Marketaxess Holding Inc

Latest Results (13.02.2026):

This summary covers Marketaxess Holding Inc — fourth quarter of 2025 results (and full‑year 2025). In 4Q25 Marketaxess reported total revenues of $209.4 million (up ~3.5% YoY) and GAAP net income of $92.4 million (diluted EPS $2.51). On a non‑GAAP basis excluding notable items, 4Q25 diluted EPS was $1.68. For full‑year 2025 the company reported record revenues of $846.3 million (up 4% YoY, 10% outside U.S. credit), EBITDA of $420.8 million and diluted GAAP EPS of $6.64.

Revenue and mix

4Q25 revenue: $209.4M (+3.5% YoY). Full‑year 2025 revenue: $846.3M (+4% YoY; +10% outside U.S. credit). Commission revenue remains the largest component (4Q25 commissions $181.3M), with services revenue at a record $111.6M for the full year.

Earnings, margins and non‑GAAP items

4Q25 GAAP net income $92.4M, diluted EPS $2.51. Excluding notable items, 4Q25 net income was ~$61.9M (diluted EPS $1.68). 4Q25 GAAP effective tax rate was (15.8%) driven by a ~$31.3M benefit from reserve adjustments; tax rate excluding notables was 23.4%. Full‑year 2025 GAAP EPS $6.64; non‑GAAP EPS excluding notables $7.39.

Volumes and ADV — strong growth across channels

MarketAxess reported robust volume gains: 4Q25 client‑initiated block trading ADV up (29% in the quarter commentary; full‑year block ADV a record $5.0B, +24% YoY). Portfolio trading ADV rose sharply (4Q commentary noted +41% to a record $1.5B; full‑year portfolio ADV +48% to $1.4B). Dealer‑initiated ADV increased sharply (4Q commentary +32%; full‑year +33%), and the Mid‑X protocol (launched Sept 2025) gained traction, surpassing $3.0B of trading volume in December 2025.

Expenses and profitability metrics

4Q25 total expenses $133.4M (+9% YoY); excluding notable items expenses were $132.3M (+8%). 4Q25 EBITDA was $94.9M with an EBITDA margin of 45.3% (vs. 47.8% in 4Q24). Full‑year 2025 total expenses $504.4M (+6% YoY); EBITDA $420.8M and EBITDA margin 49.7%.

Notable items

4Q25 notable items included $1.1M of repositioning charges (severance) and a benefit to the reserve for uncertain tax positions of approximately $31.3M related to prior periods, producing a net pre‑tax notable benefit in the quarter.

Capital position, buybacks and dividends

As of Dec 31, 2025, cash, cash equivalents and short‑term investments were $678.9M. Borrowings were $220.0M under the credit facility (used partly to fund an accelerated stock repurchase). The Board authorized up to $400M of additional repurchases; the company executed a $300M ASR in Dec 2025 (total share repurchases in FY2025: $360M for ~1.98M shares). The Board declared a quarterly dividend of $0.78 per share payable March 4, 2026.

Guidance for full‑year 2026

2026 outlook: services revenue expected to grow mid‑single digits; expenses (ex‑notables) guided to $530M–$545M (midpoint ~8% increase year‑over‑year); effective tax rate expected 24%–26%; capital expenditures $65M–$75M to support new protocols and platform enhancements.