Marketaxess Holdings, Inc. · NASDAQ:MKTX
Marketaxess — Q3 2025 Earnings Presentation
26 slides from Marketaxess's earnings presentation, Nov 7, 2025
Slide 1: 3Q25 Earnings Conference Call
3Q25 Earnings Conference Call November 7, 2025
Slide 2: Update on our strategy & trading businesses
Update on our strategy & trading businesses ❖ Chris Concannon, CEO 2
Slide 3: 3Q25 highlights
3Q25 highlights¹ • 1% increase in revenue to $209 million; 10% growth in revenue outside U.S. credit FINANCIAL • 9% increase in services revenue2 to a record $29 million PERFORMANCE • 3% decline in earnings per share to $1.84 • $385 million in TTM free cash flow3 generation • 14% increase in ADV acr
Slide 4: Macro conditions
Macro conditions U.S. HIGH-GRADE AND U.S.HIGH-YIELD SPREAD RANGES HIGHEST U.S. HIGH-GRADE AND U.S. HIGH-YIELD NEW ISSUE MONTHS SINCE 2000 U.S. High-Grade Spread Range U.S. High-Yield Spread Range U.S. High-Grade U.S. High-Yield U.S. High-Grade Spread Range Avg. U.S. High-Yield Spread Range Avg. Rank
Slide 5: Our global growth profile in credit is strong and increasingly diversified
Our global growth profile in credit is strong and increasingly diversified CREDIT TRADING VOLUME GROWTH RATE BY CLIENT LOCATION1 NORTH AMERICA REST OF WORLD5 TOTAL GROWTH IN GLOBAL U.S. Credit Products2 4% 8% 4% GLOBAL CREDIT CREDIT TRADING VOLUME BY CLIENT LOCATION¹ Other Credit Products³ 13% 14% 1
Slide 6: Driving growth in 2025: enhanced functionality, differentiated data and innovative client solutions
Driving growth in 2025: enhanced functionality, differentiated data and innovative client solutions Optimizing trade execution and client workflow in key products & protocols • High-touch: block trading solutions for larger trades/EM, eurobonds, and U.S. credit. Client- • Low-touch: continued focus
Slide 7: Our new initiatives are driving growth
Our new initiatives are driving growth1 CLIENT-INITIATED CHANNEL – Block Trading2 ADV PORTFOLIO TRADING CHANNEL3 – Trading ADV U.S. Credit Emerging Markets Eurobonds U.S. Credit Other Credit Est. U.S. Credit PT Market Share GROWTH $4,908M GROWTH $1,379M 23% $431M 50% $3,996M 75% $271 $246M $1,580M $
Slide 8: We are well-positioned to capitalize on the evolution of the U.S. credit market
We are well-positioned to capitalize on the evolution of the U.S. credit market TRACE U.S. high-grade non-block1 …While TRACE U.S. high-grade block2 trade size has decreased… trade size has increased Non-Block Avg. Trade Size (12-Month MA) Block Avg. Trade Size (12-Month MA) (in $ thousands) (in $ m
Slide 9: Automation: greater efficiency for non-blocks; increasingly used for blocks
Automation: greater efficiency for non-blocks; increasingly used for blocks TRACE U.S. high-grade trade count in On MarketAxess ~90% of U.S. high-grade non-block trades and ~30% of block trades are won by a dealer algo2 non-blocks has almost tripled since 2021, driving increased client demand for wo
Slide 10: Review of financial results
Review of financial results ❖ Ilene Fiszel Bieler, CFO 10
Slide 11: 3Q25 financial summary
3Q25 financial summary1 (in $ thousands, except EPS data) YoY % Δ Financial results 3Q25 2Q25 3Q24 YoY % Δ 2 Notable items4 3Q25 2Q25 3Q24 ex. FX Total revenues $ 208,821 $ 219,462 $ 206,715 1% –% Repositioning charges $ –– $ 4.0 $ –– Commissions 180,171 191,770 180,392 (-) % Acquisition-related cha
Slide 12: Continued strong growth across most of our key performance indicators
Continued strong growth across most of our key performance indicators (“KPIs”) Key Performance Indicators 3Q25 3Q24 YoY Growth YTD Growth1 Client-Initiated2 U.S. Credit ADV $7.9B $8.3B (5)% +6% Notional Trading / ADV Intl. Product Trading ADV (EM & Eurobonds) $6.0B $5.2B +15% +16% EM Local Markets A
Slide 13: 3Q25 commission revenue detail
3Q25 commission revenue detail1 COMMISSION REVENUE DETAIL 3Q25 PERFORMANCE 1 (in $ thousands, except transaction fees per million data) Commission Revenue 3Q25 2Q25 3Q24 YoY % Δ Credit Variable Transaction Fees $ 145,949 $ 158,073 $ 146,737 (1)% • Total credit commission revenue of $165 million, dec
Slide 14: 3Q25 expense detail
3Q25 expense detail1 (Ex-notable items, non-GAAP2, in $ thousands) +3% +2% ex. FX 3Q25 PERFORMANCE 1 -% (1)% ex. FX $123,242 $123,628 • 3% increase in total expenses to $123 million, up 2% $5,403 $119,660 excluding FX.3 $3,948 $6,099 $4,447 $5,839 $4,387 $2,349 $2,952 $3,859 $7,382 $7,190 $3,753 $2,
Slide 15: Capital management and cash flow
Capital management and cash flow (in $ millions, except shares repurchased and cash dividend data ) TTM QUARTERLY DIVIDENDS CAPITAL MANAGEMENT TTM Quarterly Dividends (in $ millions) 115 • Total cash, cash equivalents, corporate bond and U.S. 100 Treasury investments of $631 million as of September
Slide 16: Key takeaways
Key takeaways • We are continuing to innovate and execute with our technology modernization. • New strategic hires expected to help drive growth. • Growth profile of the Company outside of U.S. credit is strong and we have a strategy in place to drive higher levels of growth in U.S. credit. • The U.
Slide 17: Appendix
Appendix 17
Slide 18: Our global client network continues to expand
Our global client network continues to expand RECORD # OF ACTIVE CLIENT FIRMS CREDIT TRADE VOLUME FROM HEDGE FUND AND PRIVATE BANK CLIENTS 2,300 225,000 2,125 2,138 173,761 173,171 2,093 2,100 1,972 150,000 120,440 1,900 88,942 75,000 1,700 -- 1,500 -- 3Q22 3Q23 3Q24 3Q25 3Q22 3Q23 3Q24 3Q25 # OF AC
Slide 19: Continued strong contribution from our emerging markets franchise
Continued strong contribution from our emerging markets franchise 3Q25 COMMENTARY¹ EMERGING MARKETS TRADE VOLUME BY REGION North America EMEA APAC LATAM • Record 1,537 active client firms. 275 Q3 YoY Growth: 14% Trade Volume (in $ billions) • 11% growth in commission revenue. 3-Year CAGR: 14% 200 •
Slide 20: Integrating our full ecosystem through automation
Integrating our full ecosystem through automation 3Q25 COMMENTARY¹ ACTIVE AUTO-X CLIENT FIRMS • 250 active automation client firms. 300 Q3 YoY Growth: - % 3-Year CAGR: 23% # Active Client Firms 225 • Automation volume of ~$108 billion, up 13%, and trade count of ~623 thousand, up 2%. 150 • Automatio
Slide 21: Reconciliation of certain GAAP-basis financial results, excluding notable items
Reconciliation of certain GAAP-basis financial results, excluding notable items Reconciliation of certain GAAP-basis financial results, excluding notable items 3Q25 2Q25 3Q24 YTD 2025 YTD 2024 Total expenses, GAAP-basis $ 123,242 $ 127,598 $ 119,660 $ 371,034 $ 353,799 Exclude: Notable items Reposit
Slide 22: Constant currency FX impacts
Constant currency FX impacts %Δ Constant currency FX impacts 3Q25 3Q24 FX Impact Ex. FX GAAP basis Revenue $ 208,821 $ 206,715 $ 1,332 -% Expenses 123,242 119,660 1,011 2 Operating income 85,579 87,055 321 (2) Non-GAAP basis, excluding notable items1 Revenue $ 208,821 $ 206,715 $ 1,332 -% Expenses 1
Slide 23: Reconciliation of net income to EBITDA and net income margin to EBITDA margin
Reconciliation of net income to EBITDA and net income margin to EBITDA margin Reconciliation of net income to EBITDA and net Income margin to EBITDA margin 3Q25 2Q25 3Q24 YTD 2025 YTD 2024 Net income $ 68,273 $ 71,180 $ 71,489 $ 154,518 $ 209,042 Add back: Interest income (5,850) (5,930) (6,953) (18
Slide 24: Reconciliation of TTM net cash provided by operating activities to TTM free cash flow
Reconciliation of TTM net cash provided by operating activities to TTM free cash flow Reconciliation of TTM net cash provided by operating activities to TTM free cash flow 1 3Q25 2Q25 3Q24 Net cash provided by operating activities $ 399,755 $ 404,680 $ 350,674 Exclude: Net change in trading investme
Slide 25: Disclosures
Disclosures ©2025 MarketAxess Holdings Inc. (the "Company"). MarketAxess Corporation is a member of FINRA and SIPC. MarketAxess Canada Company is a member of the Canadian Investment Regulatory Organization (CIRO). MarketAxess Europe Limited (04017160), MarketAxess Capital Limited (09777893), and Mar
Slide 26: Now you're in the market
\Y, NX Now you're in the market”