We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Intercontinental Exchange (ICE) Q2 Earnings Meet, View Down
Read MoreHide Full Article
Intercontinental Exchange, Inc. (ICE - Free Report) reported second-quarter 2017 adjusted earnings per share of 75 cents, which was in line with Zacks Consensus Estimate. Earnings improved 9% on a year-over-year basis.
The quarter witnessed growth in data and listings business segments and lower expenses aiding operating profit.
Intercontinental Exchange Inc. Price, Consensus and EPS Surprise
On a GAAP basis, net income was 70 cents per share, up 17% year over year.
Performance in Detail
Intercontinental Exchange’s revenues of $1.5 billion dipped 0.7% year over year due to lower transaction and clearing revenues. Data and listings revenues however increased 4%.
Revenues beat the Zacks Consensus Estimate of $1.2 billion.
Total revenues and less transaction-based expenses, improved 4.3% year over year to $1.18 billion. This marks the 17th straight quarter of revenue growth.
Total operating expenses decreased 1.6% year over year to $569 million, primarily driven by lower compensation and benefits, professional service, acquisition-related transaction as well as integration costs.
Operating income improved 10.5% to $582 million.
Financial Update
At the end of the reported quarter, Intercontinental Exchange had cash and cash equivalents of $398 million, down 2.2% from Dec 31, 2016. Long-term debt of $3.8 billion remained almost flat with 2016-end level.
Total equity was $15.9 billion as of Jun 30, 2017 compared with $15.7 billion as of Jun 30, 2016.
Capital Deployment
Intercontinental Exchange paid back $700 million to shareholders in the first half of 2017. The company remains on track to pay back $1.4 billion in 2017.
Guidance
Adjusted operating expenses are estimated between $480 million and $490 million for the third quarter (down from the earlier guided-range of $485-$495 million).
Interest expense is projected to be $47 million in the third quarter and $49 million for the fourth quarter.
Intercontinental Exchange’s diluted share count for second quarter is likely to be in the range of 590–595 million.
Our Take
Results of Intercontinental Exchange reveal a solid performance. The company remains well-poised for growth, given its strength in its energy franchise, increasing recurring market data revenues and strategic initiatives.
Among other securities exchanges, MarketAxess, Inc. (MKTX - Free Report) , CME Group Inc. (CME - Free Report) and Nasdaq, Inc. (NDAQ - Free Report) beat their respective Zacks Consensus Estimate in the reported quarter.
More Stock News: Tech Opportunity Worth $386 Billion in 2017
From driverless cars to artificial intelligence, we've seen an unsurpassed growth of high-tech products in recent months. Yesterday's science-fiction is becoming today's reality. Despite all the innovation, there is a single component no tech company can survive without. Demand for this critical device will reach $387 billion this year alone, and it's likely to grow even faster in the future.
Zacks has released a brand-new Special Report to help you take advantage of this exciting investment opportunity. Most importantly, it reveals 4 stocks with massive profit potential. See these stocks now>>
Unique Zacks Analysis of Your Chosen Ticker
Pick one free report - opportunity may be withdrawn at any time
Image: Bigstock
Intercontinental Exchange (ICE) Q2 Earnings Meet, View Down
Intercontinental Exchange, Inc. (ICE - Free Report) reported second-quarter 2017 adjusted earnings per share of 75 cents, which was in line with Zacks Consensus Estimate. Earnings improved 9% on a year-over-year basis.
The quarter witnessed growth in data and listings business segments and lower expenses aiding operating profit.
Intercontinental Exchange Inc. Price, Consensus and EPS Surprise
Intercontinental Exchange Inc. Price, Consensus and EPS Surprise | Intercontinental Exchange Inc. Quote
On a GAAP basis, net income was 70 cents per share, up 17% year over year.
Performance in Detail
Intercontinental Exchange’s revenues of $1.5 billion dipped 0.7% year over year due to lower transaction and clearing revenues. Data and listings revenues however increased 4%.
Revenues beat the Zacks Consensus Estimate of $1.2 billion.
Total revenues and less transaction-based expenses, improved 4.3% year over year to $1.18 billion. This marks the 17th straight quarter of revenue growth.
Total operating expenses decreased 1.6% year over year to $569 million, primarily driven by lower compensation and benefits, professional service, acquisition-related transaction as well as integration costs.
Operating income improved 10.5% to $582 million.
Financial Update
At the end of the reported quarter, Intercontinental Exchange had cash and cash equivalents of $398 million, down 2.2% from Dec 31, 2016. Long-term debt of $3.8 billion remained almost flat with 2016-end level.
Total equity was $15.9 billion as of Jun 30, 2017 compared with $15.7 billion as of Jun 30, 2016.
Capital Deployment
Intercontinental Exchange paid back $700 million to shareholders in the first half of 2017. The company remains on track to pay back $1.4 billion in 2017.
Guidance
Adjusted operating expenses are estimated between $480 million and $490 million for the third quarter (down from the earlier guided-range of $485-$495 million).
Interest expense is projected to be $47 million in the third quarter and $49 million for the fourth quarter.
Intercontinental Exchange’s diluted share count for second quarter is likely to be in the range of 590–595 million.
Our Take
Results of Intercontinental Exchange reveal a solid performance. The company remains well-poised for growth, given its strength in its energy franchise, increasing recurring market data revenues and strategic initiatives.
Intercontinental Exchange presently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Among other securities exchanges, MarketAxess, Inc. (MKTX - Free Report) , CME Group Inc. (CME - Free Report) and Nasdaq, Inc. (NDAQ - Free Report) beat their respective Zacks Consensus Estimate in the reported quarter.
More Stock News: Tech Opportunity Worth $386 Billion in 2017
From driverless cars to artificial intelligence, we've seen an unsurpassed growth of high-tech products in recent months. Yesterday's science-fiction is becoming today's reality. Despite all the innovation, there is a single component no tech company can survive without. Demand for this critical device will reach $387 billion this year alone, and it's likely to grow even faster in the future.
Zacks has released a brand-new Special Report to help you take advantage of this exciting investment opportunity. Most importantly, it reveals 4 stocks with massive profit potential. See these stocks now>>