CBOE Q2 Earnings Beat on Options Strength, Revenue Outlook Raised

CBOE's Revenue Growth Remains Broad-Based

Cash and Spot Markets net revenues increased 22% year over year to $141.1 million. Derivatives Markets net revenues climbed 30% to $412.7 million, supported by higher transaction activity and a favorable product mix.

Data Vantage net revenues rose 15% to $177.8 million. Access and capacity fees increased to $115.6 million from $101.2 million, while market data fees advanced to $65.1 million from $56.4 million.

Cboe Global's Options Business Sets a Record

Options net revenues increased 30% year over year to a record $473.9 million. Net transaction and clearing fees rose 33%, reflecting a 32% increase in index options average daily volume and a 24% increase in multi-listed options volume.

Total options revenue per contract increased 6% to 31.7 cents. Index options accounted for a larger portion of trading activity, while index options revenue per contract rose 3%. Options market share was 30%, down slightly from 30.2% a year earlier.

CBOE Expands Profitability Despite Higher Costs

Adjusted operating expenses increased 2% year over year to $216.7 million. Higher accrued bonuses tied to company performance and increased travel and promotional spending were partly offset by lower professional fees.

Adjusted operating income advanced 38% to $514.9 million. The adjusted operating margin expanded 670 basis points to 70.4%.  Adjusted operating EBITDA margin improved 640 basis points to 72.2%. The effective tax rate on adjusted earnings declined to 28.5% from 29.8%.

Cboe Global's Other Markets Deliver Growth

North American Equities net revenues rose 17% year over year to a record $114.7 million. Higher industry volumes and improved net capture rates supported a 37% increase in net transaction and clearing fees. U.S. equities exchange market share declined to 9.4%, while off-exchange share increased to 18.8%.

Europe and Asia Pacific revenues advanced 20% to $84.8 million, aided by transaction, clearing and non-transaction revenue growth. Global FX revenues rose 17% to $27.6 million as average daily notional value increased 8%. Futures revenues edged up 2% to $30.6 million, driven by higher market data fees.

CBOE Raises Its 2026 Revenue Outlook

CBOE now expects organic total net revenue growth in the mid-to-high teens, compared with its prior projection of low double digits to mid-teens. The company also raised its Data Vantage organic net revenue growth target to the low teens from low double digits.

Adjusted operating expenses are still projected between $838 million and $853 million. Depreciation and amortization expenses are now expected between $54 million and $58 million, down from $56 million to $60 million. Capital expenditures are projected between $98 million and $108 million, up from the prior range of $73 million to $83 million.

Cboe Global Maintains Strong Capital Resources

Cboe Global ended the quarter with cash and cash equivalents of $2.28 billion and adjusted cash of $2.35 billion. Total debt was $1.44 billion as of June 30, 2026.

The company paid $75.7 million in dividends, or 72 cents per share, during the quarter. It also repurchased roughly 127,000 shares for $32.6 million at an average price of $256.61. CBOE had $536.8 million remaining under its existing share repurchase authorizations.

Zacks Rank

CBOE currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Performance of Other Industry Players

Nasdaq, Inc. NDAQ reported second-quarter 2026 non-GAAP earnings of $1.07 per share, up 25% year over year. The figure beat the Zacks Consensus Estimate of 98 cents by 9.18%.

Net revenues increased 15% to $1.5 billion and topped the consensus estimate of $1.4 billion by 3.87%. Growth was broad-based across all three divisions. Annualized recurring revenues rose 11% to $3.3 billion and organic ARR growth reached 12%.

Nasdaq updated its 2026 non-GAAP operating expense guidance to a range of $2.530 billion to $2.570 billion.

CME Group's CME second-quarter 2026 adjusted earnings of $2.99 per share beat the Zacks Consensus Estimate of $2.91 by 2.7%. The bottom line increased 1% from the year-ago quarter. Revenues of $1.70 billion surpassed the consensus estimate of $1.68 billion by 1.2% and rose 1% year over year.

Average daily volume (ADV) totaled 29.8 million contracts, representing the company's third-highest quarterly ADV.

Management expects full-year adjusted operating expenses, excluding license fees, of approximately $1.695 billion and capital expenditures, net of leasehold improvement allowances, of roughly $85 million. 

Intercontinental Exchange ICE reported second-quarter 2026 adjusted earnings of $1.90 per share, which rose 5.0% year over year and beat the Zacks Consensus Estimate by 3.26%. Net revenues of $2.67 billion increased 4.8% and beat the consensus mark by 1.51%.

Growth in recurring revenues, fixed income and data services, and mortgage technology offset weaker energy revenues. Recurring revenues rose 7.7% to $1.35 billion, while total futures and options open interest was up 18% year over year as of July 28. 

For 2026, ICE now expects GAAP operating expenses of $5.14-$5.18 billion and adjusted operating expenses of $4.19-$4.23 billion. Third-quarter adjusted operating expenses are projected to be $1.06-$1.07 billion.

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