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Adjusted Earnings Per Share: $1.81, up 19% year over year.
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Net Revenue: $2.5 billion, up 9% year over year.
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Adjusted Operating Expenses: $983 million.
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Adjusted Operating Income: $1.6 billion, up 13% year over year.
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Capital Returned to Shareholders: $532 million, including $255 million in share repurchases.
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Exchange Segment Net Revenue: $1.4 billion, up 12% year over year.
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Fixed Income and Data Services Revenue: $597 million.
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Mortgage Technology Revenue: $531 million, up 5% year over year.
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Energy Revenue Growth: 25% year over year.
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Interest Rate Business Growth: 20% increase in transaction revenues.
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Recurring Revenue from Exchange Data Services: $378 million, up 5% year over year.
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Fixed Income Data & Analytics Revenue: $306 million, up 4% year over year.
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Recurring Revenue in Mortgage Technology: $395 million.
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Transaction Revenue in Mortgage Technology: $136 million, up 15% year over year.
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Leverage: Reduced to target of three times EBITDA.
Release Date: July 31, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
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Intercontinental Exchange Inc (NYSE:ICE) reported record second-quarter adjusted earnings per share of $1.81, up 19% year over year.
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Net revenue increased by 9% to a record $2.5 billion, with growth contributions from all three operating segments.
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The company returned $532 million of capital to shareholders during the quarter, including $255 million in share repurchases.
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Record transaction revenues of over $1 billion were driven by a 20% increase in the interest rate business and a 25% growth in energy revenues.
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The Fixed Income and Data Services segment achieved record revenues of $597 million, with an 8% increase in ICE bonds revenue.
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Third-quarter adjusted operating expenses are expected to increase, driven by higher customer acquisition costs and technology spend.
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Recurring revenues in the Mortgage Technology segment are expected to face headwinds due to the roll-off of inactive loans and M&A-related attrition.
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The company faces challenges in maintaining growth in the Fixed Income Data & Analytics business, with revenue growth at 4%.
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There are uncertainties in the mortgage market, impacting the overall guidance for the Mortgage Technology segment.
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The company is experiencing pressure from resetting minimums in the Mortgage Technology segment, although the impact is lessening.
Q: How is Intercontinental Exchange Inc (NYSE:ICE) planning to integrate new technologies like AI and blockchain to improve efficiency and client experience in their Mortgage Tech segment? A: Benjamin Jackson, President, explained that ICE is focusing on integrating systems to create a comprehensive life-of-loan platform, enhancing analytics and customer engagement. AI is being used for data and document automation, credit and income verification, and compliance. Additionally, ICE is connecting mortgage data to capital markets, with plans for secondary whole loan trading and MBS execution on ICE Bonds.
