Quarter 2021 Highlights *
– EPS diluted for the quarter of $0. 98, down 5%
– EPS¹ adjusted diluted for the quarter of $1. 38, an increase of 5%
– Final quarter sales of $351 million, an increase of 18%
– Return of $79 million to shareholders from buybacks and dividends
– The company increases its biological expansion target for 2021 for non-transactional recurring earnings to 12-13%, to its previous forecast diversity of 10-11% ²
CHICAGO, July 30, 2021 / PRNewswire / – Cboe Global Markets, Inc. (Cboe: CBOE) published its monetary effects for the time of the 2021 quarter.
“In the quarter now, we saw strong year-over-year earnings expansion driven by physically powerful trading of our proprietary index products and we demanded our knowledge and response products. With the completion of our acquisition of Chi-X Asia Pacific on July 1, we further strengthened our strategic vision to build one of the world’s largest derivatives and securities networks. With the addition of Chi-X to the Cboe network, we look to the future to leverage our strong ecosystem of proprietary index products and insights and answers to succeed in an expanding global visitor network, ”said Edward T Tilly, President. of the board, president and CEO of Cboe Global Markets. “Looking at the moment part of 2021, we have a number of horny expansion projects underway. We remain on track to launch Cboe Europe Derivatives in September, expanding our global derivatives network. Finally, we remain self-confident in the face of expanding biological earnings and building our biological expansion target for recurring non-transactional earnings. This is an incredibly exciting time for Cboe, as years of constant planning and execution have brought great progress toward our strategic vision. We look forward to offering a better build price to our consumers and shareholders as we continue to expand our global network and expand on Cboe’s products and services. “
“We are pleased to report on another quarter of strong currency effects and continued momentum in the execution of our strategic priorities. Our strong cash flow generation enabled us to back off approximately $ 79 million to percentage shareholders through buybacks and quarterly percentage dividends as we proceeded to invest in the long-term expansion of our business, ”said Brian N. Schell, Executive Vice President, CFO. Officer and Treasurer of Cboe Global Markets. “We are starting part of this year in a forged monetary position. We are expanding our full-year recurring non-transactional2 profit biological expansion target from 12% to 13%, from 10% to 11% to incorporate a more powerful biological expansion. Revenues, which include acquisitions, are now expected to increase between 15% and 16%, up from the previous forecast of 11-12%, due to a stronger biological expansion and the addition of Chi-X. Our full-year expense forecast remains unchanged for 2021. While we will fully assimilate the effect of the Chi-X acquisition into our time-of-year expense base, we are forecasting a decrease in spending from what was forecast, basically due to scheduling adjustments and delays in filling vacant positions. Overall, we remain focused on proceeding to balance our long-disciplined capital allocation priorities to sustainably grow our business while maintaining a strong balance sheet and preserving incredible monetary flexibility. “
* All comparisons are for the time of the 2021 quarter compared to the same era in 2020. (1) A full reconciliation of our non-GAAP effects to our GAAP effects is included in the accompanying tables. See “Non-GAAP Information” in the appropriate monetary tables. (2) There are no express quantifications of the amounts that would be required to reconcile the projections of the company’s biological expansion, the adjusted operating expense projections and the effective tax rate on the adjusted earnings projections. The Company believes that there is uncertainty and unpredictability with respect to some of its GAAP measures, primarily similar to acquisition-like income and expenses that would be necessary to approximate GAAP revenues less income prices, GAAP operating expenses and GAAP effective tax. rate, which saves the Company from offering express guidance in safe prospective GAAP and non-GAAP reconciliations. The company believes that providing estimates of the amounts that would be required to reconcile the diversity of the company’s biological expansion, adjusted operating expenses, and the adjusted effective source of the income tax rate would imply a degree of precision that would be confusing or confusing. misleading. for investors for the reasons known above.
Consolidated second quarter results – Table 1 Table 1 below provides a summary of the company’s unaudited condensed consolidated monetary data as reported and on an adjusted basis for the 3 months ended June 30, 2021 and 2020.
table 1
Consolidated effects for the quarter
2Q21
2Q20
($ in millions according to participation)
2Q21
2Q20
change
Adjusted1
Adjusted1
change
Total revenue minus revenue
Ps
350,6
Ps
296,9
18
%
Ps
350,6
Ps
296,9
18
%
Total expenditure
Ps
160,6
Ps
135,2
19
%
Ps
128,3
Ps
95,8
34
%
Result of the operation
Ps
190,0
Ps
161,7
18
%
Ps
222,3
Ps
201,1
11
%
Operating margin %
54,2
%
54,5
%
(0,3)
Pages
63,4
%
67,7
%
(4,3)
Pages
Net source of revenue allocated to regular shareholders
Ps
105,2
Ps
113,3
(7)
%
Ps
147,4
Ps
143,3
3
%
Diluted EPS
Ps
0,98
Ps
1. 03
(5)
%
Ps
1,38
Ps
1,31
5
%
EBITDA1
Ps
231,8
Ps
201,6
15
%
Ps
233,6
Ps
211,0
11
%
EBITDA Margin 1
66,1
%
67,9
%
(1,8)
Pages
66,6
%
71,1
%
(4,5)
Pages
Total revenue minus revenue charge (referred to as “net revenue”) of $350. 6 million increased by 18%, compared to $296. 9 million in the prior year period, basically reflecting the increase in net transaction prices and compensation and capacity. 1. Inorganic net sales1 as of the 2021 quarter were $22. 2 million.
Total operating expenses were $160. 6 million compared to $135. 2 million at the time of the 2020 quarter Adjusted operating expenses¹ of $128. 3 million for construction increased 34% from $95. 8 million at the time of the 2020 quarter, primarily due to acquisitions completed in 2020, resulting in a backlog in repayment and profits and generation facilities , in addition, the construction of pro fee and external facilities increased compared to the current quarter of 2020 due to the construction of legal fees, regulatory prices and contracted facilities.
The effective tax rate for the current quarter of 2021 41. 1%, compared to 27. 5% in the current quarter of 2020 The increase consistent with the effective tax rate in 2021 is basically due to the revaluation of deferred tax liabilities in the UK after accumulation. in the United Kingdom, the tax rate from 19 cent consistent to 25 cent consistent with cent followed at the time of the quarter and as of April 1, 2023 The effective tax rate on adjusted earnings1 30. 1 consistent with cent, above 26. 7 consistent with cent at the time quarter of The increase consistent with the effective tax rate on adjusted profits at the time of the 2021 quarter is due basically to the accumulation of dubious tax positions.
The diluted EPS for the 2021 quarter decreased 5% to $0. 98. The adjusted diluted EPS1 of $1. 38 higher than 5% of the 2020 quarter results.
Information on the sector of activity:
Table 2
Total revenue less revenue for
industry
(million)
2Q21
2Q20
change
choices
Ps
178,6
Ps
150,6
19
%
U. S. equities
89,2
90,6
(2)
%
Futures contracts
27,4
20,9
31
%
Europe
41,6
21,1
97
%
Global FX
13,8
13,7
1 o’clock
%
total
Ps
350,6
Ps
296,9
18
%
(1) The tables include a complete reconciliation of our non-GAAP effects with our GAAP effects. See “Non-GAAP Information” in the currency charts.
Discussion of the effects by sector of activity:
options:
Net options profit of $178. 6 million increased to $28. 0 million, or 19%, compared to the last quarter of 2020, basically due to an accumulation in net transaction and compensation fees1, due to higher trading volumes on indexes and features of multiple lists. as well as accumulation and capacity fees and market knowledge fees.
Net transaction and clearing payments¹ increased to $20. 3 million, or 18%, reflecting a 12% increase in overall average option volume (“ADV”) and a 5% increase in overall characteristics according to contract source (“CPP”). revenue compared to the current quarter of 2020. La accumulation in the overall CPP of features is due to a substitution in the mix, with index characteristics representing a percentage consistent with the overall volume of features. features accumulated up to 31%, basically due to value adjustments and a replacement in the visitor’s approach. The CPP for the index features decreased by 5%, basically reflecting the cancellation of the payment readjustments implemented in 2020 as a reaction to the temporary closure of the trading room.
Cboe’s Options business maintained a consistent global market place with a percentage of 30. 4% for the current quarter of 2021, compared to 35. 2% in the same quarter of 2020, basically reflecting a decrease in Cboe’s multiple-list features market place consistent with the percentage for the quarter of 26. 8% compared to 31. 4% at the time of the 2020 quarter. While the market place in the place according to the percentage decreased, the gain in line with the contract increased by 31% year over year, reflecting a replacement in the number of orders in line with the order and the type of visitor.
U. S. equities (N. A. ):
NAde$89. 2 million net percentage profit decreased to $1. 4 million, or 2%, primarily due to decreased transaction and clearing fees and market knowledge fees, offset by expansion of access and capacity fees The acquisitions of BIDS Trading and MATCHNow in 2020 generated net sales of $10. 0 million for the quarter.
The minimization in net transaction and compensation expenses mainly reflects a 15% minimization in the ADV of the U. S. equity sector. U. S. As of the 2020 quarter.
Cboe US Equities had a market position percentage of 14. 3% at the time of the 2021 quarter, compared to 16. 1% at the time of the 2020 quarter, the minimization is basically due to the accumulation in the volume of otc transactions at the time of the 2021 quarter, with an average of 43. 3% of the total market volume in the market compared to 41. 8% at the time of the quarter of 2020.
Futures contracts:
Net futures revenue of $27. 4 million increased to $6. 5 million, or 31%, basically due to an accumulation in net transaction and compensation costs1.
Net transaction and compensation costs¹ increased through $6. 4 million, or 41%, reflecting a 49% build-up in THED, offset through a 5% minimization in CPP. The minimization in the CPP is basically due to the addition of Mini-VIX futures, which have one-tenth of the duration of popular VIX futures and have minimum rates compatible with the contract. The substitution in the CPP also reflects consistency with the futures volume of corporate bond indices and incentives related to market participants.
Europe :
Net sales of $41. 6 million in Europe increased by 97%, basically reflecting the addition of EuroCCP in July 2020, which contributed $11. 7 million to net sales, and has an effect on favorable exreplace rates. ) for the entire market increased by 5% during the quarter and the ADNV traded in European shares of Cboe was €7. 3 billion, up 16% from the same quarter last year, while net capture increased by 7%, reflecting a volume substitution. composition through the eBook order type.
At the time of the 2021 quarter, Cboe European Equities had a market share of 17. 4%, compared to 15. 8% at the time of the 2020 quarter, mainly due to the positive effect of a liquidity incentive programme introduced in May 2020, as well as the arrival of Swiss securities to Cboe UK’s order book in February 2021.
Global FX:
Net global foreign exchange earnings of $13. 8 million higher through 1%, basically due to the higher net transaction and clearing costs¹. ADNV traded on the Cboe FX platform $32. 5 billion for the quarter, up 2% from last year’s quarter and net capture for $1 million traded $2. 71 for the quarter, down 2%from $2. 77 at the time of the 2020 quarter.
Cboe FX had a market share of 16. 2% for the quarter, up from 16. 4% in last year’s quarter.
(1) The tables include a complete reconciliation of our non-GAAP effects with our GAAP effects. See “Non-GAAP Information” in the currency charts.
Financial rules for the monetary year 2021
The corporation has updated or reaffirmed its forecast for fiscal year 2021, as detailed below, these forecasts come with the acquisition of Chi-X by the corporation, which closed on July 1, 2021.
Non-transactional recurring revenue, explained as capacity fees and proprietary market data, is now expected to increase up to 15-16%, from a base of $342 million in 2020, above previous forecasts to 11-12%, with Biological Expansion focused on diversity from 12-13% of previous forecasts of 10-11%. The accumulation reflects the addition of Chi-X, as well as a more powerful expansion in non-transactional recurring biological revenues.
Revenue from acquisitions held for less than a year is now expected to contribute to net income expansion by a range of five to seven percentage issues in 2021, from four to six percentage issues, reflecting the addition of Chi-X on July 1. .
He reaffirmed that adjusted operating expenses range from $531 million to $539 million. The reaffirmation of adjusted expenses reflects offsetting additional expenses similar to the inclusion of Chi-X for the time part of 2021 and a relief in spending forecasts. excludes the expected amortization of the $126 million in acquired intangible assets¹, the company expects to reflect the exclusion of this amount in its non-GAAP reconciliation. 2
Amortization expense, which is included in previous adjusted operating expenses, is now expected to be between $34 million and $38 million, below the past diversity of $38 million to $42 million, the expected amortization of acquired intangible assets.
He reiterated that the effective tax rate3 on adjusted earnings for the full year deserves to be between 27. 5 and 29. 5 consistent with the cent. The corporation now expects the adjusted effective tax rate for the full year to be consistent upwards with the end of the forecast range, due to the quarter rate of the time slightly exceeding the range. Significant adjustments in transaction volume, finishing, legislation, or federal, state, and local tax rates and other elements can have a significant effect on this expectation.
Capital expenditures are now expected to be between $55 million and $60 million, below the past diversity of $60 million to $65 million, basically reflecting adjustments in the schedule of some projects.
Capital management
As of June 30, 2021, the company had adjusted money3 to $442. 6 million. Total debt as of June 30, 2021 $1,298. 5 million. The accumulation of money and debt adjusted as of June 30 compared to December 31, 2020 includes loans used to finance the acquisition of Chi-X, which closed on July 1, 2021.
The company paid monetary dividends of $45. 0 million, or $0. 42 consistent with the consistent percentage, at the time of the 2021 quarter and used $33. 7 million to repurchase 0. 3 million not unusually consistent with percentages under its consistent percentage buyback program at an average value of $101. 57 consistent with consistent as of June 30, 2021 , the company had approximately $318. 9 million of available remaining under its existing consistent percentage repurchase authorizations.
Earnings Conference Call
Cboe Global Markets executives will hold a call to review its monetary effects for the current quarter today, July 30, 2021, at 8:30 a. m. ET/7:30 a. m. CT. public via a live webcast from the Investor Relations segment of the company’s online page in www. cboe. com under Events and Presentations Participants can also pay attention by phone by calling (877) 255-4313 from the United States, (866) 450-4696 from Canada or (412) 317-5466 for overseas calls. Phone participants will need to make calls 10 minutes before the call begins. The webcast will be archived on the company’s online page for playback. Effects will also be available from approximately 11:00 a. m. CT on July 30, 2021 until 11:00 p. m. CT on August 6, 2021, by calling (877) 344-7529 from the United States, (855) 669- 9658 from Canada or (412) 317-0088 for overseas calls, the 10157218 relay code.
(1) The amount does not yet come with an estimate for the acquisition of Chi-X. (2) There are no express quantifications of the amounts that would be required to reconcile the company’s biological expansion forecasts, adjusted operating expense forecasts, and the effective tax rate on adjusted earnings forecasts. The Company believes that there is uncertainty and unpredictability with respect to some of its GAAP measures, primarily similar to acquisition-like income and expenses that would be necessary to approximate GAAP revenues less income prices, GAAP operating expenses and GAAP effective tax. rate, which saves the Company from offering express guidance in safe prospective GAAP and non-GAAP reconciliations. The company believes that providing estimates of the amounts that would be required to reconcile the diversity of the company’s biological expansion, adjusted operating expenses, and the adjusted effective source of the income tax rate would imply a degree of precision that would be confusing or misleading. . for investors for the reasons known above. (3) A full reconciliation of our non-GAAP effects to our GAAP effects is included in the accompanying tables. See “Non-GAAP Information” in the appropriate monetary tables.
About Cboe Global Markets
Cboe Global Markets (Cboe: CBOE), a leading provider of market place infrastructure and tradable products, provides cutting-edge trading, clearing and investment responses to market place participants around the world. offering leading products, technologies and knowledge responses that enable participants to outline a sustainable monetary future. Cboe offers answers and trading products across various asset classes, adding stocks, derivatives and currencies, in North America, Europe and Asia Pacific. scale in www. cboe. com.
Cautionary Statements Regarding Forward-Looking Information
This press release is forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that involve a number of dangers and uncertainties. You can identify those statements through forward-looking words such as “possibly,” “may also,” “should,” “expect,” “plan,” “anticipate,” “believe,” “estimate,” “predict,” “or “continue,” and negative unit terms and other comparable terms. All statements that reflect our expectations, assumptions or projections about the long term other than statements of old facts are forward-looking statements. Arrangements that are subject to known and unknown dangers, uncertainties and assumptions about us would possibly come with projections of our long term. execute monetary functionality based on our expansion methods and expected trends in our business. These statements are only predictions. based on our existing expectations and projections of long-term events. There are significant points that may also cause our actual results, point of activity or our functionality or achievements to differ materially from those expressed or implied through forward-looking statements.
We operate in a highly competitive and fast conversion environment. New dangers and uncertainties arise from time to time, and it is not imaginable to expect all the dangers and uncertainties, nor can we assess the effect on every point of our business. or the extent to which any factor, or combination of points, could cause effects that differ materially from those contained in the forward-looking statements.
Factors that can also cause the actual effects to vary include: they have an effect on the new coronavirus (“COVID-19”) pandemic, adding adjustments to the habit of advertising in the marketplace; the loss of our right to quote and the exclusively safe characteristics of the industry on indices and futures; economic, political and market conditions; compliance with legal and regulatory obligations; festival and worthy of consolidation in our industry; decreases in trading volumes and transparency, market awareness fees or a replacement in the combination of industrialized products in our settings; legislative or regulatory adjustments; our ability to protect our communications systems and networks from security threats, cybersecurity threats, insider threats, and the unauthorized disclosure of confidential data; development of festival of foreign and national entities; our dependence on and exposure to threats from third parties; fluctuations in exreplace rates; the ability of our index providers to maintain the quality and integrity of their indexes and to perform in accordance with our agreements; our ability to operate our business without violating the intellectual property rights of others and the relevant prices to protect our intellectual property rights; our ability to attract and retain qualified executives and other personnel; our ability to minimize threats, adding our credits and threats of default, relevant to operating a European clearinghouse; our ability to manage trade and the transparency of volume and industry traffic, adding significant increases, without failures or degradation of the functionality of our systems; misconduct by those who use our marketplaces or our products or for whom we conduct transparent transactions; demanding situations similar to our use of open source software code; our ability to meet our compliance obligations, adding the management of potential conflicts between our daily regulatory work and our reputation as a for-profit company; our ability to maintain BIDS Trading as a controlled and functional trading platform independently, separately and unincorporated with our registered national inventory adjustments; damage to our reputation; the ability of our threat control and compliance practices to adequately monitor and manage our threats; our ability to manage our expansion and our acquisitions or strategic alliances well; restrictions imposed through our debt obligations and our ability to invoice or refinance our debt obligations; our ability to maintain an investment grade credit rating; impairment of our goodwill, long-term assets, investments or intangible assets; and the accuracy of our estimates and expectations. More detailed data on the points that may possibly differ from our actual effects in our SEC filings can be found by adding our Annual Report on Form 10-K for the year ended December 31, 2020 and other documents filed from time to time. when with the second.
We do not assume, and expressly disclaim, any legal responsibility to update any forward-looking statements, whether as a result of new information, long-term occasions or otherwise, as required by law. – forward-looking statements, which speak only as of the date hereunder.
Statements of effect and abstract consolidated balance sheets are not audited and would possibly be reclassified.
Cboe Media Contacts:
Analyst Contact:
Angela Tu
Tim Cave
Debbye Koopman
(646) 856-8734
44 (0) 7593 506719
(312) 786-7136
atu@cboe. com
tcave@cboe. com
dkoopman@cboe. com
CBOE-E
Trademarks: Cboe®, Cboe Global Markets®, Cboe Volatility Index®, Bats®, BIDS Trading®, BZX®, BYX®, EDGX®, EDGA®, EuroCCP®, MATCHNow® and VIX® are registered with Cboe Global Markets, Inc. and its subsidiaries. All other trademarks and service marks are the property of their respective owners.
Cboe, Inc. ‘s Global Markets
Key functionality statistics across the segment
2o 2021
1 of 2021
4 ° 2020
3 ° 2020
2Q 2020
choices
Total ADV (in thousands)
36 442
41 974
32 197
29 535
28 243
Total corporate ADV (in thousands)
11,092
12 681
10 299
9 569
9 944
Multiple-list options
9 254
10 779
8 705
8 136
8 354
Indexing options
1 838
1902
1 595
1 433
1 590
Total percentage of options on the market
30. 4
%
30,2
%
32,0
%
32,4
%
35,2
%
Multiple-list options
26,8
%
26,9
%
28,5
%
29,0
%
31,4
%
Indexing options
98,7
%
99,0
%
99,3
%
98,9
%
99,4
%
Total RPC options:
Ps
0,192
Ps
0,177
Ps
0,182
Ps
0,173
Ps
0,182
Multiple-list options
Ps
0,067
Ps
0,067
Ps
0,068
Ps
0,056
Ps
0,051
Indexing options
Ps
0,823
Ps
0,803
Ps
0,809
Ps
0,842
Ps
0,870
U. S. equities
U. S. Equities – Stock Exchange:
Total ADV (shares in billions)
10,5
14,7
10,5
9,9
12,4
Market share%
14. 3
%
15,0
%
15,1
%
15,1
%
16,1
%
Net catch (per hundred affected populations)
Ps
0,020
Ps
0,015
Ps
0,015
Ps
0,017
$
0,025
U. S. equities – over-the-counter:
ADV (actions affected, in millions)
75,8
99,5
N/A
N/A
N/A
Net catch (per hundred affected populations)
Ps
0,123
Ps
0,121
N/A
N/A
N/A
Canadian equities:
ADV (equal shares, in millions)
47,4
71,4
45,2
40,0
N/A
Total market share%
3,5
%
3. 1
%
3. 3
%
3. 3
%
N/A
Market share – TSX QUOTED VOLUME
5,0
%
4. 6
%
4,7
%
4,7
%
N/A
Net (per 10,000 shares, in Canadian dollars)
Ps
7. 782
Ps
7. 184
Ps
8. 300
Ps
8. 200
N/A
Futures contracts
ADV (in thousands)
214
256
159
172
144
Prc
Ps
1. 648
Ps
1. 639
Ps
1. 575
Ps
1. 527
Ps
1. 743
Europe
behaviour:
Total ADNV (Euros – in billions)
€
42,0
€
44,8
€
37,5
€
31,5
€
40,1
Market share%
17,4
%
16,8
%
17,5
%
17,7
%
15,8
%
Net (bps)
€
0,267
€
0,284
€
0,259
€
0,245
€
0,248
EuroCCP:
Settled transactions (in thousands)
294 801,9
298 223,5
290 181. 9
255 293,1
N/A
Fee consistent with settled transaction
€
0,011
€
0,011
€
0,011
€
0,011
N/A
Net contract volume (shares in thousands)
2 367,3
2 423,2
2 132,7
1952,3
N/A
Net commission by regulation
€
0,893
€
0,865
€
0,803
€
0,785
N/A
Global FX
Market share%
16,2
%
16. 5
%
16,7
%
15,9
%
16,4
%
ADNV ($ in billions)
Ps
32,5
Ps
37,1
Ps
33,7
Ps
30,2
Ps
31,8
Net catch (per one million traded)
Ps
2,71
Ps
2. 65
Ps
2,64
Ps
2,70
Ps
2,77
ADV = mean daily volume; ADNV = daily average theoretical value. The CPP, average profit consistent with the contract, for characteristics and futures contracts, is the total of the net transaction prices recorded for the consistent period divided by the general contracts traded during the consistent period. US Stocks – Exchange, “net catch consistent with one hundred affected shares” refers to the transaction prices minus the liquidity bills and the routing and clearing prices divided by the product of one hundredth ADV of the affected shares in BZX, BYXArray EDGX and EDGA and the number of days transferred. US Stocks: Awareness of OTC reflects Cboe’s acquisition of BIDS Trading, effective December 31, 2020. For US stocks the product of one hundredth of ADV consistent with the percentages affected in BIDS Trading and the number of trading days for the consistent period. Canadian equity awareness reflects the acquisition of MATCHNow as of August 4, 2020. Canadian stocks, “net catch consistent with 10,000 consistent with percentages” refers to transaction prices divided by the product of one ten thousandth of a ARV of movements for MATCHNow and the number of trading days. The percentage-consistent total market place represents the volume of MATCHNow divided by the total volume of the Canadian equity market place. The market place of volume indexed by TSX consistent with the percentage represents the volume of MATCHNow divided by the total volume of shares indexed in TSX. European equities, “net catch consistent with matched notional value” refers to transaction prices minus sterling liquidity bills divided by the product of the sterling ADNV of the matched shares in Cboe Europe Equities and the number of trading days. acquisition of EuroCCP as of July 1, 2020. “Transactions settled” refers to the total number of non-interoconsistent transmovement movements cleared, “Rate consistent with the settled transaction” refers to the compensation payment divided by the number of transmovement transactions cleared Non-interoconsistent settled, “Net deal volume” refers to the total number of deals executed after clearing, and “Net rate consistent with the deal” refers to the deal prices minus the direct prices incurred by the split deal. between the number of deals executed after clearing. Global FX, “net capture consistent with millions of dollars traded” refers to the transaction invoices minus the liquidity invoices, if any, divided between the Spot and SEF products of one thousandth of ADNV traded in the market places of Cboe currencies and the number of trading days, divided by two, representing the customer and dealer who are qualified in the transaction. The consistent market percentage represents the volume of Cboe FX divided by the total volume of the spot exchange platforms (Cboe FX, EBS, Refinitiv and Euronext FX) that are publicly reporting. Average transaction invoices consistent with the contract can be affected by a variety of factors, adding currency exchange rates, volume-based discounts, and a combination of transfers via contract type and product type.
Cboe Global Markets, Inc. and its subsidiaries
Summary of consolidated statement of operations (unaudited)
Three and six months ended June 30, 2021 and 2020
Three months ended June 30
Six months ended June 30
(million, amounts consistent with participation)
2021
2020
2021
2020
income:
Transaction fees and compensation
Ps
618,2
Ps
618,3
Ps
1 381,4
Ps
1 279,8
Access and fees
67,1
55,7
133,5
113,4
Market awareness fees
62,8
58,7
126,6
114,9
Regulatory fees
36,9
128,7
138,4
265,5
Other income
15,8
7. 3
31,7
16,6
Total revenue
800,8
868,7
1 811,6
1 790,2
Cost of income:
Liquidity payments
377,9
415,6
879,7
808. 0
Routing and erasure
19,9
17,7
47,0
33,7
Section 31 rates
28,8
119,0
120,7
246,4
Royalties
20,3
19,4
40,6
46,8
Another
3. 3
0,1
7. 5
0,1
Total revenue
450,2
571,8
1095,5
1 135,0
Income minus income
350. 6
296,9
716. 1
655,2
Operating expenses:
Benefits and compensation
67,7
54,9
140,0
108,2
Depreciation and amortization
40,6
38,0
82,6
78,5
Technological services
16,2
12,5
33,4
24,4
Professional and external services
22,4
12,3
38,0
27,2
Travel and promotion expenses
1,9
0,9
3,5
3,0
Installation costs
5. 4
4. 1
10,7
8. 2
Acquisition cost
1,8
9. 4
5. 2
10,2
Other expenditure
4. 6
3. 1
8. 1
7. 4
Total expenditure
160,6
135,2
321,5
267. 1
Result of the operation
190,0
161,7
394,6
388,1
Non-operational source of income (expenditure):
Interest expense, net
(12,3)
(7,3)
(24,6)
(14,6)
Other revenue, net
1,5
2. 2
2. 1
0,6
Total non-operational source of income (expenditure)
(10,8)
(5,1)
(22,5)
(14,0)
Profit before the source of income tax
179,2
156,6
372. 1
374,1
Income tax provision
73,7
43,0
129,4
103,1
net income
105,5
113,6
242,7
271. 0
Net profit allocated to equity values
(0,3)
(0,3)
(0,7)
(0,7)
Net source of revenue allocated to regular shareholders
Ps
105,2
Ps
113,3
Ps
242,0
Ps
270,3
Net income consistent with consistent with percentage allocated to non-unusual consistent with percentage holders:
Basic benefits consistent with participation
Ps
0,99
Ps
1. 04
Ps
2,26
Ps
2,46
Diluted benefits consistent with the action
0,98
1. 03
2,26
2,45
Weighted average shares used in the calculation of the source of income according to the share:
basic
106,8
109,5
107,1
109,9
diluted
106,9
109,6
107,3
110,1
Cboe Global Markets, Inc. and its subsidiaries
Summary of consolidated (unaudited) sheets
June 30, 2021 and 2020
June 30
31 December,
(million)
2021
2020
Strengths
Current assets:
Cash and money equivalents
Ps
450,9
$
245,4
Financial investments
118,7
92,4
Accounts receivable, net
333,1
337,3
Margin deposits and clearing funds
1 188,2
812. 1
Taxes on accounts receivable
39,7
53,1
Other assets
50,2
26,5
Total assets
2 180,8
1 566,8
investments
41,1
42,7
Earthworms
2. 3
–
Ownership and equipment, net
95,6
82,6
Property maintained for sale
–
13,0
Right-to-use assets under lease
113,7
111,0
willingness
2 899,5
2 895,1
Net intangible assets
1 670,4
1 729,0
Other assets
93,1
76,3
Total assets
Ps
7. 096,5
Ps
6 516,5
Commitments and equity
Current liabilities:
Accounts payable and liabilities
Ps
260,0
Ps
250,0
Section 31 payable
120,9
152,9
Deferred income
17. 2
10,2
Margin deposits and clearing funds
1 188,2
812. 1
Taxes payable on income
4. 8
4. 2
Tranche of long-term debt
–
68,7
Current portion of contingent counterparty liabilities
12,9
15. 2
Total responsibility
1 604,0
1313,3
Long-term debt
1 298,5
1 135,2
Unrecognized tax benefits
187,5
164,7
Deferred taxes
384,1
377,6
Non-current lease liabilities
134,0
132,1
Contingent counterparty liabilities
13,7
17,5
Other non-current liabilities
32,2
27,2
Total responsibilities
3 654,0
3 167,6
capital:
Favorite action
–
–
Share
1. 3
1. 2
Cost-specific actions
(1337,5)
(1 250,4)
Issue premium
2 730,7
2 713,3
Retained earnings
1 962,2
1 809,8
Accumulation of comprehensive income, net
85,8
75,0
Total equity for shareholders
3 442,5
3 348,9
Total liabilities and equity
Ps
7. 096,5
Ps
6 516,5
Non-GAAP Information
In addition to disclosing the effects we made of our GAAP decision, Cboe Global Markets disclosed certain non-GAAP measures of inconsistency consistent with compliance. These measures do not agree with or update GAAP and would likely be different or inconsistent with non-GAAP monetary measures used through other companies The non-GAAP measures provided in this press release include net transaction and compensation expenses, expenses adjusted or consistent with expenses, net biological income , net inbiological income, margin, source of adjusted net income for non-unusual shareholders and adjusted diluted earnings consistent with the stock. , effective tax rate on adjusted earnings, adjusted cash, EBITDA, EBITDA margin, adjusted EBITDA and adjusted EBITDA margin.
Management believes that the non-GAAP monetary measures presented in this press release, which aggregate adjusted operating income, biological sales and adjusted operating expenses, provide additional and comparative data to assess trends in our core business and a way to evaluate from one era to another. Comparisons. Non-GAP monetary measures disclosed through control are provided as additional data to investors in order to provide them with a choice approach to assessing our monetary condition and the effects of operations.
Organic net profit, inbiological net profit, non-transactional biological benefit, and forecasted biological net profit: these are non-GAAP monetary measures that exclude or have been adjusted to reflect the effect on our acquisitions for the time or forecasts, as applicable. Management believes that the biological expansion of net earnings and management measures provide users with more insight into the company’s current and prospective earnings functionality and trends through the presentation of earnings expansion and do not have an effect on acquisition instructions. one year is considered biological and is no longer excluded from the net biological benefits of either epoch for comparison purposes.
Amortization of acquired intangible assets: We amortize the intangible assets acquired through various acquisitions. The amortization of intangible assets is not uniform in terms of quantity and frequency and is particularly affected by the timing and duration of our acquisitions. it is included in the functionality measures, it is more complicated to evaluate the daily operational functionality of corporations, the relative operational functionality of corporations between periods and the profitability of the company. a further basis for comparison between accounting periods.
Acquisition-related expenses: From time to time, we have pursued acquisitions, which have resulted in expenses that would not otherwise have been incurred in the general course of the corporation’s business activities. These expenses come with integration fees as well as legal fees, due diligence fees and other third-party transaction fees. The frequency and amount of such expenses vary significantly depending on the size, timing, and complexity of the transaction. Accordingly, we exclude those prices for the purpose of calculating non-GAA measures. they provide more research into Cboe’s ongoing operational functionality or comparisons of Cboe functionality between periods.
The tables below show the reconciliation of each of the monetary measures from GAAP to non-GAAP. Non-GAAP monetary measures exclude the effect on the pieces detailed below and are called adjusted monetary measures.
Organic reconciliation of income
Table 3
Three months ended
Six months ended
(million)
June 30
June 30
Reconciliation of profit minus charge of profit with biological gain
2021
2020
2021
2020
Income minus income (net income)
Ps
350,6
Ps
296,9
Ps
716. 1
Ps
655,2
Fewer acquisitions:
Acquisition turnover less billing load (inorganic billing)
Ps
(22,2)
Ps
–
Ps
(49,0)
Ps
–
Organic sales
Ps
328,4
Ps
296,9
Ps
667. 1
Ps
655,2
Reconciliation of GAAP and non-GAAP information
Three months ended
Six months ended
Table 4
June 30
June 30
(million, amounts consistent with participation)
2021
2020
2021
2020
Reconciliation of the net source of income allocated to non-unusual non-GAP shareholders (as shown in Table 1)
Net source of income attributed to regular shareholders
Ps
105,2
Ps
113,3
Ps
242,0
Ps
270,3
Non-GAAP adjustments
Acquisition costs (1)
1,8
9. 4
5. 2
10,2
Amortization of acquired intangibles (2)
30,5
30,0
63,4
62,5
Total non-GAGA settings
32,3
39,4
68,6
72,7
Income tax expense similar to the above items
(7,7)
(9,3)
(15,9)
(16,9)
Deferred tax revaluations
17,7
–
17,7
–
Net source of income allocated to equity – effect on reconciliation items
(0,1)
(0,1)
(0,2)
(0,5)
Adjusted net source of income attributed to regular shareholders
Ps
147,4
Ps
143,3
Ps
312. 2
Ps
325,6
Diluted EPS reconciliation with non-GAAP
Diluted benefits consistent with non-unusual participation
Ps
0,98
Ps
1. 03
Ps
2,26
Ps
2,45
Impact consistent with the action of the non-GAAP adjustments mentioned above
0,40
0,28
0,65
0,51
Adjusted diluted benefits consistent with non-unusual participation
Ps
1,38
Ps
1,31
Ps
2,91
Ps
2,96
Margin reconciliation with non-GAAP
Lower billing
Ps
350,6
Ps
296,9
Ps
716. 1
Ps
655,2
Non-GAGA changes discussed above
–
–
–
–
Adjusted profit minus profit
Ps
350,6
Ps
296,9
Ps
716. 1
Ps
655,2
In operation (3)
Ps
160,6
Ps
135,2
Ps
321,5
Ps
267. 1
Non-GAGA changes discussed above
32,3
39,4
68,6
72,7
Adjusted expenses
Ps
128,3
Ps
95,8
Ps
252,9
$
194,4
Result of the operation
Ps
190,0
Ps
161,7
Ps
394,6
Ps
388,1
Non-GAGA changes discussed above
32,3
39,4
68,6
72,7
Adjusted profit
Ps
222,3
Ps
201,1
Ps
463,2
Ps
460,8
Adjusted margin (4)
63,4
%
67,7
%
64,7
%
70,3
%
Reconciliation of the source of the income and non-GAP tax rate
Income taxes
179,2
156,6
372. 1
374,1
Non-GAGA changes discussed above
32,3
39,4
68,6
72,7
Adjusted earnings before the source of income tax
Ps
211,5
Ps
196,0
Ps
440,7
Ps
446,8
Income from tax expenses
73,7
43,0
129,4
103,1
Non-GAGA changes discussed above
(10,0)
9. 3
(1,8)
16,9
Adjusted fiscal expenditure
Ps
63,7
Ps
52,3
Ps
127,6
Ps
120,0
Source of adjusted income tax rate
30,1
%
26,7
%
29,0
%
26,9
%
(1) This amount includes external fees and services, severance pay, installation costs, impairment fees and other prices similar to the company’s acquisitions.
(2) This amount represents the depreciation of acquired intangible assets similar to the acquisitions of the company.
(3) The corporation will sponsor deferred compensation plans held in trust. Expenses or sources of income similar to deferred payment plans are included in “Compensation and Benefits” ($1. 1 million and $2. 2 million in expenses for the 3 months ended June 30, 2021 and 2020, respectively, and $1. 4 million and $0. 1 million for the six months ended June 30, 2021 and 2020 Array respectively) , and are offset directly through income, expenses and dividends for deferred amortization included in “Other Net Income” ($1. 1 million and $2. 2 million in revenue, expenses and dividends in the quarter ended June 30, 2021 and 2020, respectively, and $1. 4 million and $0. 1 million in the six months ended June 30, 2021 and 2020 Array respectively) , the consolidated income statements. excluded from “adjusted operating expenses” and have no effect on “Profit before tax”.
(4) Adjusted operating margin represents the source of adjusted operating profit divided by adjusted profit minus the profit charge.
EBITDA reconciliations
EBITDA (earnings before interest, source of income tax, depreciation and amortization) and Adjusted EBITDA are widely used non-GAAP monetary measures of operating functionality. EBITDA margin is EBITDA divided by earnings minus earnings charge (net source of earnings). It is presented as additional data that the company considers useful for investors to assess its effects because it excludes certain pieces that are not directly similar to the fundamental operational functionality of the company. EBITDA is calculated by adding interest expense, tax expense, depreciation, and amortization to the net source of earnings. Adjusted EBITDA is calculated by adding similar acquisition expenses to EBITDA. EBITDA and Adjusted EBITDA should not be considered as a replacement for the source of net profit, as an indicator of the operational functionality of the company, nor as cash flow, as a measure of the liquidity of the company. corporate. Also, since EBITDA and Adjusted EBITDA might not be calculated in the same way for all companies, the presentation here might not be comparable to other measures with the same call from other companies. Adjusted EBITDA margin represents Adjusted EBITDA divided by Net Sales.
Table 5
Three months ended
Six months ended
(million)
June 30
June 30
Reconciliation of the net source of income assigned to regular shareholders with the adjusted EBITDA and the EBITDA (according to Table 1)
2021
2020
2021
2020
Net source of income attributed to regular shareholders
Ps
105,2
Ps
113,3
Ps
242,0
Ps
270,3
Interest expense, net
12,3
7. 3
24,6
14,6
Income tax provision
73,7
43,0
129,4
103,1
Depreciation and amortization
40,6
38,0
82,6
78,5
EBITDA
Ps
231,8
Ps
201,6
Ps
478,6
Ps
466,5
EBITDA margin
66,1
%
67,9
%
66,8
%
71,2
%
Non-GAP changes included in the preceding items
Acquisition cost
1,8
9. 4
5. 2
10,2
Adjusted EBITDA
Ps
233,6
Ps
211,0
Ps
483,8
Ps
476,7
Adjusted EBITDA margin
66,6
%
71,1
%
67,6
%
72,4
%
Table 6
(million)
June 30
31 December,
Reconciling money and money equivalents with adjusted money
2021
2020
Cash and money equivalents
Ps
450,9
Ps
245,4
Financial investments
118,7
92,4
Least deferred payment plan assets
(25,6)
(24,5)
Less cash charged for segment 31 rates
(101,4)
(103,0)
Adjusted cash
Ps
442,6
Ps
210,3
Table 7
(million)
Transaction price reconciliation and clearing – Three months ended June 30, 2021 and 2020
Consolidated
Options segment
N. A. Stock Segment
Term segment
Segment Europe
Global foreign segment
Three months ended
Three months ended
Three months ended
Three months ended
Three months ended
Three months ended
June 30
June 30
June 30
June 30
June 30
June 30
2021
2020
2021
2020
2021
2020
2021
2020
2021
2020
2021
2020
Transaction fees and compensation
Ps
618,2
Ps
618,3
Ps
283,2
Ps
250,8
Ps
268,0
Ps
325,1
$
22,2
Ps
15,8
Ps
33,3
Ps
15,2
Ps
11,5
Ps
11,4
Liquidity payments
(377,9)
(415,6)
(144,1)
(132,0)
(228,4)
(279,4)
–
–
(5,4)
(4,2)
–
–
Routing and erasure
(19,9)
(17,7)
(5,0)
(5,0)
(10,0)
(12,7)
–
–
(4,9)
–
–
–
Net transaction and compensation costs
Ps
220,4
Ps
185,0
Ps
134,1
Ps
113,8
Ps
29,6
Ps
33,0
Ps
22,2
Ps
15,8
Ps
23,0
Ps
11,0
Ps
11,5
Ps
11,4
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SOURCE Cboe Global Markets, Inc.