Tel Aviv Stock Exchange Ltd. — Investor Presentation 2024

May 22, 2024

Tel-Aviv Stock Exchange (TASE) Investors Presentation

Quarter ended March 31, 2024

1

IMPORTANT: You must read the following before continuing. The following applies to the presentation with respect to The Tel-Aviv Stock Exchange Limited and its subsidiaries and affiliates (collectively, "TASE"). In accessing the presentation, you agree to be bound by the following terms and conditions. The presentation does not constitute or form part of, and should not be construed as an offer or the solicitation of an offer to subscribe for or purchase the securities of TASE, and nothing contained therein shall form the basis of or be relied on in connection with any contract or commitment whatsoever, nor does it constitute a recommendation regarding the securities. Any investment decision in respect of the securities should be made solely on the basis of the information to be contained in the public reports of TASE. The information in the presentation is basic and concise while the public reports of TASE contain more detailed information which may be different from, or additional to, the information contained in this presentation. In the event of any contradiction or discrepancy between the presentation and the public reports,

the information in the public reports prevails. Thus, the presentation is not intended to serve as a substitute to reading TASE's public reports. The Information contains statements and information that are forward-looking. Such forward-looking statements and information are only predictions and cannot assure TASE's future performance. Investors have been cautioned that any such forward-looking statements and information are subject to many risks and uncertainties relating to the operations and business of TASE. As a result of such risks and uncertainties, the actual results of TASE may be materially different from any future result expressed or implied in the forward-looking statement or information contained herein. Any opinions expressed in this presentation are subject to change without notice and TASE is not under obligation to update or keep current any of the forward-looking statement or information contained herein. No representation, warranty or undertaking, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or the opinions contained therein. The information, including but not limited to forward-looking statements, applies only as of the date of this presentation and is not intended to give any assurances as to future results. TASE expressly disclaims any obligation or undertaking to disseminate any updates or revisions to the information, including any financial data or forward-looking statements, and will not publicly release any revisions it may make to the information that may result from any change in TASE's expectations, any change in events, conditions or circumstances on which these forward-looking statements are based, or other events or circumstances arising after the date of this document

TASE at a Glance / Q1'24 by the Numbers

Established in 1953, TASE is the only Securities Exchange in Israel and a cornerstone of its growing capital market

TASE at a Glance / Q1'24 by the Numbers

	TASE at a Glance / Q1'24 by the Numbers
Continued		Financial Metrics
(NIS Millions) 108.3 Revenue Adj. EBITDA 8% Y-o-Y Growth	(NIS Millions) 44.8% 48.6 Adj. EBITDA(1) (1) % 12% Y-o-Y Growth	(NIS Millions) 25.7% 27.8 Adj. net profit(1) % Adj. net profit (1) 7% Y-o-Y Growth	(NIS) 0.278 Basic EPS 9% Y-o-Y Growth
Revenue (NIS Millions)	Adjusted EBITDA & Margin(1) (NIS Millions) 48%	Adjusted Net Profit & Margin(1) (NIS Millions) 23% 23%	Basic EPS (NIS)
398.1 389.9 361.0 323.7 304.3	41% 40% 43% 37% 38% 32% 31% 162.6 157.6 33% 132.2 28% 23% 103.0 95.1 18% 13% 8%	25% 20% 91.1 14% 14% 89.3 13% 15% 10% 51.4 46.2 5% 38.2	0.859 0.500 0.449 0.368

Issuance Volume

The results for Q1'24

	Quarter Ended		Revenue
March 31, 2024	March 31, 2023	Difference -%	(NIS Millions)
108,293	100,016	8%
75,367	69,976	8%
32,926	30,040	10%
1,437	2,528	(43%)
8,653	7,087	22%	(NIS Millions)
25,710	25,481	1%
0.278	0.254	9%
			Y-o-Y Growth
48,568	43,534	12%
44.8%	43.5%
27,823	26,092	7%
25.7%	26.1%
		The results for Q1'24		Y-o-Y Growth Adjusted EBITDA(1) Adjusted net profit(1) (NIS Millions)

Revenue Q1'24

NIS, in thousands

			Quarter Ended
	March 31, 2024	% of the Company's total revenues	March 31, 2023	% of the Company's total revenues	%
Trading and clearing commissions	42,954	40%	41,923	42%	2%
Listing fees and levies	21,603	20%	20,302	20%	6%
Clearing House services	19,980	18%	19,113	19%	5%
Data distribution and Connectivity	22,601	21%	17,124	17%	32%
services
Other revenue	1,155	1%	1,554	2%	(26%)
Total revenue	108,293	100%	100,016	100%	8%	million.

Other revenue

Q1'24 Revenue Composition

Adjusted Expenses(*) Q1'24

NIS, in thousands

	Quarter Ended
	March 31, 2024	% of the Company's total expenses	March 31, 2023	% of the Company's total expenses
Compensation	39,030	53%	38,171	55%	2%
Computer and Communications	10,837	15%	9,013	13%	20%
Property Taxes and Building Maintenance	3,264	5%	3,227	5%	1%
Marketing	1,341	2%	863	1%	55%
Fee to the Israel Securities Authority	2,092	3%	2,429	4%	(14%)
General and Administrative	2,485	3%	2,245	3%	11%
Other operating expenses	700	1%	534	1%	31%
Depreciation & amortization	13,496	18%	12,868	19%	5%
Other	9	0%	15	0%	(40%)
Total Expenses**	73,254	100%	69,365	100%	6%
(**) The total expenses include millions in Q1'24 and to NIS 70.0	expenses in respect to millions in Q1'23.	share-payments	expenses for share-based	payments	amounted to NIS 75.4
		(*) Expenses exclude expenses in respect to share-payments.

Property taxes and building maintenance

• Fee to the Israeli Securities Authority
• General and administrative
• Other operating expenses
• Depreciation and amortization Other
  • 9

Balance Sheet and Liquidity Position

Assets:
Current assets
Cash and cash equivalents	392,955
Financial assets at fair value through profit or loss	90,059
Trade receivables	22,387
Other receivables	14,939
Total(1)	520,340
Assets derived from clearing operations in respect of open derivative positions	1,752,755
Total current assets	2,273,095
	Non-current assets
Deferred tax assets	4,432
Property and equipment, net	313,466
Intangible assets, net	157,551
Other long-term receivables	8,766
Total non-current assets	484,215	Adjustments:
Total assets	2,757,310
	Liabilities and Equity:
	Current liabilities
Current maturities of a loan from a bank	49,876
Current maturities of lease liabilities	8,183
Trade payables	10,286
Other payables	4,081
Income received in advance with respect to annual levies	31,472
Deferred income in respect of listing fees and levies	28,850
Current tax liabilities	7,561
Short-term liabilities for employee benefits	42,602
Total (1)	182,911
Liabilities derived from clearing operations in respect of open derivative positions	1,752,755
Total current liabilities	1,935,666
	Non-current liabilities:
Loan from a bank	87,486
Lease liabilities	15,782
Deferred income in respect of listing fees and levies	77,940
Non-current liabilities for employee benefits	41
Other liabilities	9,690
Total non-current liabilities	190,939
Total equity	630,705
Total liabilities and equity	2,757,310

Balance Sheet and Liquidity Position
as of March 31, 2024	NIS Thousands
		Capital requirements in respect of the risk components:
Current assets Cash and cash equivalents	392,955	Credit risk	9,982
Financial assets at fair value through profit or loss	90,059	Market risk	2,520
Trade receivables Other receivables	22,387 14,939		55,030
	520,340	Legal and operational risk
Assets derived from clearing operations in respect of open	1,752,755	Business continuity and reorganization	71,129
derivative positions Total current assets	2,273,095	Contribution against default waterfall	29,120
	Non-current assets	Total capital requirements in respect of the risk components	167,781
Deferred tax assets	4,432	Capital base components:
Property and equipment, net Intangible assets, net	313,466 157,551			NIS in Millions
Other long-term receivables	8,766	Total equity	630,705
Total non-current assets	484,215	Adjustments:
Total assets	2,757,310 Liabilities and Equity:	Deferred income in respect of listing fees less deferred tax	82,306
	Current liabilities	Total qualifying capital base	713,011
Current maturities of a loan from a bank Current maturities of lease liabilities	49,876 8,183
Trade payables	10,286	Capital surplus (qualifying capital base, less requirements)	545,230
Other payables Income received in advance with respect to annual levies	4,081 31,472	Liquidity requirements in respect to the risk components
Deferred income in respect of listing fees and levies	28,850	Business continuity and reorganization	71,129
Current tax liabilities	7,561	Projected cash flow, net	30,460
Short-term liabilities for employee benefits	42,602 182,911	Contribution against default waterfall	29,120
Liabilities derived from clearing operations in respect of	1,752,755	Total requirements for liquid assets	130,709
open derivative positions Total current liabilities	1,935,666
	Non-current liabilities:	Cash and cash equivalents	392,955
Loan from a bank	87,486	Securities portfolio at fair value	90,059
Lease liabilities	15,782			NIS in Millions
Deferred income in respect of listing fees and levies	77,940	Less – amortization coefficients on the assets Less- the balance earmarked for investment in TASE's	(4,622)
Non-current liabilities for employee benefits Other liabilities	41 9,690	technological infrastructure	(230,038)
Total non-current liabilities	190,939	Less – current liabilities	(7,841)
Total equity	630,705	Net liquid assets	240,513
Total liabilities and equity Adjusted Equity Ratio	2,757,310 73%
		Liquidity surplus (net liquid assets, less requirements)	109,804
		The Board of Directors also approved a safety cushion, which serves as an additional layer for handling stress scenarios and is at the discretion of the Board of Directors.
(1) (2)		The capital includes consideration from the sale of the Arrangement shares On 21.3.2024 the company paid a dividend of NIS 41.6 million.

Growth compared to 31.12.23 71%

110 NIS in Millions (1 Excess Liquidity (3)(

Reduction compared to 31.12.23 25%

Cash Flow

Cash Flow
NIS in Millions
	Item	Q 1'24	Q 1' 23	Q 2' 23	Q 3' 23	Q 4' 23	2023
	Adjusted EBITDA(1)	48,568	43,534	35,575	38,412	40,061	157,582
Operating	Changes in working capital	4,860	8,803	( 2,151 )	( 5,401 )	9,904	11,155
Activities	Financing and tax	( 11,414)	( 3,999 )	( 2,462 )	( 1,585 )	( 418 )	(8,464 )
	Total	42,014	48,338	30,962	31,426	49,547	160,273
Investing	Investments in property and equipment and in intangible assets and
Activities	capitalized payroll costs	( 12,998)	( 11,449 )	( 10,776 )	( 11,751 )	( 16,589 )	(50,565 )
	Disposal (acquisition) of financial assets at fair value	472	( 1,400 )	( 1,223 )	110,098	114	107,589
	Total Lease payments	( 12,526) ( 2,350)	( 12,849 ) ( 2,125 )	( 11,999 ) ( 2,273 )	98,347 ( 2,225 )	( 16,475 ) ( 2,225 )	57,024 (8,848 )
Financing
Activities	Payments for the acquisition of treasury shares	-	( 24,378 )	( 108,030 )	( 21,340 )	( 1,507 )	(155,255 )
	Payments carried directly to equity within the framework of implementing	242,457
	the TASE Restructuring Law, net		1,849	6,771	4,133	-	12,753
	Credit and loan	( 12,500)	889	( 889)	527	149,473	150,000
	Dividend payment	( 272,718)	-	-	-	-	-
	Total	(45,111)	( 23,765)	( 104,421 )	( 18,905 )	145,741	(1,350 )
	Total increase (decrease) in cash and cash equivalents	( 15,623)	11,724	( 85,458 )	110,868	178,813	215,947
	Opening balance Effect of changes in exchange rates on cash balances held in foreign	408,484	192,416	204,271	118,958	230,339	192,416
	currency	94	131	145	513	( 667 )	122
	Closing balance	392,955	204,271	118,958	230,339	408,485	408,485
	Free Cash Flow(2)	39,085	34,764	17,913	17,450	30,733	100,860

APPENDIX

12

Revenue Trends

.

NIS in Millions

13

Adjusted Operating Expenses(1) Trends

NIS in Millions

Profitability Trends

NIS in Millions

Velocity Represents: Calculated as annualized trading volumes divided by average market capitalization Includes ETFs and ETNs

18

Daily Contracts (thousands)

Revenue Drill Down | Non-transactional

NIS in Millions Unless Otherwise Noted

* The collection of revenues based on the value of assets at the end of each month.

Revenue Drill Down | Non-transactional

NIS in Millions Unless Otherwise Noted

Transactional Metrics

Transactional Metrics
			Quarter Ended				Year ended
	31.03.24	31.12.23	30.09.23	30.06.23	31.03.23	31.12.23	31.12.22	31.12.21
Number of trading days	63	66	61	58	64	249	244	244
SHARES
Market cap of Shares (ex. ETFs)	1,038	953	964	927	893	953	949	1,125
Market cap of ETFs on share indices	117	102	92	82	71	102	71	75
Total market cap (in NIS billions)	1,155	1,055	1,056	1,009	964	1,055	1,020	1,200
Shares ADV (ex. ETFs)	1,607	1,515	1,453	1,696	1,733	1,598	1,874	1,543
ETFs on share indices ADV	531	411	413	369	403	400	421	335
Total average daily volume (in NIS millions)	2,138	1,926	1,866	2,065	2,136	1,998	2,295	1,878
Average commissions	0.01110%	0.01147%	0.01164%	0.01129%	0.01085%	0.01129%	0.01044%	0.01081%
Revenue (in NIS thousands)	14,952	14,579	13,244	13,526	14,827	56,176	58,469	49,538
BONDS
Market cap of corporate bonds	457	447	427	425	411	447	409	426
Market cap of ETFs on bond indices	30	29	29	28	27	29	27	32
Total market cap (in NIS billions)	487	476	456	453	438	476	436	458
Corporate bonds ADV	1,054	861	939	834	969	902	916	781
ETFs on bond indices ADV	105	95	139	98	125	114	130	125
Total average daily volume (in NIS millions)	1,159	956	1,078	932	1,094	1,016	1,046	906
Corporate bonds - average commissions	0.00708%	0.00713%	0.00702%	0.00705%	0.00701%	0.00705%	0.00707%	0.00709%
Revenue from corporate bonds (in NIS thousands)	5,172	4,499	4,614	3,811	4,909	17,833	18,036	15,674
Market cap of government bonds -unlinked	328	308	284	292	278	308	287	364
Market cap of government bonds –linked and others	304	304	297	309	306	304	300	341
Total market cap (in NIS billions)	632	612	581	601	584	612	587	705
Government bonds - unlinked	2,469	2,406	1,615	1,651	1,885	1,902	1,476	1,868
Government bonds – linked and others	970	1,121	811	979	1,109	1,009	955	1,155
Total average daily volume (in NIS millions)	3,439	3,527	2,426	2,630	2,994	2,911	2,431	3,023
Government bonds unlinked - average commissions	0.00202%	0.00212%	0.00199%	0.00198%	0.00195%	0.00202%	0.00195%	0.00193%
Government bonds linked - average commissions	0.00299%	0.00315%	0.00306%	0.00298%	0.00294%	0.00303%	0.00290%	0.00285%
Government bonds - unlinked (in NIS thousands)	3,146	3,372	1,960	1,897	2,350	9,579	7,010	8,817
Government bonds - linked (in NIS thousands)	1,828	2,327	1,513	1,690	2,085	7,615	6,760	8,022
				3,587	4,435		13,770
Revenue from Government bonds (in NIS thousands)	4,974	5,699	3,473			17,194		16,839

Transactional Metrics | Continued

Transactional Metrics Continued
			Quarter Ended				Year ended
	31.03.24	31.12.23	30.09.23	30.06.23	31.03.23	31.12.23	31.12.22	31.12.21
Number of trading days	63	66	61	58	64	249	244	244
TREASURY BILLS
Market cap (in NIS billions)	256	305	316	282	272	305	209	115
Treasury bills ADV (in NIS millions)	1,926	1,568	1,323	1,302	1,377	1,397	783	320
Average commissions	0.00290%	0.00302%	0.00327%	0.00407%	0.00492%	0.00379%	0.00334%	0.00269%
Revenue (in NIS thousands)	3,516	3,123	2,638	3,077	4,332	13,170	6,375	2,104
MUTUAL FUNDS
Market cap (in NIS billions)	357	330	313	297	277	330	272	292
Average daily value of creation / redemptions (in NIS millions)	1,828	1,474	1,406	1,306	1,498	1,424	987	890
Average commissions	0.00748%	0.00779%	0.00846%	0.00860%	0.00779%	0.00813%	0.01027%	0.01200%
Revenue (in NIS thousands)	8,610	7,576	7,259	6,516	7,468	28,819	24,732	26,054
DERIVATIVES
Derivatives on indices (1)	100.6	110.8	106.2	106.4	110.1	108.5	114.6	106.4
Derivatives on foreign currency	29.8	31.5	34.2	36.7	42.0	36.1	40.3	47.9
Derivatives on individual shares	20.1	10.0	18.4	10.1	12.3	12.7	4.3	5.0
Total derivative contracts (in '000 units)	150.5	152.3	158.8	153.2	164.4	157.3	159.2	159.3
	0.598	0.565	0.585	0.557	0.559	0.566	0.538	0.530
Average commissions	5,672	5,681	5,664	4,947	5,878	22,170	20,900	20,608
Revenue (in NIS thousands)
OTHER
Other (MTS) (in NIS thousands) Total revenue from trading and clearing commissions	58 42,954	33 41,190	56 36,948	64 35,528	74 41,923	227 155,589	208 142,490	299 131,116

Non-Transactional Metrics

Non-Transactional Metrics
			Quarter Ended				Year ended
	31.03.24	31.12.23	30.09.23	30.06.23	31.03.23	31.12.23	31.12.22	31.12.21
CLEARING HOUSE SERVICES
Average Monthly Market value of assets (in NIS billions)	3,110	2,908	2,946	2,877	2,829	2,890	2,983	2,975
Avg. commissions from Custodian Fees	0.00108%	0.00110%	0.00110%	0.00110%	0.00109%	0.00110%	0.00109%	0.00108%
Revenue from: (in NIS thousands)
Custodian Fees	8,417	7,986	8,093	7,891	7,741	31,711	32,460	32,221
Clearing House services for members	6,889	7,365	6,459	5,574	6,425	25 , 823	22,549	16,892
Clearing House services for companies & funds	3,132	4,280	3,203	4,071	3,566	15,120	10,779	11,271
Other	1,542	1,335	1,400	1,438	1,381	5,554	5,100	5,121
Total revenue from Clearing House services	19,980	20,966	19,155	18,974	19,113	78,208	70,908	65,505
			Quarter Ended				Year ended
	31.03.24	31.12.23	30.09.23	30.06.23	31.03.23	31.12.23	31.12.22	31.12.21
LISTING FEES AND LEVIES
Weighted avg. number of companies / funds
Companies	622	612	618	624	630	621	612	535
Mutual funds and ETFs	2,311	2,300	2,303	2,309	2,341	2,314	2,314	2,210
Avg. revenue from levies (in NIS thousands)
Companies	5.7	5.6	5.5	5.5	5.4	22.0	22.8	21.6
Mutual funds and ETFs	2.1	2.0	2.0	2.0	2.0	8.0	7.7	7.4

CLEARING HOUSE SERVICES
			Quarter Ended				Year ended
LISTING FEES AND LEVIES
Weighted avg. number of companies / funds
Companies	622	612	618	624	630	621	612	535
Mutual funds and ETFs	2,311	2,300	2,303	2,309	2,341	2,314	2,314	2,210
Avg. revenue from levies (in NIS thousands)
Companies	5.7	5.6	5.5	5.5	5.4	22.0	22.8	21.6
Mutual funds and ETFs	2.1	2.0	2.0	2.0	2.0	8.0	7.7	7.4
Revenue from Annual Levies from: (in NIS thousands)
Companies	3,557	3,414	3,416	3,443	3,397	13,670	13,966	11,547
Mutual funds and ETFs	4,933	4,628	4,662	4,652	4,740	18,682	17,778	16,335
Nominee Company and others	2,201	1,868	1,873	1,820	1,838	7,399	6,381	5,178
	10,691	9,910	9,951	9,915	9,975	39,751	38,125	33,060

Non-Transactional Metrics | Continued

Non-Transactional Metrics Continued
			Quarter Ended				Year ended
	31.03.24	31.12.23	30.09.23	30.06.23	31.03.23	31.12.23	31.12.22	31.12.21
LISTING FEES AND LEVIES- Continued
The value of issuance used to calculate Listing fees (in NIS millions)
Companies – Shares, Bonds and ETFs(1)	43,089	41,655	37,927	30,806	28,664	139,052	143,732	182,966
(2) Government bonds (including swap transactions)	67,331	51,953	23,991	23,928	16,451	116,323	41,501	157,956
Treasury-bills	101,914	99,602	94,969	79,196	129,693	403,460	231,158	130,926
Number of issuances
Number of public offerings of shares on TASE (including on TASE-UP)	20	14	17	19	16	66	78	170
Number of new issuers of shares	2	-	-	-	1	1	13	94
Number of new (dual-listed) companies	-	-	-	-	2	2	2	2
Number of Offerings and Volumes Raised
Amount raised in share IPOs of new issuers (in NIS millions)	145	-	-	-	145	145	2,342	10,490
Amount raised in bond offerings by new issuers (in NIS millions)	-	1,186	340	418	105	2,049	967	364
Number of corporate bond offerings to the public	55	30	40	34	33	137	165	177
Number of corporate bond offerings to the public by new companies	-	2	4	1	2	9	8	5
Average revenue from Examination and Listing Fees(3)
Companies – Shares, Bonds and ETFs	0.0165%	0.0168%	0.0155%	0.0180%	0.0165%	0.0166%	0.0175%	0.0172%
Revenue from Examination and Listing Fees (in NIS thousands)
Examination fees	2,040	1,582	1,740	1,780	1,946	7,048	8,245	8,986
Receipts from listing fees
Listing fees – shares, bonds & ETF's	7,102	6,989	5,890	5,543	4,728	23,152	25,183	31,388
Listing fees - government bonds	1,619	1,566	1,567	1,566	1,567	6,266	5,952	5,812
Listing of T-bills	713	697	665	554	908	2,824	1,618	916
Levies and examination fees from members	30	55	114	0	57	226	850	290
	223	170	198	96	26	490	236	162
Other				7,759	7,286	32,958	33,839	38,568
Total receipts	9,687	9,477	8,434
Accounting adjustments to revenue recognition	( 815)	( 783 )	364	689	1,095	1,363	4,280	(11,558)
Total revenue from listing fees Total revenue from examination and listing fees (in NIS thousands)	8,872 10,912	8,694 10,276	8,798 10,538	8,448 10,228	8,381 10,327	34,321 41,369	38,119 46,364	27,010 35,996

Non-Transactional Metrics | Continued

	Non-Transactional Metrics Continued
	31.03.24	31.12.23	Quarter Ended 30.09.23	30.06.23	31.03.23	31.12.23	Year ended 31.12.22	31.12.21
DATA DISTRIBUTION AND CONNECTIVITY SERVICES
Average number of data terminals
(1) Domestic business clients	7,491	7,446	7,311	7,245	7,379	7,345	7,419	7,551
Overseas business clients	5,848	5,955	5,924	5,968	5,722	5,892	5,447	4,927
Non-display data(2)	231	287	219	230	308	261	288	286
Revenue from data distribution and connectivity services (in NIS thousands
Domestic business clients(1	4,723	4,516	4,454	4,380	4,450	17,800	16,693	16,516
Overseas business clients	3,009	3,211	3,496	3,034	2,589	12,330	9,251	7,160
Private clients	2,498	2,260	2,204	2,017	2,103	8,584	8,254	8,577
Derivative data and non-display data(3)	1,166	1,275	1,065	1,074	1,199	4,613	4,775	3,954
Data files and other data	1,259	1,203	1,158	1,128	1,167	4,656	4,147	3,381
Authorization for indices usage	6,286	2,735	2,473	2,511	2,462	10,181	3,202	3,093
Connectivity services	3,660	3,374	3,261	3,223	3,154	13,012	11,738	9,587

CONTACTS

Yehuda Ben Ezra EVP CFO

Email: cfo@tase.co.il

Tel: +972-76-8160442

Orna Goren Head of Communication & PR unit

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Email: tase.ir@tase.co.il

Tel: +972-76-8160405