Deutsche Börse AG

Reported H1 net revenue grew 11% without treasury results and EBITDA grew 16% without treasury results. Net profit attributable to Deutsche Borse shareholders increased 12% to EUR 1.2 billion, and cash EPS rose 12% to EUR 6.73. First-half EBITDA margin expanded to 61%, while operating costs increased 4% (including around EUR 20 million of exceptional Allfunds-related costs). In Q2, net revenue grew 9% without treasury results and 7% including treasury results; EBITDA without treasury results grew 13%, cash EPS rose 13% to EUR 3.33, operating costs increased 4% to EUR 644 million (including EUR 7 million of exceptional Allfunds-related costs), and the financial result was negative EUR 42 million. Full-year 2026 guidance was upgraded to treasury result above EUR 0.7 billion, total net revenue above EUR 6.4 billion, all-in EBITDA above EUR 3.8 billion, while core guidance remains EUR 5.7 billion of net revenue and EUR 3.1 billion of EBITDA, both excluding treasury results; operating costs are still expected to rise about 3% excluding exceptional Allfunds costs.

Stephan Leithner framed the quarter as proof that Deutsche Borse’s portfolio is resilient and scalable, saying the company delivered broad-based growth even after Q1’s volatility normalized. He emphasized structural growth drivers in securities services, derivatives, and fund services, plus a confirmed treasury inflection and strong operating leverage from AI, digitization, and the group operating model. He also highlighted strategy execution in European capital markets reform and digital assets/tokenization, describing the company as well positioned for a more constructive long-term regulatory backdrop.

Jens Schulte focused on the conversion of top-line growth into earnings, noting EBITDA without treasury grew 5 percentage points faster than revenue in H1 and that the EBITDA margin expanded to 61%. He pointed to H1 net profit of EUR 1.2 billion, cash EPS of EUR 6.73, Q2 operating costs of EUR 644 million, and underlying cost growth of 3% in Q2 excluding EUR 7 million of Allfunds-related exceptional costs. He also said the treasury result stabilized at EUR 205 million in Q2, that Security Services’ treasury result rose 3% for the first time since Q4 2023, and that the improved treasury outlook is driven by the changed rate environment and higher cash balances.

Analysts pressed on the sustainability of Security Services’ higher custody margins and the drivers behind the EUR 1 trillion collateral management milestone; management said the margin strength is sustainable and reflects scaling benefits, while collateral growth is being helped by greater client focus on collateral optimization and better basket creation tools. Questions on SimCorp focused on the split between SaaS and on-premise, ARR growth, and account activations; management said there is no cancellation or pricing problem, the Q2 on-premise strength was due to an exceptional renewal cycle, and activation should improve with regulatory tailwinds and a competitive clearing-linked offering. Analysts also asked about ESG/ISS and commodities, with management saying proxy-advisory renewal is generally high, some public cases are tied to broader proxy debates, and commodity weakness in Q2 was a normalization effect that should ease over the rest of the year.