WSE was newly listed on Warsaw Stock Exchange on 9 November 2010. The Company’s shares are listed in the continuous trading system on the WSE main market.

The Company is a mid-cap stock (PLN 1.92 bn at the end of 2014) and is part of the mWIG40 index since 19 March 2011 (1.8% share in the index portfolio at the end of 2014).

WSE shares are also part of the broad market indices (WIG and WIG-Poland), as well as WIGdiv, the WSE regular dividend index. In addition, WSE shares participate in a number of small and mid-cap indices on the emerging markets, as well as indices which group securities exchanges, computed by global specialised, renowned index providers (including MSCI, FTSE, S&P Dow Jones).WSE was once again included in the RESPECT Index portfolio following its annual review on 22 December 2014, which puts WSE in the leading group of Polish companies listed on the WSE Main Market which follow the highest standards of corporate governance and corporate social responsibility.

Stock price

Wse stock price

The WSE stock price ranged from PLN 35.25 to PLN 48.04 in 2014. The lowest price was observed on 5 August 2014 and the highest price on 28 November 2014. The closing price of WSE shares on the last day of trading in 2014 was PLN 45.7, representing an increase of 10.1% compared to the closing price on the last day of trading in 2013. The mWIG40 index gained 4.13% in that period. The total shareholder return the Company, including the dividend paid, was 13.0% in 2014.  The proportion of free-float shares  of WSE remained stable year on year at 64.7% in 2014. The velocity ratio  of WSE shares was 31.2% at the end of 2014. The volatility ratio  of the WSE share price was 22.1% in 2014, the lowest level since 2011. The average daily volume of trading in shares on the Electronic Order book was 58.2 thousand shares in 2014, a decrease of 2.6% year on year. The average daily value of trading was PLN 2.3 mn in 2014, compared to PLN 2.4 mn in 2013 (a decrease of 4.9%).

Selected statistics of WSE shares (ISIN: PLGPW0000017)

2014201320122011201013
Earnings per share (PLN)4 2.67 2.70 2.52 3.19 2.26
Dividend per share (PLN)5 1.20 0.78 1.44 3.21 -
Dividend yield6 3.31% 2.03% 3.84% 6.05% -
P/E 17.12 15.37 15.42 11.05 21.68
Maximum share price (PLN) 48.04 45.10 43.89 54.20 54.00
Minimum share price (PLN) 35.25 34.75 32.10 34.20 48.70
Share price at the end of the period (PLN) 45.70 41.50 38.87 35.25 49.00
Return rate on shares 10.12% 6.77% 10.27% -28.06% 13.95%14
Total shareholder return (TSR)7 13.01% 8.77% 14.35% -21.51% 13.95%14
Number of shares (thou.) 41,972 41,972 41,972 41,972 41,972
Capitalisation (PLN mn) 1,918.1 1,741.8 1,631.5 1,479.5 2,056.6
Free float8(PLN mn) 1,241.4 1,127.3 1,054.3 947.7 1 312.5
Free float8 64.72% 64.72% 64.62% 64.05% 63.82%
Volume of trading (mn shares)9 14.47 14.82 19.19 25.92 20.36
Value of trading (PLN mn)9 571.76 596.10 720.66 1,188.49 1,055.67
Number of transactions (thou.)9 68.84 67.33 73.26 170.63 166.97
Average volume of trading per session (thou.)9 58.2 59.8 77.1 103.3 550.4
Average value of trading per session (PLN’000)9 2,296.2 2,413.4 2,894.2 4,735.0 28,531.5
Average number of transactions per session9 276 273 294 680 4.513
Velocity10 31.2% 35.4% 46.2% 67.1% 344.8%
Price volatility11 22.1% 24.4% 22.4% 28.8% 21.7%
Beta12 0.55 0.53 0.71 0.84 1.21

[4] Based on the consolidated profit attributable to the shareholders of the parent entity.

[5] Based on last year’s profit.

[6] Dividend paid / share price at dividend record date.

[7] (Annual change of share price + dividend per share) / share price at the end of the previous period.

[8] Free-float shares (excluding shares held by the State Treasury and other registered shares.

[9] Electronic Order Book (net of block trades).

[10] Value of trading (annualised for 2010) / average capitalisation at the beginning and at the end of the period.

[11] Square root of standard deviation of daily return rates multiplied by 250.

[12] vs WIG index

[13] WSE shares were newly listed on the Exchange on 9 November 2010.

[14] In relation to the IPO price for individual investors (PLN 43.00)

WSE share price v. mWIG40 in 2014

WSE share price since first listing (PLN)


[1] Free-float shares, i.e., total number of company shares less: number of shares held by shareholders each of which holds more than 5% of shares individually or together with related shareholders, number of Treasury shares designated for cancellation, and number of registered shares. Free-float shares also include all shares of the company held by investment and pension funds and asset management financial institutions, as well as shares subject to depository receipts issue programmes.
[2] Value of trading in 2014 to average capitalisation at the beginning and at the end of 2014.
[3] Square root of standard deviation of daily return rates multiplied by 250.

WSE Bonds

WSE bonds

In December 2011, the Company issued 1,700,000 series A bearer bonds with a total nominal value of PLN 170 mn. In February 2012, the Company issued 750,000 series B bearer bonds with a total nominal value of PLN 75 mn.

The purpose of the series A and B bond issue with a total value of PLN 245 mn was to finance WSE projects including institutional consolidation on the exchange commodities market and expansion of the range of products available for investors on that market, as well as technology projects in financial markets and commodity markets. Receipts from the issue of series A and B WSE bonds were largely used to acquire shares of the Polish Power Exchange (“PolPX”).

WSE bonds are listed on the bond market Catalyst (on the WSE regulated market and in the BondSpot alternative trading system) since February 2012. The WSE bond price ranged from PLN 100.25 to PLN 101.40.

WSE bond price since first listing on Catalyst (PLN)

WSE bonds are floating rate unsecured notes. Interest is fixed within the six-month interest period at WIBOR 6M plus a margin of 117 basis points. 

Interest paid and interest rate on WSE bonds

Interest period no.PeriodInterest paid
(per bond)
Interest rate in the interest period
I 23/12/2011 (A) 15/02/2011
(B) - 30/06/2012
3.21 6.17%
II 30/06/2012 - 31/12/2012 3.18 6.31%
III 31/12/2012 - 30/06/2013 2.62 5.29%
IV 30/06/2013 - 31/12/2013 1.95 3.87%
V 31/12/2013 - 30/06/2014 1.93 3.89%
VI 30/06/2014 - 31/12/2014 1.95 3.87%
VII 31/12/2014- 30/06/2015 1.60 3.22%

Shareholders

WSE Shareholders

As at 31 December 2014, the share capital of Warsaw Stock Exchange amounted to PLN 41 972 000 and was divided into 41,972,000 shares with a nominal value of PLN 1 per share. There were 27,164,530 series B bearer shares in trading on WSE (64.72% of all shares representing 47.84% of all votes at the General Meeting). The remaining 14,807,470 (series A) shares are preferred shares (one share gives two votes) and are not in exchange trading (for a detailed description of the share capital, see the Corporate Governance section).

The State Treasury of the Republic of Poland is the biggest shareholder of WSE and holds 14,688,470 series A registered shares representing 35.00% of total shares and 51.74% of all votes at the General Meeting

In addition, according to the ING OFE portfolio structure, the fund held 2,373,122 WSE shares at the end of 2014, representing 5.65% of total shares and 4.18% of all votes at the General Meeting.

WSE shareholders (share in number of shares, 2014)


WSE shareholders (number of votes, 2014)


As at the 2013 dividend record date (7 August 2014), 18.23% of the Company’s shares were held by foreign investors among others in the USA, Norway, Canada, Luxembourg, the United Kingdom and Sweden. 33.8% of the shares were held by local legal entities (mainly open-ended pension funds as well as investment funds). Persons other than legal entities (mainly individual investors) controlled 12.97% of WSE shares. 

Company shareholders by category and by country of origin

Dividend

Dividend for WSE Shareholders

The Company paid PLN 50.4 mn of dividend from the 2013 profit on 26 August 2014. The dividend at PLN 1.2 per share was paid to those shareholders who held shares at 7 August 2014 (dividend record date). The dividend yield at the closing price on the dividend record date was 3.3%.

WSE dividend in 2010-2013 and intended dividend payments in later years [40]


[40] By financial year for which dividend was paid
[41] Based on the consolidated profit.
[42] At the share price as at the dividend record date.
[43] At the share price as at 30 December 2014.
[44] Intended payment under the new dividend policy.

On 30 October 2014, the Company announced an amendment of its dividend policy, whereby it is the intention of the WSE Management Board to recommend that the General Meeting pay dividend depending on the profitability and the financial capacity of WSE, above 60% of the WSE Group’s consolidated net profit attributable to the shareholders of WSE for the financial year adjusted for the share of profit of associates. The dividend is to be paid annually upon the approval of the Company’s financial statements by the General Meeting.

Furthermore, it is the intention of the WSE Management Board to recommend that the General Meeting pay dividend from WSE’s net profit for 2014 at PLN 2.40 per share gross, and dividend from WSE’s net profit for 2015 at PLN 2.60 per share gross; at the share price at the end of 2014, the dividend yield is 5.3% and 5.7%, respectively.

To determine the final amount of dividend to be recommended to the General Meeting for each financial year, the Management Board will consider among others the following factors:

  • investment needs in the implementation of the strategy of the WSE Group;
  • the dividend yield and the pay-out ratios used by other listed exchanges;
  • liquidity requirements of the WSE Group depending on actual and expected market and regulatory conditions, liabilities incurred in current operations and debt service, and optimisation of the WSE Group’s financing structure.

WSE dividend yield in 2014 v. stock exchange sector (%)[45]

Source: Bloomberg (total gross dividend paid in 2014 to share price at 31 December 2014)
[45] Dividend yield at the last share price in 2014.

Relations

Dialogue with shareholders and investors

WSE considers its presence on the capital market to be a part of the long-term growth strategy which relies on building lasting, professional relations with capital market participants as well as existing and prospective shareholders of WSE.

The objective of WSE’s investor relations is to engage in proactive open communication with the capital market in a way that ensures equal access to information (including in particular the financial position, the growth strategy, and the risks) for all interested parties.

It is also the objective of the Exchange:

  • to express information in a comprehensible manner which is not misleading,
  • to provide timely information to the extent which addresses the needs of the stakeholders as much as possible,
  • to comply with good practice, in particular the Best Practices of WSE Listed Companies, as well as regulations which define among others the disclosure rules for public companies.

According to the investor relations policy approved in January 2015, the Exchange voluntarily applies periods of limited communications with capital market participants preceding the publication of financial results. Consequently, the Company neither holds nor takes part in investor meetings two weeks before the publication of financial statements (periodic reports). In such periods, communications with the market are limited to communications required by law and answers to standard questions.

In 2014, WSE took a number of initiatives and applied a broad range of tools in its on-going communication with the shareholders, investors and analysts, including:

  • presentations of the financial results of the WSE Group after the end of each quarter at meetings of the WSE Management Board with capital market analysts (broadcast live online);
  • participation in five conferences dedicated to institutional investors in Poland and abroad;
  • organisation of Investor Days combined with the presentation of the Q3 2014 financial results and the presentation of the updated strategy of the WSE Group (broadcast live online);
  • close to 180 one-on-one and group meetings and other contacts with representatives of domestic and international institutional investors;
  • participation in two conferences dedicated to individual investors in Poland;
  • non-deal road show in London, Paris, Frankfurt, Vienna, Los Angeles, San Francisco, New York and Boston;
  • investor chat with the CEO and the CFO;
  • interactive 2013 annual report available on the Company’s website.

In the Investor Relations section of its website, the Company regularly publishes information relevant to investors and shareholders including the current financial results and financial ratios, investor presentations, video recordings of quarterly conferences and the General Meeting, news. WSE also provides an IR newsletter in order to communicate current corporate news to subscribers.

In 2014, WSE was one of three companies (along with PKN Orlen and Grupa Azoty) to become a finalist in the “WIG20 and mWIG40 Company” category of the seventh edition of the Golden Website contest organised by the Association of Listed Companies (SEG).