Cboe Global Markets, Inc. · CBOE:CBOE

Cboe Global Markets — Q2 2025 Earnings Presentation

38 slides from Cboe Global Markets's earnings presentation, Aug 1, 2025

  1. Slide 1: Second Quarter 2025 Earnings Presentation

    SECOND QUARTER 2025 EARNINGS PRESENTATION August 1, 2025 © 2025 Cboe Exchange, Inc. All rights reserved.

  2. Slide 2: Agenda

    Agenda Business Review Craig Donohue Chief Executive Officer Financial Review Jill Griebenow Executive Vice President, Chief Financial Officer Questions & Answers Craig Donohue Jill Griebenow Dave Howson Executive Vice President, Global President Chris Isaacson Executive Vice President, Chief Operat

  3. Slide 3: Disclosures

    Disclosures Forward-Looking Statements This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that involve a number of risks and uncertainties. You can identify these statements by forward-looking words such as “may,” “might,”

  4. Slide 4: Quarterly Recap and Outlook

    QUARTERLY RECAP AND OUTLOOK Craig Donohue, CEO 4

  5. Slide 5: 2Q25: Record Revenue in Second Quarter

    2Q25: Record Revenue in Second Quarter* Net revenues grew 14% Y/Y, a product of continued transaction and non-transaction growth ◆ Total options ADV up 20%, Options Derivatives with a 17% increase in +19% index options ADV and a $587 million +17% 1 22% increase in multi- listed options ADV North Ame

  6. Slide 6: Derivatives: SPX Growth Across Environments and Customers

    Derivatives: SPX Growth Across Environments and Customers Engagement Remained Resilient as SPX 0DTE Volumes Continued to Grow 4.0mn 65% 3.5mn 24x5 Tue/Thu 60% COVID Launch Launch 3.0mn 55% 2.5mn 50% 2.0mn 45% 1.5mn 40% 1.0mn 35% 0.5mn 30% SPX >0DTE ADV SPX 0DTE ADV Individual % of 0DTE Customer ADV

  7. Slide 7: Derivatives: Aligned with Cyclical and Secular Trends

    Derivatives: Aligned with Cyclical and Secular Trends Cyclical Tailwinds Options Volumes Remained Strong in 2Q25 4.2 4.1 4.0 4.2 4.0 4.8 4.7 Macroeconomic and geopolitical environment Total Index Options 3.6 3.7 3.7 ◆ Quarterly ADV of 4.7mn, Shifting policy positions +17% y/y Investor positioning in

  8. Slide 8: Unlocking Global Growth Potential

    Unlocking Global Growth Potential North America | Europe | Asia Pacific ◆ U.S. Equities On-Exchange ◆ Cboe Europe maintained Europe’s ◆ Cboe Australia ADNV increased matched ADV increased 43% leading market share during 25%3 to $1.0bn in 2Q25 as Regional to $1.9bn in 2Q25 as continuous trading hours

  9. Slide 9: Cboe Data Vantage: Driving Durable Growth

    Cboe Data Vantage: Driving Durable Growth Priorities across the Data Vantage portfolio Data Distribution ◆ Delivering content, platform, and distribution globally to execute on growth opportunities ◆ Powered by Cboe’s market-leading position in multiple asset classes around the globe Analytics ◆ Com

  10. Slide 10: Financial Overview and Guidance

    FINANCIAL OVERVIEW AND GUIDANCE Jill Griebenow, EVP, CFO 10

  11. Slide 11: 2Q25 Financial Summary

    2Q25 Financial Summary $587.3 $1,152.5 $513.8 $1,015.9 $587mn $467.1 $938.5 $424.1 $842.2 Net Revenue +14% Y/Y 2Q22 2Q23 2Q24 2Q25 2022 YTD 2023 YTD 2024 YTD 2025 YTD $771.4 $387mn $386.7 $326.3 $646.6 $285.3 $559.8 $581.0 $277.2 Adjusted Operating EBITDA¹ 66.5% 66.9% 65.8% +19% Y/Y 65.4% 63.6% 63.5

  12. Slide 12: 2Q25 Net Revenue by Segment and Key Drivers

    2Q25 Net Revenue by Segment1 and Key Drivers Net Revenue Segment Net Rev. Growth Key Drivers in millions ◆ Higher net transaction and clearing fees $587.3 Options +19% +14% ◆ Higher total options trading volume CBOE - C2 - BZX - EDGX ◆ Increased market data fees $513.8 ◆ Higher access and capacity f

  13. Slide 13: Grew 2Q25 Data Vantage Net Revenue 11% YoY Organically

    Grew 2Q25 Data Vantage Net Revenue 11% YoY Organically1 Reaffirmed 2025 organic net revenue growth rate2 target for Data Vantage business of mid to high single digits3 ◆ 2Q25 Data Vantage net revenue of $155.1 million up 11% Data Vantage Gross Revenue in millions YoY organically1 $158.3 ◆ Opportunit

  14. Slide 14: 2Q25 Adjusted Operating Expenses Up 8% Y/Y

    2Q25 Adjusted Operating Expenses1 Up 8% Y/Y, Driven by Compensation and Benefits Adjusted Operating Expenses¹ 2Q25 2Q24 % Chg ◆ 2Q25 expense increase (in millions) primarily driven by a $12 Compensation and benefits $127.3 $115.3 10% million increase in Depreciation and amortization 12.7 10.6 20% co

  15. Slide 15: 2025 Guidance

    2025 Guidance 1 2025 Full-Year Guidance 2025 Guidance as of 2025 Guidance as of 2025 Guidance as of 2024 Actual ($ in millions) August 1, 2025 May 2, 2025 February 7, 2025 Data Vantage 3 organic net revenue growth rate Mid to High Single Digit Mid to High Single Digit Mid to High Single Digit 7%2 2

  16. Slide 16: Efficient Allocation of Capital to Create Long-Term Shareholder Value

    Efficient Allocation of Capital to Create Long-Term Shareholder Value Debt Outstanding ($ in millions) Sep. 30, Dec. 31, Mar. 31, Jun. 30, Preserving balance sheet flexibility remains a 2024 2024 2025 2025 3.650% Senior Notes (10Y; Due 2027) $650 $650 $650 $650 priority 1.625% Senior Notes (10Y; Due

  17. Slide 17: Closing Remarks

    CLOSING REMARKS Craig Donohue, CEO 17

  18. Slide 18: Framing the Strategic Direction

    Framing the Strategic Direction Optimization of Core Business​es ◆ Leverage secular growth trends: ➢ Wider retail adoption of ➢ Rise of shorter-dated ➢ Globalization of markets, derivatives products options trading data, and access ◆ Optimize the profitability of core businesses through rigorous fin

  19. Slide 19: Appendix

    Appendix © 2023 Cboe Exchange, Inc. All rights reserved. 19

  20. Slide 20: Options 2Q25 Net Revenue Up 19%

    Options 2Q25 Net Revenue Up 19%, Reflecting Higher Net Transaction and Clearing Fees1 Options Selected Revenue Data 2Q25 2Q24 Chg ($ in millions) ◆ Higher net transaction and clearing fees1 from Net Revenue $364.8 $306.7 19% Net transaction and clearing fees¹ $321.6 $267.7 20% stronger total options

  21. Slide 21: North American Equities 2Q25 Net Revenue Roughly Flat

    North American (N.A.) Equities 2Q25 Net Revenue Roughly Flat N.A. Equities Selected Revenue Data 2Q25 2Q24 Chg ($ in millions) ◆ Access and capacity fees were up 16% Net Revenue $98.4 $98.3 0% Net transaction and clearing fees¹ $27.5 $35.3 -22% Market data fees $32.8 $30.3 8% Market data - proprieta

  22. Slide 22: Europe and APAC 2Q25 Net Revenue Up 30%

    Europe and APAC 2Q25 Net Revenue Up 30%, Reflecting Transaction and Non-Transaction Revenue Growth Europe and APAC Selected Revenue Data 2Q25 2Q24 Chg ($ in millions) Net Revenue $70.4 $54.3 30% ◆ Net transaction and clearing fees1 were up 39% Net transaction and clearing fees¹ $36.6 $26.4 39% Net t

  23. Slide 23: Futures 2Q25 Net Revenue Down 14%

    Futures 2Q25 Net Revenue Down 14%, Reflecting Decrease in ADV1 Futures Selected Revenue Data 2Q25 2Q24 Chg ($ in millions) ◆ Lower volumes drove a decrease in net Net Revenue $30.1 $34.8 -14% Net transaction and clearing fees 2 $22.9 $28.1 -19% transaction and clearing fees2 Access and capacity fees

  24. Slide 24: Global FX 2Q25 Net Revenue Up 19%

    Global FX 2Q25 Net Revenue Up 19%, Driven by Higher Net Transaction and Clearing Fees1 FX Selected Revenue Data 2Q25 2Q24 Chg ($ in millions) ◆ Net transaction and clearing fees1 were up Net Revenue $23.6 $19.8 19% Net transaction and clearing fees¹ $20.4 $16.6 23% 23% Non-transaction revenue $3.2 $

  25. Slide 25: 2Q25 Financial Overview

    2Q25 Financial Overview 1 Adjusted Financial Results 2Q25 2Q24 Chg ($ in millions, except per share) Net Revenue2 $587.3 $513.8 14% Adjusted Operating Expenses $213.3 $197.1 8% Adjusted Operating Income $374.0 $315.7 18% Adjusted Operating Margin 63.7% 61.4% 2.3pts Adjusted Operating EBITDA $386.7 $

  26. Slide 26: Net Revenue Detail

    Net Revenue Detail Net Revenue 1 ◆ Cash and Spot Markets driven by 2Q25 2Q24 % Chg (in millions) supportive industry volumes Cash and Spot Markets $115.6 $103.7 11% ◆ Data Vantage benefited from Data Vantage $155.1 $139.6 11% Derivatives Markets $316.6 $270.5 17% continued international growth Total

  27. Slide 27: Focused on Growing the Proprietary Index Suite

    Focused on Growing the Proprietary Index Suite Index customers at Cboe typically use the toolkit of Cboe proprietary products interchangeably or in tandem, depending on market conditions ◆ Plan to further penetrate existing markets with an emphasis on education, targeting key market segments and geo

  28. Slide 28: 0DTE Adding Stability to SPX Volumes

    0DTE Adding Stability to SPX Volumes SPX ADV by Expiration in millions of contracts 3.9 4.0 3.8 Thursday 3.7 expiration 3.5 3.5 3.5 3.5 65% 3.5 Tuesday introduced May 11, 2022 3.3 3.2 3.3 expiration 3.2 3.2 3.2 3.2 3.1 3.1 3.0 3.1 3.1 introduced April 2.9 2.9 3.0 3.0 3.0 61% 60% 3.0 18, 2022 2.8 2.9

  29. Slide 29: 2Q25 Net Revenue by Revenue Caption

    2Q25 Net Revenue by Revenue Caption Cash and Derivatives For the Three Months Ended Data Vantage Total Spot Markets Markets June 30 (in millions) 2025 2024 2025 2024 2025 2024 2025 2024 Transaction and clearing fees $ 375.1 $ 283.6 $ - $ - $ 492.6 $ 414.0 $ 867.7 $ 697.6 Access and capacity fees - -

  30. Slide 30: Net Transaction and Clearing Fees by Segment

    Net Transaction and Clearing Fees by Segment For the Three Months Ended Options N.A. Equities Europe and Asia Pacific Futures Global FX Digital 1 Total September 30 (in millions) 2024 2023 2024 2023 2024 2023 2024 2023 2024 2023 2024 2023 2024 2023 Transaction and clearing fees $ 405.3 $ 384.6 $ 231

  31. Slide 31: Non-GAAP Information

    Non-GAAP Information © 2023 Cboe Exchange, Inc. All rights reserved. 31

  32. Slide 32: Non-GAAP Information

    Non-GAAP Information In addition to disclosing results determined in accordance with GAAP, Cboe Global Markets has disclosed certain non-GAAP measures of operating performance. These measures are not in accordance with, or a substitute for, GAAP, and may be different from or inconsistent with non-GA

  33. Slide 33: Non-GAAP Information

    Non-GAAP Information Reconciliation of GAAP Net Revenues to Net Revenues in Constant Currency Three Months Ended, Three Months Ended, Six Months Ended, Six Months Ended, Net Revenue (in millions) June 30, 2025 June 30, 2024 June 30, 2025 June 30, 2024 Europe and Asia Pacific net revenues $70.4 $54.3

  34. Slide 34: Non-GAAP Information

    Non-GAAP Information (in millions, except per share amounts) 1Q24 2Q24 3Q24 4Q24 2024 1Q25 2Q25 (1) This amount includes acquisition-related costs primarily from the Company’s Cboe Digital, Cboe Canada, and Reconciliation of Net Income Allocated to Common Stockholders to Non-GAAP Cboe Asia Pacific a

  35. Slide 35: Non-GAAP Information

    Non-GAAP Information (in millions, except per share amounts) 1Q22 2Q22 3Q22 4Q22 2022 1Q23 2Q23 3Q23 4Q23 2023 (1) This amount includes ongoing acquisition related costs primarily from the Reconciliation of Net Income Allocated to Common Stockholders to Non-GAAP Company’s Cboe Digital and Cboe Canad

  36. Slide 36: Non-GAAP Information

    Non-GAAP Information EBITDA Reconciliations EBITDA (earnings before interest, income taxes, depreciation and amortization) and Adjusted EBITDA are widely used non-GAAP financial measures of operating performance. These metrics are presented as supplemental information that the company believes are u

  37. Slide 37: Non-GAAP Information

    Non-GAAP Information Adjusted Debt to EBITDA – Trailing Twelve Months1 (in millions) 3Q24 4Q24 1Q25 2Q25 LTM Net income allocated to common stockholders $ 217.4 $ 195.6 $ 249.4 $ 233.9 $ 896.3 Interest expense, net 1.4 5.7 4.4 1.6 13.1 Income tax provision 90.5 83.2 99.6 99.5 372.8 Depreciation and

  38. Slide 38: Thank You

    THANK YOU 38

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