Financial Data and Key Metrics Changes - The company reported record quarterly revenues of over $664 million, a 15% increase compared to the previous year's first quarter [5] - Adjusted earnings per share improved by 16% to $0.29 per share [17] - Adjusted EBITDA decreased by 4.1% to $199.8 million, but would have increased by 16.3% excluding a prior period mark to market gain [18] Business Line Data and Key Metrics Changes - Rates revenue increased by 14.8% to a record $200.9 million, driven by higher volumes across major interest rate products [8] - ECS revenue grew by 26.6% to a record $149.9 million, supported by strong growth in environmental and energy transition products [9] - Foreign exchange revenues rose by 31% to a record $110 million, reflecting broad-based growth across all FX products [10] - Credit revenues decreased by 0.7% to $86.9 million due to lower emerging market and European credit volumes [10] - Equities revenues remained flat at $62.9 million, with higher European and US equity volumes offset by lower Asian equity derivative volumes [10] - Fenics revenues improved by 15.6% to $172.7 million, with Fenics Markets reporting revenues of $145.5 million, an increase of 14.2% [11] Market Data and Key Metrics Changes - Americas revenues increased by 23.3%, while Europe, Middle East, and Africa revenues rose by 12.2%, and Asia Pacific revenues increased by 2.4% [16] Company Strategy and Development Direction - The acquisition of OTC Global Holdings is expected to add over $400 million in annualized revenue, nearly doubling the size of the existing ECS business, positioning the company as the world's largest ECS broker [6] - The company anticipates that the acquisition will be immediately accretive and generate meaningful shareholder value [6] - The company is focused on integrating OTC into its global platform and expects to see growth in its businesses as market volatility increases [7] Management's Comments on Operating Environment and Future Outlook - Management noted that global market volatility has led to broad organic growth across businesses, benefiting secondary trading volumes [7] - The company expects total revenues for the second quarter of 2025 to be between $715 million and $765 million, representing approximately 34% revenue growth at the midpoint [21] Other Important Information - The company’s liquidity as of March 31 was $1.146 billion, compared to $897.8 million at the end of 2024 [20] - The company plans to increase share repurchases throughout the remainder of the year [20] Q&A Session Summary Question: What drove the delay in the FMX launch? - Management acknowledged that extreme volatility in April created an unsuitable environment for a successful launch but confirmed the launch is scheduled for May [25][26] Question: Updated expectations on the OTC Global Holdings acquisition? - Management indicated that they are pleased with the integration progress and expect revenue growth from cross-selling opportunities, with margins expected to improve over time [30][31][34] Question: Key milestones after treasury futures? - Management outlined a three-year plan focusing on connectivity in year one, increasing volumes in year two, and full competition with CME in year three [39] Question: Cash burn related to FMX futures? - Management clarified that the cash burn to BGC is zero, as the partners are funding future development [40] Question: Clarity on Howard shares divestment? - Management confirmed compliance with Senate Ethics Committee standards and indicated that public SEC filings will be required upon divestment [43] Question: Tax rate expectations going forward? - Management expects the tax rate to be between 10% and 12% for the full year 2025 [46]