Cboe Global Markets Q1 Earnings Exceed Expectations, Sees Investment Opportunities Ahead

Cboe Global Markets Inc CBOE reported first-quarter FY23 revenue of $471.40 million, up 13% year over year, missing the consensus estimate of $481 million. 

• Adjusted EPS of $1.90 (+10% Y/Y) beats the consensus estimate of $1.87.


• Strength in the derivatives business and data and access solutions bolstered Y/Y revenue growth.  


• "Recent innovations including expanded trading hours and new expirations have increased access to our suite of derivatives products, providing our diverse set of customers with tools to navigate any market environment," CEO Edward T. Tilly said.


• Adjusted operating income rose 5% Y/Y to $285.2 million, while the operating margin in the first quarter stands at 60.5%


• As of March 31, 2023, the company had adjusted cash of $435.1 million. Total debt was $1.74 billion. 


• FY23 Outlook: The company reaffirmed organic total net revenue growth, which is expected to be in the range of 7 to 9 percentage points.


• Adjusted operating expenses in 2023 are expected to be in the range of $769 million to $779 million.


• Capital Expenditure is expected to be in the range of $60 million to $66 million.


• CBOE Price Action: CBOE Global Markets shares are down 0.50% at $136.39 Friday at publication.

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