ICE - Earnings call 3 2023 | Intercontinental Exchange, Inc.

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Operator

Welcome to the ICE Third Quarter 2023 Earnings Conference Call and Webcast. My name is Lauren, and I will be coordinating your call today. [Operator Instructions] I will now hand you over to your host, Katia Gonzalez, Manager of Investor Relations to begin. Please go ahead.

Katia Gonzalez

Good morning. earnings section presentation of XXXX in be quarter Investors the the third release can and found ICE's ice.com. These our items call and will be will available for be archived replay.

undertake forward-looking judgment current are subject and statements, may represent assumptions and statements. risks, call to update, contain which Today's we uncertainties. no to obligation our These

and materially to description in XX-Q forward-looking described of could filings our For quarter those Form other risks a third cause our SEC. please refer the from that the results XXXX XX-K, to differ with statements, Form

In measures. our cash measures reflective certain earnings supplement, performance. we our refer are We to non-GAAP operations of business non-GAAP believe core and our more

to reconciliation When transaction-based expenses revenue our to a to GAAP equivalent and earnings adjusted find earnings used terms diluted call, materials. this share. refers earnings per in refers net You'll on adjusted of the revenue net

references unless supplement definition notes constant items. see basis. presentation, Please otherwise this of page Throughout the revenue second indicated, a on regarding growth the currency additional details the of explanatory are the certain to on for earnings

-- the With Warren. Jackson, are Martin, on of Lynn President; are now Officer; CEO; today, Chief to call the and and Jeff Sprecher, Ben I'll NYSE. President call Warren Gardiner, over us turn Chair Financial

Warren Gardiner

third Thanks, results. today. thank X our Katia. key Good Slide you morning, everyone, us begin quarter I'll the from and highlights on for joining with of some

Futures our year-over-year. up versus Exchange on in quarter led revenues was a Third $X.XX, X% by basis, record, a XX% in forma XX% increased growth was driven which last double-digit Net share record adjusted earnings our by billion pro per platform. totaled segment totaling year, $X growth and a

Black and efficiency low technology cloud expenses $XXX million related center of to adjusted lower optimize Knight we the our related exposure was guidance through below legacy $X spend, drive totaled $XX to end data driven including including largely by as footprint. $XXX million, operating continue which ICE, and original range, quarter million million Third our to reduced

to third fourth As million, well additional quarter, the we the to Black capitalized the move and as of full range as into with seasonality related expenses million $XXX relative quarter a quarter, expect $XXX of and the to labor increase driven by Knight. adjusted be D&A rent, in operating expense we to

interest the below including to $XXX Moving related incremental $XXX million our expense Knight. It million, fourth September. noting Adjusted early between to by nonoperating outstanding expense. $XXX acquisition driven And the largely quarter transaction Black since worth our loan of term line. is adjusted that expense expect million, totaled $XXX million interest we expense we also the have by and in of $XX acquisition-related in reduced closed quarter CP nonoperating impact of full million around and

an our to overview provide where turn segment. let's I'll Exchange the X, of performance Slide Now of

Third $X.X performance by in natural quarter up were up volumes. XX%, year-over-year. strong revenues XX% global driven growth This of net of a XX% million gas, TTF XX% quarter energy totaled revenues. billion, our in record $XXX driven Transaction growth by included revenues

oil global our year-over-year. with and year-over-year at the quarter of across trends in business end third robust XX% see interest up up to continue the we October, ADV addition, In XX% open

benefiting $XX revenue will fourth and to we repeat. in we million, OTC that quarter, to items don't a $XX worth to noting of expect it's million the from the range anticipate with look we that other the quarter few As be third

fourth million to million year-to-date, we've to performance In are elected quarter. up of addition, a strong where temporarily and equity holiday, by the in our which business, will the in revenues fee regulatory and $XX XX% options $XX other reduce light revenues OTC in

the number again million we a as revenues. transaction Recurring which repeat once and growth dollars driven data was including consuming off a fourth growth to services, of well global customers X% year-over-year, our fees X% recoveries, will growth from in of few strong offset of XXXX. which Exchange annual by audit in our benefit is as initial market listings in to revenues away Shifting environmental by by energy fees by the don't increased business data in was expect related related listings the where in partially quarter. offset rolling IPO This listings the double-digit

segment. to X, Data and our Services Turning discuss Slide Fixed Income now I'll

increased revenues X% X% growth totaled in including Third ICE growth X% bonds our quarter year ago. versus $XXX in CDS revenues a million, by up business. Transaction and X%, clearing

by analytics both offerings. grew X%, Excluding the driven the Euronext desktop, recurring growth migration, feeds and strong our revenues by ASV across impact of derivative and

strong Within as ICE once adoption we customers as demand robust business, from as Chat environmental-focused in growth continue our grew revenues of our large see to and energy well digits part in the again desktop driven models. continued growing double by offering, language

expect and of In $XXX benefits our year we feeds high million to grew enhance we full again the for past to our continue realize consolidated the business, revenue platform. of single as to exceed digits investments once

Data third sequential business, revenue in driven growth generated with million a by our quarter business or PRD. Income, we & $XXX and Data American the Fixed our In Reference North record Analytics in Pricing the

signs near cycle be seeing may the alongside continue growth trend strong While to retention. term, an below of sales we're PRD improved in

segment. X, Slide Mortgage next will go to where Technology our I discuss Let's

recurring customers look near-term reshape Technology do related business. Through headwinds how quarter of nearly basis, pressure total representing they totaled the Third forma top the MSP sales four total modernize set and revenues October our Encompass a million, our through was prior since of on to our servicer, of pipeline full for signed facing year signings a MSP second months forma transaction Mortgage on In solutions has including the in the million, the million compares servicing to for pro new including closing year a and track to sales already October, This the Knight $XXX record robust surpassed we first $XXX the segment Despite have new Knight. five unlocked Black XX% be be put $XXX XXXX. revenues, pro business, sales, revenues of which alone, Black year has continued XXXX. and with customers quickly as to the totaled best Bank. and XXXX mortgage million X Third industry related Fifth revenues. Recurring to the XX on $XX

highest and pipeline as addition, XXXX X current look In in at to close, years. level we the have seen MSP we the post continuing its for is momentum

customers their to we the we workflows origination anticipate take seasonal near-term will on pressures quarter, strong the And across expect we secular to sales that to with implement. and headwinds trend fourth cyclical persist. looking Coupled note in results the greater first While these seeking of important continue, it's will each closing efficiency provided expect bringing IMT volumes full year to typical time pro $X.XX on quarter approximately to the billion total range in September. the of late of forma quarters the revenues million our be IMT in fourth in will call range of middle fourth the year, Black revenues million, Knight and $XXX to we $XXX guidance

create and meeting share. adjusted focused operating shareholders. consolidated to grew of end drive and look a our revenues, ICE needs the adjusted income at growth summary, remain we for value the once on as the into to And we our customers, year per of level, earnings and again we to continuing XXXX, In

your to take happy I'll during questions Q&A. be

to hand For now, over I'll Ben. it

Benjamin Jackson

all thank and would for the Warren, turn like Knight you, their us call. this Slide Thank to earnings to welcome joining team X. Please to ICE you morning. first I Black first

our on entrepreneurial we less acquisition has talent to collaboration closed between X employee the been it time, impressed since the September, shared early short than respective months While a during of very teams our cultures. our this and we've been by the populations testament in

with income bring proposition ICE exchanges efficiency customers. our Mortgage our fixed integrated network, businesses, to a Technology Knight network aligns our offering that gains and that we that value thrives Black to Similar a by into growth

and have seen information, the the that value underpinnings applied that of across data highest ensuring gains is to conversion information security. through mission-critical businesses. of our we in Fixed our best It that all of achieved execution participants propels to often the harnessing the blueprint are these to create linking quality As and digital network seamlessly technology we've an unstructured network is are and Income, an analog efficiency Futures proposition and across this that industry,

an A evolving liquidity an that dynamics become number pursuit. in of Today, truly complex, investing one in saw the global, evolve not base. energy of years as better provide products also benchmarks, greater that hedging seeking importance that the only platform of commercial global ago, we customer in needs is the major and but trade customers serves for are increasingly growing and

built spreads Brent and our off become for Driven breadth products, including such end October, home and oil global customer liquidity through by the with spreads. these refined over Our contracts, XXX our These up base, including oil. natural the are locational have in oil interest and crude product refining XX% complex commercial products benchmark of as spreads, other gas our crude oil products. year-over-year a the spans open in in of XX% complex our increase we of products

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another each market complex grew record of digits In X volumes. across strong and gas of the third XXXX, XX% of record reached through first helped up performance number quarter, quarter the drive in double natural our the TTF months revenues participants year-over-year. year-over-year This

and respectively. of our This the and interest price XX% to open to for natural JKM gas. global significance October, through addition, TTF the year-over-year, trends formation strength XX% contracts remained In up continues strong of underscore

the gas Asia. from North because trends positioned a America, we Europe with growth volatility operate these the market markets We long-term and near-term both are to global and well secular occurring benchmarks across benefit across

building ago importance markets, price transparency in we XX and around by Exchange develop a the environmental environmental our acquiring to In Climate over leading XXXX recognize global years of markets the business. those carbon

This term, to market continued active market carbon growth up participants out year-over-year. remain look As policy in longer illustrated over X% corporates by we environmental and participants, reduce to committed the emissions. is

position broadest in they Importantly, one about navigate journey of of the as environmental cleaner because carbon demand customers remain carbon as pricing for to products excited suites transparent serve and the we to offer the energy grows. cycle, our the we across

past cleaner and today energy a energy In average over and the these XX% gas of XX% XX% sources grown environmentals on including including have global year-to-date. over combined, make summary, up years, our growth X revenues natural

the introduce volatility to needed spectrum uncertainties the manage new and gas global to and energy price will our clean the evolving complexes, energy these oil complexities, markets, energy alongside continues provide our As environmentals, across transition to transparency risks.

Fixed Data and business. to Moving Income our Services

all-weather comprehensive we've and business our network As this fixed services and grows, income Year-to-date, made continues continue part enhance driven pay our and across business analytics and compounding to strength to our electronify markets to other continue customers feed X%, up X% data generate our growth, workflows. by across as Investments platform year-to-date. investing is passive up desktop, offerings revenue content modernize of derivatives to dividends. functionality

our double-digit of growth in business, double-digit have reduce made have to to platform. Chat investments the year-to-date, connect we Within revenue the to across number that workflow with contributed the growth users our desktops ICE friction along

offering consolidated by our single-digit contributed business, this directly financial growth have large to in made area our has elevate enhance high within feeds adoption This led accelerating investments to institutions. to year-to-date. and Similarly, we've

double-digit our in benchmark. the growth in In over as the as addition, passive strength the we with indices see ICE Index in third now by quarter, ETF of management business of assets assets trillion $X.X continue selecting end driven under to

our leveraging record move As and we track on and asset bringing assets opaque technology. classes, we efficiencies mission-critical adding transparency will to data forward, of to build market-leading continue our

through XX to now with an Mortgage from what combination residential Knight, in our there's way in analog occurring opportunity conversion is Critical that spans our to our to the secondary ability network, markets mortgage Turning we market. Like acquisition digital one execute the the to on in consumer to industry. saw the all ago, U.S. Black commodity business. years this

analog executing once In the digital industry. the in to strategy again our against and mission-critical outperformed broader the expertise the our volumes. data origination mortgage our experienced third continued business nearly technology accelerate of in XX% outperformance leveraging This that a result conversion happening of is quarter, decline to industry a

technology that particularly shifting XX% came and third recurring of intentionally and business. of the is And up more roughly business their subscriptions. to analytics for our strategy quarter, origination revenue, increased Encompass Part during within base customers the that renewal, data

fee, loan subscriptions, when will in which trade-off in per transaction higher the decline a returns. customers where Importantly, is the provide closed market an revenues uplift

one of to together have clients a servicing our been would has experience platform want through complete part for that provider. thesis businesses businesses origination front-to-back that with their trusted addition, combined In bring clients

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to With over that, Jeff. I'll turn the call now

Jeffrey Sprecher

an came you, and commerce to of idea the XXXXs, us. turn the procurement. for joining you Ben, changing energy in morning, regarding advantage move an X. The regulations Thank on capitalize good the ICE late and take to to Thank to to everyone. Please now Internet Slide start idea government idea of

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colleagues we up the and platforms Our acquired targeted took talent. challenge and

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that, I'll until back Lauren, to question-and-answer Eastern moderator, X:XX and conduct Time. with And a call we'll our session now our turn

Operator

Instructions] first question from Worthington [Operator from Ken Our comes JPMorgan.

Kenneth Worthington

about ask to oil. wanted I ICE

the we And the is a ICE's look the in WTI. and played increased impact and we've is positive has Midland Midland Midland you trading trading impacting benefit how I'm extent much curious is to of what Brent Or Brent, I'm to of share last guess, off. importantly, Midland I added as mentioned seen contributor how take trading out? Brent that at you -- left was already So to forward? sorry, quarter of to then ICE think most

Benjamin Jackson

question. the Ken, oil it's been see to Ben. truly one you that Thank platform doing complementary a we've that's global another. for the as all investments platform We our all in

the energy you lot kind any in the has world energy of clear in have supply infrastructure, of As trend investment been there's shocks. a around so volatility under when

to You've continuing hold. got take electronification

energy markets truly have that You are global.

You got chains changing, and supply looking evolving that are are precision and management. risk more for and people

So instruments, there's in account, with ICE that East all that we're all and we global that's a that we're investments for oil now need more making what Dhabi, oil That's contract the been that we've grown and for our with customers Middle take engaging Abu into pricing and precise getting destined platform, China. feedback more Murban than created it's Futures ever nicely.

In that, is the Brent, year-over-year. OI which parallel entire in up that and both of to complex, is centerpiece volume

them see side. complementary side assets we that as trading So by run

into We contract. then also Houston Brent in Midland, Midland pricing way continue to and going to barrels its dated contract see making investments into out like the our that coming grow. continue We're eventually HOU which contract of seeing our also is U.S.,

one we So complementary in these our year-over-year. That another. year-over-year, the up up to contract is at East XX% And look XX% with Middle close very Dubai within all volumes itself, to you see contract. even OI assets as

benchmark for assets the look also the So then contracts. parallel in all we, as that, again, at traders other particular but instrument see complementary to that provides, both precision trading that very them them

Operator

from Barclays. from Budish Our comes next question Ben

Benjamin Budish

around the wanted the I business. wins on some mortgage of commentary in follow the up to

if doing think perhaps some result do pent-up that's a do over perhaps what about or degree think is pipeline? while maybe a degree the is the cross-selling, last you it some built demand, the the some many -- since that asset? How is things pending? you of case, what of and that the to what MSP differently versus months? demand To were growth ICE of up of Just pent-up that stalling sustainable things of the some was is wins And merger the kind compression acquiring

Benjamin Jackson

heard the as for trusted an of clients. have has the experience a front-to-back to for question. create, for number platform for provider lot a their as the our that you complete we've that see platform our ahead as businesses of prepared we opportunity believe -- that growing. are that's the calls, platform. these the on And really normalizes from time, have hypothesis on clients the one about for our well said our market Thank remarks funnel success sales Yes. combination spring-loaded of will you as And us, as a across based that And that loans been we in success first we

just what's covers. going under detail the some And unpacking more on

QX we Encompass sales and third also we in sales his go had prepared And out the a a a have So still remarks, Warren solid we pointed year quarter mentioned couple year. in in of then October. in as had and we've record to months the in

very well out for that's playing us. So

the an existing The we've platform. Encompass that's a of adding called Automation Encompass both platform existing we won that's relationship. MSP with moving Encompass. on to top and adding Federal our Bank, expansion M&T had won DDA Document client customer. & also Bank, They're an We've already mentioned, we then TriPoint, Data Savings our As And

to clients Third an adding There's now was a Fifth well. as through. come of was of number Bank existing We number And overhang that They're that come mentioned MSP provider. replacing that the -- part deals how have MSP. on also data their we're there pent-up some as no going waiting products There's deal of seeing switching as a platform doubt it to demand was through. there to deal on with see

on a Mortgage has solutions. We've MSP. also added of Technology another Union, MSP an Mortgage Credit Federal And with had National relationship Encompass Bank, existing Reg Technology Hills in areas with We've them. customer just Colorado, then now added relationship our Black had existing existing which of also client, ICE Mortgage added City ICE in which several is an Solutions is we've top

that's So going implement, is remarks, the time wins. commented also both incredibly MSP as his -- into it Warren we these at origination but clients, to them does is these look continue to And and side. have well on as for strong. take this infrastructure a as in The across as prepared core I funnel, it, loan

implemented, X- these new clients. then window once our But a our to getting platform got we're to You've network. XX-month implement and loans on under

is So is point losing I not objectives platform. us spring-loaded out significant final loan We're the point in outlined. customers criteria in see as at not And the positions had we're why to losing growth also on that the comment the of very we time, the we've going that environment used because platform I'd market normalize we're well those our long-term that's achieve thing some the growth that customers. we've to

Operator

Our comes next Fannon from from Dan Jefferies. question

Daniel Fannon

fixed on data. Questions income the

I upon you you been environment? think you've might that. hoping might improved about this inflationary next mentioned you expand as be percentage sales that increase pricing, and And different think the raised or how has think, about Was the then what also, or -- that cycles. maybe we how and Warren, in year typical of type could price

Warren Gardiner

Dan, it's Warren.

the over Income I'm to hand about a talk the what Lynn on it the Data Analytics we're and on to talk side. I'll about little color to of going Fixed So pricing, bit some seeing

the over so we move we've much will of pricing. that around have you necessarily or would in asset, consistent felt growth pretty look it from way. now But certainly, years it come that, -- we like as IDC number talked in range. each not side, last we perfectly pricing year, been of X/X a that had say that it's so the the on of would the been couple So look, years that I'd about it's

articulate heard it's that to that as look think value to Fixed we're philosophy when we of the the towards our we times a fair business across think so that's And number and And us it the bring continue. underpinned thinking we're just really Analytics you've and really doing what and calls really these by platform. Data thinking year, will on we be price it's next capture customers. when And I to within Income about

couple that to years. we similar to going we're that So continue last over that have the business, do of in

Lynn Martin

seeing. we're in Yes. And some just it's Lynn. I'll of chime color with what

we've shows really side well the really where this wealth benefit share last side particularly previous And retail in contributing continue able of of gains the the the increased by all-weather if institutional growth users you businesses nature from adoption the muted As markets increase had bonds, we calls, to execution muni the particular, as the given to business, our in the volatility and adoption been look said of products. the by different as our at all particular, ICE of over strong in in quarter, to on ICE. segment,

continued that the with to our the side the for and seen increasing Data Fixed we've office Now bringing to front customers, Income interact front continued as of business, through office we've Analytics tools. demand

fixed about small those the while the as products for like to So to there contributors past, Execution demand continues bottom products line, talked CEP, we've in income continue be that markets Best overall to strong electronify.

short the You've rates conversion a seen -- itself a that has the in term. been the us contribution, terms pipeline in which sales benefited really has manifest pipeline shortening in of which cycle,

we've for evidenced into Additionally, as for indices, is AUM, fixed see demand services XX% at demand to ETFs, into to itself around for of data, index income that we've money QX our as continued indices. end flow demand the year-on-year manifest growth continued in of our terms our by see the

we that fixed continue income. trend optimization uniquely positioned the fixed in workflows of to on we're electronification to and of optimistic capitalize the So be income

Operator

Voigt next from from Our comes question Kyle KBW.

Kyle Voigt

the some side NAR there the been the there's what road U.S. flow couple will that I headlines agents largest means of lawsuit past buy of and that buy-side referral the believe And serve So are around pressure core have buy-side over the percentage agents for that mortgage in involved pipeline the real favor agent a of decided to Encompass transaction. sales being needed of in estate some a days around the deal clients. plaintiffs. for home which number down even of officers, have market loan are

do And used see guess you the referral shifts do how who at I you guess all? material any less Encompass, if their loans if if I loan largest officers share we agents that mortgage lose originating for buy-side foresee being so, could in is within the believe ecosystem? pipeline, impact market and

Benjamin Jackson

the thesis there -- space this trends around Kyle, transactions. is hypothesis into is play in efficiency create is overall Ben. our types and more actually to It those of that opportunity this

neutral real we're the a that us, in estate don't For and selling We like. brokers leads have space. business to of

in to we're core client, as our the for and servicing an client us, that have product analytics cross-sell book clients sure ideal at have to all origination origination identifying existing that product a businesses as the best as transaction best that making the as For the to home, the on access improve time an around are that clients to book. based and itself, needs matching their the data meets to cost homeownership, lowest well to well

we sweet So really offering, that about our spot. when whole that's talk front-to-back

the anything, well as impact Mortgage offerings that that assets So underpin have space well this the as us overall see position Black data us back, platform the an we've that come analytics we and all Technology to front had data of ICE to with in we If between that negative. all historically don't that going very assets business, have forward. both Knight

Operator

Our next Sachs. Goldman Blostein question comes from from Alex

Alexander Blostein

I around if it's we around trends been ASV, at why pressure cycle for We know of build the and the challenged revenue of Income But the sales can on income the look fixed of and quarters. kind you business. pricing specificity couple been last reasons flat look little a was assets. the bit the here. more we maybe Data obviously they've Analytics sort hoping If Fixed at

mean sales growth just cycle of contextualize improvement 'XX? revenue thoughts for over maybe maybe into what So the does early and near help shortening the pipeline sales term, kind

Lynn Martin

for much is This Lynn. Thanks question. the Alex. Yes, so

the continued in Data services the that segment look of income that's And some contributor line business top that -- Fixed see been the area analytics of and line a So year. Services executions as really other talked the all-weather to a that throughout bottom nature to the if attributed line to as But different of the you really a line whole, really Income business areas. data and couple and I ago. acceleration strong and about the fixed and data one is we've the fueled bit at just by a the

by the across macro side, is products associated on automation different one in tech for the we're the stack of And continued the and a services modernization like platforms. our the of still with the broader in our our of industry variety adoption fueled stages and multiyear the of. investment feels strong Number is distribution demand early areas, which

this items for this we're be to medium line in in and the So growth growth in us that area, for the term. optimistic confluence continued particular, top seeing of benefit these causes area, the

on We've been very really mentioned invest deliberate, as be data cloud in own call Jeff to his our agnostic and centers.

customer really One things that space was as demand their fueling data-heavy as automation area tends grow data center for response asking of as in center data that demand and reasons to be us increased did the to well a footprint. to customers such as we

As recently, seen a were we've connectivity our result, sales the and in in second highest more what our history. QX

our implement, high. Now some last quarter matched those revenue. going before in that of desktop to see sales take are of terms time historical our the obviously, benefits to we And

we've pipeline the positive that have recent optimistic the sales given given be to to able to this continue we achieve. we and So for area, more that this the in area that been going be are trends

our our value talked in workflows our more customers we've business, modernization and technology. automation about a we to the continue undertaken continue from efforts On to which as trend automated the prepared little bit streamline remarks, feeds become benefit we to

a historical our new more then services. variety also recently adoption their of Tier So and increased logos we've been from able of X logos to and benefit attain

is platform. And of the language it's growth our to area Chat proprietary we our adoption that finally, models then and in our think continues large in area, drive language the model, early stages, the this large

usage activity our benefits to compared models XX% and language large the up user driven energy the XX% generated revenue models which Chat Our growth not here, also last activity but has was year-to-date, generated energy year-to-date. within is in in our through only markets, increased up year markets XX% quarter-on-quarter and

for trends for to compounding particular, So there's to long of continue as this tailwinds a the see in medium that growth we variety term. to line, drive

Operator

Deutsche Our question Brian Bedell from next from Bank. comes

Brian Bedell

years. of update examples now. $XXX revenue call over to million September, you for talk about what numbers. X you the the can just synergy end on just you've Ben, the Knight synergy $XXX the million Black you opportunity the the reconcile then with can two those that Maybe then -- the some cited. And if see Knight, at And of Black between that Maybe cross-referencing mentioned, of targets already the the difference

revenue timeframe, certainly month million implementation realize it stream. to you're of XX $XXX And time. like track of types on take I would so ahead there's a easily to get they to while the But into that X still seem beat

So synergies your couple of about maybe outlook years? the just talk on over to say, next, revenue

Warren Gardiner

Brian, it's Warren.

it point stick-like. hockey more that little I it of takes So of and think I think, But think implement. think is being bit of to all to think is about long yes, out But couple we these -- more it I the synergies, there, you've thrown you thinking a for correct, about it way I out a is -- be revenue important, about numbers those when pointed course. best one the OpEx

and as see years you're to move think here, in that of build. you days to going next I as so through to those the we the but have And X, early much, obviously probably couple don't start year

So integrate as on -- on products of want that cross-sell to across the get started and and we going -- to to that talked part of companies look, only the platform have data the we the but of not products, also some areas well. is, the we we've core about some on got that to to we've

we some that And talked little of implementation in takes to well. the about timelines time so a of as addition bit

we think encouraging timeline a be in us for implementation talked really those strong I here. ultimately. a are it's number to of some have getting off targets had. and certainly, going there's to about we're it, terms going an of Ben there, that So But to wins certainly, about again, those. very to But we've start

Operator

Clinch Simon next question Our from from Atlantic. Redburn comes

Simon Alistair Clinch

market as getting side. I to, down wondering guess, nearly was just market thrown the as I on drill how different and mortgage sort just being we your performance well XX%. comments if figures We're down you're about information your to on could mortgage transaction around just that. hearing originations of I'm curious beyond the the

into you the as then revenues well? curious you that are fourth how thinking ultimately, for forma quarter what's number. IMT that I'm guide about build how So going And pro as

Warren Gardiner

you're the forecasters at Simon, Fannie at we of, Freddie, the aware MBA, and as looking we're composite, and generally look the so those.

together. We also loan have MERS of our we some data course, around volumes registrations pulled and, all other that

somewhat working -- it's there and ask with see fair your that times forecasters are information, revisions the question so because, fair too. And at you obviously, imperfect a here -- to and

that's So we but -- generally saw. what

the the in Encompass in loans teens. down did high some closed see We quarter

So I the versus well we did market. think

which of course. And what there. an is sign, you referencing in extent mean there. those services elements revenues, I to transaction There professional encouraging so be some within is, fees that's other might some there, are

default Knight, with Now have revenues. management we Black

You've got deferrals some MERS that related to. there's registrations

Ben, you coming component if part mortgage create adoption from closed into new have sales the some you customers at correlated think over we So the I are with we've there. And success there next of what are performing will I as of not had. its in of of the some how and year, terms encouraging. in online some loan And been it's on perfectly heard of move market that, going continue things that this certainly there and within it's to again, you based that, noise. on in current But we're course, what's think period, will,

I So that that that, think will outcome. kind to drive an continue of

Operator

from Our next comes Bank Siegenthaler from question America. of Craig

Craig Siegenthaler

for adjustments pricing on and wanted near adjust you year, know term the focus aggressive longer more with in earlier over inflation to pricing in hikes. yours big the the of had this energy in ICE a pricing complex has we been both term energy future, key been competitor update has the is And the complex we After the higher business. but ability a in the then past, and this an see not if the energy of to outside

Warren Gardiner

question, Warren. It's for Thanks the Craig.

something And So about, right, prior changes calls you're are price I the on it's as said headline think, traditionally -- done. not that's thinking here. we something had I we're

tiers we've level. market historically ingested and markets into not gone the always and maker incentive of something that have at done programs things and and But We things headline that it's nature. -- of

this successful. did think We I do it it's relatively and been year,

might And about are, do we on into our able that thinking season budget what the moment, to here as be move front. certainly we so we at

I just our think, other certainly, spots a energy, on futures. same we we do that many as But not said something products other the I every pick don't expect year. on. on products have done will it's to it previously, lot areas us we across, not of but

And so we'll be thoughtful that. about

of all thinking for it value appropriately back that. what kind to about us pricing we've comes the Again, created for customer and

that, we I -- think pick that. year. we so some know our every don't there. see single as -- think you'll think We'll through products through as same spots announcements And some see But we'll that the expect potentially to again, I on I'd it be

Operator

from comes question next from Cyprys Our Morgan Michael Stanley.

Michael Cyprys

the We've regulators bespoke off rules make intensive. propose products bit their banks, exchange-driven some could which seen a of for banking more -- capital new regulators capital

that? just that, the to the picture So curious derivatives businesses might guess, certain to on just I can And proposals maybe where take biggest exchange-traded the just you you intensive opportunities bigger from bring do that given biggest how guys that. from the capital banks, the where see you're see quantify and market, and more opportunity capital for OTC make products you

Jeffrey Sprecher

the for Thanks Jeff. is This question.

we consensus? And because implementing market the some to the of But environment we yet. to know which slightly Basel I about will begs influence significant you're really coalescing process the on in the most proposals cases has that a banks. single in don't who standard? in that And draconian be could drive in the thinking coalesce think rules be differently, seems it's that around while them are being country business a the do sort discussed, of the question, every complicated right

distributed, in level, that that And we just believes standardization widely And look is even more in I back regulated at prepared -- standardized, for in any or good pushes us. the wrote more action I if and that macro our transparency and business government it regulatory the remarks ICE businesses. a you transparent, mentioned you and step market towards

upturn, out the a of and take have economic point different I seems prepared my my transition those this either tried to to look figure that to -- we a cases an some it's in that as economic In try been whenever -- the an or changes. company, tended And a change, make to point there's remarks an made different. been there's economic even experience regulators what's economic over like environment, downturn history I benefit, from the

the to thank for, we It's not But way I and anti-regulation, adapt we're it, partly are think for I same and ultimately wide that phrased business is think, of I to distribution your do way -- because regulators are why the we're about regulation question. I the what transparency we and you thinking yes, kind you looking willing question. standardization. say

Operator

Our Moley comes question from from Patrick Piper final Sandler.

Patrick Moley

I just one income. one fixed last on had

forward? I quarter, to there in had AUM the to just yield an and And should the see about the you're add business munis on perspective, think that then on last we your going normalizes, impact have and indices. to expectations and you what between just could that Lynn profile the get mentioned reallocations as was issuance that, update your on, more from seeing higher hoping differences broadly? capture I treasuries wondering could think how

Lynn Martin

the Yes, it's question. for Lynn. Thanks

AUM indices compared more to an bespoke of semiconductor small they're being of had amount indices, moved variety seen allocation some that seen our our and the The core example, Those other terms of for our you've have we relatively into In although uptick the improvement. of in fixed income of them. where biotech, an definitely AUM, equity indices.

the fixed higher really our as unique you've and high to which income indices but continued such well. classes have investment In some for, yield, known gain in grow allocation, terms share we're seen also AUM, grade governments of well terms of as capture

bit products, growing as in at it's which higher particularly AUM, some our time. resulted everything year a slowed compared in capture but growing of into our definitely has terms nicely, of last So that of revenues has index with this

In question. the really yield good terms a of profile, it's

not muted summer core our products as volatility saw during months, unexpected. the have overly You munis such

up again growth product spike to that's CDs that's market continued then also and seen October, as Treasuries in grower the in a and fall, been We've and money well. transactions. enter have particular. also we a us CDs start throughout really things products for terms agencies those in volatility though nice like as seen in our trend of You've

as of So different really seen good across earlier, our we've each growth I mentioned products.

you in up platform last of our QX, look are QX compared with of transactions amount the at XX%. in as the transactions year If fact, on amount

us think nicely hard has I of work positions to that of So the really penetrate because all wealth done the business. team side the the

us and few Obviously, team which traditionally activity both over the of expanding years all the our we hard in footprint, good retail a continue platform. for of and last participants really to our done build been on has has see number to institutional work that grower the terms

really going in we're we're I into So think positioned right volatile time more that nicely the now.

Operator

Q&A end of Thank is session. you. That now the the

Jeff So to I'll over remarks. Sprecher for back hand now closing

Jeffrey Sprecher

this morning. for all you and you, Lauren, thank joining us Thank managing call, for the

Let and and generate solutions my top to for want definitely continue model growth. business delivering record for our all-weather colleagues continued our and me customers and we again business to again quarter be innovate trust. We'll you a for as around of their thank customers growth their thank our updating third build soon on

So with you that, hope a I great day. have all

Operator

today's you for call. Thank joining. concludes This

your You may now lines. disconnect

Intercontinental Exchange (ICE) 2 Nov 232023 Q3 Earnings call transcript