Early Access

10-QPeriod: Q1 FY2024

Intercontinental Exchange, Inc. Quarterly Report for Q1 Ended Mar 31, 2024

Filed May 2, 2024For Securities:ICE

Summary

Intercontinental Exchange, Inc. (ICE) reported a strong first quarter of 2024, with total revenues, less transaction-based expenses, increasing by 21% year-over-year to $2.29 billion. This growth was driven by robust performance across its segments, particularly a significant increase in Mortgage Technology revenues, largely due to the inclusion of Black Knight, Inc. The company's Exchanges segment saw a 12% rise in revenues, less transaction-based expenses, supported by strong energy futures and options volumes. Fixed Income and Data Services revenues grew 1%, demonstrating resilience in its data offerings. Net income attributable to ICE rose by 17% to $767 million, with diluted EPS increasing to $1.33. Operating expenses saw a substantial increase of 32% primarily due to the integration of Black Knight, but adjusted operating income still grew by 18%. The company generated strong operating cash flow of $1.0 billion and free cash flow of $864 million, underscoring its operational efficiency and ability to manage capital. While facing increased operating expenses and a notable rise in interest expense, ICE demonstrated effective cost management and strategic execution in the quarter.

Financial Highlights

52 data points
Beta

Revenue

$2.80B

Net Income

$767.00M

0.3% Net Margin

EPS (Diluted)

$1.33

Total Assets

$131.40B

Cash & Equivalents

$863.00M

Free Cash Flow

$951.00M

Financial Statements
Beta
Revenue$2.80B
SG&A Expenses$78.00M
Operating Expenses$1.23B
Operating Income$1.06B
Interest Expense$241.00M
Net Income$767.00M
EPS (Basic)$1.34
EPS (Diluted)$1.33
Shares Outstanding (Basic)573.00M
Shares Outstanding (Diluted)575.00M

Key Highlights

  • 1Total revenues, less transaction-based expenses, increased 21% year-over-year to $2.29 billion.
  • 2Net income attributable to ICE increased 17% to $767 million, and diluted EPS rose to $1.33.
  • 3Mortgage Technology segment revenues surged 111% to $499 million, largely due to the Black Knight acquisition.
  • 4Exchanges segment revenues, less transaction-based expenses, grew 12% to $1.22 billion, driven by strong energy futures and options volume.
  • 5Operating expenses increased 32% to $1.23 billion, primarily reflecting the integration of Black Knight; however, adjusted operating income increased 18% to $1.36 billion.
  • 6Operating cash flow generation was strong at $1.01 billion, and free cash flow was $864 million.
  • 7Interest expense increased significantly, driven by debt associated with the Black Knight acquisition.

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