[PPT] - GPW Group Financial Results Q4 2015 25 February 2016 Summary of PowerPoint Presentation

SLIDE 1

GPW Group Financial Results Q4 2015

25 February 2016

SLIDE 2

Summary of GPW Activities in 2015 GPW Group Financial Results in Q4 2015

SLIDE 3

C/I

53.2% 57.2% 54.8% 61.2%

3

Year-on-year improvement of results

0.1%

+3.3%

2015

327.9

2014

317.6

Q4’15

83.8

Q4’14

83.9

Revenue Operating expenses Net profit EBITDA

PLN mn PLN mn PLN mn

Improved liquidity on the Group’s markets driven by client acquisition, liquidity support programmes and infrastructure development

PLN mn

+16.2% +10.2%

2015

123.7

2014

112.3

Q4’15

28.2

Q4’14

24.3

2014 2015

179.5 +10.9% +9.4% 164.1

Q4’15

45.1

Q4’14

40.7

2014

10.6%

174.4

Q4’14

181.6 45.9

Q4’15

4.0%

51.3

2015

Issuers Liquidity Optimisation

36 new issuers of shares and 23 new issuers of bonds, improved standards, transparency and safety on the Group’s markets Multiple optimisation initiatives in the GPW Group helping to cut costs and enhance operational excellence of the Group

SLIDE 4

 New Exchange Members: Credit Suisse International, Spire Europe Ltd., Sun Trading International  New equity market makers: Hudson River Trading, Trigon  Launch of ABN Amro Clearing Bank in April 2016  Development of High Volume Providers programme and launch of new High Volume Funds programme:

 6 participants of both programmes at the end of Q4 2015 on the cash and derivatives markets  growing share of HVP and HVF in turnover:

equity EOB: average 4.5% w 2015
derivatives: average 4.5% w 2015

 pipeline of several more participants

 Infrastructure development:

 re-launch of GPW colocation service: first clients in Q1 2016  RMA application and Kill Switch functionality  first international ISV, more in the pipeline

4

Building up liquidity on the equity market

Velocity up by 5.6 p.p. YoY in Q4 2015

1 EOB equity turnover on the GPW Main Market, double-counted; HVP and HVF participants, new market makers

>PLN 22 bn

value of trade in shares in 2015 generated by new clients1

SLIDE 5

5

 Sustained strong acquisition of issuers (mainly SMEs)

 30 new issuers on the Main Market in 2015 vs. 28 in 2014  13 transfers from NewConnect in 2015 – 47 companies have transferred in GPW history

 Two significant public offers: Uniwheels (IPO – PLN 504 mn), Pfleiderer Grajewo (SPO – PLN 561 mn)  23 new non-Treasury bond issues worth PLN 5.1 bn

n Catalyst in 2015

Exchange: a source of growth capital

GPW in Europe’s TOP3 by number of IPOs in 20151 GPW in Europe’s TOP10 by IPO value in 2015

1 PwC IPO Watch Europe Q4 2015 (regulated and alternative markets) 2 ECM - Equity Capital Market; source: Dealogic, ECM value at transaction value as at the pricing date

Q4’15

1.1

Q3’15

0.7

Q2’15

2.5

Q1’15

1.6

Q4’14

1.6

Q3’14

2.2

Q2’14

2.1

Q1’14

1.4

ECM activity: good in H1 and slightly weaker in H2 2015 2

PLN bn

Iceland

3

Romania

5

Turkey

6

Belgium

6

Norway

8

Netherlands Czech Republic

1

Austria

1

Bulgaria

1

Lithuania

1

Estonia

1

Croatia

2

Ireland

2

Denmark

2

Switzerland

3 8

Finland

11

Germany

23

Spain

24

Italy

27

France

32

Poland

33

Sweden

72

United Kingdom

92

Finland

409

Poland

440

Norway

1,078

Switzerland

1

Czech Republic Austria

2,039

France

4,720

Sweden

5,216

Italy

5,265

Netherlands

6,113

Germany

6,795

Spain

7,794

United Kingdom

16,370

Ireland

1

Bulgaria

6 394 36

Turkey

42

Iceland Croatia Denmark

168

Belgium

395 112

EUR mn

SLIDE 6

Capital for Growth  Promoting the Exchange as a venue of raising growth capital:

 targeting Polish companies and local governments  16 meetings in Poland’s biggest cities  close to 1,200 participants  more than 30 presentations of listed companies

Source: PwC, GPW 6

GPW market promotion

Polish Capital Markets Days and other initiatives  Polish Capital Markets Days – series of seminars:

 promoting SMEs  5 events: London, New York, Warsaw, Stegersbach, Paris  participation of 100 Polish companies  900 meetings with 252 investors

 Multiple meetings with all of the biggest investment banks active in CEE  International events for potential issuers: Vilnius, Belgrade, Wrocław (Slovenia Day), Odessa, Kyiv

3.8% 11 5.8% 52 4.5% 21 2.7% 8 2.3% 7 21.9% 324 4.0% 13 6.1% 34 9.7% 69 2.2% 8 8.5% 105 2.1% 9 12.5% 100 7.7% 57 3.9% 15 2.4% 11 # Białystok Lublin Number of listed companies in the region (Main Market and NewConnect) Percentage share of the region in Poland’s GDP Olsztyn Gdańsk Warszawa Bydgoszcz Szczecin Poznań Zielona Góra Wrocław Łódź Kielce Kraków Opole Katowice % Rzeszów

SLIDE 7

7

Improvement of market attractiveness

 Active participation in legislative work:

 REIT  Covered bonds  Access for banks

 Structural realignment:

 Integration of post-trade services – analysis underway  Simplification of Catalyst structure – pending

 New products and services:

 Non-display data  Financial Instruments Market (TGE)  Trade reporting (TGE)

 Reduced transaction fees for equity trade:

 Based on dialogue and agreement with brokers  Fee reduced from 0.033% to 0.029% on order value up to PLN 100 thou. – from 1 January 2016  Fees on SME shares traded by market makers at 0 – H2 2015

 Trading hours on TGE energy and gas market extended to 15:30 New areas of development Dialogue with Exchange Members Raising standards  New Best Practices for GPW Listed Companies:

 Outcome of broad public market consultations  Objective: to improve corporate governance requirements and align with international trends

 NewConnect 2.0 reform:

 Council of Authorised Advisers  More transparency of introducing companies to ATS

 100% UTP availability

Safety Transparency Corporate governance Liquidity Availability Turnover Development Innovation Competitivity

SLIDE 8

8

Another year of building up liquidity on the commodity market

Record-high volume of trade in energy and gas Volume of trade in property rights

Q1’15 Q4’15

20.4 44.0

Q3’15

58.9 35.5

Q1’13

0.2 35.5

Q2’15

20.3 1.0 41.5

Q4’13

1.7 48.6 30.7 0.2 55.6

Q2’13

0.3 36.8 38.1 45.7

Q4’14

47.5 58.6

Q3’14

58.9 43.1

Q2’14

4.2 43.5

Q1’14 Q3’13 Electicity (TWh) Gas (TWh)

5.6 5.8

Q3’13 Q1’13

23.7 17.0 6.7 5.6 5.8

Q4’13

10.7 5.9

Q3’14

6.4

Q2’14

6.2 11.1

Q1’14

6.7 3.9

Q2’13

4.0

Q4’15

12.8 5.2 2.6 11.8 15.5 7.4 5.8 4.5

Q3’15

10.1 7.7 9.6

Q1’15

8.7 11.9

Q2’15

18.8

Q4’14

9.3

Cogenaration (TWh) Renewable energy sources (TWh)

1 Exchange turnover (spot and forward) to domestic consumption

 Liquidity on the electricity market1 in 2015: 138% - Europe’s #3 market after German/Austrian and Nordic markets  Liquidity on the gas market in 2015: 62% - Europe’s #3 market after UK and Netherlands  Recovery of the volume of trade in property rights – 58.9 TWh in 2015 vs. 36.0 TWh in 2014  TGE’s key initiatives:

 Member of Multi-Regional Coupling (MRC) and Price Coupling of Regions (PCR)  NEMO appointed by ERA President for the Polish electricity market – December 2015  Start-up of Polish-Lithuanian link  Launch of Financial Instruments Market  Extended trading hours on the electricity and gas markets  Trade reporting service  Green certificates futures market  Pending implementation of a new trading system – X-stream Trading Technology

 Key legislation in 2015:

 Renewable Energy Sources Act  CO2 Trade Act  Energy Efficiency Act

SLIDE 9

Summary of GPW Activities in 2015 GPW Group Financial Results in Q4 2015

SLIDE 10

54.7% 51.7% 53.8% 53.8% 48.9% 61.6% 48.5% 37.7% 35.4% 33.7% 38.2% 35.0% 43.6% 29.0% 10

Revenue growth supported by strict cost discipline in 2015 …

EBITDA and EBITDA margin Revenue Net profit and net profit margin

+3.3%

0.1%

2015

327.9

2014

317.6

Q4’15

83.8

Q3’15

78.7

Q2’15

77.2

Q1’15

88.2

Q4’14

83.9 +16.2% 30.1

2014

112.3

Q3’15 Q4’15

+10.2%

2015

123.7 28.2

Q2’15

27.0

Q1’15

38.4

Q4’14

24.3

Q3’15

42.3

Q2’15

37.8

Q1’15

54.3

Q4’14

40.7 164.1 +9.4% 45.1

Q4’15

179.5

2014

+10.9%

2015

PLN mn. % PLN mn PLN mn. %

1 Dividend yield based on GPW share price as at the dividend record date

 Cost/income ratio in 2015 – 53.2% vs. 57.2% in 2014  Dividend paid from 2014 profit – PLN 2.40 per share, dividend yield 4.9%1

SLIDE 11

54.7% 51.7% 50.9% 51.8% 55.5% 48.1% 42.0% 37.7% 35.4% 40.0% 38.8% 49.9% 11

.. translated into the largest value of revenue and EBITDA in GPW history

EBITDA and EBITDA margin Revenue Net profit and net profit margin

+7.8%

2012

273.8

2011

268.8

2010

225.6

2015

327.9

2014

317.6

2013

283.8

2015

123.7

2014

112.3

2013

113.5

2012

106.2

2011

134.1

2010

94.8

2011

149.3

2010

108.4 144.4

2012

141.8

2015

179.5

2014

164.1

2013

PLN mn, % PLN mn PLN mn, % CAGR

SLIDE 12

12

Financial market revenue up by 5.4% YoY in Q4

Revenue – financial market

PLN mn PLN mn 51.5

Q3’15 2014

200.0

Q4’15

49.0

+5.4% 0.0%

2015

200.0 50.2

Q1’15

49.2

Q2’15 Q4’14

46.5

4.2%

125.2

+9.4%

2015 2014

114.5

Q4’15

34.2

Q3’15

26.7

Q2’15

26.9

Q1’15

37.4

Q4’14

35.7

Revenue – commodity market

2015: 61.0% 2015: 38.2%

SLIDE 13

13

Stable trading revenue on the financial market

Trading revenue – financial market Investor activity on GPW markets  Average fee on the equity market at 2.5 bp  Average turnover in shares per session in Q4 2015 – PLN 793.3 mn. and in 2015 – PLN 811.0 mn vs. PLN 824.8 mn in 2014  Increase of revenue from trade in shares in 2015 by 2.5% due to a lower proportion of large block trades and cross trades  Average transaction value in 2015 – PLN 12.3 thou.

vs. PLN 14.9 thou. in 2014

PLN mn

0.6%

+6.7%

Other Derivatives Equities 2015

136.9 17.4 11.6 107.9

2014

137.8 17.7 14.8 105.3

Q4’15

33.2 4.3 3.0 25.9

Q3’15

36.2 4.1 3.1 29.0

Q2’15

33.1 4.4 2.6 26.1

Q1’15

34.4 4.7 2.8 26.9

Q4’14

31.1 4.3 2.8 24.0 2015: 39.6% Q4’14 Q1’15 Q2’15 Q3’15 Q4’15 2014 2015 Equities – value of trade (EOB, PLN bn) 47.5 52.0 50.1 52.2 49.2 205.3 203.5

+3.8% yoy

0.9% yoy
5.6% qoq

Futures and options – volume of trade (mn contracts) 2.2 2.2 2.0 2.1 1.9 9.5 8.2

14.8% yoy
13.5% yoy
8.9% qoq

Treasury bonds – TBSP, cash transactions (PLN bn) 72.9 92.6 59.4 50.2 58.5 327.4 260.7

19.7% yoy
20.4% yoy

+12.0% qoq

SLIDE 14

14

Stronger issuer activity in Q4 2015

Listing revenue Issuers’ activity  Poland’s ECM value in Q4 2015 – PLN 1.4 bn vs. PLN 0.7 bn in Q3 2015 and PLN 1.7 bn in Q4 2014  Number of IPOs in Q4 2015 on the Main Market –

15. i.e. 5 more than in Q4 2015 and 10 more than

in Q3 2015  Capitalisation of domestic companies at 2015 YE – PLN 516.8 bn. the lowest since Q2 2013 (-12.6% YoY)

PLN mn +3.9% +2.2% 19.0

Q4’15

6.0 1.3 4.7

Q3’15

5.7 1.1 6.2 1.2 5.1

Q4’14

5.8 1.1 4.7 24.5

Listing

Introduction

2015

4.9 19.2 5.3 24.0 4.9

Q1’15

1.7 6.5

Q2’15

4.6

2014

2015: 7.5% Q4’14 Q1’15 Q2’15 Q3’15 Q4’15 2014 2015 Number of IPOs on the Main Market 10 2 8 5 15 28 30

+50.0% yoy +7.1% yoy +200.0% qoq

Capitalisation of domestic companies (PLN bn) 591.2 618.2 605.2 556.1 516.8 591.2 516.8

12.6% yoy
12.6% yoy
7.1% qoq

Value of IPOs (PLN mn) 199 29 1280 102 578 1311 1981

+190.4% yoy +51.8% yoy +468.8% qoq

SLIDE 15

15

Steady growth of revenue from information services

Revenue from information services Data vendors and subscribers  Nearly 50 percent growth in the number of subscribers using commodity market data feeds  Decrease in the number of subscribers offset by increasing revenue from institutional clients  More non-display data customers: share in revenue bound for growth in 2016

PLN mn

2015

38.5

2014

38.2

Q4’15

9.7

Q3’15

9.6

Q2’15

9.5

Q1’15

9.6

Q4’14

9.5 +2.1% +0.8% 2015: 11.7% Q4’14 Q1’15 Q2’15 Q3’15 Q4’15 2014 2015 Number of subscribers (thou.) 240.3 241.1 238.7 223.1 221.1 240.3 221.1

8.0% yoy

Number of data vendors 58 58 56 56 54 58 54

SLIDE 16

16

Commodity market driven by seasonality

Trading revenue – commodity market Investor activity on the commodity market  Seasonally higher volumes on the energy market  Trading revenue from the gas market increased in 2015 by 12.5% despite lower volumes. driven by a different split of volumes between the spot and forward markets  Higher share of cogeneration certificates in total turnover in 2015

PLN mn 1.7 4.6

Q3’15

+4.0%

5.4%

Other Property rights Gas Energy 2015

62.6 7.5 32.4 9.2 3.0 4.6 2.2 2.7 3.5

Q4’14

18.7 1.8 3.4

Q1’15

18.5 1.8 10.5 9.2 31.0

7.4

14.5

Q4’15

17.6

12.8

1.8 5.8 2.3 2.9 8.3 14.4

2014

60.1

7.3 Q2’15

13.6 1.7 6.9 1.6 2015: 19.1% Q4’14 Q1’15 Q2’15 Q3’15 Q4’15 2014 2015 Electricity – volume of trade (TWh) 58.7 45.7 44.0 38.1 58.9 186.7 186.7

+0.6% yoy +0.0% yoy +54.6% qoq

Natural gas – volume of trade (TWh) 47.6 35.5 20.3 30.7 20.4 111.6 106.9

33.6% yoy
4.3% yoy
57.1% qoq

Property rights – volume of trade (TWh) 11.9 18.8 15.5 11.9 12.8 36.0 58.9

+8.4% yoy +63.6% yoy +8.4% qoq

SLIDE 17

17

Increased activity in the register of certificates of

rigin

Revenue from operation of the register Revenue from clearing Activity of register participants  Increase in revenue from the register of certificates

f origin in 2015 driven by a higher volume of

cancelled and issued cogeneration certificates  Revenue from clearing :

 increase in 2015 following the end of promotion for clearing of the gas market and an increase of trade in property rights

PLN mn PLN mn +7.5%

Q4’15

5.5

6.4%

2015

24.2

2014

22.5

Q3’15

5.5

Q2’15

5.5

Q1’15

7.6

Q4’14

5.9 +20.8%

2015

38.5 7.8

Q1’15 Q4’15

11.1 11.2 31.9

0.9%

Q3’15

8.4 11.2

Q4’14 2014 Q2’15

2015: 7.4% 2015: 11.7% Q4’14 Q1’15 Q2’15 Q3’15 Q4’15 2014 2015 Volume of issued property rights (TWh) 11.2 17.5 10.8 13.0 9.4 42.2 50.7

16.4% yoy

+20.0% yoy

28.1% qoq

Volume of cancelled certificates of origin (TWh) 3.7 4.3 7.7 10.4 0.0 20.6 22.3

100% yoy

+8.5% yoy

100% qoq

SLIDE 18

 Key ratios:

 cost regime: cost/income ratio at 53.2% in 2015 vs. 57.2% in 2014 and mid-term target <50% in 2020  decrease of operating expenses by 4.0% (PLN 7.2 mn) in 2015 including decrease of GPW’s separate expenses by 7.9% (PLN 10.3 mn) in 2015, despite among others: numerous cost-generating development initiatives and increase of cost depending on exchange rates

 Savings initiatives:

 Salaries - overall decrease in 2015 by 2.1% (PLN 1.5 mn) including changes to optimalization of headcount, change of the bonus and retirement benefit system and other savings  Rent and maintenance - decrease in 2015 by PLN 0.5 mn among

thers as the effect of termination of some lease contracts for space in

Centrum Giełdowe and renegotiation of maintenance fees  External services and other costs – in 2015 decrease by PLN 4.6 mn

 Realignment of Group structure in 2015:

 Sale of 80.0% of IRK to PAP  Sale of 100% of InfoEngine to TGE

 Seasonally higher costs in Q4 2015

 Accounting for the bonuses in subsidiaries  Accounting for the cost of development activities in commodity market

 In 2016 expected decrease of fees paid by the GPW Group to PFSA by ca. 50% vs. 2015, savings shared through reductions of trading fees since 1.1.2016 and as a effect parallel decrease of revenues

18

Efficiency programme and cost optimisation

Operating expenses Change in operating expenses

1 Other includes rent, fees and charges, and other operating expenses

PLN mn PLN mn 181.6

2015

174.4

Other op. expenses

2.2

External serv.

2.3

Fees & charges

1.2

Rent

0.5

Salaies

1.5

D&A

1.9

2014

External serivces

10.6%

Other Saleries 14.7 6.2 Q4’14 51.3 10.7 13.1 20.1 7.5 Depreciation& Amortisation Q4’15 45.9 9.3 11.4 18.2 7.0 Q3’15 43.3 9.8 9.3 17.3 7.0 Q2’15 45.0 10.5 10.1 17.9 6.6 Q1’15 40.1 10.3 8.9 41.3 42.0 69.5 28.8 2014 39.8 26.8 181.6 68.0

4.0%

174.3 2015

SLIDE 19

Q4’15

1.7
0.1
0.1

Q3’15

0.3

1.5

0.2 1.7

1.6

Q2’15

0.3

0.2 1.3

1.8

Q1’15

0.2 0.0 1.6

1.5

Q4’14

2.2

0.1

0.1
2.1

19

Share of profit of associates

Share of profit of associates1 Change of share of profit of associates Turnover on Aquis Exchange

1 Quarterly results of KDPW Group in 2015 not fully comparable to previous years due to change in the recognition of annual fees paid by participants (until 2014,

fully under the revenue of Q1; as of 2015, pro rata in each quarter)

2 Source: FESE

 KDPW Group results:

 net profit in 2015 down to PLN 13.7 mn (vs. PLN 30.0 mn in 2014) including development of the netting service and partial settlement  trade repository and issuance of LEIs – new services offsetting the decrease of KDPW Group’s revenue  higher expenses in Q4 2015 as the effect of, among others, actuarial provisions, costs of OTC system, VAT provisions

 Group’s share of the loss of Aquis Exchange in 2015 – PLN 6.5 mn:

 13 markets and growing number of members  in Q2 2015 GPW’s stake decreased to 26.33%  change of membership rules in February 2016 – improved EOB quality

CG KDPW Aquis

PLN mn PLN mn

3.7

2015

1.5

0.2 5.4 0.0

2014 2015

1.5

0.4 4.6

6.5

2014

3.7

0.4 10.0

6.7

0.5

12’15

5.2

0.5

7’15 8’15

0.5

5.7 5.3 6.1

0.6

6’16 1’16 2’15

2.5

0.2

1’15

2.3

0.2

10’15

0.6

11’15

0.7

7.0 5.8 4.6

9’15

0.5

5.2

0.5

5’15

3.9

0.4

4’15

3.2

0.3

3’15

3.1

0.3

Share of trading in Europe (%) Aquis trading – EUR bn

2

SLIDE 20

PLN mn 2014 2015 Q4 2014 Q3 2015 Q4 2015 Revenue 317.6 327.9 83.9 78.7 83.8 Financial market 200.0 200.0 46.5 51.5 49.0 Trading 137.8 136.9 31.1 36.2 33.2 Listing 24.0 24.5 5.8 5.7 6.0 Information services 38.2 38.5 9.5 9.6 9.7 Commodity market 114.5 125.2 35.7 26.7 34.2 Trading 60.1 62.6 18.7 12.8 17.6 Register of Certificates of Origin 22.5 24.2 5.9 5.5 5.5 Clearing 31.9 38.5 11.2 8.4 11.1 Other operating income 3.1 2.7 1.7 0.5 0.6 Operating expenses 181.6 174.4 51.3 43.3 45.9 Other income 42.0 39.6 13.1 9.3 11.4 Other expenses 1.9 2.2

0.2

0.3 0.0 Operating profit 135.4 152.6 33.1 35.3 38.1 Financial income 10.4 9.9 2.2 2.0 1.9 Financial expenses 10.4 9.4 2.7 1.9 2.8 Share of profit of associates 3.7

1.5
2.2

0.3

1.7

Profit before income tax 139.1 151.7 30.4 35.7 35.4 Income tax 26.8 27.9 6.1 5.6 7.2 Net profit 112.3 123.7 24.3 30.1 28.2 EBITDA 164.1 179.5 40.7 42.3 45.1

GPW Group’s consolidated P&L

20

 Tax rate in 2015 down to 18.4% due to a tax loss of PLN 1.3 mn on the sale of InfoEngine  Restatement of GPW’s investment in Aquis at PLN 2.8 mn under the financial income of Q2 2015

SLIDE 21

PLN mn

31.12.2014 31.03.2015 30.06.2015 30.09.2015 31.12.2015

Non-current assets, including among others 572.7 571.4 572.3 569.2 580.6 Property, plant and equipment 119.8 116.6 112.1 109.8 125.2 Intangible assets 261.0 262.8 265.6 263.7 261.7 Share of profit of associates 188.1 188.4 190.1 190.3 188.6 Current assets, including among others 451.4 484.8 519.7 425.7 442.2 Trade and other receivables 42.6 91.5 61.4 73.4 81.3 Available-for-sale financial assets 10.5 10.6 10.6 10.6 0.0 Cash and cash equivalents 389.0 379.0 446.8 341.3 360.4 Total assets 1,024.2 1,056.2 1,092.0 994.8 1,022.8 PLN mn

31.12.2014 31.03.2015 30.06.2015 30.09.2015 31.12.2015

Equity 700.5 738.8 664.0 694.1 721.3 Non-current liabilities 259.4 253.5 255.2 256.2 258.8 Liability under the bond issue 244.1 244.2 244.3 244.4 243.8 Current liabilities, including among others 64.3 64.0 172.7 44.5 42.7 Trade payables 10.0 10.0 19.6 7.9 8.6 Income tax payable 9.9 7.6 9.6 11.2 9.5 Dividend and other liabilities 1.2 2.3 7.1 2.5 2.8 Employee benefits payable 5.1 25.4 18.1 10.2 7.3 Provisions 38.0 18.7 118.3 12.8 14.6 Total equity and liabilities 1,024.2 1,056.2 1,092.0 994.8 1,022.8 As of: As of:

21

GPW Group’s consolidated balance sheet

 GPW Group’s negative net debt at PLN 116.1 mn at the end of 2015 (cash surplus)  High receivables at 2015 YE include TGE Group’s VAT receivable from clearing (increase of receivables in TGE Group from PLN 18 mn at 2014 YE to PLN 53 mn at 2015 YE)

SLIDE 22

GPW Group’s consolidated cash flows

22

 Lower cash flows from operating activities in 2015 mainly due to an increase of tax receivables (60 days tax return)  Capital expenditure at PLN 30.8 mn in 2015  Dividend paid out on 4 August 2015 at PLN 100.7 mn  PLN 124.5 mn of GPW series A and B bonds bought back and PLN 125 mn of 7Y fixed-coupon series C issued in 2015  Outstanding series A and B bonds – maturing on 2 January 2017

PLN mn 2014 2015 Cash flows from operating activities, including among others: 161.7 93.1 Cash flows from operating activities 176.9 110.1 Net profit of the period 112.3 123.7 Adjustments: 64.6

14.3

Income tax 26.8 27.9 Depreciation of property, plant and equipment 28.8 26.8 Financial income on restatement of share of profit of associates 0.0

2.8

Interest income on deposits

9.2
6.2

Interest and premium on bond issue 10.0 6.6 Share of profit of associates

3.7

1.5 Change in current assets and liabilities 11.6

66.3

Decrease of trade and other recievables

7.8
38.7

Increase / decrease of other liabilities 21.8

23.0

Income tax expense

15.2
17.0

Cash flows from investing activities, including among others:

23.1
14.6

Purchase of property, plant and equipment

12.0
23.9

Purchase of intangible assets

6.4
6.9

Sale of available-for-sale financial assets 0.0 10.0 Purchase of associates

15.2

0.0 Interest received 9.8 6.8 Cash flows from financing activities, including among others:

60.5
107.2

Dividend paid and company social fund

50.6
100.7

Interest paid

9.5
6.7

Proceeds from bond issue 0.0 125.0 Buy-back of bonds issued 0.0

124.5

Increase/decrease of net cash and cash equivalents 78.1

28.7

Cash and cash equivalents - opening balance 311.5 389.0 Cash and cash equivalents - closing balance 389.0 360.4

SLIDE 23

Appendix

SLIDE 24

24

Disclaimer: Neither MSCI nor any other party involved in or related to compiling, computing or creating the MSCI data makes any express or implied warranties or representations with respect to such data (or the results to be obtained by the use thereof), and all such parties hereby expressly disclaim all warranties of originality, accuracy, completeness, merchantability or fitness for a particular purpose with respect to any of such data. Without limiting any of the foregoing, in no event shall MSCI, any of its affiliates or any third party involved in or related to compiling, computing or creating the data have any liability for any direct, indirect, special, punitive, consequential or any other damages (including lost profits) even if notified of the possibility of such damages. No further distribution or dissemination of the MSCI data is permitted without MSCI's express written consent.

Weakening of the investors’ sentiment to emerging markets1 Declining market capitalization on GPW

70 65 90 85 80 75 105 100 95 110 115 12’15 11’15 10’15 8’15 7’15 1’15

4,3%

6’15 12’14

17,0%

MSCI POLAND MSCI EM MSCI ACWI

27,2%

9’15 5’15 4’15 3’15 2’15

Demanding market environment in 2015

1 Source: MSCI Barra, price indices, in USD, series Standard, 31.12.2014 = 100 points

Q4’15

517

Q3’15

556

Q2’15 Q1’15

618 605

Q3’14

607

Q4’14 Q2’14

613 635 591

Q1’14 Market capitalizaition of domestic companies, PLN bn

SLIDE 25

International position of the GPW equity market

Number of listed companies Value of trading in equities, EOB Market capitalization

GPW 17.0 37.5 361.9 4.4 172.9 5.5 126.0 16.2 87.9 111.5 CEESEG - Prague CEESEG Athens Exchange CEESEG - Vienna Bulgarian SE Bucharest SE Budapest SE Ljubljana SE 23.5 Moscow Exchange Borsa Istanbul Ljubljana SE 0.3 Bucharest SE 1.5 Athens Exchange 3.1 CEESEG - Prague 6.2 Budapest SE 6.9 CEESEG - Vienna 29.2 GPW 49.1 Moscow Exchange 127.4 Borsa Istanbul 342.0 0.2 Bulgarian SE 25 45 46 84 92 CEESEG - Vienna 365 Ljubljana SE 393 CEESEG - Prague GPW Moscow Exchange Budapest SE 254 Bulgarian SE Borsa Istanbul 117 CEESEG 905 Bucharest SE EUR bn EUR bn

25

1 CEESEG Group includes: Vienna, Prague

Source: FESE, December 2015

SLIDE 26

3.5% 3.3% 2.1% 7.5% 11.7% 38.2% 0.8% 32.9% 2015

Information services Listing Trading - derivatives Trading - debt instruments Trading - other Trading - shares

PLN 327.9 mn

Commodity market: 38.2% Financial market: 61.0%

318 2012

CAGR: +10.0%

2014 2013 284 274 2011 269 2010 199 2008 185 2015 328 226 2009

Detailed GPW revenue structure

11.5% 6.6% 25.9% 6.0% 19.3% 30.7% Clearing Register of Certificates of Origin Trading - other fees Trading - property rights Trading - gas Trading - electricity

PLN 125.2 mn

26

GPW Group revenue (PLN mn)

SLIDE 27

 Key drivers:

 Value of trading in shares  Structure of orders (small, medium, large)

27

Financial market – trading in shares

Value of trading in shares and number of trades Velocity and volatility – trading in shares

1 Share in GPW Group total revenue in 2015

50 200 100 250 150 300

51.9

2012

46.4

2011

55.3

2010

48.4

2009

188 167 203 160 231 162 91 251

2015

65.9

207 220 205

2014

55.5

2013

51.4

2008

38.2

2007

60.8

2006

45.0

2005

19.8

Number of EOB trades per session, ’000 Value of EOB trading in shares (PLN bn) 29.1% 24.3%22.6% 17.4% 16.9% 25.3% 23.2% 37.2% 35.0% 20.0% 24.5% 16.8% 17.6% 14.8% 17.1%

0.1 0.2 0.3 0.4 0.5 0.6 0.7 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Volatility of 20 sessions (trailing) Volatility counted for the whole year Velocity (%)

26.0% 22.3% 26.6% 31.2% 34.7% 43.4% 48.7% 41.3% 48.4% 42.9% 50.7% 38.7% 39.4% 34.7% 36.7%

32.9%1

SLIDE 28

 Key drivers:

 Volume of trading in futures  Number of open interests  Volatility

28

Financial market – trading in derivatives

Volume of trading in derivatives Volumes of trading in derivatives under pressure of volatility

1 Liquidity ratio (value of trading in WIG20 futures to value of trading in WIG20 stocks) 2 Share in GPW Group total revenue in 2015

8.2 9.5 6.7

2015

9.9

64.6

2006

78.5 138.1

2013

12.6

184.8

2012

104.2

2014 2010

14.7

168.1

2009

13.8

2005

5.6

40.3 131.0

2008

12.6

80.4

2007

11.3

137.2

2011

15.5

132.8

Volume of trading, ’000 000 Open interests ’000

121% 132% 116% 139% 181% 439% 404% 480% 522% 352% 341%

PLN bn

1

DLR

124

2008

602 125

2007 2015

196 162

2014

212 207 149

2011

347 192 669 128

2006

373 106

2005

225 66

2010

668 152

2009

502 160

2013

201 174

2012 Turnover: WIG20 futures Turnover: WIG20 companies

3.5%2

SLIDE 29

3.3%1

2

 Key drivers:

 Value of trading in treasury bonds on TBSP  Number of Exchange Members

29

Financial market – other instruments and members

Value of trading on Treasury BondSpot Poland (PLN bn) Number of Exchange Members

1 Share in GPW Group total revenue in 2015 – trading in bonds 2 Share in GPW Group total revenue in 2015 – fees from the market participants

612 450

2011

1,037

2007

161

2006

213

2005

731 307

2010

324 188

2015

599 339 1,062 166 135

2009

101

2008

84 261

2014

767 439 327

2013

845 498 347

2012

Conditional transactions Cash transactions

2010

49 19 30 32 56 26 30

2013 2014

25

2005

31 7 24 27 33

2011

61 29 49 18 31

2007

43 57 26 31

2012

60

2015

57 28 29 17 26

2006

35 10

2009

46 17 29

2008

Local Remote

2.0%2

SLIDE 30

458 375 284 255 895 867 777 585 486 905 902

 Key drivers:

 Value of capitalization of companies at year’s end  Value of new issues of shares and bonds  Number of new issuers

30

Financial market – listing

Market capitalization od domestic companies

Value and IPO and SPO and numer of companies (Main Market and NewConnect)

1 Share in GPW Group total revenue in 2015

30.7%

2008

267 20.0%

2007

34.8%

2013

593 36.5%

2012

523 32.0%

2011

446 27.9%

2015

517 29.5%

2014

591

2010

543 36.8%

2009

421 510 41.6%

2006

438 40.3%

2005

308 31.0%

Market capitalization of domestic companies (PLN bn) Market capitalization/GDP (%) 9.2 2014 2015 5.3

18.4

2006

2.3 3.8 1.4

2013

3.1 5.2

2012 2005

0.9 6.7 3.6

2010

22.7 15.7

2009

20.1 4.3 3.7

2011

4.1 43.1 2.1 6.8

2008

2.1 9.5

2007 SPO, PLN bn IPO, PLN bn Number of companies

7.5%1

SLIDE 31

 Key drivers:

 Number of information service subscribers  Number od data vendors

31

Financial market – market data

Number of market data vendors Number of subscribers '000

1 Share in GPW Group total revenue in 2015

32

2008

50 19 31 11 17

2007

48 21 27

2006 2015

54 31

2013

58 24 34 57 20 37

2010

52 24 30

2014

58 27 19 33

2009

50 18 43 26

2005

37 26

2012

58 21 37

2011

Local Remote 327

2010

307

2013

262

2014

240

2009

187

2015

221 288

2011 2012

11.7%1

SLIDE 32

 Key drivers:

 Volume of trading in electricity  Volume of trading in gas

32

Commodity market – trading in electricity and gas

Volume of trading in electricity (TWh)1 Volume of trading in gas (TWh)

1 Data in 2006-2013 include poee RE GPW transactions 2 Share in GPW Group total revenue in 2015

187 162 25

2014

187 163 24

2013

177 154 22

2012

139 118 21

2011

131 109 22

2015

75 13

2009

9

2008

10

2007

8

2006

4

2005

2 88

2010

7 14 2

2015

107 93

2014

112 105

2013

2

2012

1

Forward transactions Spot transactions Forward transactions Spot transactions

6.9%2

SLIDE 33

 Key drivers:

 Volume of trading in property rights  Share of particular type of certificates in trading  Number of member in Register of Certificates of Origin

33

Commodity market – trading in property rights

Volume of trading in property rights (TWh)1 Number of members in Register of Certificates of Origin

1 Share in GPW Group total revenue in 2015

2005

49 36 13

2009

45

2008

30

2007

4

2006

4 17 22

2012

62 42 20

2011

51 36 15

2010 2015

59 32 27

2014

36 4 32

2013

39 35 23 Trading in cogeneration certificates Trading in green certificates 1,445

2013

1,862

2014

2,117

2015

2,539 1,656

2011 2012

9.9%1

SLIDE 34

 Key drivers:

 Volume of issued property rights  Volume of cancelled property rights

34

Commodity market – Register of Certificates of Origin

Volume of issued property rights (TWh)1 Volume of cancelled property rights (TWh)

1 Share in GPW Group total revenue in 2015

2005

1 37 26 11

2009

32

2008

28

2007

5

2006

4 18 12

2012

41 26 15

2011

37 27 11

2010 2015

51 27 23

2014

42 21 22

2013

29 24 22 Cogeneration property rights Property rights in renewable energy sources

2005

25 15 10

2009

26

2008

20

2007

4

2006

3 27 9

2012

43 31 12

2011

27 17 10

2010 2015

22 13 9

2014

21 1 20

2013

36 19 14 Cogeneration property rights Property rights in renewable energy sources

7.4%1

SLIDE 35

Contact: GPW Investor Relations Phone +48 22 537 72 50 ir@gpw.pl www.gpw.pl/relacje_inwestorskie_en

Disclaimer This presentation has been prepared by Giełda Papierów Wartościowych w Warszawie S.A. (“Warsaw Stock Exchange”. “GPW” or “Company”) for its

shareholders. analysts. and other contractors. This presentation has been prepared

solely for information and is not an offer to buy or sell or a solicitation of an offer to buy or sell any securities or instruments. This presentation is not an investment recommendation or an offer to provide any services. All efforts have been made to present the data in this presentation; however. some data are derived from external sources and have not been independently verified. No warranty or representation can be given that information in this presentation is exhaustive or true. GPW has no liability for any decisions made on the basis of any information or

pinion in this presentation. GPW informs that in order to obtain information about

the Company reference should be made to periodic and current reports published in compliance with applicable provisions of Polish legislation.

IR events

 29 April 2016 Publication of GPW Group’s Consolidated Interim Report for Q1 2016  29 July 2016 Publication of GPW Group’s Consolidated Interim Report for H1 2016  28 October 2016 Publication of GPW Group’s Consolidated Interim Report for Q3 2016

35