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]

90a045d1fa898c0c6ab5d256b63557a23d1e76e29ebc214d763794f75bcb708c

8b46cf29ef33d31e71f417053b6a3e770ea3c8f08fc83c12a51392d13278d82f

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db40f2d1768c232eb7673b8339dff436788789a4d95a5d5b7b841e63979935a3

United States

Non-U.S.

North American Options

North American Equities

Europe and Asia Pacific

Europe

Futures

Global FX

Digital

- U.S. Equities

- European Equities

Total Revenue

9c2235ba84620b01c20c362f41a6b3b6b744ef216134f966ad7e009d8f4428f9

0c9f7edd2a1f0dcc0b9161b2c44e4f5f4871b5d3c9d4eb35d7f0da0cf3615c20

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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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

Cboe Global Markets Inc (CBOE)

Financials