Euroclear plc Annual Report 2016

Your company performed well in 2016 and maintained its profitability through a challenging year. The Board recommends a dividend of €37 per share for 2016, with a stable 40% pay-out ratio.

Marc Antoine Autheman

Chairman of the board

Despite market volatility, our business drivers trended positively, even above our expectations, throughout the second half of the year.

Lieve Mostrey

Euroclear group CEO

Euroclear by the numbers

The Euroclear group delivered robust business performance in 2016 driven by increased activity levels and flat core operating costs.

Values of securities held
(in € trillion)¹
2016	27.7
2015	27.5
2014	26.0
2013	24.2
2012	23.0

Turnover
(in € trillion)¹
2016	655.4
2015	669.5
2014	623.3
2013	572.8
2012	541.6

Number of netted transactions
(in millions)
2016	195.9
2015	190.7
2014	181.6
2013	170.4
2012	158.9

Average daily collateral provision outstanding (in € billion)²
2016	1072.5
2015	1,067.7
2014	886.9
2013	787.3
2012	700.6

1. The data includes intra-group holdings/transactions, as relevant.
2.The Collateral Highway launched in July 2012, mobilises collateral from sources within and external to the Euroclear group.

Net fee income margin
(in %)
2016	26.5
2015	35.9
2014	35.7
2013	32.7
2012	27.6

Adjusted return on equity
(in %)
2016	8.5
2015	8.7
2014	8.7
2013	8.3
2012	7.8

Adjusted net earnings per share
(in €)
2016	92.4
2015	87.0
2014	78.6
2013	69.3
2012	63.0

Operating income
(in € million)
2016	1,161.9
2015	1,130.2
2014	1,039.6
2013	1,016.0
2012	1,028.4

Operating profit before impairment and taxation
(in € million)
2016	411.0
2015	400.6
2014	359.2
2013	352.7
2012	327.9

Shareholders' equity
(in € million)
2016	3,560
2015	3,476
2014	3,244.5
2013	3,212.5
2012	3,184.5

Dividend per share
(in €)
2016	37.0
2015	36.3
2014	31.5
2013	29.6
2012	25.4

Performing strongly across the group

	Turnover	Values of securities held	Number of netted transactions
2016	€451.7 trillion	€12.7 trillion	84.1 million
change from 2015	+2.1%	+2.5%	+1.0%

	Turnover	Values of securities held	Number of netted transactions
2016	€122.8 trillion	€5.8 trillion	59.8 million
change from 2015	-13.8%	-5.2%	+8.3%

	Turnover	Values of securities held	Number of netted transactions
2016	€1.0 trillion	€0.2 trillion	2.4 million
change from 2015	+2.0%	-12.8%	-3.6%

	Turnover	Values of securities held	Number of netted transactions
2016	€62.9 trillion	€6.3 trillion	23.2 million
change from 2015	-6.7%	+3.4%	-3.3%

	Turnover	Values of securities held	Number of netted transactions
2016	€4.7 trillion	€1.0 trillion	5.9 million
change from 2015	-3.8%	+1.3%	-4.7%

	Turnover	Values of securities held	Number of netted transactions
2016	€0.6 trillion	€0.3 trillion	7.1 million
change from 2015	-1.8%	+9.9%	+4.1%

	Turnover	Values of securities held	Number of netted transactions
2016	€11.8 trillion	€1.4 trillion	13.3 million
change from 2015	+9.5%	+0.9%	+4.9%

Euroclear in 6 steps

Scale provider of post-trade services

Step 2: Asset safety & resilience

Asset safety & resilience

Step 1: Scale provider of post-trade services

Step 3: Euroclear’s DNA

Euroclear’s DNA

Support an open marketplace where scale and connectivity across the spectrum of market participants are strengths.

To be profit moderated with the financial discipline of a ‘for-profit’ entity and the commitment to support market stability, deliver shared economies of scale, and develop markets locally and globally.

Serve the public good by ensuring the efficiency and safety of markets and actively enabling risk-reduction.

Foster a high performing culture in respect of our corporate values, delivered worldwide thanks to our diverse and dedicated teams.