Warsaw, 28 May 2021 Q1 2021 Brings GPW Group’s Superior Financial Results PRESS RELEASE • GPW Group’s revenue at PLN 112.3 million in Q1 2021 (+15.5% YoY) • EBITDA at PLN 53.6 million (+7.1% YoY) • Net profit at PLN 38.7 million (+32.1% YoY) • Recommended dividend for 2020 at PLN 104.93 million (PLN 2.5 per share) The Warsaw Stock Exchange Group (GPW Group) generated sales revenue of PLN 112.3 million, EBITDA of PLN 53.6 million, and a net profit of PLN 38.7 million in Q1 2021. All those financial parameters improved considerably year on year. Consolidated sales revenue in Q1 2021 increased by 15.5% year on year and decreased by 3.1% quarter on quarter. The year-on-year increase of revenue was mainly driven by trading revenue on the financial market which increased by PLN 11.7 million, i.e., 28.1%. The increase of trading revenue on the financial market was mainly due to revenue from trading in equities and equity-related instruments which increased by PLN 12.7 million, i.e., 39.7%. “Despite lower volatility on the market, our results further improved year on year at all levels (revenue, EBITDA, net profit). Virtually all product groups reported significant improvement. We are particularly proud to have maintained the leading position in Europe by growth in equity turnover. The future looks bright, too: 21 companies have been newly listed year to date, including three transfers from NewConnect to the Main Market,” said Marek Dietl, President of the GPW Management Board. The GPW Management Board recommended a dividend payment for 2020 at PLN 104.93 million, i.e., PLN 2.50 per share, representing 69.3% of the consolidated profit (77.3% of the net profit attributable to the shareholders of the parent entity adjusted for the share of profit of associates). The dividend payment will be decided by the GPW Annual General Meeting convened on 21 June 2021. Presentation of the financial results of the GPW Group for Q1 2021 Net profit The net profit of the GPW Group was PLN 38.7 million in Q1 2021, an increase of 32.1% year on year and a decrease of 17.2% quarter on quarter. The year-on-year increase of the net profit was driven by an increase of revenue on the financial market by PLN 14.0 million combined with stable revenue on the commodity market (down by PLN 0.1 million). Revenue on the financial market Sales revenue on the financial market stood at PLN 72.7 million in Q1 2021, an increase of 23.8% year on year and a decrease of 7.5% quarter on quarter. Revenue on the financial market contributed 64.8% of the total sales revenue of the GPW Group in Q1 2021 vs. 60.4% in Q1 2020 and 67.8% in Q4 2020. Revenue on the financial market includes trading revenue, listing revenue, and revenue from information services. ✓ Trading revenue on the financial market Trading revenue on the financial market was PLN 53.2 million in Q1 2021 vs. PLN 41.5 million in Q1 2020. The revenue increased by 28.1% year on year and decreased by 10.7% quarter 1 Zespół Prasowy GPW: [email protected] in quarter. The revenue was driven mainly by revenue from trading in equities and equity- related instruments which increased by 39.7% year on year and decreased by 12.2% quarter on quarter. The year-on-year increase in the revenue was mainly due to an increase of equity turnover on the Main Market. The EOB turnover stood at PLN 93.7 billion in Q1 2021 vs. PLN 62.1 billion in Q1 2020. Revenue from transactions in derivatives in Q1 2021 decreased by 15.4% year on year and by 6.0% quarter on quarter. The decrease of revenue from transactions in derivatives was mainly driven by lower volatility of WIG20, which stood at 22.7% in Q1 2021 vs. 32.9% in Q1 2020. The WIG20 futures turnover volume in Q1 2021 decreased by 15.6% year on year and by 6.5% quarter on quarter. ✓ Listing revenue The GPW Group’s listing revenue on the financial market was PLN 6.2 million in Q1 2021 vs. PLN 5.4 million in Q1 2020 and PLN 5.2 million in Q4 2020. Revenue from listing fees stood at PLN 4.6 million in Q1 2021 (+1.0% YoY and +10.2% QoQ). The total IPO value on the Main Market and NewConnect was PLN 1,775 million in Q1 2021 vs. PLN 3 million in Q1 2020 and PLN 9,542 million in Q4 2020. The total value of SPOs was PLN 278 million in Q1 2021 vs. PLN 903 million in Q1 2020 and PLN 1,975 million in Q4 2020. GPW expects further improvement on the IPO/SPO market in the coming quarters. ✓ Information services Revenue from information services stood at PLN 13.3 million in Q1 2021, an increase of 12.5% year on year and a decrease of 3.7% quarter on quarter. Revenue from information services contributed 11.9% of the GPW Group’s total sales revenue. Revenue on the commodity market Sales revenue on the commodity market was PLN 38.0 million in Q1 2021, a decrease of 0.3% year on year and an increase of 4.0% quarter on quarter. It contributed 33.9% of the Group’s total revenue in Q1 2021. Revenue from the commodity market includes trading revenue, revenue from operation of the register of certificates of origin, and revenue from clearing. ✓ Trading revenue on the commodity market Trading revenue on the commodity market stood at PLN 18.0 million in Q1 2021, representing a decrease of 4.9% year on year and a decrease of 0.8% quarter on quarter. Revenue from trade in electricity was PLN 3.9 million in Q1 2021, a decrease of 18.6% year on year and 25.3% quarter on quarter. The total turnover volume on the energy market operated by TGE stood at 47.8 TWh in Q1 2021 (-18.8 TWh, i.e., -28.3% YoY). Revenue from trade in gas was PLN 3.1 million, a decrease of 7.3% year on year and 9.5% quarter on quarter. The gas turnover volume on TGE in Q1 2021 stood at 36.5 TWh (-3.4 TWh, -8.5% YoY). Revenue from trade in property rights of certificates of origin stood decreased by 4.1% year on year and increased by 14.6% quarter on quarter to PLN 7.0 million in Q1 2021. The turnover volume of property rights stood at 2.1 TWh in Q1 2021 (-0.6 TWh, -23.4% YoY). Revenue from other fees paid by commodity market participants stood at PLN 3.9 million in Q1 2021, an increase of 14.0% quarter on quarter and 18.1% year on year. The revenue included fees paid by TGE market participants at PLN 2.7 million, revenue of InfoEngine as a trade operator at PLN 0.5 million, and revenue of IRGiT at PLN 0.8 million in Q1 2021. ✓ Operation of the Register of Certificates of Origin Revenue from the operation of the Register of Certificates of Origin was PLN 6.8 million in Q1 2021, representing an increase of 16.3% year on year and 23.6% quarter on quarter. The 2 Zespół Prasowy GPW: [email protected] increase of revenue from the operation of the Register of Certificates of Origin was driven by an increase in the number of RES certificates issued in Q1 2021. ✓ Clearing Revenue from clearing was stable year on year and stood at PLN 13.0 million in Q1 2021 (- 0.8% YoY, +2.4% QoQ). Revenue from clearing stood at PLN 3.2 million on the electricity market, PLN 7.0 million on the gas market, and PLN 2.8 million on the property rights market. ✓ Information services Revenue from information services on the commodity market in Q1 2021 stood at PLN 260 thousand vs. PLN 291 thousand in Q1 2020 and PLN 243 thousand in Q4 2020. Operating expenses Operating expenses in Q1 2021 stood at PLN 66.8 million, an increase of 19.2% year on year and an increase of 16.1% quarter on quarter. The GPW Group’s provisions against capital market supervision fees stood at PLN 14.2 million in Q1 2021 vs. PLN 10.0 million in Q1 2020. The amount recognised in the first quarter of each financial year represents an annual fee, which is not distributed evenly over time. The Group cannot control the amount of PFSA fees. The actual amount of the supervision fee for 2021 will be published by PFSA in Q3 2021. The Group’s salaries and other employee costs stood at PLN 26.9 million (+20.6% YoY and -7.4% QoQ), driven among others by an increase of costs in GPW by PLN 3.6 million, TGE by PLN 0.5 million, IRGiT by PLN 0.2 million, and GPW Benchmark by PLN 0.1 million. The increase of salaries in the GPW Group was due to gradual increase of the headcount in view of a bigger workload in the implementation of initiatives under the #GPW2022 strategy. Maintenance fees stood at PLN 1.1 million, stable year on year. Maintenance fees included mainly maintenance fees at the Centrum Giełdowe building. Depreciation and amortisation charges in Q1 2021 decreased year on year and stood at PLN 8.8 million (-10.0% YoY and 0.0% QoQ), including depreciation of property, plant and equipment at PLN 3.1 million, amortisation of intangible assets at PLN 4.3 million, and depreciation charges related to leases at PLN 1.4 million.