Cboe Global Markets (CBOE) Q1 2026 earnings summary

Executive summary

• Achieved record net revenue of $728.9 million in Q1 2026, up 29% year-over-year, and record adjusted diluted EPS of $3.70, up 48%, driven by strong growth across derivatives, cash and spot markets, and Data Vantage segments.

• Strategic realignment included the sale of Cboe Canada and Australia, winding down of non-core businesses, and a workforce reduction of approximately 20% to focus on core and growth areas.

• Continued investment in global access, product innovation, and partnerships, including a new collaboration with CNBC and expansion into event contracts and binary options.

• Leadership transitions included new appointments for COO and Global Head of Equities and Spot Markets.

Financial highlights

• Adjusted operating EBITDA grew 41% to $540.8 million, with margin expanding to 74.2%; operating income rose 43% to $505.6 million.

• Adjusted operating expenses rose 4% to $200.9 million, mainly due to higher compensation tied to strong revenue.

• Cash and spot markets net revenue up 34%, derivatives up 32%, and Data Vantage up 19% year-over-year.

• Global FX segment posted the strongest growth, with net revenue up 38% year-over-year.

• Cash flow from operations was $1,960.0 million, up from $912.9 million in Q1 2025.

Outlook and guidance

• 2026 organic net revenue growth target raised to low double-digit to mid-teens; Data Vantage growth target increased to low double digits.

• Adjusted operating expense guidance for 2026 lowered to $838–$853 million; CapEx guidance unchanged at $73–$83 million.

• Effective tax rate for 2026 projected at 27.5%–29.5%.

• Strategic realignment expected to yield $100M–$120M in annualized expense savings, with $20M–$25M realized in 2026.

• Strategic realignment actions expected to be substantially completed by year-end 2026, with anticipated annualized pre-tax cost savings of $40–50M.