Core Viewpoint - StoneX Group Inc. announced the pricing of a $625 million offering of 6.875% Senior Secured Notes due 2032, intended to fund the acquisition of R.J. O'Brien [1][2] Group 1: Offering Details - The offering consists of $625 million in aggregate principal amount of 6.875% Senior Secured Notes due 2032, to be issued by StoneX Escrow Issuer LLC [1] - The offering is targeted at qualified institutional buyers under Rule 144A and certain persons outside the U.S. under Regulation S [1] - The expected closing date for the offering is around July 8, 2025, subject to customary closing conditions [1] Group 2: Use of Proceeds - The gross proceeds from the offering will be deposited into a segregated escrow account until certain conditions are met [2] - Upon the closing of the proposed acquisition of R.J. O'Brien, the proceeds will be used to pay the purchase price and related fees, costs, and expenses [2] Group 3: Security and Guarantees - Until the completion of the Merger, the Notes will be secured only by a senior secured first priority lien on the Escrowed Proceeds [3] - After the Merger, the Notes will be fully guaranteed on a senior secured second lien basis by the Company's existing and future subsidiaries [3] - The Notes are expected to pay interest semi-annually at a rate of 6.875% per annum [3] Group 4: Company Overview - StoneX Group Inc. operates a global financial services network, connecting clients to the market ecosystem through digital platforms and execution services [7] - The company is headquartered in New York City, listed on the Nasdaq Global Select Market, and serves over 54,000 clients globally [7]

Core Viewpoint - StoneX Group Inc. announced a private offering of $625 million in Senior Secured Notes due 2032 to fund its proposed acquisition of R.J. O'Brien [1][2] Group 1: Offering Details - The offering will be made by StoneX Escrow Issuer LLC, a wholly-owned subsidiary, and the proceeds will be held in a segregated escrow account until certain conditions are met [2][3] - The Notes will initially be secured only by a senior secured first priority lien on the Escrowed Proceeds and will not be guaranteed until the closing of the Merger [3] - Upon the Merger's closing, the Notes will be fully guaranteed on a senior secured second lien basis by the Company's existing and future subsidiaries [3] Group 2: Use of Proceeds - The proceeds from the offering, along with cash on hand, will be used to pay the purchase price and related fees, costs, premiums, and expenses associated with the Merger [2] Group 3: Company Overview - StoneX Group Inc. operates a global financial services network, connecting various market participants through digital platforms and execution services [7] - The Company is a Fortune-100 entity headquartered in New York City, serving over 54,000 clients and managing more than 400,000 retail accounts across six continents [7]

Core Viewpoint - StoneX Group Inc. has been upgraded to a Zacks Rank 2 (Buy), indicating a positive outlook based on an upward trend in earnings estimates, which significantly influences stock prices [1][2]. Earnings Estimates and Stock Price Impact - The Zacks rating system emphasizes the importance of changing earnings estimates in determining near-term stock price movements, making it a valuable tool for investors [2][3]. - Institutional investors utilize earnings estimates to assess the fair value of stocks, leading to significant price movements based on their buying or selling activities [3]. Business Improvement Indicators - The increase in earnings estimates and the Zacks rating upgrade suggest an improvement in StoneX Group's underlying business, which could lead to higher stock prices as investors respond positively [4]. Earnings Estimate Revisions - For the fiscal year ending September 2025, StoneX Group is expected to earn $5.83 per share, with a 0.4% increase in the Zacks Consensus Estimate over the past three months [7]. Zacks Rank System Overview - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with a strong historical performance, particularly for Zacks Rank 1 stocks, which have averaged a +25% annual return since 1988 [6]. - The upgrade of StoneX Group to a Zacks Rank 2 places it in the top 20% of Zacks-covered stocks, indicating a strong potential for market-beating returns in the near term [9].

Core Viewpoint - StoneX Group Inc. has announced the acquisition of Plantureux et Associés, a Paris-based brokerage firm specializing in agricultural commodities, which will enhance its presence in the French agricultural market, a key region for grain production in Europe [1][2]. Company Overview - StoneX Group Inc. operates a global financial services network, connecting various market participants through digital platforms and expertise, serving over 54,000 clients and more than 400,000 retail accounts from over 80 offices worldwide [3]. Acquisition Details - The acquisition of Plantureux is aimed at strengthening StoneX's position in the European agricultural commodities market and is subject to regulatory approval and customary closing conditions [2]. - Plantureux has nearly 40 years of experience in agricultural commodities and is recognized for its strong relationships in the French cereal market [2]. - The acquisition is part of StoneX's broader European growth strategy, following previous investments such as the acquisition of Octo Finances SA to expand fixed income capabilities [2]. Strategic Importance - France, as Europe's largest grain producer, is a critical link in the global agricultural value chain, making this acquisition strategically significant for StoneX [2]. - The acquisition will allow StoneX to provide localized expertise and high-touch service to clients in France and the surrounding region [2].

Financial Data and Key Metrics Changes - Second quarter net income was $71.7 million with diluted earnings per share of $1.41, representing a 3529% increase year-over-year but down 1617% from the previous quarter [6][50] - Operating revenues reached a record $956 million, up 17% year-over-year and up 1% from the previous quarter [6][50] - Return on equity was 15.7%, despite a 51% increase in book value over the last two years [6] Business Line Data and Key Metrics Changes - Operating revenues from physical contracts increased by 58% year-over-year, driven by strong growth in precious metals and physical agriculture and energy businesses [8] - Operating revenues from listed derivatives were up 15% year-over-year and quarter-over-quarter, primarily from the commercial segment [9] - Operating revenues from OTC derivatives increased by 14% year-over-year and 65% from the previous quarter, particularly in Brazil and European markets [9] - Payments operating revenues were up 2% year-over-year but down 13% from the previous quarter [9] - FX and CFD revenues decreased by 12% despite a 10% increase in average daily volume, due to a 19% decline in rate per million [10] Market Data and Key Metrics Changes - The company experienced a challenging market environment for FX and CFDs, with a significant decline in rate per million [11] - Interest and fee income from client balances decreased by 2% year-over-year, primarily due to lower short-term interest rates [16] Company Strategy and Development Direction - The company announced a planned acquisition of RJ O'Brien, which is expected to enhance its position in global derivatives and financial market infrastructure [18][24] - The acquisition is anticipated to provide significant revenue synergies and enhance margins, EPS, and return on equity [24][51] - The company is also expanding its ecosystem through partnerships, such as with Bamboo Payment Systems for local payment services in Latin America [27] Management's Comments on Operating Environment and Future Outlook - Management expects higher volatility in the next twelve months due to geopolitical tensions and supply chain uncertainties, which could be beneficial for the company [56][60] - The company is optimistic about its growth trajectory following the acquisition of RJ O'Brien and believes it will capitalize on ongoing industry transformations [51] Other Important Information - The company received CME approval for its New York-based metals vault, enhancing its capabilities in the metals market [30] - The company is actively expanding its presence in the Indian market through its establishment in Gift City [46] Q&A Session Summary Question: Health of the markets and near-term outlook - Management noted that while volatility had declined over the past year, recent months have seen a dramatic increase in volatility due to tariffs and trade reform, which is expected to be a net positive for the company [55][60] Question: Catalysts for growth in the payments business - Management discussed the recent technology upgrades that have increased capacity and allowed for higher transaction volumes, indicating a potential turnaround in the payments segment [62][64] Question: Fee per million in the retail segment - Management explained that the decline in fee per million was due to a normalization from previously high levels and a product mix that included tighter spreads [74][75] Question: Risk management policies during higher volatility - Management highlighted the effectiveness of their risk management systems during periods of high volatility, noting that they performed well without significant issues [82]

Financial Data and Key Metrics Changes - Second quarter net income was $71,700,000 with diluted earnings per share of $1.41, representing a 3529% growth year-over-year but down 1617% from the previous quarter [6] - Record operating revenues reached $956,000,000, up 17% year-over-year and up 1% from the previous quarter [6] - Return on equity was 15.7% despite a 51% increase in book value over the last two years [6] Business Line Data and Key Metrics Changes - Operating revenues from physical contracts increased by 58% year-over-year, driven by strong growth in precious metals and physical agriculture and energy businesses [9] - Operating revenues from listed derivatives were up 15% year-over-year and quarter-over-quarter, primarily from the commercial segment [10] - Operating revenues from OTC derivatives increased by 14% year-over-year and 65% from the previous quarter, particularly in Brazil and European markets [10] - Payments operating revenues were up 2% year-over-year but down 13% from the previous quarter [10] - FX and CFD revenues decreased by 12% despite a 10% increase in average daily volume, due to a 19% decline in rate per million [11] Market Data and Key Metrics Changes - The commercial segment saw an 18% increase in net operating revenues, driven by strong performance in physical contracts [12] - The institutional segment experienced record net operating revenues and segment income growth of 28% and 41% respectively [13] - The self-directed retail segment reported a 14% decline in net operating revenues and a 34% decline in segment income [14] Company Strategy and Development Direction - The company announced a planned acquisition of RJ O'Brien, which is expected to enhance its position in global derivatives and improve its market access and service capabilities [18][19] - The acquisition is anticipated to provide significant revenue synergies and enhance margins, EPS, and return on equity [24] - The company is also expanding its ecosystem through partnerships, such as with Bamboo Payment Systems for local payment services in Latin America [27] Management's Comments on Operating Environment and Future Outlook - Management anticipates higher volatility in the next twelve months due to geopolitical tensions and regulatory changes, which could benefit the company's performance [56] - The company is optimistic about its growth trajectory following the acquisition of RJ O'Brien and believes it is well-positioned to capitalize on industry transformations [49] - Management emphasized the importance of maintaining a strong risk management framework during periods of high volatility [80] Other Important Information - The company received CME approval for its New York-based metals vault, enhancing its capabilities in the metals market [30] - The company completed the acquisition of JBR Recovery, a silver recycler, which strengthens its position in the metals ecosystem [31] Q&A Session Summary Question: Health of the markets and near-term outlook - Management noted that while volatility had declined over the past year, recent geopolitical events have led to increased volatility, which is expected to continue [54][56] Question: Prospects for the payments business - Management discussed recent technology upgrades that have improved capacity and efficiency, leading to increased volumes in the payments segment [62][64] Question: Retail segment performance and fee per million - Management explained that the decline in fee per million was due to a normalization from previously high levels and a product mix that included tighter spreads [73][74]

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分组1 - StoneX Group Inc. reported quarterly earnings of $1.41 per share, exceeding the Zacks Consensus Estimate of $1.32 per share, and up from $1.11 per share a year ago, representing an earnings surprise of 6.82% [1] - The company achieved revenues of $956 million for the quarter ended March 2025, surpassing the Zacks Consensus Estimate by 5.37%, and an increase from $818.2 million year-over-year [2] - StoneX Group has consistently outperformed consensus EPS and revenue estimates over the last four quarters [2] 分组2 - The stock has increased approximately 43% since the beginning of the year, contrasting with a -4.7% decline in the S&P 500 [3] - The current consensus EPS estimate for the upcoming quarter is $1.40 on revenues of $899.1 million, and for the current fiscal year, it is $5.81 on revenues of $3.63 billion [7] - The Zacks Industry Rank for Financial - Miscellaneous Services is in the bottom 43% of over 250 Zacks industries, indicating potential challenges for stock performance [8]

[PART I. FINANCIAL INFORMATION](index=4&type=section&id=Part%20I.%20FINANCIAL%20INFORMATION) This section presents unaudited financial statements, management's discussion, and market risk disclosures [Item 1. Financial Statements (Unaudited)](index=4&type=section&id=Item%201.%20Financial%20Statements%20%28Unaudited%29) Unaudited condensed consolidated financial statements for Q1 and H1 2025, including balance sheets, income, cash flows, and detailed notes [Condensed Consolidated Balance Sheets](index=4&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) Snapshot of the company's financial position, detailing assets, liabilities, and equity at specific dates Balance Sheet Summary (in millions) | (in millions) | March 31, 2025 | September 30, 2024 | | :--- | :--- | :--- | | Total assets | $31,282.9 | $27,466.3 | | Total liabilities | $29,400.9 | $25,757.2 | | Total equity | $1,882.0 | $1,709.1 | - **Total assets** increased by **$3,816.6 million** (**13.9%**) from September 30, 2024, to March 31, 2025, primarily driven by increases in securities purchased under agreements to resell, financial instruments owned, and physical commodities inventory[9](index=9&type=chunk) - **Total liabilities** increased by **$3,643.7 million** (**14.1%**) over the same period, mainly due to a significant rise in securities sold under agreements to repurchase and financial instruments sold, not yet purchased[9](index=9&type=chunk) [Condensed Consolidated Income Statements](index=5&type=section&id=Condensed%20Consolidated%20Income%20Statements) Company's financial performance, including revenues, expenses, and net income for the reported periods Income Statement Highlights (in millions, except share and per share amounts) | (in millions, except share and per share amounts) | Three Months Ended March 31, 2025 | Three Months Ended March 31, 2024 | Six Months Ended March 31, 2025 | Six Months Ended March 31, 2024 | | :--- | :--- | :--- | :--- | :--- | | Sales of physical commodities | $35,992.6 | $21,321.9 | $63,043.7 | $40,142.8 | | Total revenues | $36,890.7 | $22,106.1 | $64,826.0 | $41,679.1 | | Operating revenues | $956.0 | $818.2 | $1,900.3 | $1,602.4 | | Net income | $71.7 | $53.1 | $156.8 | $122.2 | | Basic EPS | $1.49 | $1.12 | $3.26 | $2.59 | | Diluted EPS | $1.41 | $1.09 | $3.10 | $2.51 | - **Net income** increased by **35%** to **$71.7 million** for the three months ended March 31, 2025, compared to **$53.1 million** in the prior year, and by **28%** to **$156.8 million** for the six months ended March 31, 2025, compared to **$122.2 million** in the prior year[11](index=11&type=chunk) - **Operating revenues** grew by **17%** to **$956.0 million** for the three months ended March 31, 2025, and by **19%** to **$1,900.3 million** for the six months ended March 31, 2025, reflecting strong performance across various revenue streams[11](index=11&type=chunk) [Condensed Consolidated Statements of Comprehensive Income](index=6&type=section&id=Condensed%20Consolidated%20Statements%20of%20Comprehensive%20Income) Details changes in equity from non-owner sources, including net income and other comprehensive income components Comprehensive Income Summary (in millions) | (in millions) | Three Months Ended March 31, 2025 | Three Months Ended March 31, 2024 | Six Months Ended March 31, 2025 | Six Months Ended March 31, 2024 | | :--- | :--- | :--- | :--- | :--- | | Net income | $71.7 | $53.1 | $156.8 | $122.2 | | Foreign currency translation adjustment | $12.0 | $(4.6) | $(6.3) | $2.3 | | Cash flow hedges | $6.6 | $(0.8) | $(0.3) | $19.9 | | Total other comprehensive gain/(loss), net of tax | $18.6 | $(5.4) | $(6.6) | $22.2 | | Comprehensive income | $90.3 | $47.7 | $150.2 | $144.4 | - **Comprehensive income** for the three months ended March 31, 2025, was **$90.3 million**, a significant increase from **$47.7 million** in the prior year, driven by higher **net income** and a positive foreign currency translation adjustment[14](index=14&type=chunk) [Condensed Consolidated Statements of Cash Flows](index=7&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Cash inflows and outflows from operating, investing, and financing activities for the periods Cash Flow Summary (in millions) | (in millions) | Six Months Ended March 31, 2025 | Six Months Ended March 31, 2024 | | :--- | :--- | :--- | | Net cash (used in)/provided by operating activities | $(632.3) | $936.4 | | Net cash used in investing activities | $(42.7) | $(26.1) | | Net cash (used in)/provided by financing activities | $(18.3) | $457.0 | | Net (decrease)/increase in cash, segregated cash, cash equivalents, and segregated cash equivalents | $(700.0) | $1,369.5 | | Cash, segregated cash, cash equivalents, and segregated cash equivalents at end of period | $5,972.6 | $7,411.2 | - The company experienced a net decrease of **$700.0 million** in cash, segregated cash, cash equivalents, and segregated cash equivalents for the six months ended March 31, 2025, primarily due to cash used in **operating activities**[17](index=17&type=chunk)[323](index=323&type=chunk) - **Operating activities** used **$632.3 million** in cash, a significant shift from **$936.4 million** provided in the prior year, largely influenced by changes in operating assets and liabilities such as securities purchased under agreements to resell and financial instruments owned[17](index=17&type=chunk)[323](index=323&type=chunk) [Condensed Consolidated Statements of Stockholders' Equity](index=9&type=section&id=Condensed%20Consolidated%20Statements%20of%20Stockholders'%20Equity) Outlines changes in the company's equity, including common stock, retained earnings, and comprehensive loss Stockholders' Equity Summary (in millions) | (in millions) | March 31, 2025 | September 30, 2024 | | :--- | :--- | :--- | | Common Stock | $0.5 | $0.5 | | Treasury Stock | $(69.3) | $(69.3) | | Additional Paid-in Capital | $436.9 | $414.2 | | Retained Earnings | $1,545.7 | $1,388.9 | | Accumulated Other Comprehensive Loss, net | $(31.8) | $(25.2) | | Total Equity | $1,882.0 | $1,709.1 | - **Total stockholders' equity** increased by **$172.9 million** to **$1,882.0 million** as of March 31, 2025, from **$1,709.1 million** at September 30, 2024, primarily driven by **net income** and increases in additional paid-in capital[23](index=23&type=chunk) - **Retained earnings** increased by **$156.8 million**, reflecting the **net income** for the six months ended March 31, 2025[23](index=23&type=chunk) [Notes to Condensed Consolidated Financial Statements](index=10&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) Detailed explanations and disclosures supporting the condensed consolidated financial statements [Note 1 – Basis of Presentation and Consolidation and Accounting Standards Adopted](index=10&type=section&id=Note%201%20%E2%80%93%20Basis%20of%20Presentation%20and%20Consolidation%20and%20Accounting%20Standards%20Adopted) Basis of financial statement presentation, consolidation, and impact of the 3-for-2 stock split - StoneX Group Inc. operates as a global financial services network connecting clients to the global market ecosystem through digital platforms, clearing, execution, and expertise[25](index=25&type=chunk) - On March 21, 2025, the Company completed a **3-for-2** common stock split, retroactively adjusting all share and per share amounts[33](index=33&type=chunk)[156](index=156&type=chunk) - The company's valuation policy for physical commodities inventory includes estimating the cost to complete refining, material type, and market prices to determine the lower of cost or net realizable value[32](index=32&type=chunk) [Note 2 – Earnings per Share](index=11&type=section&id=Note%202%20%E2%80%93%20Earnings%20per%20Share) Details the calculation of basic and diluted earnings per share (EPS) using the two-class method Earnings per Share Data (in millions, except share amounts) | (in millions, except share amounts) | Three Months Ended March 31, 2025 | Three Months Ended March 31, 2024 | Six Months Ended March 31, 2025 | Six Months Ended March 31, 2024 | | :--- | :--- | :--- | :--- | :--- | | Net income allocated to common stockholders | $69.6 | $51.2 | $152.0 | $117.9 | | Diluted weighted-average common shares | 49,376,423 | 47,248,414 | 48,981,445 | 47,060,608 | - Options to purchase **259,514** and **2,774,979** shares for the three months ended March 31, 2025 and 2024, respectively, were excluded from diluted EPS calculation as they were anti-dilutive[38](index=38&type=chunk) [Note 3 – Assets and Liabilities, at Fair Value](index=11&type=section&id=Note%203%20%E2%80%93%20Assets%20and%20Liabilities%2C%20at%20Fair%20Value) Fair value measurement framework, classifying assets and liabilities into Level 1, 2, or 3 - Fair value measurements are categorized into three levels: Level 1 (unadjusted quoted prices in active markets), Level 2 (quoted prices for similar assets/liabilities or models with observable inputs), and Level 3 (unobservable inputs)[44](index=44&type=chunk)[45](index=45&type=chunk)[46](index=46&type=chunk) Fair Value Assets and Liabilities (in millions) | (in millions) | March 31, 2025 | September 30, 2024 | | :--- | :--- | :--- | | Total assets at fair value | $11,838.7 | $10,523.8 | | Total liabilities at fair value | $3,582.5 | $3,120.1 | - The company uses independent price verification controls to validate relevant prices and considers counterparty credit risk for OTC derivative instruments[41](index=41&type=chunk)[43](index=43&type=chunk) [Note 4 – Financial Instruments with Off-Balance Sheet Risk and Concentrations of Credit Risk](index=16&type=section&id=Note%204%20%E2%80%93%20Financial%20Instruments%20with%20Off-Balance%20Sheet%20Risk%20and%20Concentrations%20of%20Credit%20Risk) Addresses off-balance sheet risk from financial instruments and concentrations of credit risk Derivative Contracts Fair Value (in millions) | (in millions) | March 31, 2025 Assets | March 31, 2025 Liabilities | September 30, 2024 Assets | September 30, 2024 Liabilities | | :--- | :--- | :--- | :--- | :--- | | Gross fair value of derivative contracts | $6,149.0 | $5,935.7 | $7,235.9 | $7,144.1 | | Impact of netting and collateral | $(6,006.0) | $(5,956.8) | $(6,670.6) | $(6,614.6) | Notional Value of Hedging Instruments (in millions) | (in millions) | March 31, 2025 Notional Value | September 30, 2024 Notional Value | | :--- | :--- | :--- | | Interest rate contracts | $— | $500.0 | | Foreign currency forward contracts (USD equivalent) | $204.4 | $126.3 | Net Gains from Derivative Contracts (in millions) | (in millions) | Three Months Ended March 31, 2025 | Three Months Ended March 31, 2024 | Six Months Ended March 31, 2025 | Six Months Ended March 31, 2024 | | :--- | :--- | :--- | :--- | :--- | | Net gains from derivative contracts | $87.3 | $104.0 | $321.8 | $150.5 | - The company manages credit risk by establishing credit/position limits, monitoring collateral levels daily, and requiring margin deposits from counterparties and clients[80](index=80&type=chunk)[81](index=81&type=chunk) [Note 5 – Allowance for Doubtful Accounts](index=20&type=section&id=Note%205%20%E2%80%93%20Allowance%20for%20Doubtful%20Accounts) Details allowance for doubtful accounts related to receivables and its activity for the six months ended March 31, 2025 Allowance for Doubtful Accounts (in millions) | (in millions) | March 31, 2025 | September 30, 2024 | | :--- | :--- | :--- | | Allowance for doubtful accounts (broker-dealers, etc.) | $0.1 | $0.0 | | Allowance for doubtful accounts (clients) | $49.1 | $51.9 | Allowance for Doubtful Accounts Activity (in millions) | (in millions) | Six Months Ended March 31, 2025 | | :--- | :--- | | Balance as of September 30, 2024 | $51.9 | | Provision for bad debts | $1.5 | | Allowance charge-offs | $(4.1) | | Other | $(0.1) | | Balance as of March 31, 2025 | $49.2 | [Note 6 – Physical Commodities Inventory](index=20&type=section&id=Note%206%20%E2%80%93%20Physical%20Commodities%20Inventory) Details the composition of physical commodities inventory, including agriculture, energy, and precious metals Physical Commodities Inventory Composition (in millions) | (in millions) | March 31, 2025 | September 30, 2024 | | :--- | :--- | :--- | | Physical agriculture and energy | $255.1 | $169.0 | | Precious metals - held by broker-dealer subsidiary | $248.0 | $207.6 | | Precious metals - held by non-broker-dealer subsidiaries | $293.1 | $304.5 | | Physical commodities inventory, net | $796.2 | $681.1 | - **Physical commodities inventory, net**, increased by **$115.1 million** (**16.9%**) from September 30, 2024, to March 31, 2025[86](index=86&type=chunk) [Note 7 – Goodwill](index=21&type=section&id=Note%207%20%E2%80%93%20Goodwill) Presents the allocation of goodwill across operating segments: Commercial, Institutional, Self-Directed/Retail, and Payments Goodwill by Segment (in millions) | (in millions) | March 31, 2025 | September 30, 2024 | | :--- | :--- | :--- | | Commercial | $38.1 | $33.3 | | Institutional | $11.8 | $9.8 | | Self-Directed/Retail | $7.9 | $7.9 | | Payments | $10.0 | $10.0 | | Total Goodwill | $67.8 | $61.0 | - **Total goodwill** increased by **$6.8 million** from September 30, 2024, to March 31, 2025, with increases primarily in the Commercial and Institutional segments[87](index=87&type=chunk) [Note 8 – Intangible Assets](index=21&type=section&id=Note%208%20%E2%80%93%20Intangible%20Assets) Provides gross and net carrying values of intangible assets by class, including amortization expense Intangible Assets Summary (in millions) | (in millions) | March 31, 2025 Net Amount | September 30, 2024 Net Amount | | :--- | :--- | :--- | | Intangible assets subject to amortization | $16.4 | $13.8 | | Intangible assets not subject to amortization | $5.8 | $5.8 | | Total intangible assets | $22.2 | $19.6 | Amortization Expense (in millions) | (in millions) | Three Months Ended March 31, 2025 | Three Months Ended March 31, 2024 | Six Months Ended March 31, 2025 | Six Months Ended March 31, 2024 | | :--- | :--- | :--- | :--- | :--- | | Amortization expense related to intangible assets | $1.2 | $2.1 | $2.3 | $4.1 | - The company wrote off **$16.2 million** of fully amortized intangible assets during the six months ended March 31, 2025[89](index=89&type=chunk) [Note 9 – Credit Facilities](index=22&type=section&id=Note%209%20%E2%80%93%20Credit%20Facilities) Details committed and uncommitted credit facilities, outstanding balances, and covenant compliance Credit Facilities and Borrowings (in millions) | (in millions) | March 31, 2025 Outstanding | September 30, 2024 Outstanding | | :--- | :--- | :--- | | Committed Credit Facilities | $237.0 | $227.0 | | Uncommitted Credit Facilities | $97.2 | $104.9 | | Note Payable to Bank | $6.7 | $6.9 | | Senior Secured Notes due 2031 | $543.6 | $543.1 | | Total outstanding borrowings | $884.5 | $881.9 | - The company has committed credit facilities totaling **$1,205.0 million**, with **$237.0 million** **outstanding** as of March 31, 2025[91](index=91&type=chunk)[95](index=95&type=chunk) - The company issued **$550 million** in **7.875%** Senior Secured Notes due 2031 on March 1, 2024, with a carrying value of **$543.6 million** as of March 31, 2025[94](index=94&type=chunk)[95](index=95&type=chunk) [Note 10 – Securities and Commodity Financing Transactions](index=23&type=section&id=Note%2010%20%E2%80%93%20Securities%20and%20Commodity%20Financing%20Transactions) Describes repurchase agreements, securities borrowing/lending, and collateralization practices Secured Financing Transactions (in millions) | (in millions) | March 31, 2025 Total | September 30, 2024 Total | | :--- | :--- | :--- | | Securities sold under agreements to repurchase | $24,045.9 | $16,527.9 | | Securities loaned | $1,509.9 | $1,615.9 | | Gross amount of secured financing | $25,555.8 | $18,143.8 | Net Collateralized Transactions (in millions) | (in millions) | March 31, 2025 | September 30, 2024 | | :--- | :--- | :--- | | Securities purchased under agreements to resell (Net) | $6,917.6 | $5,201.5 | | Securities borrowed (Net) | $1,803.9 | $1,662.3 | | Securities sold under agreements to repurchase (Net) | $11,137.3 | $8,581.3 | | Securities loaned (Net) | $1,509.9 | $1,615.9 | - The company monitors the fair value of securities loaned and borrowed daily and adjusts collateral as appropriate to limit credit risk[99](index=99&type=chunk) [Note 11 – Commitments and Contingencies](index=25&type=section&id=Note%2011%20%E2%80%93%20Commitments%20and%20Contingencies) Discloses involvement in legal actions and proceedings, including a civil complaint and related subpoenas - BTIG filed a civil complaint against the company and StoneX Financial Inc. in November 2023, alleging theft of trade secrets, which has moved to FINRA arbitration[106](index=106&type=chunk) - The company received subpoenas from the DOJ and SEC related to the BTIG complaint and is cooperating with these agencies[106](index=106&type=chunk) - Management believes that possible exposure from loss contingencies in excess of accrued amounts is not likely to be material to the company's earnings, financial position, or liquidity[107](index=107&type=chunk) [Note 12 – Accumulated Other Comprehensive Loss, Net](index=25&type=section&id=Note%2012%20%E2%80%93%20Accumulated%20Other%20Comprehensive%20Loss%2C%20Net) Summarizes changes in accumulated other comprehensive loss, net, including foreign currency translation and cash flow hedges Accumulated Other Comprehensive Loss Changes (in millions) | (in millions) | September 30, 2024 Balance | Other comprehensive loss, net of tax | March 31, 2025 Balance | | :--- | :--- | :--- | :--- | | Foreign Currency Translation Adjustment | $(31.3) | $(6.3) | $(37.6) | | Pension Benefits Adjustment | $(1.2) | $— | $(1.2) | | Cash Flow Hedge | $7.3 | $(0.3) | $7.0 | | Accumulated Other Comprehensive Loss, net | $(25.2) | $(6.6) | $(31.8) | - **Accumulated other comprehensive loss, net**, increased from **$(25.2) million** at September 30, 2024, to **$(31.8) million** at March 31, 2025, primarily due to foreign currency translation adjustments[110](index=110&type=chunk) [Note 13 – Revenue from Contracts with Clients](index=25&type=section&id=Note%2013%20%E2%80%93%20Revenue%20from%20Contracts%20with%20Clients) Details revenue recognition policies and disaggregates total revenues by source and primary geographic region Total Revenues by Source (in millions) | (in millions) | Three Months Ended March 31, 2025 | Three Months Ended March 31, 2024 | Six Months Ended March 31, 2025 | Six Months Ended March 31, 2024 | | :--- | :--- | :--- | :--- | :--- | | Revenues from contracts with clients | $820.4 | $509.2 | $1,483.5 | $1,136.6 | | Other sources of revenues | $36,070.3 | $21,596.9 | $63,342.5 | $40,542.5 | | Total revenues | $36,890.7 | $22,106.1 | $64,826.0 | $41,679.1 | Total Revenues by Geographic Region (in millions) | (in millions) | Three Months Ended March 31, 2025 | Three Months Ended March 31, 2024 | Six Months Ended March 31, 2025 | Six Months Ended March 31, 2024 | | :--- | :--- | :--- | :--- | :--- | | United States | $1,880.0 | $1,407.7 | $3,664.4 | $3,011.2 | | Europe | $840.2 | $560.2 | $1,546.0 | $1,218.6 | | South America | $141.7 | $105.0 | $305.0 | $233.0 | | Middle East and Asia | $34,024.2 | $20,025.1 | $59,314.9 | $37,200.7 | | Other | $4.6 | $8.1 | $(4.3) | $15.6 | | Total revenues | $36,890.7 | $22,106.1 | $64,826.0 | $41,679.1 | - Revenues from contracts with clients as a percentage of total revenues were **2.2%** for the three months ended March 31, 2025, and **2.3%** for the six months ended March 31, 2025[115](index=115&type=chunk) [Note 14 – Other Expenses](index=27&type=section&id=Note%2014%20%E2%80%93%20Other%20Expenses) Provides a detailed breakdown of other expenses, including non-income taxes, insurance, and employee-related costs Other Expenses Breakdown (in millions) | (in millions) | Three Months Ended March 31, 2025 | Three Months Ended March 31, 2024 | Six Months Ended March 31, 2025 | Six Months Ended March 31, 2024 | | :--- | :--- | :--- | :--- | :--- | | Non-income taxes | $2.5 | $2.8 | $5.3 | $5.3 | | Insurance | $2.6 | $3.2 | $6.2 | $6.1 | | Employee related expenses | $1.7 | $1.7 | $3.6 | $3.6 | | Other direct business expenses | $3.9 | $3.5 | $7.9 | $7.9 | | Membership fees | $1.0 | $1.0 | $1.9 | $1.9 | | Director and public company expenses | $0.7 | $0.7 | $1.2 | $1.2 | | Office expenses | $0.6 | $0.5 | $1.3 | $1.1 | | Other expenses | $1.8 | $1.9 | $4.1 | $5.1 | | Total other expenses | $14.8 | $15.3 | $31.5 | $32.2 | [Note 15 – Income Taxes](index=28&type=section&id=Note%2015%20%E2%80%93%20Income%20Taxes) Outlines income tax provision, effective tax rate, and factors differing from the U.S. federal statutory rate Income Tax Expense and Effective Rate (in millions) | (in millions) | Three Months Ended March 31, 2025 | Three Months Ended March 31, 2024 | | :--- | :--- | :--- | | Income tax expense | $25.4 | $19.2 | | Effective tax rate | 26% | 26% | - The effective tax rate was higher than the U.S. federal statutory rate of **21%** due to U.S. state and local taxes, GILTI, U.S. and foreign permanent differences, and foreign earnings taxed at higher rates[127](index=127&type=chunk) - The OECD's Pillar Two global corporate minimum tax rate of **fifteen percent** became effective for the company on October 1, 2024, but is not expected to have a material impact for fiscal 2025[125](index=125&type=chunk) [Note 16 – Regulatory Capital Requirements](index=28&type=section&id=Note%2016%20%E2%80%93%20Regulatory%20Capital%20Requirements) Details regulatory capital requirements for key subsidiaries and confirms their compliance as of March 31, 2025 Regulatory Capital Compliance by Subsidiary (in millions) | Subsidiary | Regulatory Authority | Actual (in millions) | Minimum Requirement (in millions) | | :--- | :--- | :--- | :--- | | StoneX Financial Inc. | SEC and CFTC | $426.5 | $252.2 | | StoneX Financial Ltd. | FCA | $563.0 | $437.2 | | Gain Capital Group, LLC | CFTC and NFA | $56.2 | $30.8 | | StoneX Financial Pte. Ltd. | MAS | $112.0 | $24.3 | | StoneX Markets LLC | CFTC and NFA | $245.4 | $134.2 | - All of the company's subsidiaries were in **compliance** with their local regulatory capital requirements as of March 31, 2025[128](index=128&type=chunk)[129](index=129&type=chunk) [Note 17 - Acquisitions](index=28&type=section&id=Note%2017%20-%20Acquisitions) Details recent and pending acquisitions, highlighting their strategic importance and financial terms - On October 1, 2024, StoneX Metals Limited acquired JBR Recovery Limited, a UK-accredited silver recycling and refining business, for **$8.0 million** cash and **$12.6 million** in silver bullion, enhancing supply chain integration[131](index=131&type=chunk)[132](index=132&type=chunk) - On January 31, 2025, the company acquired Octo Finances SA, a fixed income broker in Paris, for **$7.5 million** cash, expanding its fixed income offerings and European capabilities[133](index=133&type=chunk)[134](index=134&type=chunk) - The company announced agreements to acquire R.J. O'Brien for approximately **$900 million** (cash and stock) and The Benchmark Company, LLC for approximately **$75 million**, both expected to close in the third calendar quarter of 2025, strengthening FCM position and capital markets offerings[135](index=135&type=chunk)[136](index=136&type=chunk)[137](index=137&type=chunk)[138](index=138&type=chunk) [Note 18 – Segment Analysis](index=29&type=section&id=Note%2018%20%E2%80%93%20Segment%20Analysis) Describes operating segments, defines key performance measures, and summarizes total segment results - The company manages its business through four reportable segments: Commercial, Institutional, Self-Directed/Retail, and Payments, reflecting its global footprint and diverse client base[139](index=139&type=chunk)[142](index=142&type=chunk) - **Key performance measures** include **Operating revenues** (total revenues less cost of sales of physical commodities), **Net operating revenues** (operating revenues less transaction-based clearing expenses, introducing broker commissions, and interest expense), **Net contribution** (net operating revenues less variable compensation), and **Segment income** (net contribution less non-variable direct segment costs)[146](index=146&type=chunk)[147](index=147&type=chunk)[218](index=218&type=chunk)[219](index=219&type=chunk)[220](index=220&type=chunk) Total Segment Results (in millions) | (in millions) | Three Months Ended March 31, 2025 | Three Months Ended March 31, 2024 | Six Months Ended March 31, 2025 | Six Months Ended March 31, 2024 | | :--- | :--- | :--- | :--- | :--- | | Total revenues | $36,890.7 | $22,106.1 | $64,826.0 | $41,679.1 | | Operating revenues | $956.0 | $818.2 | $1,900.3 | $1,602.4 | | Net operating revenues (loss) | $487.3 | $422.3 | $979.4 | $843.9 | | Net contribution | $366.6 | $329.0 | $768.0 | $665.8 | | Segment income | $229.7 | $204.7 | $501.0 | $420.8 | [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=32&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management's perspective on financial performance, condition, liquidity, capital resources, and off-balance sheet arrangements [Overview](index=32&type=section&id=Overview) General introduction to the company's global financial services network and operating segments - StoneX Group Inc. operates a global financial services network, connecting clients to the global market ecosystem through digital platforms, clearing, execution, and expertise[154](index=154&type=chunk) - The company reports three operating segments based on client nature (commercial, institutional, self-directed/retail) and a fourth segment for its payments business[155](index=155&type=chunk) - As of March 31, 2025, the company had over **4,700** employees, supporting its global infrastructure and client-first approach[154](index=154&type=chunk) [Executive Summary](index=32&type=section&id=Executive%20Summary) Highlights key financial achievements and strategic developments for the reported period - The company achieved strong growth in Q2 fiscal 2025, with a **15%** increase in **net operating revenues** and a **35%** increase in **net income**, driven by increased transaction volumes across all product offerings[157](index=157&type=chunk)[163](index=163&type=chunk) Executive Summary Key Metrics | Metric | Q2 FY2025 | Q2 FY2024 | Change | | :--- | :--- | :--- | :--- | | Net operating revenues | +15% | | | | Net income | +35% | | | | Diluted EPS | $1.41 | $1.09 | +29.4% | | Listed derivatives RPC | +2% | | | | OTC derivatives RPC | +4% | | | | Securities RPM | Increased | | | | FX/CFD RPM | Decreased | | | | Payments RPM | Decreased | | | - **Key acquisitions** announced include R.J. O'Brien for approximately **$900 million** (cash and stock) and The Benchmark Company, LLC for approximately **$75 million**, both expected to close in the second half of calendar 2025[164](index=164&type=chunk)[165](index=165&type=chunk)[166](index=166&type=chunk)[167](index=167&type=chunk) [Selected Summary Financial Information](index=34&type=section&id=Selected%20Summary%20Financial%20Information) Presents key financial metrics and performance indicators for the current and comparative periods Selected Financial Highlights (in millions) | (in millions) | Three Months Ended March 31, 2025 | Three Months Ended March 31, 2024 | % Change | | :--- | :--- | :--- | :--- | | Sales of physical commodities | $35,992.6 | $21,321.9 | 69% | | Operating revenues | $956.0 | $818.2 | 17% | | Net operating revenues | $487.3 | $422.3 | 15% | | Net income | $71.7 | $53.1 | 35% | | Return on average stockholders' equity | 15.7% | 14.0% | | | Total assets | $31,282.9 | $25,651.0 | 22% | | Stockholders' equity | $1,882.0 | $1,542.6 | 22% | - **Operating revenues** increased by **17%** for the three months ended March 31, 2025, and by **19%** for the six months ended March 31, 2025[169](index=169&type=chunk) - **Net income** increased by **35%** for the three months ended March 31, 2025, and by **28%** for the six months ended March 31, 2025[169](index=169&type=chunk) [Operating Revenues](index=35&type=section&id=Operating%20Revenues) Analyzes the company's operating revenues by product offering and their respective growth drivers Operating Revenues by Product (in millions) | Operating Revenues (in millions) | Three Months Ended March 31, 2025 | Three Months Ended March 31, 2024 | % Change | | :--- | :--- | :--- | :--- | | Listed derivatives | $128.4 | $111.7 | 15% | | OTC derivatives | $60.3 | $53.0 | 14% | | Securities | $426.7 | $340.7 | 25% | | FX / Contracts For Difference ("CFD") contracts | $70.9 | $80.3 | (12)% | | Payments | $49.2 | $48.4 | 2% | | Physical contracts | $72.6 | $45.9 | 58% | | Interest / fees earned on client balances | $101.7 | $104.2 | (2)% | | Other | $43.7 | $31.0 | 41% | | Corporate | $16.7 | $14.4 | 16% | | Eliminations | $(14.2) | $(11.4) | 25% | | Total Operating Revenues | $956.0 | $818.2 | 17% | Volumes and Other Select Data | Volumes and Other Select Data | Three Months Ended March 31, 2025 | Three Months Ended March 31, 2024 | % Change | | :--- | :--- | :--- | :--- | | Listed derivatives (contracts, 000's) | 61,153 | 53,805 | 14% | | Listed derivatives, average rate per contract | $2.02 | $1.98 | 2% | | Securities average daily volume ("ADV") (millions) | $8,915 | $7,473 | 19% | | Securities rate per million ("RPM") | $279 | $239 | 17% | | FX/CFD contracts ADV (millions) | $11,539 | $10,453 | 10% | | FX/CFD contracts RPM | $97 | $120 | (19)% | | Payments ADV (millions) | $77 | $64 | 20% | | Payments RPM | $10,526 | $12,327 | (15)% | - **Operating revenues** increased by **$137.8 million**, or **17%**, to **$956.0 million** for the three months ended March 31, 2025, with significant growth in securities (**+25%**) and physical contracts (**+58%**)[174](index=174&type=chunk)[176](index=176&type=chunk)[178](index=178&type=chunk) [Interest and Transactional Expenses](index=37&type=section&id=Interest%20and%20Transactional%20Expenses) Details the company's interest and transaction-based clearing expenses, analyzing their components and changes Interest and Transactional Expenses Breakdown (in millions) | (in millions) | Three Months Ended March 31, 2025 | Three Months Ended March 31, 2024 | % Change | | :--- | :--- | :--- | :--- | | Transaction-based clearing expenses | $91.8 | $78.5 | 17% | | Introducing broker commissions | $45.5 | $42.0 | 8% | | Interest expense (Trading activities) | $316.6 | $259.2 | 22% | | Interest expense (Corporate funding) | $14.8 | $16.2 | (9)% | | Total interest expense | $331.4 | $275.4 | 20% | - **Transaction-based clearing expenses** increased by **17%** for the three months ended March 31, 2025, driven by higher activity in Equity and Debt Capital Markets, Exchange-Traded Futures & Options, and Financial Ag and Energy businesses[186](index=186&type=chunk) - **Interest expense** attributable to trading activities increased by **22%** for the three months ended March 31, 2025, primarily due to growth in security repo and securities lending businesses and increased physical precious metals and commodities activities[188](index=188&type=chunk) [Net Operating Revenues](index=38&type=section&id=Net%20Operating%20Revenues) Analyzes net operating revenues by product, reflecting performance after direct transaction costs Net Operating Revenues by Product (in millions) | Net Operating Revenues (in millions) | Three Months Ended March 31, 2025 | Three Months Ended March 31, 2024 | % Change | | :--- | :--- | :--- | :--- | | Listed derivatives | $60.3 | $48.2 | 25% | | OTC derivatives | $60.2 | $53.0 | 14% | | Securities | $120.8 | $88.6 | 36% | | FX/CFD contracts | $62.5 | $71.8 | (13)% | | Payments | $46.5 | $45.9 | 1% | | Physical contracts | $48.6 | $36.8 | 32% | | Interest, net / fees earned on client balances | $74.5 | $74.0 | 1% | | Other | $22.5 | $16.8 | 34% | | Corporate | $(8.6) | $(12.8) | (33)% | | Total Net Operating Revenues | $487.3 | $422.3 | 15% | - **Net operating revenues** increased by **15%** to **$487.3 million** for the three months ended March 31, 2025, with strong growth in securities (**+36%**) and physical contracts (**+32%**)[193](index=193&type=chunk) [Compensation and Other Expenses](index=39&type=section&id=Compensation%20and%20Other%20Expenses) Breakdown of compensation, benefits, and other operating expenses, detailing their changes Compensation and Other Expenses Breakdown (in millions) | (in millions) | Three Months Ended March 31, 2025 | Three Months Ended March 31, 2024 | % Change | | :--- | :--- | :--- | :--- | | Variable compensation and benefits | $146.7 | $123.7 | 19% | | Fixed compensation and benefits | $120.4 | $110.7 | 9% | | Total compensation and benefits | $267.1 | $234.4 | 14% | | Trading systems and market information | $19.5 | $19.4 | 1% | | Professional fees | $16.5 | $19.3 | (15)% | | Non-trading technology and support | $20.9 | $18.0 | 16% | | Occupancy and equipment rental | $13.1 | $13.6 | (4)% | | Selling and marketing | $13.4 | $15.6 | (14)% | | Depreciation and amortization | $15.6 | $12.3 | 27% | | Bad debts, net of recoveries | $0.1 | $(0.4) | n/m | | Total compensation and other expenses | $390.2 | $356.9 | 9% | - **Total compensation and other expenses** increased by **9%** to **$390.2 million** for the three months ended March 31, 2025, primarily due to higher variable and fixed compensation and benefits[195](index=195&type=chunk) - **Fixed compensation and benefits** increased by **9%**, driven by higher non-variable salaries due to increased headcount and annual merit increases, and a **14%** increase in share-based compensation[196](index=196&type=chunk)[197](index=197&type=chunk) - **Depreciation and amortization** increased by **27%** due to incremental depreciation from internally developed software, partially offset by lower amortization as some intangibles became fully amortized[199](index=199&type=chunk) [Variable vs. Fixed Expenses](index=41&type=section&id=Variable%20vs.%20Fixed%20Expenses) Analyzes the proportion of variable versus fixed expenses within the company's cost structure Variable vs. Fixed Expenses Summary (in millions) | (in millions) | Three Months Ended March 31, 2025 | % of Total | Three Months Ended March 31, 2024 | % of Total | | :--- | :--- | :--- | :--- | :--- | | Total variable expenses | $284.0 | 54% | $244.2 | 51% | | Total non-variable expenses | $243.5 | 46% | $233.2 | 49% | | Total non-interest expenses | $527.5 | 100% | $477.4 | 100% | - **Variable expenses** constituted **54%** of total non-interest expenses for the three months ended March 31, 2025, up from **51%** in the prior year, reflecting the company's variable cost model[214](index=214&type=chunk) [Segment Information](index=42&type=section&id=Segment%20Information) Detailed analysis of the financial performance of each operating segment [Commercial Segment](index=43&type=section&id=Commercial%20Segment) Commercial segment operating revenues increased by **24%**, driven by strong performance in derivatives and physical contracts Commercial Segment Operating Revenues (in millions) | Operating Revenues (in millions) | Three Months Ended March 31, 2025 | Three Months Ended March 31, 2024 | % Change | | :--- | :--- | :--- | :--- | | Listed derivatives | $75.5 | $59.1 | 28% | | OTC derivatives | $60.3 | $53.0 | 14% | | Physical contracts | $71.4 | $43.9 | 63% | | Interest / fees earned on client balances | $34.7 | $38.1 | (9)% | | Total Operating Revenues | $248.6 | $200.5 | 24% | - **Listed derivatives operating revenues** increased by **$16.4 million**, driven by **19%** higher contract volumes and a **7%** increase in average rate per contract, particularly in agricultural, energy, and base metals markets[228](index=228&type=chunk) - **Physical contracts operating revenues** increased by **$27.5 million**, with precious metals and physical agricultural and energy operating revenues rising due to increased client activity and market volatility[230](index=230&type=chunk) [Institutional Segment](index=46&type=section&id=Institutional%20Segment) Institutional segment operating revenues increased by **21%**, primarily due to significant growth in securities transactions Institutional Segment Operating Revenues (in millions) | Operating Revenues (in millions) | Three Months Ended March 31, 2025 | Three Months Ended March 31, 2024 | % Change | | :--- | :--- | :--- | :--- | | Listed derivatives | $52.9 | $52.6 | 1% | | Securities | $398.8 | $314.9 | 27% | | FX contracts | $7.9 | $7.6 | 4% | | Interest / fees earned on client balances | $66.4 | $65.4 | 2% | | Total Operating Revenues | $561.2 | $463.4 | 21% | Institutional Segment Volumes and Data | Volumes and Other Select Data | Three Months Ended March 31, 2025 | Three Months Ended March 31, 2024 | % Change | | :--- | :--- | :--- | :--- | | Securities ADV (millions) | $8,915 | $7,473 | 19% | | Securities RPM | $279 | $239 | 17% | | Average client equity - listed derivatives (millions) | $4,902 | $4,380 | 12% | | Average money market / FDIC sweep client balances (millions) | $1,283 | $1,047 | 23% | - **Securities operating revenues** increased by **$83.9 million**, driven by **19%** higher ADV and a **17%** increase in securities RPM, attributed to increased client activity and widening spreads in equity markets post-U.S. election volatility[245](index=245&type=chunk) [Self-Directed/Retail Segment](index=49&type=section&id=Self-Directed%2FRetail%20Segment) Self-Directed/Retail segment operating revenues decreased by **8%**, primarily due to a decline in FX/CFD contracts RPM Self-Directed/Retail Segment Operating Revenues (in millions) | Operating Revenues (in millions) | Three Months Ended March 31, 2025 | Three Months Ended March 31, 2024 | % Change | | :--- | :--- | :--- | :--- | | Securities | $27.9 | $25.8 | 8% | | FX/CFD contracts | $63.0 | $72.7 | (13)% | | Physical contracts | $1.2 | $2.0 | (40)% | | Interest / fees earned on client balances | $0.6 | $0.7 | (14)% | | Total Operating Revenues | $93.4 | $102.0 | (8)% | Self-Directed/Retail Segment Volumes and Data | Volumes and Other Select Data | Three Months Ended March 31, 2025 | Three Months Ended March 31, 2024 | % Change | | :--- | :--- | :--- | :--- | | FX/CFD contracts ADV (millions) | $8,591 | $6,388 | 34% | | FX/CFD contracts RPM | $116 | $177 | (34)% | - **FX/CFD contracts operating revenues** declined by **$9.7 million**, primarily due to a **34%** decrease in RPM, which more than offset a **34%** increase in ADV[263](index=263&type=chunk) [Payments Segment](index=51&type=section&id=Payments%20Segment) Payments segment operating revenues increased by **2%**, driven by higher ADV, partially offset by a decline in RPM Payments Segment Operating Revenues (in millions) | Operating Revenues (in millions) | Three Months Ended March 31, 2025 | Three Months Ended March 31, 2024 | % Change | | :--- | :--- | :--- | :--- | | Payments | $49.2 | $48.4 | 2% | | Other | $1.1 | $0.9 | 22% | | Total Operating Revenues | $50.3 | $49.3 | 2% | Payments Segment Volumes and Data | Volumes and Other Select Data | Three Months Ended March 31, 2025 | Three Months Ended March 31, 2024 | % Change | | :--- | :--- | :--- | :--- | | Payments ADV (millions) | $77 | $64 | 20% | | Payments RPM | $10,526 | $12,327 | (15)% | - The increase in **operating revenues** was principally due to a **20%** increase in Payments ADV, which was partially offset by a **15%** decline in Payments RPM[276](index=276&type=chunk) [Overhead Costs and Expenses](index=53&type=section&id=Overhead%20Costs%20and%20Expenses) Analyzes the company's overhead costs and expenses, including their allocation to operating segments Overhead Costs and Expenses Summary (in millions) | (in millions) | Three Months Ended March 31, 2025 | Three Months Ended March 31, 2024 | % Change | | :--- | :--- | :--- | :--- | | Total Overhead costs and expenses | $124.0 | $119.6 | 4% | | Allocation of overhead costs | $(43.4) | $(39.4) | 10% | | Overhead costs and expense, net of allocation to operating segments | $80.6 | $80.2 | 0% | - **Overhead costs and expenses** increased by **4%** for the three months ended March 31, 2025, primarily due to increased non-variable compensation related to IT personnel reorganization and hiring in support departments[283](index=283&type=chunk)[284](index=284&type=chunk) - **Non-trading technology and support costs** increased by **$2.5 million** due to higher software maintenance and support costs, driven by increased headcount[285](index=285&type=chunk) [Liquidity, Financial Condition and Capital Resources](index=54&type=section&id=Liquidity%2C%20Financial%20Condition%20and%20Capital%20Resources) Discusses the company's liquidity, overall financial condition, and available capital resources - As of March 31, 2025, the company had **total equity** of **$1,882.0 million**, **outstanding loans** of **$340.9 million**, and **$543.6 million** in **senior secured notes**[300](index=300&type=chunk) - Approximately **97%** of the company's assets were **liquid** as of March 31, 2025, consisting of cash, securities purchased under agreements to resell, securities borrowed, and other financial instruments[301](index=301&type=chunk) - **Net cash used in operating activities** was **$632.3 million** for the six months ended March 31, 2025, while investing activities used **$42.7 million** and financing activities used **$18.3 million**[323](index=323&type=chunk) [Off-Balance Sheet Arrangements](index=58&type=section&id=Off-Balance%20Sheet%20Arrangements) Describes the company's off-balance sheet arrangements and associated risks - The company is party to financial instruments with off-balance sheet risk, including futures, forward, foreign exchange contracts, and options, primarily for client order execution and risk mitigation[331](index=331&type=chunk) - The company manages credit risk by requiring margin deposits, monitoring collateral levels daily, and establishing contract limits for clients[332](index=332&type=chunk) - **Short positions**, totaling **$3,806.1 million** as of March 31, 2025, are held to offset risks related to financial assets owned and physical commodities inventory[337](index=337&type=chunk) [Effects of Inflation](index=59&type=section&id=Effects%20of%20Inflation) Discusses potential impact of inflation on expenses, revenues, and financial position - Inflation may increase expenses such as compensation, clearing, and occupancy, which may not be readily recoverable through price increases[340](index=340&type=chunk) - While higher interest rates are generally favorable, inflation-driven rate changes could adversely affect financial markets and the value of inventory, impacting financial position and results[340](index=340&type=chunk) [Critical Accounting Policies](index=59&type=section&id=Critical%20Accounting%20Policies) Addresses the company's critical accounting policies and any material changes - There have been no **material changes** to the company's critical accounting policies as discussed in the most recent Annual Report on Form 10-K[341](index=341&type=chunk) [Other Accounting Policies](index=59&type=section&id=Other%20Accounting%20Policies) Addresses other significant accounting policies and any material changes - There have been no **material changes** to the company's significant accounting policies as included in Note 1 to the Consolidated Financial Statements in the most recent Annual Report on Form 10-K[342](index=342&type=chunk) [Accounting Development Updates](index=59&type=section&id=Accounting%20Development%20Updates) Provides updates on new accounting pronouncements and their potential impact on the company - ASU No. 2024-03 (Disaggregation of Income Statement Expenses) is effective for the fiscal year ending September 30, 2027, requiring enhanced expense disclosures[343](index=343&type=chunk)[344](index=344&type=chunk) - ASU No. 2023-09 (Improvements to Income Tax Disclosures) is effective for the fiscal year ending September 30, 2026, requiring additional income tax rate reconciliation and disaggregation of taxes paid[345](index=345&type=chunk) - ASU No. 2023-07 (Improvements to Reportable Segment Disclosures) is effective for the fiscal year ending September 30, 2025, requiring disclosure of significant segment expenses and CODM information[346](index=346&type=chunk) [Item 3. Quantitative and Qualitative Disclosures about Market Risk](index=60&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20about%20Market%20Risk) Discloses the company's exposure to market risks, including credit, market, interest rate, and foreign currency risks [Credit Risk](index=60&type=section&id=Credit%20Risk) Addresses the company's exposure to credit risk from clients and counterparties - Information regarding credit risk is cross-referenced to Note 4 of the condensed consolidated financial statements[347](index=347&type=chunk) [Market Risk](index=60&type=section&id=Market%20Risk) Discusses the company's exposure to market risk from price movements, volatility, and liquidity changes - The company's market-making and trading activities expose its capital to significant risks from price movements, volatility, and liquidity changes[348](index=348&type=chunk) - Market risk is mitigated through diversification, position limits, capital allocation based on estimated risks, and daily monitoring of positions and mark-to-market profitability[351](index=351&type=chunk) - The company does not initiate market positions for its own account in anticipation of future price movements, focusing on managing net exposure from client-driven transactions[350](index=350&type=chunk) [Interest Rate Risk](index=61&type=section&id=Interest%20Rate%20Risk) Details the company's exposure to interest rate fluctuations and their potential impact on earnings - The company is exposed to interest rate risk from changes in financial instrument values and interest income earned, particularly from fixed income securities trading and client deposits[356](index=356&type=chunk) - An immediate **25 basis point** decrease in short-term interest rates is estimated to result in approximately **$7.1 million** less in **annual net income** as of March 31, 2025[358](index=358&type=chunk) - As of March 31, 2025, **$340.9 million** of outstanding principal debt was **variable-rate**, and **$550.0 million** was **fixed-rate** long-term debt[359](index=359&type=chunk) [Foreign Currency Risk](index=62&type=section&id=Foreign%20Currency%20Risk) Addresses the company's exposure to foreign currency exchange rate fluctuations and hedging strategies - Currency risk arises from fluctuations in foreign exchange rates impacting earnings and assets, as entities hold assets and liabilities in various currencies[360](index=360&type=chunk) - The company uses foreign currency derivatives, such as forward contracts, to hedge against volatility in certain foreign currency exchange rates[360](index=360&type=chunk) [Item 4. Controls and Procedures](index=62&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that disclosure controls and procedures were effective, with no material changes to internal controls - The CEO and CFO concluded that **disclosure controls and procedures** were **effective** as of March 31, 2025, providing reasonable assurance that objectives were met[361](index=361&type=chunk)[362](index=362&type=chunk) - There were no **material changes** in internal controls over financial reporting during the quarter ended March 31, 2025[363](index=363&type=chunk) [PART II. OTHER INFORMATION](index=62&type=section&id=Part%20II.%20OTHER%20INFORMATION) Additional information on legal proceedings, risk factors, equity sales, and exhibits [Item 1. Legal Proceedings](index=62&type=section&id=Item%201.%20Legal%20Proceedings) Refers to Note 11 for information regarding the company's legal proceedings - For information on legal proceedings, refer to Note 11, 'Commitments and Contingencies' in the notes to the Condensed Consolidated Financial Statements[364](index=364&type=chunk) [Item 1A. Risk Factors](index=62&type=page&id=Item%201A.%20Risk%20Factors) Directs readers to the Annual Report on Form 10-K for a comprehensive discussion of risk factors - Information regarding risks affecting the company is detailed in Part I, Item 1A of the Annual Report on Form 10-K for the fiscal year ended September 30, 2024[365](index=365&type=chunk) - Additional risks and uncertainties not currently known or considered non-material may adversely affect the business in the future[365](index=365&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=63&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) Details common stock repurchase program and activity for the three months ended March 31, 2025 - The **Board of Directors authorized** the repurchase of up to **2.3 million** shares of common stock from October 1, 2024, to September 30, 2025[366](index=366&type=chunk) Common Stock Repurchase Activity | Period | Total Number of Shares Purchased | Average Price Paid per Share | | :--- | :--- | :--- | | January 1, 2025 to January 31, 2025 | 950 | $73.29 | | February 1, 2025 to February 28, 2025 | 2,888 | $79.02 | | March 1, 2025 to March 31, 2025 | 44 | $80.15 | | Total | 3,882 | $77.63 | - As of March 31, 2025, **2,250,000** shares **remained to be purchased** under the program[367](index=367&type=chunk) [Item 5. Other Information](index=63&type=section&id=Item%205.%20Other%20Information) Confirms no directors or officers adopted or terminated Rule 10b5-1 trading arrangements - **No directors or officers adopted or terminated** Rule 10b5-1 or non-Rule 10b5-1 trading arrangements during the three months ended March 31, 2025[368](index=368&type=chunk) [Item 6. Exhibits](index=64&type=section&id=Item%206.%20Exhibits) Provides a list of exhibits filed as part of the Form 10-Q, including key agreements and certifications - **Key exhibits** include the Agreement and Plan of Merger for R.J. O'Brien, various employment agreements, the 2022 Omnibus Incentive Compensation Plan, and certifications from the CEO and CFO[369](index=369&type=chunk) [Signatures](index=65&type=section&id=Signatures) Contains the official signatures of the company's principal executive and financial officers - The report is signed by Philip A. Smith, Chief Executive Officer, and William J. Dunaway, Chief Financial Officer, on May 7, 2025[372](index=372&type=chunk)

[Executive Summary & Highlights](index=1&type=section&id=Executive%20Summary%20%26%20Highlights) [Fiscal Q2 2025 Performance Overview](index=1&type=section&id=Fiscal%20Q2%202025%20Performance%20Overview) StoneX Group Inc. reported strong financial results for fiscal Q2 2025, with significant increases in net operating revenues, net income, and diluted EPS, driven by broad-based performance across products and segments. | Metric | Q2 2025 (Millions) | Q2 2024 (Millions) | % Change | | :----------------------- | :----------------- | :----------------- | :------- | | Net Operating Revenues | $487.3 | $422.3 | 15% | | Net Income | $71.7 | $53.1 | 35% | | Diluted EPS | $1.41 | $1.09 | 29% | | ROE | 15.7% | 14.0% | 1.7 pp | - Increased market volatility and strong client acquisition and engagement were key drivers, helping to offset the decline in short-term interest rates[3](index=3&type=chunk) [Strategic Developments: R.J. O'Brien Acquisition](index=1&type=section&id=Strategic%20Developments%3A%20R.J.%20O'Brien%20Acquisition) StoneX Group Inc. announced a definitive agreement to acquire R.J. O'Brien, aiming to become a market leader in global derivatives. - StoneX reached a definitive agreement to acquire R.J. O'Brien, the oldest futures brokerage in the U.S., positioning StoneX as a market leader in global derivatives[4](index=4&type=chunk) - R.J. O'Brien generated approximately **$766 million in revenue** and **$170 million in EBITDA** during calendar 2024[4](index=4&type=chunk) - The acquisition is anticipated to close in the second half of 2025 and is expected to enhance margins, EPS, and ROE by adding nearly **$6 billion in client float** and approximately **190 million in annual listed derivative contract volumes**[4](index=4&type=chunk) [Consolidated Financial Results](index=2&type=section&id=Consolidated%20Financial%20Results) [Summary Income Statement](index=2&type=section&id=Summary%20Income%20Statement) The company's consolidated income statement for Q2 2025 shows robust growth across most revenue categories, particularly in sales of physical commodities and securities. Three Months Ended March 31, 2025 vs. 2024 (in millions) | Revenue Category | 2025 | 2024 | % Change | | :--------------------------------- | :----- | :----- | :------- | | Sales of physical commodities | $35,992.6 | $21,321.9 | 69% | | Principal gains, net | $300.5 | $281.8 | 7% | | Commission and clearing fees | $164.3 | $136.2 | 21% | | Consulting, management, and account fees | $44.3 | $40.2 | 10% | | Interest income | $389.0 | $326.0 | 19% | | **Total revenues** | **$36,890.7** | **$22,106.1** | **67%** | | Cost of sales of physical commodities | $35,934.7 | $21,287.9 | 69% | | **Operating revenues** | **$956.0** | **$818.2** | **17%** | | Transaction-based clearing expenses | $91.8 | $78.5 | 17% | | Introducing broker commissions | $45.5 | $42.0 | 8% | | Interest expense | $316.6 | $259.2 | 22% | | **Net operating revenues** | **$487.3** | **$422.3** | **15%** | | Total compensation and other expenses | $390.2 | $356.9 | 9% | | Income before tax | $97.1 | $72.3 | 34% | | Income tax expense | $25.4 | $19.2 | 32% | | **Net income** | **$71.7** | **$53.1** | **35%** | [Key Financial Ratios](index=2&type=section&id=Key%20Financial%20Ratios) The company demonstrated improved profitability and shareholder returns in Q2 2025, with diluted EPS increasing by 29% and Return on Equity (ROE) rising to 15.7%. Key Financial Ratios (Three Months Ended March 31) | Metric | 2025 | 2024 | % Change | | :------------------------------------ | :----- | :----- | :------- | | Basic EPS | $1.49 | $1.12 | 33% | | Diluted EPS | $1.41 | $1.09 | 29% | | Weighted-average common shares (Diluted) | 49,376,423 | 47,248,414 | 5% | | Return on equity ("ROE") | 15.7% | 14.0% | | | ROE on tangible book value | 16.5% | 14.8% | | - All share and per share amounts have been retroactively adjusted for a three-for-two stock dividend effected on March 21, 2025[7](index=7&type=chunk) [Interest Expense Analysis](index=4&type=section&id=Interest%20Expense%20Analysis) Total interest expense increased by 20% in Q2 2025, primarily driven by growth in fixed income securities and securities borrowing activities, as well as increased activities in physical precious metals and commodities businesses. Interest Expense Attributable to (Three Months Ended March 31, in millions) | Category | 2025 | 2024 | % Change | | :-------------------------------------------------- | :----- | :----- | :------- | | Institutional dealer in fixed income securities | $232.6 | $198.0 | 17% | | Securities borrowing | $21.4 | $14.0 | 53% | | Client balances on deposit | $31.1 | $31.4 | (1)% | | Short-term financing facilities of subsidiaries and other direct interest of operating segments | $31.5 | $15.8 | 99% | | Corporate funding | $14.8 | $16.2 | (9)% | | **Total interest expense** | **$331.4** | **$275.4** | **20%** | - The increase in interest expense for fixed income securities and securities borrowing was due to the growth in these businesses[14](index=14&type=chunk) - Other direct interest expense increased due to higher activities in physical precious metals and commodities[14](index=14&type=chunk) [Expense Structure: Variable vs. Fixed](index=4&type=section&id=Expense%20Structure%3A%20Variable%20vs.%20Fixed) In Q2 2025, variable expenses constituted 54% of total non-interest expenses, increasing from 51% in the prior year, reflecting higher variable compensation and transaction-based clearing expenses in line with business growth. Variable vs. Non-Variable Expenses (Three Months Ended March 31, in millions) | Expense Category | 2025 | % of Total | 2024 | % of Total | | :-------------------------------- | :----- | :--------- | :----- | :--------- | | Variable compensation and benefits | $146.7 | 28% | $123.7 | 26% | | Transaction-based clearing expenses | $91.8 | 17% | $78.5 | 16% | | Introducing broker commissions | $45.5 | 9% | $42.0 | 9% | | **Total variable expenses** | **$284.0** | **54%** | **$244.2** | **51%** | | Fixed compensation and benefits | $120.4 | 23% | $110.7 | 23% | | Other fixed expenses | $123.0 | 23% | $122.9 | 26% | | Bad debts (recoveries), net | $0.1 | —% | $(0.4) | —% | | **Total non-variable expenses** | **$243.5** | **46%** | **$233.2** | **49%** | | **Total non-interest expenses** | **$527.5** | **100%** | **$477.4** | **100%** | [Other Gains](index=4&type=section&id=Other%20Gains) The company recognized nonrecurring gains of $5.7 million in the six months ended March 31, 2025, primarily from class action settlements. - Nonrecurring gains of **$5.7 million** were received from class action settlements during the six months ended March 31, 2025[18](index=18&type=chunk) [Segment Performance Overview](index=3&type=section&id=Segment%20Performance%20Overview) [Consolidated Operating Revenues by Segment](index=3&type=section&id=Consolidated%20Operating%20Revenues%20by%20Segment) In Q2 2025, the Institutional and Commercial segments were the primary drivers of operating revenue growth, increasing by 21% and 24% respectively. Consolidated Operating Revenues by Segment (Three Months Ended March 31, in millions) | Segment | 2025 | 2024 | % Change | | :---------------- | :----- | :----- | :------- | | Commercial | $248.6 | $200.5 | 24% | | Institutional | $561.2 | $463.4 | 21% | | Self-Directed/Retail | $93.4 | $102.0 | (8)% | | Payments | $50.3 | $49.3 | 2% | | Corporate | $16.7 | $14.4 | 16% | | Eliminations | $(14.2) | $(11.4) | 25% | | **Operating revenues** | **$956.0** | **$818.2** | **17%** | [Consolidated Income by Segment](index=3&type=section&id=Consolidated%20Income%20by%20Segment) The Institutional segment led segment income growth with a 41% increase in Q2 2025, followed by the Commercial segment at 13%. Consolidated Income by Segment (Three Months Ended March 31, in millions) | Segment | 2025 | 2024 | % Change | | :---------------- | :----- | :----- | :------- | | Commercial | $96.7 | $85.6 | 13% | | Institutional | $86.5 | $61.3 | 41% | | Self-Directed/Retail | $22.0 | $33.2 | (34)% |\n| Payments | $24.5 | $24.6 | —% | | **Total segment income** | **$229.7** | **$204.7** | **12%** | | Income before tax | $97.1 | $72.3 | 34% | [Key Operating Metrics by Product](index=3&type=section&id=Key%20Operating%20Metrics%20by%20Product) The company saw strong growth in operating revenues from Securities (25%) and Physical contracts (58%) in Q2 2025. Operating Revenues by Product (Three Months Ended March 31, in millions) | Product Category | 2025 | 2024 | % Change | | :-------------------------------- | :----- | :----- | :------- | | Listed derivatives | $128.4 | $111.7 | 15% | | Over-the-counter ("OTC") derivatives | $60.3 | $53.0 | 14% | | Securities | $426.7 | $340.7 | 25% | | FX/Contracts for difference ("CFD") contracts | $70.9 | $80.3 | (12)% | | Payments | $49.2 | $48.4 | 2% | | Physical contracts | $72.6 | $45.9 | 58% | | Interest/fees earned on client balances | $101.7 | $104.2 | (2)% | | Other | $43.7 | $31.0 | 41% | Volumes and Other Select Data (Three Months Ended March 31) | Metric | 2025 | 2024 | % Change | | :------------------------------------ | :------- | :------- | :------- | | Listed derivatives (contracts, 000's) | 61,153 | 53,805 | 14% | | Securities average daily volume ("ADV") (millions) | $8,915 | $7,473 | 19% | | FX/CFD contracts ADV (millions) | $11,539 | $10,453 | 10% | | Payments ADV (millions) | $77 | $64 | 20% | [Commercial Segment](index=6&type=section&id=Commercial%20Segment) The Commercial segment delivered strong performance in Q2 2025, with operating revenues increasing by 24% and segment income by 13%. Commercial Segment Financial Performance (Three Months Ended March 31, in millions) | Metric | 2025 | 2024 | % Change | | :-------------------------- | :----- | :----- | :------- | | Operating revenues | $248.6 | $200.5 | 24% | | Net operating revenues | $193.3 | $164.2 | 18% | | Segment income | $96.7 | $85.6 | 13% | Commercial Segment Operating Revenues by Product (Three Months Ended March 31, in millions) | Product Category | 2025 | 2024 | % Change | | :----------------------- | :----- | :----- | :------- | | Listed derivatives | $75.5 | $59.1 | 28% | | OTC derivatives | $60.3 | $53.0 | 14% | | Physical contracts | $71.4 | $43.9 | 63% | - Listed derivatives volumes in the Commercial segment increased by **19% to 11,434 thousand contracts**[21](index=21&type=chunk) [Institutional Segment](index=7&type=section&id=Institutional%20Segment) The Institutional segment showed robust growth in Q2 2025, with operating revenues up 21% and segment income surging by 41%. Institutional Segment Financial Performance (Three Months Ended March 31, in millions) | Metric | 2025 | 2024 | % Change | | :-------------------------- | :----- | :----- | :------- | | Operating revenues | $561.2 | $463.4 | 21% | | Net operating revenues | $191.0 | $149.8 | 28% | | Segment income | $86.5 | $61.3 | 41% | Institutional Segment Operating Revenues by Product (Three Months Ended March 31, in millions) | Product Category | 2025 | 2024 | % Change | | :----------------------- | :----- | :----- | :------- | | Securities | $398.8 | $314.9 | 27% | | Commission and clearing fees | $95.4 | $74.8 | 28% | | Interest income | $337.4 | $273.3 | 23% | - Securities average daily volume (ADV) increased by **19% to $8,915 million**, and average client equity for listed derivatives grew by **12% to $4,902 million**[23](index=23&type=chunk) [Self-Directed/Retail Segment](index=8&type=section&id=Self-Directed%2FRetail%20Segment) The Self-Directed/Retail segment experienced a decline in Q2 2025, with operating revenues down 8% and segment income decreasing by 34%. Self-Directed/Retail Segment Financial Performance (Three Months Ended March 31, in millions) | Metric | 2025 | 2024 | % Change | | :-------------------------- | :----- | :----- | :------- | | Operating revenues | $93.4 | $102.0 | (8)% | | Net operating revenues | $64.0 | $74.3 | (14)% | | Segment income | $22.0 | $33.2 | (34)% | Self-Directed/Retail Segment Operating Revenues by Product (Three Months Ended March 31, in millions) | Product Category | 2025 | 2024 | % Change | | :----------------------- | :----- | :----- | :------- | | FX/CFD contracts | $63.0 | $72.7 | (13)% | | Principal gains, net | $50.2 | $61.8 | (19)% | | Sales of physical commodities | $37.1 | $11.9 | 212% | - FX/CFD contracts average daily volume (ADV) increased by **34% to $8,591 million**, but the rate per million (RPM) decreased by **34% to $116**[26](index=26&type=chunk) [Payments Segment](index=9&type=section&id=Payments%20Segment) The Payments segment maintained stable performance in Q2 2025, with operating revenues increasing slightly by 2% and segment income remaining flat. Payments Segment Financial Performance (Three Months Ended March 31, in millions) | Metric | 2025 | 2024 | % Change | | :-------------------------- | :----- | :----- | :------- | | Operating revenues | $50.3 | $49.3 | 2% | | Net operating revenues | $47.6 | $46.8 | 2% | | Segment income | $24.5 | $24.6 | —% | - Payments average daily volume (ADV) increased by **20% to $77 million**, while Payments rate per million (RPM) decreased by **15% to $10,526**[27](index=27&type=chunk) [Overhead Costs and Expenses](index=10&type=section&id=Overhead%20Costs%20and%20Expenses) Total overhead costs and expenses increased by 4% in Q2 2025, primarily due to higher fixed compensation and benefits and non-trading technology and support costs. Overhead Costs and Expenses (Three Months Ended March 31, in millions) | Category | 2025 | 2024 | % Change | | :-------------------------------- | :----- | :----- | :------- | | Variable compensation and benefits | $15.9 | $16.4 | (3)% | | Fixed compensation and benefits | $55.5 | $48.7 | 14% | | Non-trading technology and support | $16.1 | $13.6 | 18% | | Occupancy and equipment rental | $12.1 | $13.1 | (8)% | | **Total overhead costs and expenses** | **$124.0** | **$119.6** | **4%** | | Overhead costs and expense, net of allocation to operating segments | $80.6 | $80.2 | —% | - Overhead costs include shared services such as IT, accounting, treasury, credit and risk, legal and compliance, and human resources[28](index=28&type=chunk) [Balance Sheet Summary](index=11&type=section&id=Balance%20Sheet%20Summary) As of March 31, 2025, StoneX Group Inc. reported an increase in total assets, driven by higher securities purchased under agreements to resell, financial instruments owned, and receivables from clients. Summary Asset Information (in millions) | Asset Category | March 31, 2025 | September 30, 2024 | | :-------------------------------------------------- | :------------- | :----------------- | | Cash and cash equivalents | $1,307.3 | $1,269.0 | | Securities purchased under agreements to resell | $6,917.6 | $5,201.5 | | Receivables from clients, net and notes receivable, net | $1,354.9 | $1,013.1 | | Financial instruments owned, at fair value | $8,200.9 | $6,767.1 | | Goodwill and intangible assets, net | $90.0 | $80.6 | Summary Liability and Stockholders' Equity Information (in millions) | Liability/Equity Category | March 31, 2025 | September 30, 2024 | | :-------------------------------------------------- | :------------- | :----------------- | | Payables to clients | $10,712.6 | $10,345.9 | | Securities sold under agreements to repurchase | $11,137.3 | $8,581.3 | | Financial instruments sold, not yet purchased, at fair value | $3,806.1 | $2,853.3 | | Stockholders' equity | $1,882.0 | $1,709.1 | | Net asset value per share | $38.59 | $35.75 | [Additional Company Information](index=12&type=section&id=Additional%20Company%20Information) [About StoneX Group Inc.](index=12&type=section&id=About%20StoneX%20Group%20Inc.) StoneX Group Inc. is a global financial services network connecting various market participants to the global market ecosystem through digital platforms, clearing, execution services, and expertise. - StoneX Group Inc. operates a global financial services network, providing digital platforms, end-to-end clearing and execution services, high-touch service, and deep expertise[34](index=34&type=chunk) - The company serves over **54,000 commercial, institutional, and payments clients**, and more than **400,000 retail accounts** from over 80 offices across six continents[34](index=34&type=chunk) - StoneX Group Inc. is a Fortune-500 company headquartered in New York City and listed on the Nasdaq Global Select Market (NASDAQ:SNEX)[34](index=34&type=chunk) [Forward-Looking Statements & Risks](index=12&type=section&id=Forward-Looking%20Statements%20%26%20Risks) The press release contains forward-looking statements regarding the company's financial condition, operations, business strategy, and the anticipated R.J. O'Brien acquisition. - Forward-looking statements pertain to financial condition, results of operations, business strategy, financial needs, and the anticipated timing and impact of the R.J. O'Brien acquisition[35](index=35&type=chunk) - Known and unknown risks and uncertainties include adverse changes in economic, political, and market conditions, losses from market-making and trading activities, global trade policies, loss of key personnel, increased competition, changes in government regulation, and fiscal/monetary policies[36](index=36&type=chunk) - The company undertakes no obligation to update or revise any forward-looking statements, except as required by law, and readers are cautioned not to place undue reliance on them[37](index=37&type=chunk) [Investor Relations Contact](index=12&type=section&id=Investor%20Relations%20Contact) For investor inquiries, Kevin Murphy can be contacted at (212) 403-7296 or kevin.murphy@stonex.com. - Investor inquiries can be directed to Kevin Murphy at **(212) 403-7296** or **kevin.murphy@stonex.com**[38](index=38&type=chunk)