ICE Sees Decline in Net Income for Q4 and Full Year 2022

Intercontinental Exchange, Inc. (ICE), a leading global provider of data, technology and market infrastructure, has reported its financial results for the fourth quarter (Q4) and full year of 2022, showing a weak performance in net income.

Financial result for Q4 2022

• For the final quarter ended December 31, 2022, net income attributable to ICE shareholders was $425 million, compared to $1.53 billion in the same period of last year.

• Adjusted net income attributable to ICE was $698 million, dropping 8.2% from $760 million in Q4 2021.

• GAAP diluted earnings per share (EPS) as $0.76, compared to $2.70 in the prior Q4.

• Adjusted diluted EPS was $1.25, compared to $1.34 in Q4 2021.

• Consolidated net revenues were $1.8 billion, down 4% year-over-year, including exchange net revenues of $982 million, fixed income and data services revenues of $537 million and mortgage technology revenues of $249 million.

• Consolidated operating expenses reached $904 million and adjusted consolidated operating expenses were $740 million.

• Consolidated operating income was $864 million and the operating margin was 49%, while the adjusted consolidated operating income and operating margin was $1.0 billion and 58%.

• Exchange net revenues recorded $982 million, a decrease of 3% on a yearly basis.

• Exchange operating expenses were $305 million and the adjusted expenses were $288 million.

• Segment operating income was $677 million and the operating margin was 69%. On an adjusted basis, operating income was $694 million and the adjusted operating margin was 71%.

Financial result for the full year 2022

• Consolidated net income attributable to ICE was $1.4 billion on $7.3 billion of consolidated revenues less transaction-based expenses. Adjusted net income attributable to ICE for the year was $3.0 billion. While the consolidated net income attributable to ICE for year 2021 was $4.1 billion.

• GAAP diluted EPS was $2.58, increasing 64% on YoY basis and the adjusted diluted EPS was $5.30, increasing 5% on YoY basis.

• Consolidated net revenues were $7.3 billion, up 2% on a yealy basis, including exchange net revenues of $4.1 billion, fixed income and data services revenues of $2.1 billion and mortgage technology revenues of $1.1 billion.

• Consolidated operating expenses were $3.7 billion and the adjusted consolidated operating expenses were $3.0 billion.

• Consolidated operating income for the year was $3.6 billion and the operating margin was 50%. On an adjusted basis, consolidated operating income for the year was $4.3 billion and the adjusted operating margin was 59%.