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Exhibit 99.1
Intercontinental Exchange Reports Strong Full Year 2024 Results
19th consecutive year of record revenues
| · 2024 net revenues of $9.3 billion, +16% y/y | Jeffrey C. Sprecher, ICE Chair & Chief Executive Officer, said, "We are pleased to report our 19th consecutive year of record revenues and continued earnings per share growth. Our track record of growth is a testament to the resilience of our "all-weather" business model, which through an array of macroeconomic environments, continues to deliver compounding growth as customers access our leading networks to manage risk, consume our mission-critical data and drive greater workflow efficiencies. As we shift to 2025, we remain focused on bringing efficiencies to our customers' workflows and creating value for our stockholders." | |
| · 2024 GAAP diluted EPS of $4.78, +14% y/y | ||
| · 2024 adj. diluted EPS of $6.07, +8% y/y | ||
| · Record 2024 operating income of $4.3 billion, +17% y/y; record adj. operating income of $5.5 billion, +16% y/y | ||
| · 2024 operating margin of 46%; adj. operating margin of 59% | ||
| · Record annual operating cash flow of $4.6 billion, +30%; record adj. free cash flow of over $3.6 billion, +13% y/y | ||
| · Expect to resume share repurchases in the first quarter |
ATLANTA & NEW YORK, February 6, 2025 - Intercontinental Exchange (NYSE: ICE), a leading global provider of technology and data, today reported financial results for the fourth quarter and full year of 2024. For the quarter ended December 31, 2024, consolidated net income attributable to ICE was $698 million on $2.3 billion of consolidated revenues less transaction-based expenses. Fourth quarter GAAP diluted earnings per share (EPS) were $1.21. Adjusted net income attributable to ICE was $875 million in the fourth quarter and adjusted diluted EPS were $1.52.
For the full year of 2024, consolidated net income attributable to ICE was $2.8 billion on $9.3 billion of consolidated revenues less transaction-based expenses. Full year 2024 GAAP diluted EPS was $4.78, up 14% year-over-year. On an adjusted basis, net income attributable to ICE for the year was $3.5 billion and adjusted diluted EPS was $6.07, up 8% year-over-year.
Please refer to the reconciliation of non-GAAP financial measures included in this press release for more information on our adjusted operating expenses, adjusted operating income, adjusted operating margin, adjusted net income, adjusted diluted EPS and adjusted free cash flow.
Warren Gardiner, ICE Chief Financial Officer, added: "As we look back on 2024, our record revenue and operating income demonstrate the strength and resiliency of our unique business model. Our strong and growing cash flows enabled us to reinvest in our business and pay dividends of over $1 billion to stockholders while also significantly reducing leverage. As we enter 2025, we are well positioned to achieve our growth objectives and to invest in our business to strengthen our foundation for continued growth in the future."
1
Fourth Quarter and Full Year 2024 Business Highlights
Fourth quarter consolidated net revenues were $2.3 billion, up 6% year-over-year, including exchange net revenues of $1.2 billion, fixed income and data services revenues of $579 million and mortgage technology revenues of $508 million. Consolidated operating expenses were $1.2 billion for the fourth quarter of 2024. On an adjusted basis, consolidated operating expenses were $973 million. Consolidated operating income for the fourth quarter was $1.1 billion and the operating margin was 46%. On an adjusted basis, consolidated operating income for the fourth quarter was $1.4 billion and the adjusted operating margin was 58%.
Full year 2024 consolidated net revenues were $9.3 billion, up 16% year-over-year, including exchange net revenues of $5.0 billion, fixed income and data services revenues of $2.3 billion and mortgage technology revenues of $2.0 billion. Consolidated operating expenses were $5.0 billion for 2024. On an adjusted basis, consolidated operating expenses were $3.8 billion. Consolidated operating income for the year was $4.3 billion and the operating margin was 46%. On an adjusted basis, consolidated operating income for the year was $5.5 billion and the adjusted operating margin was 59%.
| Net
Revenue | Op Margin | Adj
Op Margin | Net
Revenue | Op Margin | Adj
Op Margin | |||||||||||||||||||
| $ (in millions) | Full Year 2024 | 4 Q24 | ||||||||||||||||||||||
| Exchanges | $ | 4,959 | 73 | % | 75 | % | $ | 1,236 | 73 | % | 75 | % | ||||||||||||
| Fixed Income and Data Services | $ | 2,298 | 37 | % | 45 | % | $ | 579 | 36 | % | 43 | % | ||||||||||||
| Mortgage Technology | $ | 2,022 | (8 | )% | 36 | % | $ | 508 | (7 | )% | 35 | % | ||||||||||||
| Consolidated | $ | 9,279 | 46 | % | 59 | % | $ | 2,323 | 46 | % | 58 | % | ||||||||||||
| FY24 | FY23 | % Chg | 4Q24 | 4Q23 | % Chg | |||||||||||||||||||
| Recurring Revenue | $ | 4,829 | $ | 4,138 | 17 | % | $ | 1,215 | $ | 1,199 | 1 | % | ||||||||||||
| Transaction Revenue, net | $ | 4,450 | $ | 3,850 | 16 | % | $ | 1,108 | $ | 1,002 | 11 | % |
2
Exchanges Segment Results
Fourth quarter exchange net revenues were $1.2 billion, up 9% year-over-year. Exchange operating expenses were $334 million and on an adjusted basis, were $313 million in the fourth quarter. Segment operating income for the fourth quarter was $902 million and the operating margin was 73%. On an adjusted basis, operating income was $923 million and the adjusted operating margin was 75%.
| $ (in millions) | 4Q24 | 4Q23 | % Chg | Const Curr(1) | ||||||||||||
| Revenue, net: | ||||||||||||||||
| Energy | $ | 477 | $ | 414 | 16 | % | 16 | % | ||||||||
| Ags and Metals | 54 | 63 | (13 | )% | (13 | )% | ||||||||||
| Financials(2) | 151 | 116 | 30 | % | 27 | % | ||||||||||
| Cash Equities and Equity Options | 114 | 99 | 15 | % | 15 | % | ||||||||||
| OTC and Other(3) | 87 | 89 | (3 | )% | (3 | )% | ||||||||||
| Data and Connectivity Services | 230 | 234 | (2 | )% | (2 | )% | ||||||||||
| Listings | 123 | 121 | 1 | % | 1 | % | ||||||||||
| Segment Revenue | $ | 1,236 | $ | 1,136 | 9 | % | 9 | % | ||||||||
| Recurring Revenue | $ | 353 | $ | 355 | (1 | )% | (1 | )% | ||||||||
| Transaction Revenue, net | $ | 883 | $ | 781 | 13 | % | 13 | % | ||||||||
(1) Net revenues in constant currency are calculated holding both the pound sterling and euro at the average exchange rate from 4Q23, 1.2420 and 1.0765, respectively.
(2) Financials include interest rates and other financial futures and options.
(3) OTC & other primarily includes physical energy, interest income on certain clearing margin deposits, regulatory penalties and fines, fees for use of our facilities, regulatory fees charged to member organizations of our U.S. securities exchanges, designated market maker service fees, technology development fees, exchange member fees, and agriculture grading and certification fees.
Full year exchange net revenues were $5.0 billion, up 12% year-over-year. Exchange operating expenses were $1.3 billion and on an adjusted basis, were $1.2 billion for the full year. Segment operating income for 2024 was $3.6 billion and the operating margin was 73%. On an adjusted basis, operating income was $3.7 billion and the adjusted operating margin was 75%.
3
| $ (in millions) | FY24 | FY23 | % Chg | Const Curr(1) | ||||||||||||
| Revenue, net: | ||||||||||||||||
| Energy | $ | 1,876 | $ | 1,498 | 25 | % | 25 | % | ||||||||
| Ags and Metals | 257 | 271 | (5 | )% | (5 | )% | ||||||||||
| Financials(2) | 559 | 460 | 22 | % | 19 | % | ||||||||||
| Cash Equities and Equity Options | 431 | 383 | 13 | % | 13 | % | ||||||||||
| OTC and Other(3) | 400 | 398 | — | — | ||||||||||||
| Data and Connectivity Services | 947 | 933 | 2 | % | 2 | % | ||||||||||
| Listings | 489 | 497 | (2 | )% | (2 | )% | ||||||||||
| Segment Revenue | $ | 4,959 | $ | 4,440 | 12 | % | 11 | % | ||||||||
| Recurring Revenue | $ | 1,436 | $ | 1,430 | — | % | — | % | ||||||||
| Transaction Revenue, net | $ | 3,523 | $ | 3,010 | 17 | % | 17 | % | ||||||||
(1) Net revenues in constant currency are calculated holding both the pound sterling and euro at the average exchange rate from 2023, 1.2438 and 1.0817, respectively.
(2) Financials include interest rates and other financial futures and options.
(3) OTC & other primarily includes physical energy, interest income on certain clearing margin deposits, regulatory penalties and fines, fees for use of our facilities, regulatory fees charged to member organizations of our U.S. securities exchanges, designated market maker service fees, technology development fees, exchange member fees, and agriculture grading and certification fees.
Fixed Income and Data Services Segment Results
Fourth quarter fixed income and data services revenues were $579 million, up 3% year-over-year. Fixed income and data services operating expenses were $368 million and adjusted operating expenses were $329 million in the fourth quarter. Segment operating income for the fourth quarter was $211 million and the operating margin was 36%. On an adjusted basis, operating income was $250 million and the adjusted operating margin was 43%.
4
| $ (in millions) | 4Q24 | 4Q23 | % Chg | Const
Curr(1) | ||||||||||||
| Revenue: | ||||||||||||||||
| Fixed Income Execution | $ | 33 | $ | 35 | (7 | )% | (7 | )% | ||||||||
| CDS Clearing | 75 | 81 | (8 | )% | (8 | )% | ||||||||||
| Fixed Income Data and Analytics | 301 | 286 | 5 | % | 5 | % | ||||||||||
| Other Data and Network Services | 170 | 161 | 6 | % | 5 | % | ||||||||||
| Segment Revenue | $ | 579 | $ | 563 | 3 | % | 2 | % | ||||||||
| Recurring Revenue | $ | 471 | $ | 447 | 5 | % | 5 | % | ||||||||
| Transaction Revenue | $ | 108 | $ | 116 | (8 | )% | (8 | )% | ||||||||
(1) Net revenues in constant currency are calculated holding both the pound sterling and euro at the average exchange rate from 4Q23, 1.2420 and 1.0765, respectively.
Full year 2024 fixed income and data services revenues were $2.3 billion, up 3% year-over-year. Fixed income and data services operating expenses were $1.5 billion and on an adjusted basis, were $1.3 billion for the year. Segment operating income for the full year was $843 million and the operating margin was 37%. On an adjusted basis, operating income was $1.0 billion and the adjusted operating margin was 45%.
| $ (in millions) | FY24 | FY23 | % Chg | Const Curr(1) | ||||||||||||
| Revenue: | ||||||||||||||||
| Fixed Income Execution | $ | 117 | $ | 124 | (6 | )% | (6 | )% | ||||||||
| CDS Clearing | 343 | 360 | (5 | )% | (5 | )% | ||||||||||
| Fixed Income Data and Analytics | 1,177 | 1,118 | 5 | % | 5 | % | ||||||||||
| Other Data and Network Services | 661 | 629 | 5 | % | 5 | % | ||||||||||
| Segment Revenue | $ | 2,298 | $ | 2,231 | 3 | % | 3 | % | ||||||||
| Recurring Revenue | $ | 1,838 | $ | 1,747 | 5 | % | 5 | % | ||||||||
| Transaction Revenue | $ | 460 | $ | 484 | (5 | )% | (5 | )% | ||||||||
(1) Net revenues in constant currency are calculated holding both the pound sterling and euro at the average exchange rate from 2023, 1.2438 and 1.0817, respectively.
5
Mortgage Technology Segment Results
Fourth quarter mortgage technology revenues were $508 million. Mortgage technology operating expenses were $544 million and adjusted operating expenses were $331 million in the fourth quarter. Segment operating loss for the fourth quarter was $36 million and the operating margin was (7)%. On an adjusted basis, operating income was $177 million and the adjusted operating margin was 35%.
| $ (in millions) | 4Q24 | 4Q23 | % Chg | |||||||||
| Revenue: | ||||||||||||
| Origination Technology | $ | 177 | $ | 170 | 4 | % | ||||||
| Closing Solutions | 52 | 43 | 22 | % | ||||||||
| Servicing Software | 213 | 219 | (3 | )% | ||||||||
| Data and Analytics | 66 | 70 | (5 | )% | ||||||||
| Segment Revenue | $ | 508 | $ | 502 | 1 | % | ||||||
| Recurring Revenue | $ | 391 | $ | 397 | (2 | )% | ||||||
| Transaction Revenue | $ | 117 | $ | 105 | 12 | % | ||||||
Full year mortgage technology revenues were $2.0 billion. Mortgage technology operating expenses were $2.2 billion and adjusted operating expenses were $1.3 billion in 2024. Segment operating loss for the full year was $170 million and the operating margin was (8)%. On an adjusted basis, operating income was $724 million and the adjusted operating margin was 36%.
| $ (in millions) | FY24 | FY23 | % Chg | |||||||||
| Revenue: | ||||||||||||
| Origination Technology | $ | 713 | $ | 694 | 3 | % | ||||||
| Closing Solutions | 202 | 179 | 13 | % | ||||||||
| Servicing Software | 848 | 288 | 194 | % | ||||||||
| Data and Analytics | 259 | 156 | 66 | % | ||||||||
| Segment Revenue | $ | 2,022 | $ | 1,317 | 54 | % | ||||||
| Recurring Revenue | $ | 1,555 | $ | 961 | 62 | % | ||||||
| Transaction Revenue | $ | 467 | $ | 356 | 31 | % | ||||||
6
Other Matters
| · | Operating cash flow for 2024 was $4.6 billion and adjusted free cash flow was $3.6 billion. | |
| · | As of December 31, 2024, unrestricted cash and cash equivalents were $844 million and outstanding debt was $20.4 billion. |
| · | ICE paid over $1.0 billion in dividends in 2024. |
Financial Guidance
| GAAP | Non-GAAP | |
| 2025 Exchange Recurring Revenue (% growth) | Low-single digits | |
| 2025 Fixed Income & Data Services Recurring Revenue (% growth) | Mid-single digits | |
| 2025 Mortgage Technology Revenue (% growth) | Low-to-mid single digits | |
| 2025 Operating Expenses | $4.915 - $4.965 billion | $3.915 - $3.965 billion(1) |
| 1Q25 Operating Expenses | $1.220 - $1.230 billion | $965 - $975 million(1) |
| 1Q25 Non-Operating Expense(2) | $175 - $180 million | |
| 2025 Capital Expenditures | $730 - $780 million | |
| 2025 Effective Tax Rate(3) | 24% - 26% | |
| 1Q25 Weighted Average Shares Outstanding | 575 - 581 million | |
(1) 2025 and 1Q25 non-GAAP operating expenses exclude amortization of acquisition-related intangibles and integration expenses.
(2) Non-operating expense includes interest income, interest expense and net other income/expense. Adjusted non-operating expense excludes equity earnings from unconsolidated investees.
(3) This represents 2025 full year guidance for both the GAAP and non-GAAP effective tax rates but note that the GAAP effective tax rate is more susceptible to diverging from this guidance based on items outside the normal course of business that are adjusted for to derive our non-GAAP results. Such items can be unknown, unpredictable or uncertain, requiring unreasonable efforts to determine with any precision and which could potentially be confusing or misleading.
7
Earnings Conference Call Information
ICE will hold a conference call today, February 6, at 8:30 a.m. ET to review its fourth quarter 2024 financial results. A live audio webcast of the earnings call will be available on the company's website at www.theice.com in the investor relations section. Participants may also listen via telephone by dialing 833-470-1428 from the United States or 404-975-4839 from outside of the United States. Telephone participants are required to provide the participant entry number 092546 and are recommended to call 10 minutes prior to the start of the call. The call will be archived on the company's website for replay.
The conference call for the first quarter 2025 earnings has been scheduled for May 1st at 8:30 a.m. ET. Please refer to the Investor Relations website at www.ir.theice.com for additional information.
Historical futures, options and cash ADV, rate per contract, open interest data and CDS cleared information can be found at: https://ir.theice.com/investor-resources/supplemental-information/default.aspx
8
Consolidated Statements of Income
(In millions, except per share amounts)
Twelve Months Ended December 31, | Three Months Ended December 31, | |||||||||||||||
| Revenues: | 2024 | 2023 | 2024 | 2023 | ||||||||||||
| Exchanges | $ | 7,441 | $ | 6,355 | $ | 1,943 | $ | 1,601 | ||||||||
| Fixed income and data services | 2,298 | 2,231 | 579 | 563 | ||||||||||||
| Mortgage technology | 2,022 | 1,317 | 508 | 502 | ||||||||||||
| Total revenues | 11,761 | 9,903 | 3,030 | 2,666 | ||||||||||||
| Transaction-based expenses: | ||||||||||||||||
| Section 31 fees | 679 | 293 | 242 | 62 | ||||||||||||
| Cash liquidity payments, routing and clearing | 1,803 | 1,622 | 465 | 403 | ||||||||||||
| Total revenues, less transaction-based expenses | 9,279 | 7,988 | 2,323 | 2,201 | ||||||||||||
| Operating expenses: | ||||||||||||||||
| Compensation and benefits | 1,909 | 1,595 | 487 | 492 | ||||||||||||
| Professional services | 154 | 123 | 40 | 35 | ||||||||||||
| Acquisition-related transaction and integration costs | 104 | 269 | 16 | 68 | ||||||||||||
| Technology and communication | 848 | 734 | 217 | 205 | ||||||||||||
| Rent and occupancy | 111 | 92 | 22 | 27 | ||||||||||||
| Selling, general and administrative | 307 | 266 | 75 | 70 | ||||||||||||
| Depreciation and amortization | 1,537 | 1,215 | 389 | 379 | ||||||||||||
| Total operating expenses | 4,970 | 4,294 | 1,246 | 1,276 | ||||||||||||
| Operating income | 4,309 | 3,694 | 1,077 | 925 | ||||||||||||
| Other income/(expense): | ||||||||||||||||
| Interest income | 141 | 319 | 36 | 32 | ||||||||||||
| Interest expense | (910 | ) | (808 | ) | (213 | ) | (251 | ) | ||||||||
| Other income/(expense), net | 88 | (311 | ) | 5 | (190 | ) | ||||||||||
| Total other income/(expense), net | (681 | ) | (800 | ) | (172 | ) | (409 | ) | ||||||||
| Income before income tax expense | 3,628 | 2,894 | 905 | 516 | ||||||||||||
| Income tax expense | 826 | 456 | 196 | 126 | ||||||||||||
| Net income | $ | 2,802 | $ | 2,438 | $ | 709 | $ | 390 | ||||||||
| Net income attributable to non-controlling interest | (48 | ) | (70 | ) | (11 | ) | (17 | ) | ||||||||
| Net income attributable to Intercontinental Exchange, Inc. | $ | 2,754 | $ | 2,368 | $ | 698 | $ | 373 | ||||||||
| Earnings per share attributable to Intercontinental Exchange, Inc. common stockholders: | ||||||||||||||||
| Basic | $ | 4.80 | $ | 4.20 | $ | 1.22 | $ | 0.65 | ||||||||
| Diluted | $ | 4.78 | $ | 4.19 | $ | 1.21 | $ | 0.65 | ||||||||
| Weighted average common shares outstanding: | ||||||||||||||||
| Basic | 573 | 564 | 574 | 572 | ||||||||||||
| Diluted | 576 | 565 | 577 | 574 | ||||||||||||
9
Consolidated Balance Sheets
(In millions)
| As of | As of | |||||||
| December 31, 2024 | December 31, 2023 | |||||||
| Assets: | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ | 844 | $ | 899 | ||||
| Short-term restricted cash and cash equivalents | 1,142 | 531 | ||||||
| Short-term restricted investments | 594 | 680 | ||||||
| Cash and cash equivalent margin deposits and guaranty funds | 82,149 | 78,980 | ||||||
| Invested deposits, delivery contracts receivable and unsettled variation margin | 2,163 | 1,814 | ||||||
| Customer accounts receivable, net | 1,490 | 1,366 | ||||||
| Prepaid expenses and other current assets | 713 | 703 | ||||||
| Total current assets | 89,095 | 84,973 | ||||||
| Property and equipment, net | 2,153 | 1,923 | ||||||
| Other non-current assets: | ||||||||
| Goodwill | 30,595 | 30,553 | ||||||
| Other intangible assets, net | 16,306 | 17,317 | ||||||
| Long-term restricted cash and cash equivalents | 368 | 340 | ||||||
| Other non-current assets | 911 | 978 | ||||||
| Total other non-current assets | 48,180 | 49,188 | ||||||
| Total assets | $ | 139,428 | $ | 136,084 | ||||
| Liabilities and Equity: | ||||||||
| Current liabilities: | ||||||||
| Accounts payable and accrued liabilities | $ | 1,051 | $ | 1,003 | ||||
| Section 31 fees payable | 316 | 79 | ||||||
| Accrued salaries and benefits | 438 | 459 | ||||||
| Deferred revenue | 236 | 200 | ||||||
| Short-term debt | 3,027 | 1,954 | ||||||
| Margin deposits and guaranty funds | 82,149 | 78,980 | ||||||
| Invested deposits, delivery contracts payable and unsettled variation margin | 2,163 | 1,814 | ||||||
| Other current liabilities | 173 | 137 | ||||||
| Total current liabilities | 89,553 | 84,626 | ||||||
| Non-current liabilities: | ||||||||
| Non-current deferred tax liability, net | 3,904 | 4,080 | ||||||
| Long-term debt | 17,341 | 20,659 | ||||||
| Accrued employee benefits | 170 | 193 | ||||||
| Non-current operating lease liability | 335 | 299 | ||||||
| Other non-current liabilities | 405 | 441 | ||||||
| Total non-current liabilities | 22,155 | 25,672 | ||||||
| Total liabilities | 111,708 | 110,298 | ||||||
| Commitments and contingencies | ||||||||
| Redeemable non-controlling interest in consolidated subsidiaries | 22 | — | ||||||
| Equity: | ||||||||
| Intercontinental Exchange, Inc. stockholders’ equity: | ||||||||
| Common stock | 7 | 6 | ||||||
| Treasury stock, at cost | (6,385 | ) | (6,304 | ) | ||||
| Additional paid-in capital | 16,292 | 15,953 | ||||||
| Retained earnings | 18,071 | 16,356 | ||||||
| Accumulated other comprehensive loss | (338 | ) | (294 | ) | ||||
| Total Intercontinental Exchange, Inc. stockholders’ equity | 27,647 | 25,717 | ||||||
| Non-controlling interest in consolidated subsidiaries | 51 | 69 | ||||||
| Total equity | 27,698 | 25,786 | ||||||
| Total liabilities and equity | $ | 139,428 | $ | 136,084 | ||||
10
Non-GAAP Financial Measures and Reconciliation
We use non-GAAP measures internally to evaluate our performance and in making financial and operational decisions. When viewed in conjunction with our GAAP results and the accompanying reconciliation, we believe that our presentation of these measures provides investors with greater transparency and a greater understanding of factors affecting our financial condition and results of operations than GAAP measures alone. In addition, we believe the presentation of these measures is useful to investors for period-to-period comparison of results because the items described below as adjustments to GAAP are not reflective of our core business performance. These financial measures are not in accordance with, or an alternative to, GAAP financial measures and may be different from non-GAAP measures used by other companies. We use these adjusted results because we believe they more clearly highlight trends in our business that may not otherwise be apparent when relying solely on GAAP financial measures, since these measures eliminate from our results specific financial items that have less bearing on our core operating performance. We strongly recommend that investors review the GAAP financial measures and additional non-GAAP information included in our Annual Report on Form 10-K, including our consolidated financial statements and the notes thereto.
11
Adjusted operating expenses, adjusted operating income, adjusted operating margin, adjusted net income attributable to ICE, adjusted diluted earnings per share and adjusted free cash flow for the periods presented below are calculated by adding or subtracting the adjustments described below, which are not reflective of our cash operations and core business performance, and their related income tax effect and other tax adjustments (in millions, except for per share amounts):
Adjusted Operating Income, Operating Margin and Operating Expense Reconciliation
(In millions)
(Unaudited)
| Exchanges Segment | Fixed Income and Data Services Segment | Mortgage Technology Segment | Consolidated | |||||||||||||||||||||||||||||
| Year Ended December 31, | Year Ended December 31, | Year Ended December 31, | Year Ended December 31, | |||||||||||||||||||||||||||||
| 2024 | 2023 | 2024 | 2023 | 2024 | 2023 | 2024 | 2023 | |||||||||||||||||||||||||
| Total revenues, less transaction-based expenses | $ | 4,959 | $ | 4,440 | $ | 2,298 | $ | 2,231 | $ | 2,022 | $ | 1,317 | $ | 9,279 | $ | 7,988 | ||||||||||||||||
| Operating expenses | 1,323 | 1,281 | 1,455 | 1,420 | 2,192 | 1,593 | 4,970 | 4,294 | ||||||||||||||||||||||||
| Less: Amortization of acquisition-related intangibles | 67 | 65 | 152 | 168 | 792 | 515 | 1,011 | 748 | ||||||||||||||||||||||||
| Less: Transaction and integration costs | — | — | — | — | 102 | 269 | 102 | 269 | ||||||||||||||||||||||||
| Less: Regulatory matters | 5 | 11 | 10 | — | — | — | 15 | 11 | ||||||||||||||||||||||||
| Less: Other | 11 | 6 | 21 | — | — | — | 32 | 6 | ||||||||||||||||||||||||
| Adjusted operating expenses | $ | 1,240 | $ | 1,199 | $ | 1,272 | $ | 1,252 | $ | 1,298 | $ | 809 | $ | 3,810 | $ | 3,260 | ||||||||||||||||
| Operating income/(loss) | $ | 3,636 | $ | 3,159 | $ | 843 | $ | 811 | $ | (170 | ) | $ | (276 | ) | $ | 4,309 | $ | 3,694 | ||||||||||||||
| Adjusted operating income | $ | 3,719 | $ | 3,241 | $ | 1,026 | $ | 979 | $ | 724 | $ | 508 | $ | 5,469 | $ | 4,728 | ||||||||||||||||
| Operating margin | 73 | % | 71 | % | 37 | % | 36 | % | (8 | )% | (21 | )% | 46 | % | 46 | % | ||||||||||||||||
| Adjusted operating margin | 75 | % | 73 | % | 45 | % | 44 | % | 36 | % | 39 | % | 59 | % | 59 | % | ||||||||||||||||
12
Adjusted Operating Income, Operating Margin and Operating Expense Reconciliation
(In millions)
(Unaudited)
| Exchanges Segment | Fixed Income and Data Services Segment | Mortgage Technology Segment | Consolidated | |||||||||||||||||||||||||||||
| Three Months Ended December 31, | Three Months Ended December 31, | Three Months Ended December 31, | Three Months Ended December 31, | |||||||||||||||||||||||||||||
| 2024 | 2023 | 2024 | 2023 | 2024 | 2023 | 2024 | 2023 | |||||||||||||||||||||||||
| Total revenues, less transaction-based expenses | $ | 1,236 | $ | 1,136 | $ | 579 | $ | 563 | $ | 508 | $ | 502 | $ | 2,323 | $ | 2,201 | ||||||||||||||||
| Operating expenses | 334 | 337 | 368 | 363 | 544 | 576 | 1,246 | 1,276 | ||||||||||||||||||||||||
| Less: Amortization of acquisition-related intangibles | 16 | 16 | 38 | 41 | 199 | 199 | 253 | 256 | ||||||||||||||||||||||||
| Less: Transaction and integration costs | — | — | — | — | 14 | 68 | 14 | 68 | ||||||||||||||||||||||||
| Less: Regulatory matter | 5 | — | — | — | — | — | 5 | — | ||||||||||||||||||||||||
| Less: Other | — | — | 1 | — | — | — | 1 | — | ||||||||||||||||||||||||
| Adjusted operating expenses | $ | 313 | $ | 321 | $ | 329 | $ | 322 | $ | 331 | $ | 309 | $ | 973 | $ | 952 | ||||||||||||||||
| Operating income/(loss) | $ | 902 | $ | 799 | $ | 211 | $ | 200 | $ | (36 | ) | $ | (74 | ) | $ | 1,077 | $ | 925 | ||||||||||||||
| Adjusted operating income | $ | 923 | $ | 815 | $ | 250 | $ | 241 | $ | 177 | $ | 193 | $ | 1,350 | $ | 1,249 | ||||||||||||||||
| Operating margin | 73 | % | 70 | % | 36 | % | 36 | % | (7 | )% | (15 | )% | 46 | % | 42 | % | ||||||||||||||||
| Adjusted operating margin | 75 | % | 72 | % | 43 | % | 43 | % | 35 | % | 39 | % | 58 | % | 57 | % | ||||||||||||||||
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Adjusted Net Income Attributable to ICE and EPS
(In millions)
(Unaudited)
| Twelve Months Ended December 31, 2024 | Twelve Months Ended December 31, 2023 | |||||||
| Net income attributable to ICE | $ | 2,754 | $ | 2,368 | ||||
| Add: Amortization of acquisition-related intangibles | 1,011 | 748 | ||||||
| Add: Transaction and integration costs | 102 | 269 | ||||||
| (Less)/Add: Litigation and regulatory matters | (145 | ) | 11 | |||||
| Add: Net losses from unconsolidated investees | 62 | 122 | ||||||
| Add: Loss on sale and fair value adjustments of equity investments and dividends received | 1 | 3 | ||||||
| Less: Net interest income on pre-acquisition-related debt | — | (12 | ) | |||||
| Add: Other | 26 | 182 | ||||||
| Less: Net income tax effect for the above items and deferred tax adjustments | (268 | ) | (309 | ) | ||||
| Less: Deferred tax adjustments on acquisition-related intangibles | (43 | ) | (126 | ) | ||||
| Less: Other tax adjustments | (3 | ) | (79 | ) | ||||
| Adjusted net income attributable to ICE | $ | 3,497 | $ | 3,177 | ||||
| Diluted earnings per share attributable to ICE common stockholders | $ | 4.78 | $ | 4.19 | ||||
| Adjusted diluted earnings per share attributable to ICE common stockholders | $ | 6.07 | $ | 5.62 | ||||
| Diluted weighted average common shares outstanding | 576 | 565 | ||||||
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Adjusted Net Income Attributable to ICE and EPS
(In millions)
(Unaudited)
| Three Months Ended December 31, 2024 | Three Months Ended December 31, 2023 | |||||||
| Net income attributable to ICE | $ | 698 | $ | 373 | ||||
| Add: Amortization of acquisition-related intangibles | 253 | 256 | ||||||
| Add: Transaction and integration costs | 14 | 68 | ||||||
| Add: Regulatory matter | 5 | — | ||||||
| (Less)/Add: Net (profits)/losses from unconsolidated investees | (1 | ) | 31 | |||||
| Less: Gain on sale of equity investments and dividends received | — | (4 | ) | |||||
| (Less)/Add: Other | (5 | ) | 160 | |||||
| Less: Net income tax effect for the above items and deferred tax adjustments | (69 | ) | (131 | ) | ||||
| (Less)/Add: Deferred tax adjustments on acquisition-related intangibles | (17 | ) | 5 | |||||
| (Less)/Add: Other tax adjustments | (3 | ) | 2 | |||||
| Adjusted net income attributable to ICE | $ | 875 | $ | 760 | ||||
| Diluted earnings per share attributable to ICE common stockholders | $ | 1.21 | $ | 0.65 | ||||
| Adjusted diluted earnings per share attributable to ICE common stockholders | $ | 1.52 | $ | 1.33 | ||||
| Diluted weighted average common shares outstanding | 577 | 574 | ||||||
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Adjusted Free Cash Flow Calculation
(In millions)
(Unaudited)
| Twelve Months Ended December 31, 2024 | Twelve Months Ended December 31, 2023 | |||||||
| Net cash provided by operating activities | $ | 4,609 | $ | 3,542 | ||||
| Less: Capital expenditures | (406 | ) | (190 | ) | ||||
| Less: Capitalized software development costs | (346 | ) | (299 | ) | ||||
| Free cash flow | 3,857 | 3,053 | ||||||
| (Less)/Add: Section 31 fees, net | (237 | ) | 144 | |||||
| Adjusted free cash flow | $ | 3,620 | $ | 3,197 | ||||
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About Intercontinental Exchange
Intercontinental Exchange, Inc. (NYSE: ICE) is a Fortune 500 company that designs, builds, and operates digital networks that connect people to opportunity. We provide financial technology and data services across major asset classes helping our customers access mission-critical workflow tools that increase transparency and efficiency. ICE’s futures, equity, and options exchanges -- including the New York Stock Exchange -- and clearing houses help people invest, raise capital and manage risk. We offer some of the world’s largest markets to trade and clear energy and environmental products. Our fixed income, data services and execution capabilities provide information, analytics and platforms that help our customers streamline processes and capitalize on opportunities. At ICE Mortgage Technology, we are transforming U.S. housing finance, from initial consumer engagement through loan production, closing, registration and the long-term servicing relationship. Together, ICE transforms, streamlines, and automates industries to connect our customers to opportunity.
Trademarks of ICE and/or its affiliates include Intercontinental Exchange, ICE, ICE block design, NYSE and New York Stock Exchange. Information regarding additional trademarks and intellectual property rights of Intercontinental Exchange, Inc. and/or its affiliates is located at http://www.intercontinentalexchange.com/terms-of-use. Key Information Documents for certain products covered by the EU Packaged Retail and Insurance-based Investment Products Regulation can be accessed on the relevant exchange website under the heading “Key Information Documents (KIDS).”
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995 - Statements in this press release regarding ICE's business that are not historical facts are "forward-looking statements" that involve risks and uncertainties. For a discussion of additional risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see ICE's Securities and Exchange Commission (SEC) filings, including, but not limited to, the risk factors in Intercontinental Exchange, Inc.’s Annual Report on Form 10-K for the year ended December 31, 2024, as filed with the SEC on February 6, 2025. We caution you not to place undue reliance on these forward-looking statements. Any forward-looking statement speaks only as of the date on which such statement is made, and we undertake no obligation to update any forward-looking statement or statements to reflect events or circumstances after the date on which such statement is made or to reflect the occurrence of an unanticipated event. New factors emerge from time to time, and it is not possible for management to predict all factors that may affect our business and prospects. Further, management cannot assess the impact of each factor on the business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements.
SOURCE: Intercontinental Exchange
ICE-CORP
ICE Investor Relations Contact:
Katia Gonzalez
+1 678 981 3882
katia.gonzalez@ice.com
investors@ice.com
ICE Media Contact:
Damon Leavell
+1 212 323 8587
damon.leavell@ice.com
media@ice.com
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