Cboe Global Markets marks slight rise in FX revenues in Q3 2020
Exchange operator Cboe Global Markets, Inc. today reported financial results for the third quarter of 2020, with the company registering a slight increase in FX net revenues.
Global FX net revenue of $13.2 million increased 1% from a year earlier, primarily due to higher access and capacity fees, offsetting lower net transaction fees compared with the third quarter of 2019. ADNV traded on the Cboe FX platform, however, was $30.2 billion for the quarter, down 1% from last year’s third quarter and net capture per one million dollars traded was $2.70 for third-quarter 2020, down 4% compared to $2.80 in the third- quarter 2019.
Cboe FX market share increased to 15.9% for the quarter compared to 14.1% in last year’s third quarter.
Across all segments, net revenue amounted to $292 million in the third quarter of 2020, down 1% compared to $294.0 million in the prior-year period. The result reflected lower net transaction and clearing fees, due to lower trading volumes in index options and futures, offset somewhat by revenue contributed from acquisitions.
In addition to acquisitions completed in the first half of the year, third quarter results include the acquisitions of EuroCCP, which closed on July 1, 2020, and MATCHNow, which closed on August 4, 2020.
Operating income decreased by 5% year on year to $139.3 million as a result of lower net revenue and higher operating expenses.
Diluted EPS for the third quarter of 2020 was $1.01, up 7% from a year earlier. Adjusted diluted EPS of $1.11 decreased 14% compared to 2019’s third-quarter results.
The EBITDA margin for the third quarter was 72.6 percent compared to 65.2 percent in the third quarter of 2019. The adjusted EBITDA margin was 65.9 percent compared to 70.9 percent for the same period last year.