Summary of results

The GPW Group generated EBITDA of PLN 183.7 million in 2016, an increase of PLN 3.5 million compared to PLN 180.1 million in 2015.

The GPW Group generated an operating profit of PLN 157.9 million compared to PLN 153.3 million in 2015. The increase of the operating profit by PLN 4.6 million year on year in 2016 was mainly a result of lower operating expenses of the Group, which decreased by PLN 24.2 million or 13.9%. The GPW Group’s revenue decreased by 5.2% or PLN 17.0 million. The revenue decreased both on the financial market, by 8.0%, and on the commodity market, by 0.2%. Considering the conditions on the financial market and the commodity market in 2016, the Group maintained a cost discipline as its operating profit increased year on year. It should be noted that the decrease of revenue on the financial market in 2016 was due not only to a lower value of trade, especially on the stock market, but also reductions of fees for market participants offsetting the change of fees for market supervision effective as of 2016.

The net profit of the Group stood at PLN 131.1 million in 2016 compared to PLN 121.5 million in 2015. The increase of the net profit year on year in 2016 was driven by a higher operating profit as well as higher net financial income and expenses which stood at PLN 0.9 million in 2016 compared to a negative PLN 2.2 million in 2015.

GPW’s EBITDA stood at PLN 91.1 million in 2016, a decrease of 1.1% compared to PLN 92.1 million in 2015.

GPW generated a separate operating profit of PLN 71.7 million in 2016 compared to PLN 70.6 million in 2015.

GPW’s net profit was PLN 116.1 million in 2016 compared to PLN 96.9 million in 2015, an increase of 19.8% or PLN 19.2 million. The increase of the net profit year on year in 2016 was driven by an increase of the operating profit and an increase by PLN 19.1 million of net financial income and expenses. GPW received dividends from subsidiaries and associates of PLN 61.6 million in 2016 compared to PLN 43.1 million in 2015. The income tax in 2016 increased by PLN 1.1 million year on year.

The Polish Power Exchange generated an operating profit of PLN 55.2 million in 2016 compared to PLN 51.1 million in 2015. The net profit of POLPX stood at PLN 52.7 million and PLN 41.6 million, respectively, in the periods under review.

IRGiT generated an operating profit of PLN 31.3 million and a net profit of PLN 26.5 million in 2016.

BondSpot generated an operating profit of PLN 1.3 million in 2016 compared to PLN 2.1 million in 2015. The net profit stood at PLN 1.3 million and PLN 2.2 million, respectively, in the periods under review.

Detailed information on changes in revenues and expenses is presented in the sections below.

Consolidated profit and loss account of GPW Group by quarter in 2015 and 2016 and by year in 2014 – 2016

Source: Consolidated Financial Statements, Company

Note: The quarterly and annual financial data presented in this Report for 2015 and 2014 include corrections due to a change of the VAT policy applicable to certain services provided by the subsidiary POLPX and the required correction of resulting VAT payments for previous years. Details of the change of the VAT policy applicable to services provided by POLPX and the resulting corrections are presented in Note 31 of the Consolidated Financial Statements of the Warsaw Stock Exchange for 2016.

Consolidated statement of financial position of GPW Group by quarter in 2014 - 2016

Source: Consolidated Financial Statements, Company