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8-K - FORM 8-K - Intercontinental Exchange, Inc.t1700372_8k.htm

 

 

Exhibit 99.1

 

1 INTERCONTINENTAL EXCHANGE DIVERSE BUSINESS SUPPORTS SUSTAINABLE FINANCIAL MODEL Data revenue model: mid to high single digits Refer to Appendix for ICE’s 2017 financial guidance, initially provided on February 7, 2017 Trading & Clearing revenue growth driven by: • Market volatility • Open interest levels • Customer growth • Stable economic environment • Stable currency environment • Stable regulatory environment Revenues Low single digit expense growth Compensation expense tied to pay for performance culture Non - compensation expenses variable with revenue Double - digit earnings growth 100% free cash flow, net of M&A, funds dividends and share repurchases Leverage ratio supports investment grade rating Welcome & Overview Transparent Financial Framework Strategic Framework for M&A / Integration Connecting the Financial Landscape Modernizing Data Solutions Sales Transformation Virtuous Cycle: Trading, Clearing, Information NYSE: Leading Global Equity Markets & Data Strategic Growth Through Innovation Speaker Bios & Appendix Assumptions M&A & Other 10% Pricing 30% New Customers / Geos 20% Increased Consumption 20% New Products 20% ~ ~ ~ ~ ~

 

 

2 INTERCONTINENTAL EXCHANGE $116 $134 $161 $246 $691 $871 $1,978 $0 $500 $1,000 $1,500 $2,000 2010 2011 2012 2013 2014 2015 2016 ICE Data Services Revenue Pricing & Analytics Exchange Data Desktops & Connectivity • In 1Q17, data revenues were 45% of consolidated revenues, increasing ICE’s recurring revenue streams • Positioned in key growth areas: Serving global financial and commodities markets, risk management and tech infrastructure to support demand for increasing amounts and types of data • ICE d ata revenues on track to grow at least 6% y/y in constant currency for FY 2017 (1) 1 Net revenues in constant currency are calculated holding both the pound sterling and euro at the average exchange rate from 2016, wh ich was 1.3603 and 1.1075, respectively. On a GAAP basis, data revenue is expected to grow approximately 5 % for FY 2017. 2 2015 figures reflect proforma results which include Interactive Data Corporation and Trayport as if we owned them during 2015. 2015 proforma results are available in the Investor Section of our website. $ 1,843 (2) Pro Forma for 2015 Acquisitions DIVERSE, GLOBAL & PROPRIETARY DATA SERVICES ($M) +7% y/y M&A & Other ~15% Pricing ~30% New Customers / Geographies ~10% Increased Consumption ~25% New Products ~20% Annual growth drivers by contribution % Welcome & Overview Transparent Financial Framework Strategic Framework for M&A / Integration Connecting the Financial Landscape Modernizing Data Solutions Sales Transformation Virtuous Cycle: Trading, Clearing, Information NYSE: Leading Global Equity Markets & Data Strategic Growth Through Innovation Speaker Bios & Appendix

 

 

3 INTERCONTINENTAL EXCHANGE 2017 GUIDANCE 1 Net Revenues in constant currency are calculated holding both the pound sterling and euro at the average exchange rate from 2 016 , which was 1.3603 and 1.1075, respectively. On a GAAP basis, data revenue is expected to grow approximately 5%. 2 2017 Non - GAAP operating expenses exclude amortization of acquisition - related intangibles of ~$262M. 3 Net of M&A Data Revenue Adj. Expenses Capital Expenditures Free Cash Flow Metric 2017 Guidance • At least 6% (1) ; constant currency • $1.94 - $1.98 (2) billion • Flat year - over - year • Expense Synergies: ~$ 60 million • $280 - $300 million • Real estate capex of $40 - $45 million • Return 100% to shareholders (3) – $1 billion + total capital return Other Income Statement • Interest Expense: ~$44 - $45 million per quarter • Effective Tax Rate: 28% - 31% • Weighted Average Shares Outstanding: 590 – 600 million shares for the full year Welcome & Overview Transparent Financial Framework Strategic Framework for M&A / Integration Connecting the Financial Landscape Modernizing Data Solutions Sales Transformation Virtuous Cycle: Trading, Clearing, Information NYSE: Leading Global Equity Markets & Data Strategic Growth Through Innovation Speaker Bios & Appendix