Net income (USD, millions)

Depreciation and amortization (USD, millions)

Amortization of debt issuance cost and debt discount (USD, millions)

Provision for accounts receivable credit losses (USD, millions)

Benefit for deferred income taxes (USD, millions)

Stock-based compensation expense (USD, millions)

Equity earnings on investments (USD, millions)

Net cash provided by operating activities (USD, millions)

Purchases of available-for-sale financial investments (USD, millions)

Proceeds from maturities of available-for-sale financial investments (USD, millions)

Proceeds from sale of intangible assets (USD, millions)

Proceeds from insurance (USD, millions)

Contributions to investments (USD, millions)

Purchases of property and equipment and leasehold improvements (USD, millions)

Net cash used in investing activities (USD, millions)

Cash dividends on common stock (USD, millions)

Repurchases of common stock from employee stock plans (USD, millions)

Payments of contingent consideration related to acquisitions (USD, millions)

Shares issued under employee stock purchase plan (USD, millions)

Purchase of common stock (USD, millions)

Net cash used in financing activities (USD, millions)

Effect of foreign currency exchange rates on cash, cash equivalents, and restricted cash and cash equivalents (USD, millions)

Increase in cash, cash equivalents, and restricted cash and cash equivalents (USD, millions)

Cash paid for income taxes, net of refunds (USD, millions)

Cash paid for interest (USD, millions)

Cash and cash equivalents (USD, millions)

Restricted cash and cash equivalents (included in margin deposits, clearing funds, and interoperability funds) (USD, millions)

Restricted cash and cash equivalents (included in cash and cash equivalents) (USD, millions)

Customer bank deposits (included in margin deposits, clearing funds, and interoperability funds) (USD, millions)

Total cash, cash equivalents, and restricted cash and cash equivalents (USD, millions)

Restricted cash and cash equivalents (included in other current assets) (USD, millions)

Unsettled purchases of common stock (USD, millions)

7c3491e3e6b533892aaf2d769e197911923a885ed132528ace2f0fce38497bb4

The sharp increase in **cash and cash equivalents** in Q3 2024 was driven primarily by several factors: a significant rise in **net cash provided by operating activities**—boosted by changes in restricted cash and cash equivalents related to **margin deposits, clearing funds, and interoperability funds**—a reduction in **net cash used in financing activities** due to lower principal repayments on long-term debt, a modest decrease in **net cash used in investing activities**, and a beneficial contribution from **foreign currency exchange rate changes**. Together, these elements led to a net increase of **$1,405.1 million** in cash, cash equivalents, and restricted cash during that period.  **[0001628280-24-044657_cboe-20240930.htm:105]** 

What led to the sharp increase in cash and cash equivalents in Q3 2024?

The significant jump in total assets in Q2 2024 was primarily driven by a large increase in **Margin Deposits, Clearing Funds, and Interoperability Funds**, which surged from **$848.8 million** to **$2,728.8 million**. Additionally, **Cash and Cash Equivalents** increased from **$543.2 million** to **$614.6 million**, and **Financial Investments** grew from **$57.5 million** to **$83.7 million**, reflecting enhanced operational activity and improved liquidity management.  **[0001558370-24-010646_cboe-20240802xex99d1.htm:15]** **[0001558370-24-010654_cboe-20240630x10q.htm:6]** 

Why did total assets jump significantly in Q2 2024?

6b8d3c3e6ff9d145678cbe519fd00eff26ce778ece2752a41a7d0cb9ceaa9a37

The surge in EPS in FY 2023 was primarily driven by several factors. **Net income** increased sharply from **$235.0 million** to **$761.4 million** (a **224% increase**) which provided a strong boost to the EPS.  **[0001558370-24-001277_cboe-20231231x10k.htm:95]**  A significant contributor was the **reduction in operating expenses** by **31%**, largely due to the absence of a **$460.9 million goodwill impairment charge** that impacted FY 2022.  **[0001558370-24-001277_cboe-20231231x10k.htm:95]** **[0001558370-24-000699_cboe-20240202xex99d1.htm:14]**  Additionally, **operating income more than doubled** (a **116% increase**) and a slight reduction in the weighted average shares outstanding helped further enhance the EPS by lowering dilution.  **[0001558370-24-001277_cboe-20231231x10k.htm:95]** **[0001558370-24-001277_cboe-20231231x10k.htm:192]** 

What drove the surge in EPS in FY 2023?

The dip in operating income in Q2 2024 was primarily driven by a significant **impairment of $81.0 million** in intangible assets in the Digital segment and an increase in operating expenses by **$81.4 million (a rise of 37%)**. Despite a **10% increase in net revenue to $513.8 million**, these factors led to the operating income declining by **$34.7 million** compared to Q2 2023.  **[20240802CG75413:2]** **[0001558370-24-010654_cboe-20240630x10q.htm:82]** **[0001558370-24-010654_cboe-20240630x10q.htm:83]** **[20240802CG75413:0]** 

Why did operating income dip in Q2 2024?

The **negative other expenses in Q4 2023** were mainly driven by a **reduction in expected contingent consideration** related to **Cboe Canada** and **Cboe Japan**, along with **decreases in charitable contributions** and **reductions in taxes, licenses, and permits**. These factors combined to turn the expense into a negative figure in that quarter.  **[0001558370-24-001277_cboe-20231231x10k.htm:108]** **[0001558370-24-000699_cboe-20240202xex99d1.htm:14]** 

What caused the negative other expenses in Q4 2023?

The sharp drop in net income for **Q2 2024** is primarily due to significant impairments. Specifically, **impairment of intangible assets** in the Digital reporting unit amounted to **$81.0 million**, and there was an additional **impairment of investment** of **$16.0 million**. These impairments, totaling **$97.0 million**, considerably impacted net income for the quarter.  **[20240802CG75413:11]** **[20240802CG75413:3]** **[0001558370-24-010654_cboe-20240630x10q.htm:8]** 

Why did net income drop sharply in Q2 2024?

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Adjustments for Non-Cash Items [USD, Millions]

Stock-Based Compensation [USD, Millions]

Changes in Working Capital [USD, Millions]

Capital Expenditures (CapEx) [USD, Millions]

Proceeds from / Repayments of Debt [USD, Millions]

Share Repurchases [USD, Millions]

Dividend Payments [USD, Millions]

Net Change in Cash [USD, Millions]

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United States

Non-U.S.

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Europe and Asia Pacific

Europe

Futures

Global FX

Digital

- U.S. Equities

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Total Revenue

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a976aad0ecffd0cbdf20e958b2413a820f28dd6dfa3efe474753c4a74745a5ca

Cboe Global Markets (CBOE)

Financials