Group 1 - The Bega Annual General Meeting (AGM) is a formal event being live-streamed for shareholders [1][2] - A quorum has been established, allowing the meeting to commence [2] - Different colored cards were distributed to attendees for voting purposes: yellow for voting shareholders, blue for non-voting shareholders, and red for non-shareholders [3] Group 2 - Shareholders attending the meeting can ask questions, with specific identification required for in-person attendees [4]

Financial Performance - Total revenues for Q3 2025 were $1,537.6 million, a decrease of 3% compared to $1,584.4 million in Q3 2024[82]. - Net income for the nine months ended September 30, 2025, was $2,889.3 million, reflecting a 9% increase from $2,651.2 million in the same period of 2024[82]. - Total expenses increased by 1% in Q3 2025 and 3% in the first nine months compared to 2024, with significant increases in compensation and benefits (9% in Q3) and technology expenses (7% in Q3)[113]. - Investment income rose by 51% in Q3 2025 and 26% in the first nine months compared to 2024, driven by higher reinvestment balances despite lower average rates of return[114]. Trading Volume and Market Activity - Average daily volume for total contracts decreased by 10% in Q3 2025 to 25,322 thousand contracts compared to 28,289 thousand contracts in Q3 2024[89]. - Interest rate products saw a 10% decrease in contract volume in Q3 2025 compared to Q3 2024, attributed to lower market volatility[91]. - E-mini S&P 500 futures and options volume decreased by 20% in Q3 2025 to 3,454 thousand contracts compared to 4,320 thousand contracts in Q3 2024[94]. - Foreign exchange products experienced a 13% decrease in average daily volume in Q3 2025 compared to Q3 2024, reflecting lower market volatility[99]. - Overall commodity contract volumes increased by 2% in Q3 2025 and 14% in the first nine months compared to the same periods in 2024, driven by higher market volatility and uncertainty regarding tariffs and grain supplies[101]. - WTI crude oil contract volume decreased by 21% in Q3 2025 but increased by 5% in the first nine months compared to 2024, attributed to lower market volatility and easing geopolitical tensions[103][104]. - Gold contract volumes increased by 29% in Q3 2025 and 31% in the first nine months compared to 2024, as investors sought gold as a safe-haven investment amid market uncertainty[106]. Revenue Sources - Clearing and transaction fees for Q3 2025 were $1,137.6 million, down 6% from $1,205.3 million in Q3 2024[85]. - Total clearing and transaction fees revenues for cash markets were $69.8 million in Q3 2025 and $215.4 million in the first nine months, compared to $68.5 million and $207.9 million in 2024[108]. - BrokerTec fixed income transaction fees increased by 18% in Q3 2025 and 3% in the first nine months compared to 2024, while EBS foreign exchange transaction fees decreased by 13% in Q3 but increased by 4% in the first nine months[109]. - Market data and information services revenues increased in Q3 2025 and the first nine months compared to 2024, largely due to price increases and higher usage of certain products[111]. Tax and Compliance - The effective tax rate for Q3 2025 was 22.9%, slightly up from 22.4% in Q3 2024[82]. - The effective tax rate for Q3 2025 was 22.9%, slightly up from 22.4% in 2024, while remaining consistent at 23.0% for the first nine months[117]. - The company is in compliance with all debt facility covenant requirements as of September 30, 2025[126]. Cash and Credit Facilities - Cash and cash equivalents totaled $2.4 billion at September 30, 2025, down from $2.9 billion at December 31, 2024[129]. - The company maintains a $2.3 billion multi-currency revolving senior credit facility, which can be increased to $3.3 billion with lender consent[120]. - The 364-day multi-currency revolving secured credit facility allows borrowings of up to $7.0 billion, with the option to increase to $10.0 billion[121]. - As of September 30, 2025, the company had excess borrowing capacity of approximately $2.3 billion under its multi-currency revolving senior credit facility[123]. - The company maintains a committed facility of up to $750 million for foreign currency conversions, with no outstanding trades under this facility[125]. Shareholder Returns and Legal Matters - The company has a share repurchase program authorized for up to $3.0 billion, with a maximum remaining value of shares to be repurchased at $2,991.8 million as of September 30, 2025[130]. - Legal fees increased primarily due to class action lawsuit litigation in the second and third quarters of 2025[119]. - Rent expenses decreased by $10.5 million during the first nine months of 2025 due to a reduction in leased office space[119].

Core Insights - Institutional investors are increasingly engaging with CME Group's regulated crypto derivatives markets, leading to record levels of open interest in futures and options for ether (ETH), solana (SOL), and XRP [1][2][3] Group 1: Market Trends - Since October 10, open interest in CME's crypto futures and options has surged by 27%, attributed to a migration from offshore markets following recent liquidations [1] - On Tuesday, open interest in ETH futures reached a record 48,600 contracts, while SOL and XRP futures also achieved all-time highs of 20,700 and 10,100 contracts, respectively [2] - Options open interest hit $9 billion, indicating a growing preference for CME's regulated products over offshore alternatives [2] Group 2: Participation and Volume - The top 10 days for open interest occurred in October, reflecting strong conviction and increased participation in the regulated crypto derivatives market [3] - In the third quarter, CME reported combined crypto futures and options volume exceeding $900 billion, with average daily open interest at $31.3 billion [4] - Over 1,000 large open interest holders were active during this period, suggesting a broadening usage of these products beyond a niche market [4] Group 3: Product Performance - The growth in interest is not limited to bitcoin or ether; CME's solana and XRP futures have also gained significant traction [5] - By September, solana futures reached $2.1 billion in open interest, while XRP futures hit $1.4 billion [5]

Upgrades - UBS upgraded UiPath (PATH) to Neutral from Sell with a price target of $17, up from $10, citing that near-term GenAI risk fears appear "overdone" [2] - Needham upgraded TransMedics (TMDX) to Buy from Hold with a price target of $148, indicating that U.S. sales are likely to beat consensus in Q3 according to their transplant tracker [2] - Deutsche Bank upgraded CME Group (CME) to Buy from Hold with a price target of $300, up from $266, believing that organic growth initiatives will drive earnings growth into the high single digits by 2026 [3] - Roth Capital upgraded Core Scientific (CORZ) to Buy from Neutral with a price target of $23.50, up from $17, assuming that the takeover by CoreWeave (CRWV) will not go through [4] - JPMorgan upgraded LendingClub (LC) to Overweight from Neutral with a price target of $22, up from $17, noting that the company has "more ways than ever" to grow originations and profits [5] Downgrades - Mizuho downgraded Enphase Energy (ENPH) to Neutral from Outperform with a price target of $37, down from $50, due to reduced residential solar demand and lower market share [6] - Mizuho downgraded Hologic (HOLX) to Neutral from Outperform with a price target of $78 after the company agreed to be acquired in a transaction valued at up to $79 per share [6] - Wells Fargo downgraded Tegna (TGNA) to Equal Weight from Overweight with an unchanged price target of $22, citing the pending Nexstar (NXST) acquisition [6] - H.C. Wainwright downgraded Avadel Pharmaceuticals (AVDL) to Neutral from Buy with a price target of $20, down from $36, following a definitive agreement to be acquired by Alkermes (ALKS) [6] - Citi downgraded Arcturus Therapeutics (ARCT) to Neutral from Buy with a price target of $12, down from $49, due to disappointing results from the ARCT-032 Phase 2 trial [6]

Core Insights - Albert Anthony is a Croatian-American business author and media contributor with a focus on real estate investment trusts (REITs) [1] - He has a background in IT analysis for Fortune 500 companies and experience in financial services with Charles Schwab [1] - Anthony is launching a book on REITs in 2025 and manages his own equities research firm remotely [1] Background and Experience - Albert Anthony has over 1,000 followers on Seeking Alpha and writes for various financial platforms [1] - He has participated in numerous business and innovation conferences in the EU and has a degree from Drew University [1] - Currently enrolled in the CMSA certification program at the Corporate Finance Institute in Vancouver [1] Media and Digital Presence - Anthony is active in digital media, including a YouTube channel focused on REITs [1] - He has appeared in regional media channels in Croatia and has had extra roles in over five productions [1] - The author does not engage with non-publicly traded companies or small-cap stocks [1]

Group 1 - Top Wall Street analysts have revised their outlook on several prominent companies, indicating a shift in market sentiment [1] - The article suggests that investors should consider buying CME stock based on analysts' recommendations [1]

Core Insights - CME Group Inc. reported third-quarter 2025 adjusted earnings per share of $2.68, beating the Zacks Consensus Estimate by 1.9%, with the bottom line unchanged year over year [1][9] - The quarterly results showed a decline in revenues primarily due to lower clearing and transaction fees, as well as reduced trading volumes [1][2] Financial Performance - CME Group's revenues for the quarter were $1.5 billion, a decrease of 2.9% year over year, matching the Zacks Consensus Estimate [2][9] - Total expenses rose by 0.8% year over year to $565 million, driven by increased compensation, technology, and professional fees, exceeding the estimate of $505.6 million [2] - Operating income fell by 5% from the prior-year quarter to $972.6 million, below the estimate of $1 billion [3] - Average daily volume (ADV) reached a record 25.3 million contracts, down 10.4% year over year, with declines across various product lines [3][9] Financial Update - As of September 30, 2025, CME Group had $3.6 billion in cash and marketable securities, an 8.5% decrease from the end of 2024 [4] - Long-term debt increased to $3.4 billion, up 27.7% from the end of 2024 [4] - Shareholders' equity stood at $28.2 billion, reflecting a 6.4% increase from the end of 2024 [4] Capital Deployment - CME Group paid out $3.5 billion in dividends during the first nine months of 2025, totaling $29.5 billion since the implementation of the variable dividend policy in early 2012 [5]

Core Insights - CME Group reported $1.54 billion in revenue for Q3 2025, a 3% year-over-year decline, with EPS remaining flat at $2.68 compared to the previous year [1] - The revenue exceeded the Zacks Consensus Estimate of $1.53 billion by 0.81%, while the EPS surpassed the consensus estimate of $2.63 by 1.9% [1] Financial Performance Metrics - Average daily volume was 25.32 million, slightly below the estimated 26.2 million [4] - Average rates per contract varied across categories, with interest rates at $0.49 (vs. $0.48 estimate), equity indexes at $0.65 (matching estimate), foreign exchange at $0.84 (vs. $0.79 estimate), energy at $1.21 (vs. $1.19 estimate), and agricultural commodities at $1.42 (vs. $1.40 estimate) [4] - Average daily volume for metals was 825 thousand, below the estimated 843.54 thousand [4] - Revenues from clearing and transaction fees were $1.23 billion, below the $1.25 billion estimate, reflecting a year-over-year decline of 5.3% [4] - Revenues from other sources were $107.2 million, slightly below the $110.22 million estimate, with a year-over-year decline of 1.7% [4] - Market data and information services revenues were $202.5 million, exceeding the $195.57 million estimate, with a year-over-year increase of 13.6% [4] Stock Performance - CME shares returned +2.5% over the past month, outperforming the Zacks S&P 500 composite's +1.1% change [3] - The stock currently holds a Zacks Rank 4 (Sell), indicating potential underperformance relative to the broader market in the near term [3]

Financial Data and Key Metrics Changes - CME Group generated revenue of $1.5 billion in Q3 2025, down 3% from Q3 2024, with an average rate per contract of $0.702, resulting in clearing and transaction fees of $1.2 billion [9][10] - Market data revenue reached a record $203 million, up 14% year-over-year [9] - Adjusted operating income was $1.1 billion, reflecting a 68.4% operating margin, with adjusted net income at $978 million and adjusted diluted earnings per share at $2.68, both slightly above the previous year's figures [10][11] Business Line Data and Key Metrics Changes - The average daily volume for the quarter was 25.3 million contracts, marking the second highest in CME's history for Q3 [5] - The crypto complex traded a record 340,000 contracts per day, up over 225% compared to the previous year, driven by the success of Solana and XRP futures [6] - New products such as credit futures and one-ounce gold futures also achieved record volumes in Q3 [6][7] Market Data and Key Metrics Changes - Open interest at the end of September reached 126 million contracts, the highest in five years, with continued growth into October [5] - CME maintained a 76% market share in WTI futures, up from 74% in the previous quarter, and 91% in WTI options [61] Company Strategy and Development Direction - CME Group is focused on innovation and expanding product offerings, including the introduction of 24/7 trading for cryptocurrency futures and options starting early next year [8] - The partnership with FanDuel aims to enhance retail strategy, potentially reaching 13 million accounts [14][16] - The company is also extending its FTSE Russell Index derivatives license through 2037 to ensure continuity and value for clients [7] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in future growth despite a general pullback in volatility across asset classes [5] - The focus remains on driving earnings growth through customer base expansion and innovative products [11] - Management acknowledged the importance of credibility in markets and the potential for growth in retail offerings without necessarily pursuing acquisitions [17] Other Important Information - CME Group's adjusted effective tax rate was 22.6% for the quarter [10] - Capital expenditures for Q3 were approximately $19 million, with cash at the end of the quarter around $2.6 billion [10] Q&A Session Summary Question: Can you talk about your long-term retail strategy? - Management highlighted the importance of the partnership with FanDuel and the potential to access 13 million accounts, emphasizing a strategy focused on distribution and efficiencies [14][16] Question: Is CME considering offering sports event contracts? - Management indicated readiness to offer sports event contracts in collaboration with FanDuel, pending government approval [24][39] Question: What is the outlook for energy volumes? - Management noted a slight decrease in energy volumes but highlighted growth in crude and natural gas markets, particularly in Europe and Asia [61] Question: How are you thinking about capital deployment after the oyster sale? - Management stated that proceeds from the sale were about $1.55 billion, with plans to review potential uses of capital with the board [67][69] Question: Can you elaborate on the 24/7 trading initiative? - Management confirmed plans for 24/7 trading of cryptocurrency futures by 2026, with ongoing assessments for other asset classes based on client demand [80][82]

Financial Data and Key Metrics Changes - CME Group generated revenue of $1.5 billion in Q3 2025, down 3% from Q3 2024, with an average rate per contract of $0.702, resulting in clearing and transaction fees of $1.2 billion [9][10] - Market data revenue reached a record $203 million, up 14% year-over-year [9] - Adjusted net income was $978 million, with adjusted diluted earnings per share at $2.68, both slightly above the previous year's figures [10][11] - Adjusted operating income was $1.1 billion, reflecting a 68.4% operating margin for the quarter [9] Business Line Data and Key Metrics Changes - The average daily volume for the quarter was 25.3 million contracts, the second highest in CME Group's history for Q3 [5] - The crypto complex traded a record 340,000 contracts per day, up over 225% compared to the previous year, driven by the success of Solana and XRP futures [6] - FX Spot+ set new volume records every month in Q3, indicating strong demand for new trading opportunities [7] Market Data and Key Metrics Changes - CME Group saw significant growth in open interest, reaching 126 million contracts at the end of September, the highest in five years [5] - WTI futures market share increased to 76% in Q3, up from 74% in the previous quarter, while WTI options maintained a 91% market share [61] Company Strategy and Development Direction - CME Group is focused on innovation and expanding product offerings, including the introduction of 24/7 trading for cryptocurrency futures and options starting early next year [8] - The partnership with FanDuel aims to enhance retail strategy, potentially reaching 13 million accounts [14][16] - The company is extending its FTSE Russell Index derivatives license through 2037, ensuring continuity and value for clients [7] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in future growth despite a general pullback in volatility across asset classes [5] - The company remains focused on driving earnings growth by expanding its customer base and innovating products [11] - Management acknowledged the importance of credibility in markets and emphasized the potential for growth in the retail sector without necessarily pursuing acquisitions [17] Other Important Information - CME Group's adjusted effective tax rate was 22.6% for the quarter [9] - The company paid dividends of $455 million in Q3 and approximately $3.5 billion over the first nine months of the year [10] Q&A Session Summary Question: Long-term retail strategy and potential M&A - Management highlighted the evolving strategy in retail, emphasizing distribution efficiencies and the importance of the partnership with FanDuel to access a large customer base [14][16] Question: Growth in event contracts, particularly sports-related - Management clarified that while there is interest in sports event contracts, the decision to list them depends on regulatory approval and the readiness of partners [24][25] Question: Energy market outlook and share shifts - Management noted a slight decrease in energy volumes but highlighted growth in crude and natural gas markets, particularly in Europe and Asia [61] Question: Market data revenue growth and pricing opportunities - Management reported a 14% increase in market data revenue, driven by international demand, and announced a 3.5% price increase for data products effective January 1, 2026 [114]