Intercontinental Exchange Inc.

followed by one on your telephone keypad. We kindly ask that you limit yourself to one question and then rejoin the queue if you have a follow-up. I'll now hand you over to Katia Gonzalez, Manager of Investor Relations, to begin. Please go ahead.

Good morning. ICE's third quarter 2025 earnings release and presentation can be found in the investor section of ICE.com. These items will be archived and our code will be available for replay. Today's call may contain forward-looking statements. These statements, which we undertake no obligation to update, represent our current judgment and are subject to risks, assumptions, and uncertainties. For a description of the risks that could cause our results to differ materially from those described in forward-looking statements, please refer to our 2024 Form 10-K, 2025 Third Quarter Form 10-Q, and other filings with the SEC. In our earnings supplement, we refer to certain non-GAAP measures. We believe our non-GAAP measures are more reflective of our cash operations and core business performance. You'll find our reconciliation to the equivalent GAAP terms in the earnings materials. When used on this call, net revenue refers to revenue net of transaction-based expenses, and adjusted earnings refers to adjusted diluted earnings per share. Throughout this presentation, unless otherwise indicated, references to revenue growth are on a constant currency basis. Please see the explanatory notes on the second page of the earnings supplement for additional details regarding the definition of certain items. With us on the call today are Jeff Strecker, Chair and CEO, Warren Gardner, Chief Financial Officer, Ben Jackson, President, Lynn Martin, President of the NYSE, and Chris Edmonds, President of Fixed Income and Data Services. I'll now turn the call over to Warren.

Thanks, Katya. Good morning, everyone, and thank you for joining us today. I'll begin on slide four with some of the key highlights from our record third quarter results. Third quarter adjusted earnings per share were $1.71, up 10% year over year, and the best third quarter in our company's history. Net revenues totaled $2.4 billion and were underpinned by a 5% increase in recurring revenue. This recurring revenue growth was fueled by a 9% rise in exchange data and a 7% uplift in fixed income and data services. both reflecting sustained demand for our high-value proprietary data offerings. Third quarter adjusted operating expenses totaled $981 million. Our disciplined cost management was further supported by approximately $15 million in one-time benefits, about evenly distributed across compensation expense and depreciation and amortization. After adjusting for these benefits, we would have been towards the low end of our guidance range. I also want to provide some color on a third quarter adjusted tax rate of 21%, which benefited from recent prior year tax audit settlements. Excluding this benefit, the adjusted tax rate would have been within the prior 24 to 26% guidance range. And as a result, we expect the fourth quarter tax rate will normalize to between 24% and 26%. Moving to capital allocation, we returned $674 million to our shareholders during the quarter, including approximately $400 million of share purchases. In addition, we reduced debt outstanding by roughly $175 million, reducing gross leverage to just over 2.9 times EBITDA. Next, I will touch on a few fourth quarter guidance items. We expect fourth quarter adjusted operating expenses to be in the range of $1.5 billion to $1.15 billion. The sequential increase is largely driven by the aforementioned one-time expenses items not repeating in the fourth quarter. Fourth quarter adjusted non-operating expense is expected to be between $180 million and $185 million, driven by a sequential uptick in interest expense related to our October investment in Polymarket. As a note, we funded $1 billion of that investment with CP issuance in early October and expect to fund up to an additional $1 billion in the future, also utilizing existing capacity on our commercial paper program. Now let's move to slide five, where I'll provide an overview of the performance of our exchange segments. Third quarter net revenues sold $1.3 billion, building on strong double-digit growth in the prior two years. Transaction revenues sold $876 million. Importantly, towards the end of October, open interest across our futures and options complex surged 16% year over year, with energy futures up 14% and interest rate futures climbing 37%, underscoring the growing demand for our risk management tools amid shifting macroeconomic conditions. Shifting to recurring revenues, which include our exchange data services and our NYSE listings business, revenues totaled a record $389 million, up 7% year-over-year. Underpinning growth in our record recurring revenues was 9% growth in our broader exchange data and connectivity services, which is once again led by our futures data, while also benefiting from approximately $6 million of audit-related revenue that we don't anticipate will repeat in the fourth quarter. In our listings business, the NYSE helped to raise a market-leading $20 billion in new IPO proceeds through the first three quarters of 2025. It is worth noting that only roughly half of new IPOs have met the NYSE's listing standards, and these high standards remain a critical component of our 99% retention rate. As a result of this strong performance within our exchange-aided business, we now expect full-year growth to be towards the high end of our 4% to 5% guidance range. Turning now to slide six, I'll discuss our fixed income and data services segment. Third quarter revenues totaled a record $618 million, including transaction revenues of $123 million. On a year-over-year basis, ICE bonds revenues increased 15%, driven by 41% growth in our muni business, which was in part driven by growing institutional adoption. Within our CDS business, results were largely driven by lower member interest, a direct result of a lower Fed funds rate when compared to the year-ago period. Recurring revenues totaled a record $495 million and grew by 7% year-over-year. In our fixed income data and analytics business, record third quarter revenues of $311 million increased 5% year-over-year, driven by growth in pricing and reference data in our index business, which reached a record $754 billion in ETF AUMs as the end of the third quarter. Data and network technology revenues were a record increase and increased by 10% in the quarter. an acceleration from 7% growth in the first half and 5% growth in 2024, driven by heightened demand for our ICE global network. Our strategic investments in data center infrastructure are paying off, driven by increasing demand for data and increased capacity, as well as clients preparing to integrate AI into creating workflows. We also continue to drive high single-digit growth across our consolidated feeds business and our desktop solutions, as we continue to realize the benefits of investments to enhance our platform. It's worth noting that the third quarter included a few million dollars of one-time revenue that we don't expect will repeat. That said, we still anticipate fourth quarter revenue growth in data and network technology to be in the high single-digit range, and for total segment recurring revenue to be between 5 and 6 percent for both the fourth quarter and the full year. Please flip to slide seven, where I'll discuss our mortgage technology results. Third quarter revenues totaled $528 million, up 4% year-over-year. Recurring revenues totaled $391 million and increased on a year-over-year basis. The year-over-year improvement was largely driven by our data and analytics business and MSP within our servicing business. Shifting to the fourth quarter, we expect revenues to remain at these levels, primarily driven by Mr. Cooper's acquisition of Flagstar and customers resetting their minimums on Encompass, which I'll note is paired with the benefit of higher transaction fees. We expect these items to largely be offset by revenue from new customers coming online. Transaction revenues totaled $137 million, up 12% year-over-year, driven by double-digit revenue growth related to encompassed closed loans and high single-digit growth from MERS registrations. As you look to the fourth quarter, it's important to remember typical seasonal impact on purchase volumes, which tend to be lighter in the fourth quarter relative to the second and third quarters. In summary, the third quarter was once again We once again grew revenues, adjusted operating income, and adjusted earnings per share, building upon our record first half results and representing the best year-to-date performance in our company's history. And as we continue to strategically invest in our future, we've also returned over $1.7 billion to shareholders year-to-date. As we look to the end of the year and into 2026, we remain focused on extending our track record of growth and on creating value for our shareholders. I'll be happy to take your questions during Q&A But for now, I'll hand it over to Ben.