Virtu Financial, Inc. Q2 FY2022 Earnings Call

· Earnings call transcript and AI-powered summary

  • Adjusted EPS: $0.73 for Q2 2022, down from $1.27 in Q1 2022, but consistent with internal expectations.
  • Adjusted Net Trading Income (ANTI): $357 million, or $5.8 million/day — flat compared to last year (+6% YoY), but down 29% sequentially from Q1 2022.
  • Market Making Segment: $254 million ANTI, 11% higher YoY; down 34% sequentially.
  • Execution Services Segment: $104 million ANTI, down 4% YoY.
  • Adjusted EBITDA: $209 million (58.6% margin), down 5% YoY and 39% QoQ. YTD margin remains strong at 64.1%.
  • Options Market Making: Continued strong performance with triple-digit growth YTD despite flat market volumes. Expansion in symbol coverage and interaction with options routers underway.
  • Crypto Initiative: Record ANTI from crypto Market Making in Q2. Virtu is co-developing a crypto ecosystem in partnership with Citadel Securities, Fidelity, Charles Schwab, Sequoia, and Paradigm.
  • ETF Block Trading: ANTI up nearly 20% YTD compared to all of 2021, driven by broader coverage and new client onboarding.
  • Capital Return:
    • $800 million in total share repurchases to date (27.4 million shares).

Continue Reading

Unlock the full AI-powered summary with key highlights, financial performance, and analyst Q&A.

Upgrade to Professional
Operator: Hello. And welcome to the Virtu Financial 2022 Second Quarter Results Call. My name is Laura, and I will be operating your call today. There will be an opportunity for questions at the end of the presentation. [Operator Instructions] I will now hand you over to your host, Andrew Smith, Head of Investor Relations for Virtu Financial to begin. Andrew, please go ahead. Andrew Smith: Thank you, Laura, and good morning, everyone. Thanks for joining us. Our second quarter results were released this morning and are available on our website. On this morning’s call, we have Mr. Douglas Cifu, our Chief Executive Officer; Ms. Cindy Lee, our Deputy CFO, speaking with you and they will begin with prepared remarks and take your questions. First, a few reminders, today’s call may include forward-looking statements, which represent Virtu’s current belief regarding future events and are therefore subject to risks, assumptions, and uncertainties, which may be outside the company’s control. Please note that our actual results and financial conditions may differ materially from what is indicated in these forward-looking statements. It is important to note that any forward-looking statements made on this call are based on information presently available to the company and we do not undertake to update or revise any forward-looking statements as new information becomes available. We refer you to disclaimers in our press release and encourage you to review the description of risk factors

Continue Reading

Unlock the full earnings call transcript with speaker labels and formatted dialogue.

Upgrade to Professional