Intercontinental Trade ICE reported first-quarter 2024 adjusted earnings per share of $1.48, in step with the Zacks Consensus Estimate. The underside line elevated about 5% on a year-over-year foundation.
Intercontinental delivered stable ends in all three segments. The efficiency mirrored the energy of a balanced and diversified enterprise in addition to the outcomes of the strategic investments it has made.
Efficiency in Element
Intercontinental’s revenues, much less transaction-based bills, had been a document $2.3 billion, up 21% yr over yr. The highest line, nevertheless, missed the Zacks Consensus Estimate by 0.4%.
Whole working bills elevated 32.4% yr over yr to $1.2 billion. This may be primarily attributed to greater compensation and advantages, skilled companies, acquisition-related transaction and integration prices, know-how and communication, hire and occupancy, promoting, common and administrative, and depreciation and amortization expense. Our estimate was $1.1 billion.
Adjusted working bills had been $930 million within the quarter, up 25.7% yr over yr. Our estimate was $939.5 million.
Adjusted working earnings rose 17.6% yr over yr to $1.4 billion. Our estimate was $1.3 billion. Adjusted working margin contracted 200 foundation factors (bps) yr over yr to 59%.
Intercontinental Trade Inc. Worth, Consensus and EPS Shock
Intercontinental Exchange Inc. price-consensus-eps-surprise-chart | Intercontinental Trade Inc. Quote
Section Particulars
Exchanges‘ internet revenues had been $1.2 billion, up 75% yr over yr. The Zacks Consensus Estimate was pegged at $1.5 billion. Our estimate was $1.6 billion.
Adjusted working earnings of $916 million was up 13.2% yr over yr. Our estimate was $785 million.
Adjusted working margin expanded 100 foundation factors yr over yr to 75%. Our estimate was 68.5%.
Mounted Earnings and Information Providers‘ revenues had been $568 million, which elevated 46% yr over yr. Our estimate was $571 million. The Zacks Consensus Estimate was pegged at $578 million.
Adjusted working earnings rose 1.1% to $259 million. Our estimate was $188 million.
Adjusted working margin contracted 100 bps yr over yr to 46%. Our estimate was 32.9%.
Mortgage Expertise’s revenues elevated 37% to $449 million. Our estimate was $534 million. The Zacks Consensus Estimate was pegged at $530.5 million.
Adjusted working earnings of $185 million greater than doubled yr over yr. The Zacks Consensus Estimate was pegged at $276 million.
Adjusted working margin expanded 100 bps yr over yr to 37%.
Monetary Replace
As of Mar 31, 2024, Intercontinental had money and money equivalents, together with short-term restricted money and money equivalents of $2.1 billion, up 46.2% from Dec 31, 2023. Lengthy-term debt of $20 billion decreased 208% from 2023-end.
Whole fairness was $26.3 billion as of Dec 31, 2023, up 2% from 2023-end.
Working money move was $1 billion within the first quarter of 2024, up 54.5% yr over yr. Adjusted free money move was $877 million, up 30.3% yr over yr.
Intercontinental paid out $258 million in dividends within the first quarter of 2024.
Second-Quarter 2024 Steerage
GAAP working bills are anticipated within the vary of $1.21-$1.22 billion. Adjusted working bills are projected to be between $945 million and $955 million.
GAAP non-operating expense is anticipated to be between $225 million and $230 million. Adjusted non-operating expense is usually recommended within the vary of $205-$210 million.
Share depend is forecast within the vary of 572-578 million.
2024 Steerage
The corporate expects Mortgage Expertise revenues to lower to low single digits.
GAAP working bills are anticipated to be within the vary of $4.87-$4.90 billion. Adjusted working bills are envisioned to be between $3.79 billion and $3.82 billion.
The efficient tax fee is projected to be between 22% and 26%.
Dividend Replace
The board of administrators permitted a dividend of 45 cents per share for the primary quarter of 2024. The dividend will likely be paid out on Mar 29 to shareholders of document as of Mar 14.
Zacks Rank
Intercontinental at present carries a Zacks Rank #3 (Maintain). You possibly can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Efficiency of Friends
CME Group Inc. CME reported first-quarter 2024 adjusted earnings per share of $2.50, which beat the Zacks Consensus Estimate by 2.4%. The underside line elevated 3.3% yr over yr. Revenues of $1.5 billion elevated 3.2% yr over yr. The year-over-year enhance was primarily because of greater clearing and transaction charges (up 0.7% yr over yr), market information and knowledge companies (up 5.8% yr over yr) and different (37% yr over yr). The highest line beat the Zacks Consensus Estimate by 0.8%.
CME Group reported common each day quantity (ADV) was 26.4 million contracts, which decreased 1.9% yr over yr. Non-U.S. ADV reached 7.4 million contracts. The entire common fee per contract was 69.5 cents.
Nasdaq NDAQ reported first-quarter 2024 adjusted earnings per share of 63 cents, which missed the Zacks Consensus Estimate by 3.1%. The underside line declined 8.7% yr over yr. Nasdaq’s revenues of $1.1 billion elevated 22% yr over yr. The upside can primarily be attributed to a 6% influence from natural progress, internet profit from acquisitions and divestitures, together with Adenza, and a $2 million enhance from the influence of modifications in FX charges. The highest line beat the Zacks Consensus Estimate by 0.3%.
Annualized Recurring Income (ARR) elevated 29% yr over yr to $2.6 billion. Adjusted working margin of 53% expanded 100 foundation factors yr over yr. The Nasdaq inventory market welcomed 79 new firm listings within the first quarter of 2024, together with 27 preliminary public choices. The variety of listed corporations was 4,020 at quarter finish.
Nasdaq expects 2024 non-GAAP working bills to be within the vary of $2.125 billion to $2.185 billion.
Upcoming Launch
Cboe World Markets, Inc. CBOE is slated to report first-quarter 2024 outcomes on Could 3, earlier than market open. The Zacks Consensus Estimate for first-quarter earnings per share is pegged at $2.04, suggesting a rise of seven.3% from the year-ago quarter’s reported determine.
CBOE’s earnings beat estimates in every of the final 4 quarters.
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Intercontinental Exchange Inc. (ICE) : Free Stock Analysis Report
CME Group Inc. (CME) : Free Stock Analysis Report
Nasdaq, Inc. (NDAQ) : Free Stock Analysis Report
Cboe Global Markets, Inc. (CBOE) : Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the writer and don’t essentially replicate these of Nasdaq, Inc.
