Cboe Global Markets Reports Results For Second Quarter 2025

Second Quarter Highlights*

Diluted EPS for the Quarter of $2.23, Up 68 percent, primarily due to the non-recurring 2024 impairment of intangible assets recognized in the Digital reporting unit
Adjusted Diluted EPS¹ for the Quarter of $2.46, Up 14 percent
Record Net Revenue for the Quarter of $587.3 million, Up 14 percent
Increases 2025 Organic Total Net Revenue Growth Target² to high single digits, from mid to high single digits; Reaffirms Cboe Data Vantage³ Organic Net Revenue Growth Target² of mid to high single digits
Decreases 2025 Adjusted Operating Expense Guidance² to $832 to $847 million, from $837 to $852 million

Cboe Global Markets, Inc. (Cboe: CBOE) today reported financial results for the second quarter of 2025.

"In the second quarter, Cboe reported record quarterly net revenue of $587 million, diluted EPS of $2.23, and adjusted diluted EPS¹ of $2.46. Strong double-digit net revenue growth across Derivatives, Data Vantage, and Cash and Spot Markets drove our outstanding results," said Craig Donohue, Cboe Global Markets Chief Executive Officer. "Net revenue grew 14 percent and adjusted diluted EPS¹ increased 14 percent year-over-year, bringing year-to-date growth to 13 percent and 15 percent, respectively, as compared to the first half of 2024. Since taking over as CEO in early May, I have been impressed by our team's ability to thrive in a constantly evolving environment. I am excited to build on the exceptional first half results as we work towards delivering long-term value for shareholders."

"Cboe achieved another quarter of record net revenue and strong adjusted earnings growth, highlighting the durability across our exchange ecosystem," said Jill Griebenow, Cboe Global Markets Executive Vice President, Chief Financial Officer. "Derivatives net revenue grew 17 percent, driven by robust volumes across our options business. Data Vantage produced 11 percent net revenue growth, and Cash and Spot Markets net revenue increased 11 percent on a year-over-year basis. Moving forward, we are increasing our organic total net revenue growth² guidance range to high single digits from mid to high single digits, and we are reaffirming our Data Vantage organic net revenue growth² range of mid to high single digits for 2025. In addition, we are lowering our full year adjusted operating expense guidance² range to $832 million to $847 million from $837 to $852 million. Following our strong first half performance, we remain well-positioned to advance our financial priorities and deliver meaningful impact across our global markets."

^*All comparisons are second quarter 2025 compared to the same period in 2024.
⁽¹⁾	A full reconciliation of our non-GAAP results to our GAAP ("Generally Accepted Accounting Principles") results is included in the attached tables. See "Non-GAAP Information" in the accompanying financial tables.
⁽²⁾	Specific quantifications of the amounts that would be required to reconcile the company's organic net revenue growth guidance and adjusted operating expenses guidance are not available. The company believes that there is uncertainty and unpredictability with respect to certain of its GAAP measures, primarily related to acquisition-related revenues and costs that would be required to reconcile to GAAP revenues less cost of revenues, GAAP operating expenses and GAAP effective tax rate, which preclude the company from providing accurate guidance on certain forward-looking GAAP to non-GAAP reconciliations. The company believes that providing estimates of the amounts that would be required to reconcile the range of the company's organic net revenue growth guidance and adjusted operating expenses would imply a degree of precision that would be confusing or misleading to investors for the reasons identified above.
⁽³⁾	Cboe Data Vantage refers to the company's Cboe Data Vantage business (formerly known as Data and Access Solutions). Cboe Data Vantage is subsequently referred to as Data Vantage throughout this press release.

Consolidated Second Quarter Results -Table 1
Table 1 below presents summary selected unaudited condensed consolidated financial information for the company as reported and on an adjusted basis for the three months ended June 30, 2025 and 2024.

Table 1
Consolidated Second Quarter Results ($ in millions except per share and percentages)	2Q25	2Q24	Change	2Q25 Adjusted¹	2Q24 Adjusted¹	Change
Total Revenues Less Cost of Revenues	$ 587.3	$ 513.8	14 %	$ 587.3	$ 512.8	15 %
Total Operating Expenses	$ 248.2	$ 303.7	(18) %	$ 213.3	$ 197.1	8 %
Operating Income	$ 339.1	$ 210.1	61 %	$ 374.0	$ 315.7	18 %
Operating Margin %	57.7 %	40.9 %	16.8 pp	63.7 %	61.4 %	2.3 pp
Net Income Allocated to Common Stockholders	$ 233.9	$ 139.7	67 %	$ 257.8	$ 226.2	14 %
Diluted Earnings Per Share	$ 2.23	$ 1.33	68 %	$ 2.46	$ 2.15	14 %
Operating EBITDA¹	$ 369.0	$ 241.9	53 %	$ 386.7	$ 326.3	19 %
Operating EBITDA Margin %¹	62.8 %	47.1 %	15.7 pp	65.8 %	63.5 %	2.3 pp
EBITDA¹	$ 364.9	$ 242.3	51 %	$ 382.3	$ 340.7	12 %
EBITDA Margin %¹	62.1 %	47.2 %	14.9 pp	65.1 %	66.3 %	(1.2) pp

Total revenues less cost of revenues (referred to as "net revenue"²) of $587.3 million increased 14 percent, compared to $513.8 million in the prior-year period, a result of increases in derivatives markets, Data Vantage, and cash and spot markets net revenue².
Total operating expenses were $248.2 million versus $303.7 million in the second quarter of 2024, a decrease of $55.5 million. This decrease was primarily related to the impairment of intangible assets recognized in the former Digital reporting segment in the second quarter of 2024. Adjusted operating expenses¹ of $213.3 million were up compared to $197.1 million in the second quarter of 2024. The increase was primarily due to higher compensation and benefits, depreciation and amortization, and technology support services, partially offset by lower travel and promotional expenses and professional fees and outside services.
The effective tax rate for the second quarter of 2025 was 29.7 percent as compared with 30.8 percent in the second quarter of 2024. The lower effective tax rate in 2025 is primarily due to the valuation allowance associated with the impairment of the Globacap investment, which drove the higher effective tax rate in the second quarter of 2024. The effective tax rate on adjusted earnings¹ was 29.8 percent, an increase of 0.3 percentage points when compared with 29.5 percent in last year's second quarter.
Diluted EPS for the second quarter of 2025 increased 68 percent to $2.23 compared to the second quarter of 2024. Adjusted diluted EPS¹ of $2.46 increased 14 percent compared to 2024 second quarter results.

Business Segment Information:

Table 2
Total Revenues Less Cost of Revenues by Business Segment (in millions)	2Q25	2Q24	Change
Options	$ 364.8	$ 306.7	19 %
North American Equities	98.4	98.3	0 %
Europe and Asia Pacific	70.4	54.3	30 %
Futures	30.1	34.8	(14) %
Global FX	23.6	19.8	19 %
Digital³	—	(0.1)	* %
Total	$ 587.3	$ 513.8	14 %

⁽¹⁾A full reconciliation of our non-GAAP results to our GAAP results is included in the attached tables. See "Non-GAAP Information" in the accompanying financial tables.

⁽²⁾See the attached tables on page 10 for "Net Revenue by Revenue Caption."

⁽³⁾The Digital segment results are prospectively included in the Futures segment beginning in the first quarter of 2025. Digital results from 2024 have been retained in the former Digital segment for comparative purposes.

*Not meaningful

Discussion of Results by Business Segment¹:

Options:

Record Options net revenue of $364.8 million was up $58.1 million, or 19 percent, from the second quarter of 2024. Net transaction and clearing fees² increased primarily as a result of a 20 percent increase in total options average daily volume ("ADV") versus the second quarter of 2024. Market data fees were 15 percent higher and access and capacity fees were 9 percent higher as compared to the second quarter of 2024.
Net transaction and clearing fees² increased $53.9 million, or 20 percent, reflecting a 22 percent increase in multi-listed options ADV and a 17 percent increase in index options ADV. Total options revenue per contract ("RPC") increased 1 percent compared to the second quarter of 2024. The increase in total options RPC was due to an increase in both multi-listed options and index options RPC.
Cboe's Options exchanges had total market share of 30.2 percent for the second quarter of 2025, down compared to 31.2 percent in the second quarter of 2024.

North American (N.A.) Equities:

Record N.A. Equities net revenue of $98.4 million increased $0.1 million from the second quarter of 2024, reflecting higher access and capacity fees and industry market data fees, offset by lower net transaction and clearing fees².
Net transaction and clearing fees² decreased $7.8 million, or 22 percent, compared to the second quarter of 2024. The decrease was driven by lower market share and lower net capture for U.S. Equities exchanges versus the second quarter of 2024.
Cboe's U.S. Equities exchanges had market share of 10.5 percent for the second quarter of 2025 compared to 11.4 percent in the second quarter of 2024 as a result of higher industry off-exchange market share. Cboe's U.S. Equities off-exchange market share was 15.2 percent, down from 17.8 percent in the second quarter of 2024. Canadian Equities market share declined to 12.7 percent as compared to 15.0 percent in the second quarter of 2024.

Europe and Asia Pacific (APAC):

Record Europe and APAC net revenue of $70.4 million increased by 30 percent compared to the second quarter of 2024, reflecting growth in net transaction and clearing fees² and non-transaction revenues. On a constant currency basis³, net revenues were $67.1 million, up 24 percent on a year-over-year basis. European Equities average daily notional value ("ADNV") traded on Cboe European Equities was $13.7 billion, up 43 percent compared to the second quarter of 2024 given a 28 percent increase in industry market volumes. Japanese Equities ADNV was 32 percent lower and Australian Equities ADNV was 25 percent higher than the second quarter of 2024.
For the second quarter of 2025, Cboe European Equities had 25.1 percent market share, up from 22.5 percent in the second quarter of 2024. Cboe Australia had 20.0 percent market share for the second quarter of 2025, down from 20.8 percent in the second quarter of 2024. Cboe Japan had 3.6 percent market share in the second quarter of 2025, down from 5.5 percent in the second quarter of 2024.
Announced decision to wind down Cboe's Japanese equities business, including the operations of its Cboe Japan proprietary trading system and Cboe BIDS Japan block trading platform. Cboe expects to suspend operations for these businesses on August 29, 2025 and formally close the businesses subject to consultation with regulators. The company anticipates that the wind down of the Cboe Japan equities operations will have an immaterial impact on Cboe's organic total net revenue growth⁴ and adjusted operating expense⁴ guidance in 2025. Adjusted operating expense⁴ savings are estimated to be in the range of $2 million to $4 million in 2025, with savings expected to be in the $10 million to $12 million range on a normalized annual basis.⁴

Futures:

Futures net revenue of $30.1 million decreased $4.7 million, or 14 percent, from the second quarter of 2024 driven by a 19 percent decrease in net transaction and clearing fees².
Net transaction and clearing fees² decreased $5.2 million, reflecting a 13 percent decrease in ADV during the quarter.

Global FX:

Record Global FX net revenue of $23.6 million increased 19 percent as compared to the second quarter of 2024. The increase was due to higher net transaction and clearing fees². ADNV traded on the Cboe FX platform was $55.9 billion for the quarter, up 17 percent compared to last year's second quarter, and net capture rate per one million dollars traded was $2.81 for the second quarter of 2025, up 5 percent compared to $2.69 in the second quarter of 2024.

⁽¹⁾	The Digital segment results are prospectively included in the Futures segment beginning in the first quarter of 2025. Digital results from 2024 have been retained in the former Digital segment for comparative purposes.
⁽²⁾	See the attached tables on page 10 for "Net Transaction and Clearing Fees by Business Segment."
⁽³⁾	A full reconciliation of our non-GAAP results to our GAAP results is included in the attached tables. See "Non-GAAP Information" in the accompanying financial tables.
⁽⁴⁾	Specific quantifications of the amounts that would be required to reconcile the company's organic net revenue growth guidance and adjusted operating expenses guidance are not available. The company believes that there is uncertainty and unpredictability with respect to certain of its GAAP measures, primarily related to acquisition-related revenues and costs that would be required to reconcile to GAAP revenues less cost of revenues, GAAP operating expenses and GAAP effective tax rate, which preclude the company from providing accurate guidance on certain forward-looking GAAP to non-GAAP reconciliations. The company believes that providing estimates of the amounts that would be required to reconcile the range of the company's organic net revenue growth guidance and adjusted operating expenses would imply a degree of precision that would be confusing or misleading to investors for the reasons identified above.

2025 Fiscal Year Financial Guidance

Cboe provided guidance for the 2025 fiscal year as noted below.

Organic total net revenue growth¹ is expected to be in the high single digit range in 2025, up from previous guidance calling for mid to high single digits.
Reaffirms Data Vantage organic net revenue growth¹ range of mid to high single digits in 2025.
Adjusted operating expenses¹ are expected to be in the range of $832 to $847 million in 2025, down from previous guidance of $837 to $852 million. The guidance excludes the expected amortization of acquired intangible assets of $70 million; the company reflects the exclusion of this amount in its non-GAAP reconciliation.
Depreciation and amortization expense is expected to be in the range of $53 to $57 million in 2025, down from previous guidance of $55 to $59 million, excluding the expected amortization of acquired intangible assets.
Reaffirms the effective tax rate on adjusted earnings¹ for the full year 2025 is expected to be in the range of 28.5 to 30.5 percent. Significant changes in trading volume, expenses, tax laws or rates, and other items could materially impact this expectation.
Reaffirms capital expenditures in 2025 are expected to be in the range of $75 to $85 million.

⁽¹⁾

Specific quantifications of the amounts that would be required to reconcile the company's organic and inorganic growth guidance, adjusted operating expenses guidance, annualized adjusted operating expenses guidance, and the effective tax rate on adjusted earnings guidance are not available. Acquisitions are considered organic after 12 months of closing. The company believes that there is uncertainty and unpredictability with respect to certain of its GAAP measures, primarily related to acquisition-related revenues and costs that would be required to reconcile to GAAP revenues less cost of revenues, GAAP operating expenses and GAAP effective tax rate, which preclude the company from providing accurate guidance on certain forward-looking GAAP to non-GAAP reconciliations. The company believes that providing estimates of the amounts that would be required to reconcile the range of the company's organic growth, adjusted operating expenses, annualized adjusted operating expenses, and the effective tax rate on adjusted earnings would imply a degree of precision that would be confusing or misleading to investors for the reasons identified above.

Capital Management

At June 30, 2025, the company had cash and cash equivalents of $1,256.3 million and adjusted cash² of $1,238.2 million. Total debt as of June 30, 2025 was $1,442.0 million.

The company paid cash dividends of $66.4 million, or $0.63 per share, during the second quarter of 2025 and utilized $35.3 million, excluding commissions and excise taxes, to repurchase approximately 161 thousand shares of its common stock under its share repurchase program at an average price of $219.77 per share. As of June 30, 2025, the company had approximately $614.5 million of availability remaining under its existing share repurchase authorizations.

Earnings Conference Call

Executives of Cboe Global Markets will host a conference call to review its second-quarter financial results today, August 1, 2025, at 8:30 a.m. ET/7:30 a.m. CT. The conference call and any accompanying slides will be publicly available via live webcast from the Investor Relations section of the company's website at www.cboe.com under Events & Presentations. Participants may also listen via telephone by dialing (800) 715-9871 (toll-free) or (646) 307-1963 (toll) and using the Conference ID 6775785. Telephone participants should place calls 10 minutes prior to the start of the call. The webcast will be archived on the company's website for replay.

⁽²⁾	A full reconciliation of our non-GAAP results to our GAAP results is included in the attached tables. See "Non-GAAP Information" in the accompanying financial tables.