvestingRomania.com BET index extends
6th edition of Individual largest IPO to date of a Investment Bank bonds float
portal to 13 companies
Investors Forum private company on BVB on the Main Market, first ever
on BVB issuance of bonds
BET index extends to Issuance of 2nd edition of Unicredit Bank bonds float denominated in euros
12 companies Whitebook on Communication on the Main Market
of BVB Listed Companies Transilvania Broker
BVB launches APPLY BVB, BVB awarded during CEE
de Asigurare floats
300 entrepreneurs participate to dedicated app for investors Capital Markets Awards in
on the Main Market
the 1st edition of Bucharest ‘Best IR Department of a
Entrepreneurship Forum Listed Company is CEE’
category
WWW.BVB.RO 12Recent Accomplishments
2017 regulatory changes related to lending and borrowing in securities
• In August 2016, a breakthrough reform of the • The regulatory updates consist of the following changes:
securities lending/borrowing and short selling was
adopted; to extend the financial instruments that can make
the object of a loan granted by an investment
• The Romanian FSA updated in July 2017 the firm/custodian (with those instruments that belong
regulation related to lending/borrowing activities, by to the clients of other investment firm/custodian
ensuring a more extended framework, in line with the that were borrowed by that firm/custodian from
diversity of the situations that can occur in practice, them);
with regard to: to ensure the support for carrying out the lending/
borrowing operations by the intermediaries/
the financial instruments object of those custodians which are not participants at the DC's
operations; system, under the condition of the agreement with
the type of participants involved and the a participant at DC’s system;
types of operations available to them and to provide the framework that lending/ borrowing
their clients. operations to be performed between the clients of
different investment firms/custodians.
• It is a more flexible regulatory support, in line with
various market needs, and it provides grounds for a • At this moment, a platform for facilitating the lending/
larger use of lending/borrowing operations; borrowing operations is available to the DC participants,
based on the displaying the indicative offers of the
• It ensures an adequate and improved structure lenders/ borrowers;
needed for the involvement of the international
investors in carrying out these operations.
WWW.BVB.RO 13Business Strategy
Business strategy
Key focus
Developing retail Attracting private issuers to Improving issuers’ Launching new products
investors’ base the Main Market and AeRO transparency and trading mechanisms
• Short-selling, trading on margin;
• Enlarging the domestic retail • Attracting private companies for • Full enforcement of Corporate • Lending and Borrowing;
base by expanding educational listings on the Main Market as Governance in force starting with • Warrants.
projects (Fluent in Finance, Invest well as continue approaching the February 4th, 2016;
Quest), events (Retail Investor SMEs for listings on AeRO; • Periodical check of Main Market
Forums), platforms (Investing • Made in Romania: the first pre- issuers’ websites through Stimulating revenue from
Romania, 7/24 Capital), IPO programme for top Whitebook on Communication of
initiatives (National Investment Romanian companies interested Listed Companies paired with
data vending
Day, My first investment book); in capital markets, managed to regular trainings on corporate
• Stimulating trading activity of attract 167 applications in the governance; Other major projects
current investors through first edition. Second edition • Improving the reporting system of
• Acquiring CCP services;
different incentivizing projects already confirmed for 2018. issuers, through new Issuers
• Merger with Sibex, the Romanian
(Driven by Return real-life trading Reporting Information System
derivatives exchange and later
competition, Leii BVB). (IRIS).
relaunching of the derivatives
market.
Mid-term strategic objective: Upgrade to the Emerging Market Status
• Resuming the privatization process to bring new pipeline of listed companies and improve the free-float of those already listed through SPOs;
• Improving the market liquidity through brining new private companies to the market and increasing the local retail investors base.
WWW.BVB.RO 15Business strategy
Steps towards Emerging Market Status
Institutions evaluating Romania Main criteria to be fulfilled by Emerging Markets
MSCI
FTSE Russell Min. 3 companies fulfilling the following:
S&P Dow Jones MSCI • Company size [full market cap] of USD 1,375 mn
• Free Float value of USD 687 mn
STOXX • ATVR (Annualized Traded Value Ratio) of min. 15%
Key actions necessary in order for Romanian capital market to be
upgraded to the Emerging Market status by major international institutions:
Romania maintained on Emerging Market Watchlist
• Increase the free-float of the already listed companies,
allowing sizeable investments in Romania FTSE • Min. 3 companies meeting eligibility tests (size, free float
• Improve the total market liquidity and liquidity criteria)
• Qualitative criteria fulfilled by BVB in 2015-2016:
• fair and non-prejudicial treatment of minority
shareholders
Promotion of the local capital market reform:
• free and well-developed foreign exchange market
• Permanent communication with MSCI, FTSE, STOXX and S&P • transaction costs – implicit and explicit costs to be
Dow Jones reasonable and competitive
• Organizing a communication platform with international investing
community, supported by EBRD and Bloomberg
S&P
• Full domestic market capitalization over USD 2.5 bn
The upgrade to a superior classification is voted by global players: • Domestic annual turnover value over USD 1 bn
large institutional investors and custodians • Exchange development ratio (Mcap to GDP) over 5%
WWW.BVB.RO 16Romanian Capital Market Overview
Romanian Capital Market Overview
Regional perspective
CEESEG Prague
MCap: EUR 26.4 bn
Avg. daily turnover: EUR 22 mn/day
Warsaw Stock Exchange
MCap: EUR 166.9 bn
Avg. daily turnover: EUR 223 mn/day
Budapest Stock Exchange
MCap: EUR 26.3 bn
CEESEG Vienna Avg. daily turnover: EUR 34 mn/day
MCap: EUR 125.2 bn
Avg. daily turnover: EUR 135 mn/day
Ljubljana Stock Exchange
MCap: EUR 5.2 bn
Avg. daily turnover: EUR 1.9 mn/day
Zagreb Stock Exchange
MCap: EUR 19.2 bn
Avg. daily turnover: EUR 7 mn/day
Bucharest Stock Exchange
Bulgarian Stock Exchange
MCap: EUR 19.6 bn MCap: EUR 4.5 bn
Avg. daily turnover: EUR 10.4 mn/day* Avg. daily turnover: EUR 2 mn/day
Source: FESE (data as per October 2017), LJSE, BGSE.
* BVB Data as of October 30th, 2017, Main Market, shares WWW.BVB.RO 18Romanian Capital Market Overview
Positive macroeconomic outlook
Indicator 2011 2012 2013 2014 2015 2016 2017f 2018f
Real GDP, yoy change (%) 1.1 0.6 3.5 3.0 3.8 4.8 5.6 5.5
Inflation rate (%) 5.8 3.3 4.0 1.1 -0.6 -0.5 1.9 3.2
Key interest rate (%) 6.00 5.25 4.00 2.75 1.75 1.75 1.75 2.00
Population (mn) 20.2 20.1 20.0 20.0 20.0 19.8 19.8 19.7
Exchange rate, eop. (RON/EUR) 4.3 4.4 4.5 4.5 4.5 4.5 4.55 4.56
Source: Erste Research, Raiffeisen Research, ECB, Eurostat, NBR, National Statistics Office, Romanian National Commission for Prognosis.
Long-Term Credit Rating Credit ratings Outlook Market capitalization (EUR bn)
Capital Markets
in the CEE
Fitch 2013 2014 2015 2016 2017YTD
BBB- stable
(July 14, 2017)
Moody’s Bucharest Stock Exchange 17.8 18.4 16.9 18.0 19.6
Baa3 stable
(April 21, 2017)
Budapest Stock Exchange 14.4 12.0 16.2 21.5 26.3
Standard & Poor’s
BBB- stable
(May 16, 2014) Bulgarian Stock Exchange 5.1 5.0 4.4 4.3 4.5
Ljubljana Stock Exchange 5.2 6.2 5.5 5.1 5.2
CEESEG - Prague 22.0 22.6 23.5 22.2 26.4
Source: FESE, LJSE, BGSE, October 2017
WWW.BVB.RO 19Romanian Capital Market Overview
High dividend yields
BET vs. BET -TR index (2014-2017 YTD)* Top DivY BET Index – YTD 2017 vs 2016
+54.9% 170
23%
160 20%
150
15%
14%
+19.8% 140
10%
130 9%
7%
120 5% 5%
110 10% 10% 6% 0% 7% 9% 11%
100 Avg. DivY COTE TGN SNN SNP EL TEL SNG
BET
90 DivY 2016 DivY 2017 Additional DivY 2017
10-Nov-14 10-May-15 10-Nov-15 10-May-16 10-Nov-16 10-May-17 10-Nov-17
BET BET-TR
*As of November 10th, 2017
• In H1 2017, BVB expanded its main indices, BET and BET-TR, to • Romanian capital market has recorded the highest dividend yields
13 companies, additionally including CONPET (COTE), MedLife in the world in 2016 and the BET-TR, the total return index, which
(M) and Digi Communications (DIGI). includes dividends, had one of the highest registered growth in the
world in the first 3 quarters of 2017, of more than 30%.
• BET index recoded the 9-year high once it reached 8,769 points in
May, the highest value recorded in the first half of 2017. • In September, the Government, as a majority shareholder,
convened the General Shareholders Meeting for some of the
energy and utilities companies included in BET index, to approve
Note: Chart for BET-TR uses back-tested values before Sept 19, 2014 (index launch date).
additional dividends. As of 31st October all requests were
The chart is rebased at 100 and uses data until November 10th, 2017 approved.
WWW.BVB.RO Source: BVB 19Romanian Capital Market Overview
Growing pension funds and asset management industry
Pension funds: total assets and allocation in Romanian Asset managers: net assets [EUR bn],
equities, 2013-September 2017 [EUR bn, %] number of investors, 2014 – September 2017
19.2% 19.3% 19.9% 21.0%
8.0
18.8% 7.0
420,766 426,256 418,830
450,000
7.0 403,024
16.0% 6.0
400,000
6.0
15.6%
5.0
5.0
11.0% 350,000
4.0
8.7
7.3
4.0
6.0% 300,000
3.0
5.7
4.5 1.7 3.0
5.5 5.8
2.0
1.1 1.4 5.2
3.3 0.9 1.0% 4.6 250,000
1.0 0.5 2.0
200,000
0.0 -4.0% 1.0
2013 2014 2015 2016 YTD 2017
0.0 150,000
Total assets (RON bn) Investments in equities (EUR bn) Dec-14 Dec-15 Dec-16 Sep-17
Total assets [EUR bn] Total number of investors
Investments in equities (%)
• Advance of 27% of pension funds’ total assets (pillar II and III) • Steady growth rate of AM’s net assets over the past three years,
during the first nine months of 2017, after another comparable reaching EUR 5.8 bn Q3-2017.
increase of 28% Y-o-Y in 2016. • Number of investors slightly decreased in 2017, following
• During 2017, investments in equities increased in value (from increase in over 23,000 new investors between 2014 and 2016,
EUR 1.4 bn registered in 2016 to EUR 1.7 bn), and in however there can be seen an increase in the risk appetite of
percentage of funds’ total assets, from 18.8% to 20%. investors due to more and more subscriptions to multi-assets
and equity funds.
WWW.BVB.RO Source: FSA, AAF 21Appendix: Financial Data
Appendix: Financial Data
BVB Group and the operated markets
Bucharest Markets operated by BVB
Stock
Exchange
Bucharest Stock
Exchange
100% free float
100% free float
Investors Corporate Main Market AeRO market for SMEs
Central Bucharest
Bucharest Investors
Compensation
Corporate
Governance
Central
Depository Clearing House
Clearing Compensa- Governance
Depository Fund Institute Listed companies: Listed companies:
69.04% House 52.5% tion Fund62.3% Institute 100% 87 domestic and 1 foreign 275 domestic and 2 foreign
69.04% 52.51% 62.45% 100%
Domestic market cap: Domestic market cap:
EUR 19.7 bn EUR 1.23 bn
Total market cap: Total market cap:
EUR 35.7 bn EUR 1.26 bn
Entities included in the Not included in the Instruments: Instruments:
consolidation process consolidation shares, rights, corporate and shares, rights, bonds
process municipal bonds, government
securities, structured products,
Segments within BVB Group: fund units, tradable UCITS (ETFs),
• Trading segment – Bucharest Stock Exchange warrants
• Post-trading segment - Clearing & settlement services of the
Central Depository
• Registry segment – Registry activities of the Central Depository
• FCI services & other services – Activities of the Investors
Compensation Fund and of the Bucharest Clearing House
WWW.BVB.RO Source: Bucharest Stock Exchange, data as of November 10th, 2017 23Appendix: Financial Data
Market size and structure
Average daily turnover 2014-2017 YTD* Most traded stocks at BVB in 2017 YTD (%)
[EUR mn/day]
0.2
0.9 0.22 SIF MOLDOVA S.A.,
2.3%
0.4 1.34 Others, 10.6%
SPHERA FRANCHISE
0.4 BANCA TRANSILVANIA
GROUP S.A., 3.1%
2.5 S.A., 18.7%
1.2
S.N.T.G.N. TRANSGAZ
S.A., 5%
11.9
10.5 SOCIETATEA
FONDUL
7.9 8.2 ENERGETICA
PROPRIETATEA,
ELECTRICA S.A., 5.7%
14.2%
S.N.G.N. ROMGAZ
S.A., 9%
2014 2015 2016 2017YTD Digi Communications N.V.,
BRD - GROUPE
Shares/Fund Units Bonds Structured products 12.8%
SOCIETE GENERALE
S.A., 9%
OMV PETROM S.A., 9.7%
Note: Public offers included. *Data as of October 31, 2017 Note: Public offers included. Data for January 1 – November 10, 2017
• Banca Transilvania (TLV) continued to be most the most
• Equity market has the largest share in total turnover.
traded company on the Bucharest Stock Exchange, followed
• Structured products segment gained importance, by Fondul Proprietatea (FP), Digi Communications (DIGI)
following the adition of new products. and OMV Petrom (SNP).
• The weights of Fondul Proprietatea, Digi Communications,
OMV Petrom and Sphera Franchise Group were increased
due to the public offers carried out in the specified period.
WWW.BVB.RO 24Appendix: Financial Data
9M 2017 BVB Group financial results
RON mn Sept 2017 Dec 2016 Main financial indicators, 2014 – 9M 2017 (RON
mn)
Non-current assets 81.5 83.1
39.6
Current assets 131.1 89.9
30.8 31.6
29.2
Total assets 212.6 173.0
Shareholders’ equity attributable
97.6 97.6 14.1
to owners of the Company 7.8 7.4
5.6 4.7 6.6
Minority interest 10.4 10.4 3.1
0.4
Short-term liabilities 104.6 65.0 2014 2015 2016 9M 2017
Total equity and liabilities 212.6 173.0 Operating revenues Net financial revenues Net profit
• At the end of September 2017, total assets of the BVB Group • In the first 9 months of 2017, the BVB Group recorded operating
amounted to RON 212.6 mn (31 December 2016: RON 173.00 revenues of over RON 29.20 mn (9M.2016: RON 23.30 mn), an
mn), up by 23% compared with the beginning of the year. increase by 25% generated by all operating segments of the
Group.
• Fixed assets decreased by 2% compared to the beginning of the
year, while current assets increased by 46% to RON 131.1 mn • The revenues generated by BVB, representing the Group's
(31 December 2016: RON 89.9 mn). The amounts available for trading segment, amounted to RON 18.28 mn (excluding intra-
dividends payment to the Central Depositary's clients were group transactions) in the first 9 months of 2017, a 28% y-o-y
shown in Other restricted assets and represented at the end of increase.
September 2017 the amount of RON 76.91 mn (31 December • The operating profit of the BVB Group amounted to RON 8.32
2016: RON 38.47 mn). mn, 2 times higher than the result obtained in the first 9 months
of 2016. The net profit amounted RON 7.38 mn (9M.2016: RON
Note: Consolidated financial results, prepared in accordance with IFRS. The financial 4.29 mn).
figures for 3Q 2017 are restated to IFRS and are not audited
WWW.BVB.RO 25Appendix: Financial Data
9M 2017 BVB Group financial results
Breakdown of operating revenues, 2013-9M 2017 Net profit, operating and net margins, 2013-9M
(RON mn) 25 36% 2017 40%
4.4
5.5 0.4 28%
35%
0.5 0.9
8.7 20 25% 30%
3.6
6.9 4.6 2.8 19% 25% 25%
21% 28%
8.5 15
19% 20%
8.3 7.2
15%
10 11% 11% 10%
24.1 26.5
19.4 14.1 5%
17.4 18.3 5
7.5 6.6 7.8 7.4
0%
-5%
0 -10%
2013 2014 2015 2016 9M 2017 2013 2014 2015 2016 9M 2017
Trading Post-trading Registry FCI services Net profit Operating margin (%) Net margin (%)
Distribution of operating revenues and result, by
segment, 2017 (RON mn) • The trading activity at BVB was more intense in the first 9 months
of the year, registering an increase by 33% compared to the first 9
18.28
months of 2016 to a level of RON 10.88 bn. For equities segment
of the Main Market, the average daily trading value was RON
49.51 mn for the firs 9 months of 2017.
• The fixed-income instruments market (bonds and government
7.21
6.57 securities) registered a small decrease compared to the same
2.79 period last year, to the value of RON 1.28 bn (9M.2016: RON
1.18
0.35 0.92 1.34 bn).
0.23 • The structured products market declined by 40% compared to the
Trading Post-trading Registry FCI services and first 9 months of 2016, to the amount of RON 200 mn (9M.2016:
other services
Operating revenues Operating profit RON 330 mn).
WWW.BVB.RO 26Appendix: Financial Data
Trading segment overview
Trading fees (bps)
Breakdown of trading segment revenues
in 9M 2017 (%) Mar-09 to Sep-14
Oct-14 to Dec-17
Starting Jan-18*
Other, 6% 8
6 6
11.7
10 9.5
Data vending,
6% 4.5 4 3.5
Issuers fees, 9% Trading fees,
Sell Buy Sell Buy Sell Buy
79%
BVB fees FSA fees
* Starting 2018, there will be also additional fixed fee of RON 0,95 applied per executed order.
Note: Fees in bps are charged to the value of the trade (buy & sell) and do not refer to Market Makers
and DEAL trades.
Drivers of the trading segment revenues
Operating revenues and profit, trading segment
(RON mn)
• The trading activity at BVB was more intense in the 3rd
18.28
quarter of the year, registering an increase by 27%
compared to 3Q 2016 to a level of RON 4.18 bn. For the 14.26
regulated market of shares, the average daily trading value
was RON 45.30 mn.
6.57
• Trading segment’s revenues increased by 28% in the first 9 5.82
4.12
4.10
months of 2017 compared with the same period of 2016,
mainly, mainly driven by the increase in the total value of
transactions on BVB markets. 9M 2017 9M 2016
Op. revenues Op profit Net result
WWW.BVB.RO 27BVB IR App
IR Contact:
Zuzanna Kurek,
Deputy Director
Business Development & Marketing Department
Natalia Negru,
IR & PR Specialist
Email: ir@bvb.ro
Mobile: +40.74.243.11.11
Phone: +40.21.307.95.00
Fax: +40.21.307.95.19
BURSA DE VALORI BUCURESTI SA • Bulevardul Carol I nr. 34-36, Etaj 13-14, Sector 2, 020922, Bucuresti, Romania • Tel.: +40 21 307 95 00 • Fax: +40 21 307 95 19
Website: www.bvb.ro • E-mail: bvb@bvb.ro • Registrul Comertului: J40/12328/2005 • CUI: 17777754 • Capital social, integral subscris si varsat: 76.741.980 lei
Decizia CNVM Nr. 369 / 31.01.2006
THIS PRESENTATION WAS PREPARED BY BURSA DE VALORI BUCURESTI. THE INFORMATION CONTAINED IN THIS DOCUMENT HAS NOT BEEN INDEPENDENTLY VERIFIED AND NO
REPRESENTATION OR WARRANTY EXPRESSED OR IMPLIED IS MADE AS TO, AND NO RELIANCE SHOULD BE PLACED ON THE FAIRNESS, ACCURACY, COMPLETENESS OR CORRECTNESS
OF THIS INFORMATION. PAST PERFORMANCE IS NO GUARANTEE OF FUTURES RESULTS. THIS DOCUMENT DOES NOT CONSTITUTE AN OFFER OR INVITATION TO PURCHASE ANY SHARES.
CERTAIN STATEMENTS CONTAINED IN THIS DOCUMENT MAY BE STATEMENTS OF FUTURE EXPECTATIONS AND OTHER FORWARD-LOOKING STATEMENTS THAT ARE BASED ON
MANAGEMENT’S CURRENT VIEWS AND ASSUMPTIONS AND INVOLVE KNOWN AND UNKNOWN RISKS AND UNCERTAINTIES THAT COULD CAUSE ACTUAL RESULTS, PERFORMANCE OR
EVENTS TO DIFFER MATERIALLY FROM THOSE EXPRESSED OR IMPLIED IN SUCH STATEMENTS. EXCHANGE RATE USED FOR ADT IS THE DAILY EXHANGE RATE AS ANNOUNCED BY THE
NBR.
ACEASTA PREZENTARE A FOST REALIZATA DE BURSA DE VALORI BUCURESTI. INFORMATIILE CONTINUTE IN ACEASTA PREZENTARE NU AU FOST VERIFICATE DE CATRE O TERTA PARTE
INDEPENDENTA, ASTFEL NU EXISTA NICIO GARANTIE SI NU TREBUIE LUATA CA ATARE ACURATETEA, CORECTITUDINEA SI COMPLETITUDINEA ACESTOR INFORMATII. PERFORMANÞA
ANTERIOARA NU ESTE O GARANTIE A REZULTATELOR VIITOARE. ACEST DOCUMENT NU REPREZINTA O OFERTA DE A CUMPARA ACTIUNI. ANUMITE DECLARATII DIN ACEST DOCUMENT
POT FI DECLARATII DESPRE ASTEPTARILE VIITOARE SAU ALTE EVOLUTII VIITOARE SI SE BAZEAZA PE VIZIUNEA SI IPOTEZELE ACTUALE ALE CONDUCERII COMPANIEI SI IMPLICA RISCURI
CUNOSCUTE SI NECUNOSCUTE, PRECUM SI INCERTITUDINI CARE POT DETERMINA CA REZULTATELE EFECTIVE, PERFORMANÞA SAU EVENIMENTELE VIITOARE SA DIFERE SEMNIFICATIV
DE CELE EXPRIMATE SAU INTELESE IN ACESTE DECLARATII.
28You can also read
