Rothschild & Co: 2020 - Half Year financial report

Rothschild & Co

Half-year financial report Six months to 30 June 2020

2 - Rothschild & Co | 2020 Half-year financial report

Contents

Half-year activity report	4
Condensed half-year consolidated financial statement	17
Statutory Auditors' review on the half-year consolidated financial information	68
Persons responsible for the half-year financial report	69
About Rothschild & Co	70

Rothschild & Co | 2020 Half-year financial report - 3

Half-year activity report

1. Summary Consolidated Income Statement

The Supervisory Board of Rothschild & Co SCA met on 15 September 2020 to review the consolidated financial statements from 1 January 2020 to 30 June 2020; these accounts had been previously approved by Rothschild & Co Gestion SAS, Managing Partner of Rothschild & Co.

1 Diluted EPS is €0.82 (H1 2019: €1.85)

An analysis of Exceptional items and a presentation of Alternative Performance Measures are shown respectively in Appendix B and Appendix G

2. Business activities

2.1 Global Advisory

Our Global Advisory business focuses on providing advice in the areas of Strategic Advisory and M&A; Financing Advisory encompassing Debt Advisory, Restructuring and Equity Advisory; and Investor Advisory advising on engaging with shareholders on a variety of topics including activism, sustainability and governance.

Revenue for H1 2020 was €529.4 million, 3% below H1 2019 (€544.8 million), with the effects of the economic shocks caused by the COVID-19 pandemic being felt from March. For the last twelve months to June 2020, we ranked 8th globally by financial advisory revenue1.

Operating income for H1 2020, excluding ongoing investment in the development of our North American M&A franchise, was €82 million (H1 2019: €93 million), representing an operating income margin of 15.4% (H1 2019: 17.0%). Including the effect of ongoing investment in senior hiring in North America, operating

4 - Rothschild & Co | 2020 Half-year financial report