Virtu Financial, Inc. · NYSE:VIRT
Virtu Financial — Q1 2025 Earnings Presentation
27 slides from Virtu Financial's earnings presentation, Apr 23, 2025
Slide 1: First Quarter 2025 Earnings Supplement
Presentation Title in First Quarter 2025 Title Case Earnings Supplement Presentation subtitle in sentence case Presenter Name Event name xx Month 201x © 201X Virtu Financial. All rights reserved. Not to be reproduced or retransmitted without permission. Compliance #XXXX-XXXX © 2025 Virtu Financial.
Slide 2: Performance Highlights
Performance Highlights 1Q 2025 Key Financials Summary Recent Results Adj. Net Trading Income / Day1 Normalized Adj. NTI1 Adj. NTI/day1 Adj. EPS1 $497M $8.3M $1.30 $6.0M $6.1M $6.1M $7.3M $8.3M 1Q'24 2Q'24 3Q'24 4Q'24 1Q'25 Adj. EBITDA Debt to LTM Adj. EBITDA1 Margin1,2 Adj. EBITDA1 Normalized Adj. E
Slide 3: Key Financial Metrics
Key Financial Metrics Annual Quarterly Comparison FY FY FY FY FY FY 2024 FY 2025 1Q 2025 v ($M) 2020 2021 2022 2023 2024 1Q 2Q 3Q 4Q 1Q 4Q'24 1Q'24 1 Total Adjusted Net Trading Income $2,271 $1,910 $1,468 $1,211 $1,598 $367 $385 $388 $458 $497 + 14% + 38% Daily Average Adj. NTI 1 $9.0 $7.6 $5.8 $4.8
Slide 4: Market Metrics
Market Metrics Annual Quarterly Comparison FY FY FY FY FY FY 2024 FY 2025 1Q 2025 v 2020 2021 2022 2023 2024 1Q 2Q 3Q 4Q 1Q 4Q'24 1Q'24 Market Metrics (Average Daily) Volume Metrics US Equity Consolidated Volume (M shares) 10,926 11,404 11,875 11,054 12,197 11,760 11,935 11,503 13,581 15,696 + 16% +
Slide 5: Non-customer market making business has significant opportunities for diversified growth
Non-customer market making business has significant opportunities for diversified growth Options volumes continue to rise ETP volumes have grown globally OCC ADV Global ETP Value Traded ADV 70M 300T 60M 250T 50M 200T 40M 150T 30M 100T 20M 10M 50T - - 1Q19 2Q19 3Q19 4Q19 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21
Slide 6: Virtu Rule 605 Executed Shares
Virtu Rule 605 Executed Shares (Daily Average per Month) 1,400M CAGR1: ~17% ADV by Year 1,200M 2018 256M 2019 258M Even in 2023, 2020 727M 605 volumes 1,000M 2021 805M were double 2022 606M pre-covid levels Post-2019 growth is in 2018-2019 2023 552M secular 800M 2024 554M 2025 743M 600M 400M 200M
Slide 7: Virtu Rule 605 Dollar Value of Quoted Spreads
- $10M $15M $20M $25M $5M 2018_01 2018_03 2018_05 2018_07 2018_09 2018_11 2019_01 See endnotes at end of this supplement Zero commission 2019_03 2019_05 trading announced… (Daily Average per Month) 2019_07 2019_09 2019_11 2020_01 2020_03 2020_05 2020_07 2020_09 2020_11 2021_01 2021_03 2021_05 2021_0
Slide 8: Virtu Historical Growth Perspective
Virtu Historical Growth Perspective Track Record of Consistent Growth CAGR2: ~12% CAGR3: ~17% LTM 1Q25 Adj. EBITDA $1,648M $1,036M $8.98M $1,301M $8.29M $919M $7.58M $859M $568M $6.38M $620M $5.85M $432M $4.84M $4.06M $3.87M Adj. EBITDA 1 $352M $251M $269M $1.99M $2.22M $1.64M 1 ANTI / day 2015 2016
Slide 9: Virtu has Significant Earnings Power
Virtu has Significant Earnings Power Illustrative Range of Outcomes Based on 2024 Expense Base & 1Q25 Share Count Virtu ANTI 1 Full Year 1 Full Year 1,2 per Day ANTI Adj. EPS Through- $5.0M $ 1,250M $1.88 the-Cycle $6.0M $7.0M $ 1,500M $ 1,750M $3.02 $4.16 Earnings $8.0M $9.0M $ 2,000M $ 2,250M $5.2
Slide 10: Capital Management
Capital Management We continue to return capital to shareholders through dividends and share repurchases Steady Payout in All Environments Share Buybacks2,3 Dividends declared per share and Adjusted EPS1, quarterly Shares outstanding and share repurchases, quarterly $1.44 Weighted 4.5 Avg. Share 198
Slide 11: Update on Share Buybacks
Update on Share Buybacks Cumulative Shares Repurchased to Date 1,2 80M 25% 70M 20% 60M 50M 49M 50M 52M 15% 44M 46M 47M 40M 39M 41M 36M 10% 30M 30M 32M 25M 27M 20M 16M 5% 10M 12M 7M - 0% Cumulative Shares Repurchased % of Shares Outstanding (Net) Total Buybacks per Quarter1 $500M $40 $35 $400M $30 $2
Slide 12: Operating Expenses and Long-Term Debt
Operating Expenses and Long-Term Debt Disciplined focus on expense management Operating Expense Results Annual Quarterly Adjusted Operating Expenses FY FY FY FY FY 2024 2024 2024 2024 2025 LTM ($M) 2020 2021 2022 2023 2024 1Q 2Q 3Q 4Q 1Q 1Q'25 Adj. Cash Compensation1 $321 $314 $315 $320 $351 $84 $86
Slide 13: GAAP Reconciliations and Other Information
GAAP Reconciliations and Other Information
Slide 14: Organic Business Growth
Organic Business Growth Annual Trailing 5 Quarters $1,005K per day $916K $787K $847K per day per day $670K per day $641K $611K $630K per day $540K per day per day per day $494K per day per day $255K 1 $161K per day Daily Average Adj. NTI from per day Organic Growth Initiatives FY'18 FY'19 FY'20 FY'2
Slide 15: Share Count Roll Forward
Share Count Roll Forward 2021 2022 2023 2024 Grand (M shares) 4Q 2020 1Q 2025 Total Total Total Total Total Beginning of Period Shares 197.1 195.6 186.1 171.7 162.7 159.2 197.1 Shares Repurchased - 1.44 - 14.71 - 16.34 - 12.48 - 6.70 - 1.34 - 51.66 Net Shares Issued - 0.05 + 5.16 + 1.97 + 3.53 + 3.1
Slide 16: GAAP Balance Sheet
GAAP Balance Sheet Assets ($M) As of: 12/31/19 12/31/20 12/31/21 12/31/22 12/31/23 3/31/24 6/30/24 9/30/24 12/31/24 3/31/25 Cash and cash equivalents $732 $890 $1,071 $982 $820 $400 $685 $701 $873 $724 Cash & securities segregated under regulations & other 41 117 49 57 35 30 32 37 41 47 Securities b
Slide 17: GAAP Income Statement
GAAP Income Statement Annual Quarterly Income Statement FY FY FY FY FY FY 2024 FY 2025 ($M) 2020 2021 2022 2023 2024 1Q 2Q 3Q 4Q 1Q Trading income, net $2,493 $2,105 $1,629 $1,301 $1,822 $408 $426 $444 $544 $590 Commissions, net and technology services 601 614 530 456 517 119 126 132 140 151 Interes
Slide 18: Adjusted EBITDA & Normalized Adjusted EPS
Adjusted EBITDA & Normalized Adjusted EPS Annual Quarterly Income Statement FY FY FY FY FY FY 2024 FY 2025 ($M) 2020 2021 2022 2023 2024 1Q 2Q 3Q 4Q 1Q Adjusted Net Trading Income $2,271 $1,910 $1,468 $1,211 $1,598 $367 $385 $388 $458 $497 Adj. EBITDA / Adj. EPS FY FY FY FY FY FY 2024 FY 2025 ($M) 2
Slide 19: Adjusted Net Trading Income Reconciliation
Adjusted Net Trading Income Reconciliation Operating Segments Annual Quarterly Adjusted Net Trading Income Reconciliation FY FY FY FY FY 2024 2024 2024 2024 2025 ($M) 2020 2021 2022 2023 2024 1Q 2Q 3Q 4Q 1Q Trading income, net $2,493 $2,105 $1,629 $1,301 $1,822 $408 $426 $444 $544 $590 Commissions,
Slide 20: Adjusted Net Trading Income Reconciliation
Adjusted Net Trading Income Reconciliation Organic Growth Initiatives Annual Quarterly Organic Growth Initiatives FY FY FY FY FY 2024 2024 2024 2024 2025 Adjusted Net Trading Income Reconciliation ($M) 2020 2021 2022 2023 2024 1Q 2Q 3Q 4Q 1Q Trading income, net $241 $144 $180 $184 $291 $88 $62 $64 $
Slide 21: Adjusted Operating Expense Reconciliation
Adjusted Operating Expense Reconciliation Annual Quarterly Adjusted Operating Expenses Reconciliation FY FY FY FY FY FY 2024 FY 2025 ($M) 2020 2021 2022 2023 2024 1Q 2Q 3Q 4Q 1Q Employee compensation and payroll taxes $394 $376 $391 $394 $435 $101 $106 $108 $121 $119 1 (-) Cash Compensation Adjustme
Slide 22: Disclaimer
Disclaimer Cautionary Statement Regarding Forward Looking Statements This presentation may contain “forward-looking statements” made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Statements regarding Virtu Financial, Inc.’s (“Virtu’s”, the “Company’s
Slide 23: End Notes
End Notes These notes refer to metrics and/or defined terms presented on: Slide 2 Performance Highlights 1. This reflects a non-GAAP measure. Please refer to slides at the end of this presentation for reconciliation to the equivalent GAAP measure. Prior period reconciliations available: https://ir.v
Slide 24: End Notes
End Notes These notes refer to metrics and/or defined terms presented on: Slide 8 Virtu Growth Perspective 1. This reflects a non-GAAP measure. Please refer to slides at the end of this presentation for reconciliation to the equivalent GAAP measure. Prior period reconciliations available: https://ir
Slide 25: End Notes
End Notes These notes refer to metrics and/or defined terms presented on: Slide 10 Analysis at Various Levels of ANTI 1. This reflects a non-GAAP measure. Ranges shown for illustrative purposes only and are not meant to reflect actual performance and therefore no quantitative reconciliation of illus
Slide 26: End Notes
End Notes These notes refer to metrics and/or defined terms presented on: Slide 12 Update on Share Buybacks 1. Shares repurchased calculated on a settlement date basis. 2. Percentage of Shares Outstanding is calculated net of share issuances, and is calculated compared to shares outstanding on 9/30/
Slide 27: End Notes
End Notes These notes refer to metrics and/or defined terms presented on: Slide 17 GAAP Balance Sheet 1. This reflects a non-GAAP measure, and it reflects the assets bracketed above less the liabilities bracketed above. Trading Capital at 3/31/24, 6/30/24, 9/30/24, 12/31/24, and 3/31/25 also include