Ivan Shteriev Macedonian Stock Exchange CEO Rovinj, October, 2015 - - PowerPoint PPT Presentation

MACEDONIAN SECURITIES MARKET

(BRIEF OVERVIEW)

Ivan Shteriev Macedonian Stock Exchange CEO  Rovinj, October, 2015

REPUBLIC OF MACEDONIA – MACROECONOMIC INDICATORS

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 1Q2015 GDP (real growth rates) 4,4 5,0 6,1 5,0

• 0,9

2,9 2,8

• 0,5

2.7* 3.8* 3.2* Inflation (end of period, on annual base, in %) 1,2 2,9 6,1 4,1

• 1,6

3,0 2,8 4,7 1,4

• 0,5
• 0,3

Unemployment rate (in %) 37,3 36,0 34,9 33,8 32,2 32,0 31,4 31,0 29,0 28,0 27,3 Total deposits (in million of EUR) 1.508 1.916 2.534 2.848 3.050 3.467 3.786 3.972 4.213 4.651 4.669 Bank and savings houses credits to the private sector (annual growth rates) 21,0 30,5 39,2 34,4 3,5 7,1 8,5 5,4 6,4 10,0 9,2 Weighted interest rates on total extended denar credits (average for the period, in %, p.a.) 12,1 11,3 10,2 9,7 10,1 9,5 8,9 8,5 8,0 7,5 7,3 Weighted interest rates on total accepted denar deposits (average for the period, in %, p.a.) 5,2 4,6 4,9 5,9 7,0 7,0 5,9 5,1 4,4 3,7 3,2 Average exchange rate MKD/EUR 61,30 61,19 61,18 61,27 61,27 61,51 61,53 61,53 61,58 61,62 61,55 Trade balance f.o.b. (in million of EUR)

• 961,1
• 1.062,2 -1.356,5 -1.966,9 -1.699,8 -1.602,2 -1.838,0 -1.946,7 -1.748,1 -1.762,0
• 378,1

Current account balance (in million of EUR)

• 122,5
• 23,4
• 421,2
• 862,2
• 457,1
• 144,0
• 189,2
• 240,0
• 134,1
• 68,7
• 31,0

Direct investments - net (in million of EUR) 74,9 344,7 506,9 409,4 136,9 156,9 344,6 131,1 229,4 197,4 64,8

Source: National Bank of the Republic of Macedonia *Preliminary data for 2013,2014 and estimated data for 2015 (SSO).

MACEDONIAN STOCK EXCHANGE – KEY FIGURES

Top 10 traded companies

86 % in BEST turnover 49 % in total turnover

10 Member

firms

1 new member

in pipeline

114 listed companies or

approximately 20 % of all JSC in RM Disclosure statistic (15.10.2015)

528 – information related with

General Assembly and Decisions

403 – other price sensitive

information

131 – audited financial statements 426 – periodical financial

statements

Net profit of listed companies (01.01.-30.06.2015) 53 mil. EUR (01.01.-30.06.2014) 36 mil. EUR Total P/E 19,95 MBI10 P/E 17,48 Total P/B 0,75 MBI10 P/B 0,89

2015

Total turnover 29 mil. EUR Turnover listed 16 mil. EUR Market cap. of listed companies 1.543 mil EUR Market cap. % of GDP 18,10% Turnover /mar.cap 1,06% MBI10 index ( value 15.10.2015) 1.714,20 YTY % -5,22% YTD % -7,05%

Members

Listed companies Turnover/mar.cap/index Foreign participation Top traded 2015

Alkaloid Skopje Komercijalna banka Skopje NLB Tutunska banka Skopje Makpetrol Skopje Granit Skopje

69 % in

BEST turnover

BUY SELL

2015(IX)

9,60% 24,71%

2014

23,56% 30,22%

2013

8,60% 14,68%

2012

11,63% 20,87%

2011

20,63% 28,31%

TOP TRADED COMPANIES & BONDS

Issuer Business Turnover BEST EUR P/E Market capitalization EUR FF % P/B Dividend yield Index member Alkaloid Skopje Pharmacy 4.459.474 11,70 117.219.963 92,29 0,94 4,15% MBI10 Komercijalna banka Skopje Finance 3.775.520 43,11 69.408.366 90,00 0,44 0,00% MBI10 NLB Tutunska banka Skopje Finance 1.114.365 8,08 88.059.119 13,03 0,78 8,66% MBI10 Makpetrol Skopje Energy 1.019.238 33.702.795 77,73 0,61 0,00% MBI10 Granit Skopje Construction 1.003.562 6,35 24.233.615 91,60 0,32 3,35% MBI10 Prilepska Pivarnica Prilep Trade 980.217 13,62 16.953.451 26,10 0,67 0,82% / Makedonski Telekom Skopje Telecomunication 739.737 27,76 414.351.220 4,19 1,32 10,29% MBI10 Stopanska banka Skopje Finance 421.571 4,49 109.678.039 5,36 0,56 0,00% / Makedonijaturist Skopje Service 348.115 11,23 27.637.903 59,55 0,73 4,96% MBI10 Skopski Pazar Skopje Trade 321.103 10,76 9.488.049 65,08 0,89 1,51% MBI10 Total 14.182.903 910.732.521

Top traded companies in 2015

Government bonds Turnover EUR Yield to maturity* Index member

Denationalization V issue (RMDEN05)

18.325 /

OMB

Denationalization VI issue (RMDEN06)

12.132 4,69%

OMB

Denationalization VII issue (RMDEN07)

19.936 3,89%

OMB

Denationalization VIII issue (RMDEN08)

71.476 4,49%

OMB

Denationalization IX issue (RMDEN09)

1.157.242 3,53%

OMB

Denationalization X issue (RMDEN10)

378.001 3,51%

OMB

Denationalization XI issue (RMDEN11)

128.600 3,90%

OMB

Denationalization XII issue (RMDEN12)

56.682 3,89%

OMB

Denationalization XIII issue (RMDEN13)

1.102.461 4,60%

OMB

Denationalization XIV issue (RMDEN14)

6.168.564 4,26%

OMB

Total 9.113.419

Traded bonds in 2015

*annual average yield to maturity of bonds with maturity over 1 year

MACEDONIAN STOCK EXCHANGE – PAST PERFORMANCE

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015

TRADING IN BEST 109.338.613 176.423.055 496.967.289 132.704.562 66.895.486 53.163.246 55.928.399 44.779.637 34.455.784 40.999.918 26.033.526 BLOCK TRANSACTIONS 28.433.665 228.342.489 183.063.537 67.791.488 42.540.062 41.181.313 145.757.343 39.000.911 13.298.129 25.435.916 2.798.830 PUBLIC AUCTIONS 7.231.033 102.224.634 1.574.405 1.561.147 391.131 662.971 5.228.009 5.634.348 4.464.093 4.545.819 199.016 PUBLIC OFFERINGS

• 15.132.715

1.591.253 284.788 70.182.167

• TOTAL TURNOVER

145.003.311 506.990.178 681.605.231 202.057.196 109.826.679 95.007.530 222.046.466 91.006.148 52.502.794 141.163.820 29.031.372 NUMBER OF TRANSACTIONS 32.111 52.930 141.984 43.353 34.437 25.741 23.426 14.951 13.585 13.398 9.021 Market capitalization (Official market) 542.033.971 833.762.845 1.853.243.298 574.189.416 635.760.205 495.001.751 443.906.670 421.426.990 1.587.433.993 1.655.098.695 1.543.296.623 Mar.cap/GDP% 11,30% 16,48% 33,42% 9,22% 9,46% 7,37% 6,61% 7,20% 19,54% 20,38% 18,10% МBI10 2.292,04 3.702,54 7.740,79 2.096,16 2.751,88 2.278,92 1.974,86 1.731,18 1.738,86 1.844,20 1.714,20 % of annual MBI10 index change 61,54 109,07

• 72,92

31,28

• 17,19
• 13,34
• 12,34

0,44 6,06

• 7,05

Number of listed companies 57 43 38 38 36 34 32 32 116 115 114 Number of trading days 201 252 247 248 244 247 243 246 245 249 192 Members 15 17 22 27 25 20 18 15 13 10 10 In EUR

TIMELINE

6

CHALENGES AND OPPORTUNITIES

Trading concentration rule (until EU accession) Mandatory listing (until 2018) New securities Law (to be draft in 2016) SEE Link B/O SW Liberalization of F/X regime New reality (after 20 years) Positive factors combination Historically low interests rates Resolution of current internal political turmoil EU/NATO accession Market supply vs demand

(IPO, securitization, investment and pension funds, foreign investors, etc.)

Mentality change Confidence