Cboe Global Markets (AMEX:CBOE) reported fourth-quarter results on Friday that came in ahead of expectations, supported by strong momentum across its derivatives platform.
The exchange operator posted adjusted earnings of $3.06 per share, beating the analyst consensus of $2.85. Revenue reached a record $671.1 million, well above forecasts of $636.57 million. Despite the solid performance, the stock dipped a modest 0.14% in pre-market trading.
Growth was led by the derivatives segment, where net revenue jumped 38% compared with the same quarter in 2024. Total options average daily volume increased 24% year over year, with index options up 35% and multi-listed options rising 20%.
“Cboe delivered an exceptional fourth quarter, marking the culmination of a year characterized by record growth – including 17% net revenue growth, 45% diluted EPS growth, and 24% adjusted diluted EPS growth,” said Craig Donohue, Chief Executive Officer of Cboe Global Markets.
Outside derivatives, Cash and Spot Markets net revenue climbed 27% year over year, while Data Vantage revenue increased 9%. Diluted earnings per share reached a quarterly record of $2.97, up 60% from the prior-year period.
Looking ahead, Cboe guided for “mid single-digit” organic total net revenue growth in 2026 and “mid to high single-digit” growth in its Data Vantage business. Adjusted operating expenses for 2026 are expected to range between $864 million and $879 million.
“We are starting 2026 with a very strong foundation – a focused growth strategy, a highly seasoned and impressive leadership team, and continued strong secular trends in our core businesses,” Donohue added.
The company also reported further margin expansion, with operating margin improving to 60.2% from 56.9% a year earlier, while adjusted operating margin rose to 67.1% from 61.0%.