Q1 2026 Cboe Global Markets Inc Earnings Call Transcript
Key Points
- Cboe Global Markets Inc (CBOE) reported a record net revenue of $729 million for the first quarter, marking a 29% year-over-year increase.
- Adjusted diluted EPS increased by 48% year-over-year to a record $3.70, showcasing strong financial performance.
- The derivatives business achieved a record quarter with net revenue increasing 32% year-over-year, driven by a 35% increase in index options net transaction and clearing fees revenue.
- Global trading hours volumes rose more than 32% to a record high, driven by strong growth during Asian hours.
- Cboe's Data Vantage segment saw a 19% increase in net revenue, with 85% of the growth driven by new units and new sales.
- Cboe announced a strategic realignment that will result in a 20% reduction in its workforce, indicating potential challenges in maintaining current operations.
- The sale of Cboe Canada and Cboe Australia is expected to lead to an approximate 3% annualized reduction in net revenue compared to 2025.
- The strategic realignment actions are expected to yield an 8% to 10% annualized reduction in adjusted operating expenses, indicating significant restructuring costs.
- The company is transitioning back to in-person work, which may pose challenges in adapting to new work environments and maintaining productivity.
- Cboe's move into event and prediction markets is still in its early stages, with potential regulatory hurdles and market acceptance challenges.
Good morning, ladies and gentlemen, and thank you for standing by. My name is Kevin, and I will be your conference operator today. At this time, I would like to welcome everyone to the Cboe Global Markets first quarter earnings call. (Operator Instructions)
I would now like to turn the call over to Ken Hill, Head of Investor Relations. Please go ahead.
Good morning, and thank you for joining us for our first quarter earnings conference call. On the call today, Craig Donohue, our CEO, will discuss our performance for the quarter and provide an update on our strategic initiatives. Scott Johnston, our Chief Operating Officer, will provide an update on the additional strategic realignment actions announced today; and Jill Griebenow, our Chief Financial Officer, will provide an overview of our financial results for the quarter as well as discuss our 2026 financial outlook. Following their comments, we will open the call to Q&A. Also joining us for Q&A will be Prashant Bhatia
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
