Core Insights - MarketAxess reported revenue of $208.58 million for the quarter ended March 2025, a decrease of 0.8% year-over-year, with EPS at $1.87 compared to $1.92 in the same quarter last year [1] - The reported revenue fell short of the Zacks Consensus Estimate of $210.63 million, resulting in a surprise of -0.97%, while the EPS exceeded the consensus estimate of $1.82 by +2.75% [1] Financial Performance Metrics - Average Variable Transaction Fee Per Million - Credit was $139, below the five-analyst average estimate of $143.75 [4] - Average Daily Volume - Total reached $42.91 billion, surpassing the five-analyst average estimate of $40.74 billion [4] - Average Daily Volume - Total credit trading was $15.92 billion, slightly below the estimated $16.04 billion [4] - Average Daily Volume - Total rates trading was $26.98 billion, exceeding the five-analyst average estimate of $24.70 billion [4] - Revenues from Information services were $12.90 million, slightly below the estimate of $12.99 million, but represented an increase of +8.6% year-over-year [4] - Revenues from Commissions totaled $181.34 million, compared to the average estimate of $185.39 million, reflecting a -1.9% change year-over-year [4] - Revenues from Technology services were $3.24 million, slightly below the estimate of $3.29 million, with a year-over-year increase of +14.4% [4] - Revenues from Post-trade services were $11.09 million, compared to the average estimate of $11.14 million, representing a +3.3% change year-over-year [4] - Total commission revenue from variable transaction fees - Rates was $6.92 million, exceeding the four-analyst average estimate of $6.71 million, with a year-over-year change of +33.9% [4] - Total commission revenue from variable transaction fees - Credit was $135.84 million, below the estimated $139.51 million, reflecting a -4% change year-over-year [4] - Total commission revenue from fixed distribution fees was $33.35 million, slightly above the four-analyst average estimate of $32.36 million, with no change year-over-year [4] Stock Performance - MarketAxess shares returned +11% over the past month, outperforming the Zacks S&P 500 composite's +10.6% change [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating potential performance in line with the broader market in the near term [3]

Update on our strategy & trading businesses 2 1Q25 highlights¹ | | • | Revenue of $209 million compared to $210 million in the prior year | | --- | --- | --- | | | • | Record commission revenue in emerging markets, up 6%, eurobonds, up 5%, and municipal bonds, up 6% | | FINANCIAL | • | 34% increase in total rates commission revenue | | PERFORMANCE | • | Services2 revenue growth of 7% | | | • | Earnings per share of $0.40; $1.87 excluding notable items3 | | | • $344 | in TTM free cash flow4 million generatio ...

分组1 - MarketAxess reported quarterly earnings of $1.87 per share, exceeding the Zacks Consensus Estimate of $1.82 per share, but down from $1.92 per share a year ago, representing an earnings surprise of 2.75% [1] - The company posted revenues of $208.58 million for the quarter, missing the Zacks Consensus Estimate by 0.97%, and down from $210.32 million year-over-year [2] - Over the last four quarters, MarketAxess has surpassed consensus EPS estimates four times but has only topped consensus revenue estimates once [2] 分组2 - The stock has gained approximately 1.3% since the beginning of the year, contrasting with the S&P 500's decline of 4.7% [3] - The current consensus EPS estimate for the upcoming quarter is $1.91 on revenues of $214.96 million, and for the current fiscal year, it is $7.59 on revenues of $870.21 million [7] - The Zacks Industry Rank for Financial - Investment Bank is currently in the bottom 24% of over 250 Zacks industries, indicating potential challenges for the sector [8]

Exhibit 99.1 MarketAxess Reports First Quarter 2025 Financial Results EPS of $0.40; $1.87 Excluding Notable Items 1 Record Total ADV Driven by Record Credit ADV with Record Open Trading ADV of $4.8 billion Record Total Portfolio Trading ADV and Record Levels of Block Trading in Emerging Markets and Eurobonds NEW YORK | May 7, 2025 - MarketAxess Holdings Inc. (Nasdaq: MKTX), the operator of a leading electronic trading platform for fixed-income securities, today announced financial results for the first quar ...

Electronic trading platform MarketAxess Holdings Inc. (MKTX) is set to report first-quarter 2025 results on May 7, 2025, before the opening bell. The Zacks Consensus Estimate for the to-be-reported quarter’s earnings is currently pegged at $1.82 per share on revenues of $210.6 million. (See the Zacks Earnings Calendar to stay ahead of market-making news.)First-quarter earnings estimates have been revised downward over the past 60 days. The bottom-line projection indicates a decrease of 5.2% from the year-ag ...

Wall Street analysts expect MarketAxess (MKTX) to post quarterly earnings of $1.82 per share in its upcoming report, which indicates a year-over-year decline of 5.2%. Revenues are expected to be $210.63 million, up 0.2% from the year-ago quarter.The consensus EPS estimate for the quarter has been revised 0.2% higher over the last 30 days to the current level. This reflects how the analysts covering the stock have collectively reevaluated their initial estimates during this timeframe.Before a company announc ...

MarketAxess Holdings Inc. (NASDAQ: MKTX ) has finally reached the long-time coming point of inflection. My conviction on these centers on the long-awaited catalyst of returning market volatility which fuels revenue growth for this leading fixed-income electronic tradingEx-hedge fund analyst with a strong interest in finding winners and losers in industries where corporate strategy matters most. I focus on analysing the market structure, competitive positioning and strategic catalysts that lead to money-maki ...

MarketAxess Holdings Inc. (MKTX) announced impressive growth in its trading volumes for the first quarter of 2025. The total credit average daily trading volume (ADV) reached nearly $15.9 billion, marking a year-over-year increase of 6%. This growth was driven by notable gains across various segments, including a 9% boost in emerging markets ADV, and 15% growth in Eurobonds ADV. Total ADV rose 31% to $42.9 billion in the March quarter. One of the standout performers was the Municipal bonds segment (42%), wi ...

Core Insights - MarketAxess Holdings Inc. (MKTX) is experiencing growth due to rising commissions, strategic acquisitions, collaborations, and a strong financial position that supports expansion and shareholder returns [1] Financial Performance - MKTX has a Zacks Rank of 3 (Hold) and has gained 12.9% in the past month, outperforming the industry which declined by 4.4% [2] - The Zacks Consensus Estimate for MKTX's 2025 earnings is $7.70 per share, reflecting a year-over-year improvement of 5.8%, with revenues estimated at $876.3 million, indicating a 7.2% increase [3] - For 2026, earnings are projected at $8.63 per share, a 12.1% increase from 2025, with revenues expected to reach $969 million, a 10.6% improvement [4] - MKTX has consistently beaten earnings estimates in the last four quarters, with an average surprise of 2.93% [5] Operational Efficiency - The return on equity for MKTX stands at 20.2%, significantly higher than the industry average of 12%, demonstrating effective utilization of shareholders' funds [7] Market Position and Growth Drivers - MKTX benefits from rising trading volumes, which are a key driver of commission-based revenues, reporting an average daily trading volume of $37.1 billion in 2024, a 19% increase year-over-year [8] - The company has captured significant market share across various products, including U.S. High Grade, U.S. High Yield, Eurobonds, Emerging Markets, and Municipal Bonds [9] - MKTX actively pursues strategic acquisitions and partnerships to enhance its offerings and expand its presence in the fixed-income market [10] - The company serves over 1,000 active clients globally, with ongoing investments in international markets expected to drive sustained revenue growth [11] Financial Strength - MKTX's robust financial position is supported by strong liquidity and operating cash flows, with net cash generated from operations totaling $385.2 million in 2024, a 15.4% increase year-over-year [12]

Market Performance and Trading Volume - In 2024, MarketAxess generated approximately $3.5 trillion in total credit trading volume, up from $2.6 trillion in 2020, with a market share of 19.0% in U.S. high-grade corporate bonds and 13.2% in high-yield corporate bonds[20]. - The average daily volume (ADV) for U.S. high-grade and U.S. high-yield bonds on MarketAxess's platforms was approximately $8.2 billion in 2024, representing 17.7% of the estimated addressable market of $46.2 billion[32]. - In 2024, the company executed approximately $1.0 trillion in credit trading volume using Open Trading, representing 35.0% of total eligible credit trading volume on its platforms[34]. - In 2024, over 60.0% of all credit volume on the MarketAxess platform was executed via the disclosed RFQ protocol[51]. - The ADV for U.S. high-grade bonds increased by 16.9% from 2023 to 2024, reaching $6.8 billion, while U.S. high-yield bonds saw a decrease of 16.3% to $1.3 billion[40]. - In 2024, $64.0 billion in green bond trading volume was executed globally on the platforms[75]. Revenue Sources and Financial Performance - 87.1% of MarketAxess's revenues in 2024 were derived from commissions for transactions executed on its platforms[16]. - The company reported that 87.1% of its revenues in 2024 were derived from transaction commissions, with 6.2% from data products and 5.2% from post-trade services[48]. - Approximately 40.0% of the company's revenues are derived from secondary trading in U.S. high-grade corporate bonds, indicating a reliance on this segment for financial performance[149]. - Revenues from international clients increased from 25.0% of total revenues in 2020 to 30.4% in 2024, with ADV in EMEA, Latin America, and APAC growing from $3.0 billion in 2019 to $4.8 billion in 2024[35]. Technology and Platform Development - The company introduced its new trading platform, MarketAxess X-Pro, in 2024, aimed at improving trading efficiency and integrating proprietary data and pre-trade analytics[13]. - MarketAxess's acquisition of Pragma in 2023 accelerated the development of AI-driven execution algorithms across key product areas, enhancing trading capabilities[13]. - The technology team delivered approximately 1,000 unique new business and technical features to clients in 2024[78]. - Significant upgrades to electronic trading platforms and infrastructure are necessary to accommodate increases in order message volume and trading volume, which require substantial financial and operational resources[179]. Regulatory Environment and Compliance - The company is subject to extensive regulation from various authorities, including the SEC in the U.S. and the FCA in the U.K., which oversee its operations and compliance[90][100]. - Regulatory changes, such as the SEC's proposed rules for fixed-income electronic trading platforms, may require the company to adapt its trading protocols to comply with new regulations[97]. - The central clearing mandate for U.S. Treasury securities transactions is set to take effect on December 31, 2025, impacting participants who do not currently centrally clear trades[98]. - The first stage of the MiFIR Review became effective in 2024, with full effectiveness expected in 2026, introducing significant changes to trading data publication and regulatory requirements[105]. - The company may incur substantial costs related to compliance with new regulations, which could materially affect its financial condition and results of operations[211]. Competition and Market Dynamics - The competitive landscape is intensifying, with competition arising from various market participants, including electronic trading platforms and traditional broker-dealers[81][86]. - The company competes based on client network, liquidity provided by broker-dealer clients, and the unique liquidity offered by its Open Trading protocols[82]. - Future growth may be hindered by intense competition, particularly from larger and more established firms that can offer a wider range of services and lower costs[145]. - The company faces substantial competition and market dynamics that could impact its profitability and growth prospects[128]. Employee and Talent Management - MarketAxess experienced a 1.1% increase in employee count in fiscal year 2024, totaling 891 employees, compared to an 18.4% increase in 2023[120]. - The company is committed to ongoing talent management and succession planning to support future growth and leadership development[122]. - The competitive market for qualified personnel, especially software developers, poses challenges in attracting and retaining skilled employees necessary for business support[205]. Risks and Challenges - The company faces risks related to regulatory changes and compliance costs, which could impact operational flexibility and financial performance[135]. - Loss of major institutional investor clients could significantly reduce trading volume and revenue, as a limited number of clients account for a substantial portion of trading[160]. - The company may experience reduced market liquidity if bank-affiliated broker-dealers decrease trading activity, impacting operating results[158]. - Economic sanctions, such as those imposed during the Russia-Ukraine conflict, could negatively impact financial markets and the company's operations[167]. - Cybersecurity threats and incidents have not materially affected the company in the last three years, but the risk of breaches remains a concern[187]. Acquisitions and Strategic Growth - The company has made acquisitions in the past, including the regulatory reporting business of Deutsche Börse in 2020, MuniBrokers in 2021, and Pragma in 2023, with a controlling stake in RFQ-hub agreed for 2024[199]. - The company routinely evaluates potential acquisition and divestiture candidates, but there is no assurance that transactions will be completed or beneficial[199]. - The company has entered new markets, including algorithmic trading and quantitative execution solutions in equities and foreign exchange, following the acquisition of Pragma in 2023[152].