Record Year for Euroclear Driven by Strategic Initiatives and Positive Market Conditions

Euroclear reports results for the year ending 31 December 2018

Euroclear will hold a presentation for investors today, March 11, with a video streaming service available on .

Financial Highlights

– Operating income increased 9%, compared to FY 2017, to EUR 1335 million

– Business Income rose 4% to EUR 1079 million as our open architecture

model and strategic initiatives captured the benefit of positive market


– Banking and Other Income increased by 39% to EUR 256 million, boosted by

higher US interest rates

– Operating costs were broadly stable at EUR 814 million as continued

investment in our customer proposition and regulatory-driven initiatives

were offset by tight control of costs

– Net profit was up 36% to EUR 322 million

– EPS was up 21% to EUR 102.3 per share, compared to EUR 84.6 per share in


– Board indicates an interim dividend of EUR 55 per share. Dividend

expected to be paid in fourth quarter 2019 as a consequence of

successful corporate reorganisation

Key Operating Metrics

– Record number of netted transactions settled in the Euroclear group

equivalent to EUR 791 trillion by value, an increase of 8% compared to

2017, and approximately 10x Global GDP

– The average value of securities held on behalf of Euroclear clients

continued to grow in 2018 to EUR 28.8 trillion compared to EUR 28.4

trillion in 2017

– Euroclear’s Collateral Highway mobilised a yearly average of EUR 1.2

trillion, up 7%

– Number of fund orders routed by Euroclear increased 4% to 10.9 million

in 2018

Strategic Update

Remain focused on delivering our three strategic objectives to enhance our customer proposition: strengthening our network, growing our network and reshaping our network.

Highlights from 2018:

– Launch of Single CSD access to the ECB’s T2S platform, providing an

efficient gateway to Eurozone liquidity for international investors

– Continuing to invest in core systems, enhance cyber resilience and meet

the requirements of incoming regulations, including CSDR

– Client feedback on collateral management solutions remains positive and

Euroclear was awarded top honours in the Global Custodian Tri-Party

Securities Financing survey

– Strong pipeline of emerging markets who are attracted to

become ‘Euroclearable’ to facilitate international investment

– Exploring new opportunities to provide data services that support

clients in optimising collateral and liquidity

Corporate Evolutions

– Successfully completed the relocation of the ultimate holding company to

Belgium, following almost unanimous approval from our shareholders. This

guarantees that the Company’s legal seat is located inside the European


– Shareholders also approved amendments to the articles of association,

meaning the Company now has a single class of ordinary shares

– The Board recognises the need to provide a long-term liquidity solution

available to all shareholders and is reviewing options to ensure this is

completed in an orderly manner

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