Bgc Group (BGC 3.45%), a global brokerage and financial technology firm, reported its financial results for the quarter ended June 30, 2025, on July 31, 2025. The most noteworthy news was record-breaking GAAP revenue of $784.0 million, which exceeded analyst estimates of $768.7 million. Earnings per share (Non-GAAP) matched expectations at $0.31, a substantial rise from the prior year’s $0.23. Overall, the period was marked by outperformance in key brokerage segments and steady advancement in technology-driven services, although rising expenses tempered margin gains.
| Metric | Q2 2025 | Q2 2025 Estimate | Q2 2024 | Y/Y Change |
|---|---|---|---|---|
| EPS (Non-GAAP) | $0.31 | $0.31 | $0.23 | 34.8% |
| Revenue (GAAP) | $784 million | $768.7 million | $550.8 million | 42.3% |
| Adjusted EBITDA | $213.3 million | $162.4 million | 31.4% | |
| GAAP Net Income for Fully Diluted Shares | $55.1 million | $36.1 million | 52.9% | |
| GAAP Fully Diluted EPS | $0.11 | $0.08 | 37.5% |
Source: Analyst estimates provided by FactSet. Management expectations based on management's guidance, as provided in Q1 2025 earnings report.
Understanding Bgc Group’s Business and Focus
BGC operates as a leading broker focused on global financial markets. Its business connects buyers and sellers across rates, foreign exchange, credit, equities, and commodities. A core part of its strategy is expanding technology offerings through products such as Fenics, which are digital trading and data service platforms for capital markets.
Recently, the business focused on bolstering technology-driven brokerage, expanding internationally, and strengthening its competitive position through deals and new products. Success depends on leading-edge trading infrastructure, disciplined navigation of regulatory environments, and the ability to realize synergies from strategic acquisitions like OTC Global Holdings.
Quarter in Review: What Drove BGC’s Results?
The period showed record performance in several brokerage and technology businesses. The newly acquired OTC Global Holdings made a significant contribution, propelling Energy, Commodities, and Shipping (ECS) revenue up 122.2% to $261.6 million. Excluding OTC, organic ECS revenue still climbed 27%. The ECS expansion made BGC one of the largest players worldwide in this category, consolidating its market share and reach in physical and derivative commodity markets.
The Fenics division, which includes electronic trading platforms and infrastructure technology, saw revenues advance 18.6% year over year to $162.9 million. Fenics Growth Platforms, which focus on new electronic markets, grew by 29.6%. Within Fenics, FMX -- a U.S. Treasury and foreign exchange electronic trading platform -- set new volume records, with U.S. Treasury average daily volume reaching $68 billion and FX volumes nearly doubled. The FMX Futures Exchange also launched Treasury futures products, though this platform is still becoming established.
The company’s Equities segment was another highlight, rising 43.8% to $73.9 million. Strong market share gains in Europe, Middle East, and Africa (EMEA) and the Americas underpinned this growth. Rates and Foreign Exchange were also up more than 20% each. Data, Network, and Post-trade services, which provide essential market infrastructure and analytics, increased 15.1%, with Lucera -- BGC’s network and cloud infrastructure product -- seeing revenue growth above 40% due to new clients and features.
Expense growth was notable. Compensation and employee benefits under GAAP increased by 53.1% in the second quarter of 2025 versus the second quarter of 2024, and Non-compensation expenses under GAAP increased by 30.5% in the second quarter of 2025 versus the second quarter of 2024. The large expense rise reflected the costs of integrating OTC. This reflected margin pressure from lower-margin acquired business. Debt (GAAP) rose to $1.92 billion as of June 30, 2025, up from $1.34 billion as of December 31, 2024, as the company funded its acquisition and growth. Liquidity (non-GAAP) increased to $965.9 million.
On the regulatory front, the company reported no major compliance issues for the period. Ongoing investments continue in order to meet requirements from multiple agencies, including the Securities and Exchange Commission’s (SEC) new rules and the European Union’s Digital Operational Resilience Act (DORA).
The period brought no changes to the company’s quarterly dividend, which remained at $0.02 per share. This marks another quarter of a consistent dividend policy.
Looking Ahead: Guidance and Priorities
Management provided revenue guidance of $715–$765 million for Q2 2025, which would represent around 30.0% growth at the midpoint versus the prior year’s period for pre-tax Adjusted Earnings. Pre-tax Adjusted Earnings are expected in the $150–$165 million range. The company forecasts a full-year 2025 tax rate between 10% and 12% for adjusted earnings. These projections suggest ongoing momentum but also indicate a sequential revenue decline for Q3 2025.
Key areas for investors to watch in coming quarters include the ramp-up of recently launched products like treasury futures in FMX, launched in May 2025, progress on integrating OTC Global Holdings, and realization of targeted $25 million in annualized cost synergies for year-end 2025. BGC continues to pay a quarterly dividend of $0.02 per share.
Revenue and net income presented using U.S. generally accepted accounting principles (GAAP) unless otherwise noted.
