Executive Summary
Intercontinental Exchange Inc. delivered a solid start to 2025 with a diversified and resilient earnings profile. In the QQ1 2025 quarter, ICE reported revenue of USD 3.229 billion, a gross margin of 55.1%, and an operating margin of 37.8%, translating into net income of USD 797 million and diluted EPS of USD 1.38. Year-over-year revenue rose 15.3% and operating income climbed about 14.9%, underscoring the durability of ICE’s diversified revenue streams across Exchanges, Fixed Income and Data Services, and Mortgage Technology. Cash generation remained robust, with operating cash flow of USD 966 million and free cash flow of USD 881 million, while the company continued to allocate capital via modest share repurchases and dividends, supported by a substantial cash and investments position and a strong balance sheet.
ICE’s balance sheet remains solid with total assets of USD 142.87 billion and total liabilities of USD 114.83 billion, yielding equity of USD 27.97 billion. Net debt stood at USD 19.84 billion, and liquidity is evidenced by USD 85.61 billion in cash at period-end alongside USD 3.17 billion of cash and short-term investments. The quarter highlighted strong profitability metrics (EBITDA USD 1.66 billion; EBITDA margin ≈ 51.5%), healthy cash conversion, and a disciplined capital allocation framework. Absent explicit quarterly guidance in the provided data, the investment thesis rests on ICE’s ability to scale data services, expand mortgage technology, and sustain high-margin trading and clearing activities amid a favorable but competitive regulatory environment.
Given the absence of earnings-call quotes in the dataset, management commentary is not quoted here. The quantitative profile, however, points to a durable earnings engine with optionality from data services, mortgage technology, and international expansion opportunities that could support continued accretion in profitability and cash flow over the near to medium term.
Key Performance Indicators
Key Insights
Revenue: USD 3.229B in QQ1 2025, up 15.28% YoY and 6.57% QoQ. Gross Profit: USD 1.779B, margin 55.09% (YoY +9.61%, QoQ +9.88%). Operating Income: USD 1.221B, margin 37.81% (YoY +14.86%, QoQ +13.37%). Net Income: USD 797M, margin 24.68% (YoY +3.91%, QoQ +14.18%). EPS (diluted): USD 1.38, YoY +3.73%, QoQ +13.93%. EBITDA: USD 1.662B; EBITDA Margin: ~51.47%. Tax rate (effective): 23.9%....
Financial Highlights
Revenue: USD 3.229B in QQ1 2025, up 15.28% YoY and 6.57% QoQ. Gross Profit: USD 1.779B, margin 55.09% (YoY +9.61%, QoQ +9.88%). Operating Income: USD 1.221B, margin 37.81% (YoY +14.86%, QoQ +13.37%). Net Income: USD 797M, margin 24.68% (YoY +3.91%, QoQ +14.18%). EPS (diluted): USD 1.38, YoY +3.73%, QoQ +13.93%. EBITDA: USD 1.662B; EBITDA Margin: ~51.47%. Tax rate (effective): 23.9%.
Income Statement
| Metric |
Value |
YoY Change |
QoQ Change |
| Revenue |
3.23B |
15.28% |
6.57% |
| Gross Profit |
1.78B |
9.61% |
9.88% |
| Operating Income |
1.22B |
14.86% |
13.37% |
| Net Income |
797.00M |
3.91% |
14.18% |
| EPS |
1.39 |
3.73% |
13.93% |
Key Financial Ratios
operatingProfitMargin
37.8%
operatingCashFlowPerShare
$1.68
freeCashFlowPerShare
$1.54
dividendPayoutRatio
34.9%
Management Commentary
Earnings call transcript not provided in the dataset. As a result, management commentary and subsequent qualitative insights from the QQ1 2025 call could not be quoted or analyzed here. Investors should refer to the official ICE QQ1 2025 earnings call to capture management emphasis on segment backlogs, product launches, and cadence of capital returns.
No transcript data available for QQ1 2025.
— N/A
No transcript data available for QQ1 2025.
— N/A
Forward Guidance
No explicit forward guidance is presented in the provided data. Given ICE’s diversified platform (Exchanges, Fixed Income and Data Services, Mortgage Technology), the near-term trajectory will likely hinge on: (1) trading and clearing volumes across core markets, (2) demand for fixed income data and analytics, (3) growth in mortgage origination connectivity services and related platforms, and (4) ongoing efficiency gains and margin expansion. Investors should monitor volume trends, mortgage activity levels, data and connectivity revenue growth, and any changes in regulatory or macro conditions that could influence trading volumes and mortgage origination cycles. While management commentary is not included here, ICE’s cash flow generation and capital allocation signal a constructive stance toward shareholder returns if growth drivers remain resilient.