Virtu Financial : 2021 First Quarter Results

First Quarter 2021

Earnings Presentation

© 2021 Virtu Financial. All rights reserved.

First Quarter Highlights

Share repurchase authorization increased by $300 million

Adj. NTI1		Normalized Adj. EPS1	1Q 2021 Highlights
$728.0M	$2.04
• Record Adj. EBITDA1 margin
				• All-time high quarterly VES Adj. NTI1
Adj. NTI/day1		Adj. EBITDA1	• Market making continued strong performance driven
$11.93M		$564.7M
	by positive environment and growth initiatives

Debt to LTM Adj. EBITDA1 Adj. EBITDA Margin1,2

1.0x 77.6%

• Generated $57 million of Adj. NTI1 from organic growth initiatives - 8% of total firm Adj. NTI1
• Adding $300 million to existing $170 million share repurchase program - 5.4 million shares ($151 million) repurchased as of 4/30/213

See endnotes at end of this supplement

2

Key Financial Metrics

Sustained performance elevated by growth initiatives and long-term secular trends

								1Q 2020	2Q 2020	3Q 2020	4Q 2020	Full Year	1Q 2021	1Q 2021 vs
($M)								2020	4Q 2020	1Q 2020
Total Adjusted Net Trading Income	1	$784	$669	$362	$456	$2,271	$728	+ 60%	- 7%
Daily Average Adj. NTI	1						$12.7	$10.6	$5.7	$7.1	$9.0	$11.9	+ 68%	- 6%
Market Making Adj. NTI						$652	$552	$257	$321	$1,782	$575
Market Making Daily Average Adj. NTI	$10.5	$8.8	$4.0	$5.0	$7.0	$9.4	+ 88%	- 10%
Execution Services Adj. NTI	2		$132	$117	$105	$135	$489	$153
Execution Services Daily Average Adj. NTI	$2.1	$1.9	$1.6	$2.1	$1.9	$2.5	+ 19%	+ 18%
Adjusted Operating Expenses	1			$232	$200	$130	$128	$690	$180	+ 41%	- 22%
Adjusted EBITDA	1							$570	$486	$249	$344	$1,648	$565	+ 64%	- 1%
Adjusted EBITDA Margin	3				72.6%	72.6%	68.7%	75.4%	72.6%	77.6%	+ 2.2 pts	+ 4.9 pts
Long Term Debt (at end of period)		$1,957	$1,769	$1,669	$1,670	$1,670	$1,667	- 0.2%	- 15%
Debt / LTM Adjusted EBITDA			2.2x	1.4x	1.2x	1.0x	1.0x	1.0x	+ 0%	- 55%
Normalized Adjusted EPS	1				$2.05	$1.73	$0.81	$1.18	$5.76	$2.04	+ 72%	- 1%

Execution Services business has grown steadily, through acquisition and organic growth

Average Daily Adjusted NTI in $ million (excluding ANTI from KCG and ITG pre-acquisition)

						$9.43
			MM CAGR	ES CAGR
			4Q17-1Q21	2Q19-1Q21	$7.05
			39%4	26%5
		$3.68
$1.95			$2.41	$1.93		$2.51
		$1.47
$0.27	$0.38
See endnotes at end of this supplement	FY 2018	FY 2019	FY 2020	2021 YTD	3
FY 2017

Execution Services

Market Making

Organic Initiatives Contribute to Growth and Strong Performance

Daily Average Adj. Net Trading Income1 of Organic Growth Initiatives

$942K/day

CAGR2 +120%

$656K/day

		$296K/day
	$160K/day
	FY 2018	FY 2019	FY 2020	1Q 2021
% of Adj. NTI1	4%	8%	7%	8%
$M of Adj. NTI1	$40	$75	$166	$57

Growth in Existing Markets	Enter New Markets and Long-Term Drivers of Growth
• Quant-style KCG strategies in new markets and asset	• Options market making improved average daily ANTI
classes improved over 70% per day (vs. 2020 average)	by over 50% in 1Q21 (vs. 2020 average)
• Continued growth of our customer-facing ETF block	• Virtu Capital Markets raised nearly $900M of capital in
franchise desk	1Q21 by leveraging our existing electronic execution
• Launched big data analytics products, Open Intell and	capabilities for ATM offerings
Open Python, for workflow and analytics clients	• Designated Broker / Lead Market Maker in Bitcoin and
• Overhauled global client execution algos, enhancing	Ether ETFs in Canada
transparency and alignment with trader intentions
See endnotes at end of this supplement	4

Capital Management

Scaled business model delivers superior return on capital

Steady Payout in All Environments

Dividends declared per share and adjusted earnings per share per quarter

					$2.05	$2.04
						$1.73
						$1.18
EPS $0.76					$0.81
$0.67
Quarterly	$0.31	$0.34			$0.27
$0.22		$0.16	$0.21
Dividend
of $0.24
	1Q 2018 2Q 2018 3Q 2018 4Q 2018 1Q 2019 2Q 2019 3Q 2019 4Q 2019 1Q 2020 2Q 2020 3Q 2020 4Q 2020 1Q 2021

Superior Return on Invested Capital3

Share Buybacks1

Shares outstanding (million shares) and share repurchases ($ million) per quarter

$140	Weighted
Avg. 198.1	199

$120	Shares	197.5	197.0
197.1
	Period-	195.6
$100	End	195.0	195.5		196
Share
$80	Count			193.5
		$70
						193
$60
				$44
$40		$36
					190
$20
$-					2	187
	3Q 2020	4Q 2020	1Q 2021	2Q 2021 to date

	1,800																												120%
($M)	1,600																										101%			99%	100%
Capital	1,400																							87%
1,200																			78%									80%
Invested	1,000
																55%												60%
Average	800
	600		36%			35%				35%																		40%
														29%
Period	400																												20%
200
	0																															0%
		1Q 2019	2Q 2019	3Q 2019	4Q 2019	1Q 2020	2Q 2020		3Q 2020	4Q 2020	1Q 2021
									Average of LTM Invested Capital	LTM Pro Forma Adjusted EBITDA		Return on Invested Capital

See endnotes at end of this supplement

Return on Invested Capital (%)

5