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DATE

Wednesday, May 6, 2026 at 5 p.m. ET

CALL PARTICIPANTS

  • Chairman and Chief Executive Officer — Thomas Gallagher
  • Chief Financial Officer — Lance Emmons
  • Chief Information Officer — Douglas Shafer Jr.
  • Chief Executive Officer, MiX Futures & Chief Strategy Officer — Shelly Brown
  • Head of Investor Relations — John T. Williams

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TAKEAWAYS

  • Total Net Revenue -- $129 million, representing 40% growth year over year and a new quarterly record.
  • Adjusted EBITDA -- $66 million, an increase of 66% year over year, with margin improving by 800 basis points to 51%.
  • Adjusted Diluted EPS -- $0.42 for the quarter, as reported in the call.
  • Options Segment Performance -- Net revenue of $111 million, up 37% year over year, with average daily volume of 10.9 million contracts, a 27% increase that exceeded industry ADV growth of 17%.
  • Options Market Share -- 17.3% for the quarter, up from 16% prior-year, with 8.1% share on trading floors compared to 6.5% a year ago.
  • Non-Transaction Revenue -- Rose 45% in the options segment, primarily due to increased member connections, fee increases, market data sales, and the expiration of certain Sapphire fee waivers; included $2.7 million of one-time historical market data sales.
  • Equities Segment Revenue -- $7 million, up from $4 million prior-year, driven by improved pricing and net positive capture for the quarter.
  • Futures Segment Revenue -- $5 million, compared to $6 million prior-year, reflecting declines in listings, interest revenues, and net transaction fees.
  • International Segment Revenue -- $6 million, increased substantially from $1 million prior-year, attributed to the Tice acquisition in June 2025.
  • Cash Position -- Ended the quarter with $551 million in cash and cash equivalents, and outstanding debt below $2 million.
  • GAAP Net Income -- $170 million, including a $51 million gain from the MIAXDX sale and a $70 million income tax benefit from the release of a deferred tax valuation allowance.
  • Adjusted Operating Expenses -- $63 million, up from $52 million prior-year, primarily due to planned headcount expansion and higher payroll taxes tied to incentive compensation timing.
  • Full-Year Guidance Reaffirmed -- Adjusted operating expense guidance maintained at $265 million to $275 million, with planned increases in marketing for the Bloomberg futures launch and a new national ad campaign.
  • Share-Based Compensation and CapEx -- Full-year share-based compensation guided to $27 million to $30 million, and capital expenditures to $40 million to $45 million, with Q1 CapEx described as front-loaded.
  • Tax Rate Guidance -- Adjusted effective tax rate for the quarter was 27.2%, with Q2 and full-year expected in the 27%-29% range.
  • Upcoming Product Launch -- Bloomberg equity index futures launch scheduled for May 17, with three contract sizes (B500, Teeny B500, B100) targeting both institutional and retail investors.
  • Sale of MIAXDX/Rithera -- Completed sale of 90% of business to a Robinhood Markets and Susquehanna International Group joint venture, retention of 10% equity stake at cost, and "future distributions flowing through as dividend income."

SUMMARY

Miami International Holdings (MIAX +2.89%) reported record revenue growth driven primarily by its options business, which achieved higher volumes and improved market share. Management emphasized the margin expansion achieved from operating leverage, with adjusted EBITDA margin reaching 51%. The company highlighted the upcoming May 17 launch of its Bloomberg equity futures suite, targeting both institutional and retail customers with differentiated, rules-based index construction. Guidance for full-year operating expenses and tax rates was reaffirmed, reflecting confidence in cost discipline and revenue visibility. The acquisition of Tice significantly elevated international segment revenue, and the MIAXDX sale provided substantial non-recurring gains and future optionality through a retained minority equity stake.

  • The Sapphire trading floor reached a milestone with its first 1 million contract day on April 14.
  • Management indicated that strong industry volatility, growing short-dated options volumes, and an improving IPO pipeline continue to support future ADV and listings growth.
  • The new Bloomberg futures contracts are expected to deliver margin efficiencies for members through clearing at the Options Clearing Corporation, with platform integration supported by liquidity providers and Bloomberg partnership.
  • Cost synergies are expected as operations are further streamlined across Tyson BSX and international businesses following recent acquisitions.
  • Unique product rollout timing was detailed: Absolutely, Tom. We continue to see growth in the Sapphire floor. That is higher-capture business rather than the electronic business, which tends to be lower capture. We are seeing growth there, and we have additional releases coming throughout the year, the first one next month, to enhance functionality, which we believe would draw greater flow to the trading floor. Again, that trading floor is higher capture than the electronic markets.

INDUSTRY GLOSSARY

  • Average Daily Volume (ADV): The average number of contracts, shares, or trades executed per day over a defined time period, used to measure trading activity and market share.
  • Revenue Per Contract (RPC): A measure of average revenue earned by the exchange per contract traded, indicating quality and profitability of order flow.
  • Capture Rate: The realized revenue from trading activity as a percentage of trade volume, distinguishing positive (profitable) from inverted (negative) capture dynamics.
  • Sapphire Trading Floor: Miami International Holdings' hybrid open outcry options trading platform, designed for higher-capture, complex order flow compared to electronic trading channels.
  • B500, Teeny B500, B100: Newly launched retail- and institutional-oriented futures contracts on the Bloomberg equity index, providing different notional exposures for diverse customer segments.

Full Conference Call Transcript

John T. Williams: Thank you, operator. Good afternoon, and thank you for joining us for Miami International Holdings, Inc. First Quarter 2026 Earnings Conference Call. I am John T. Williams, Head of Investor Relations. With us today are Thomas Gallagher, Chairman and Chief Executive Officer, and Lance Emmons, Chief Financial Officer. We will also have Douglas Shafer Jr., Chief Information Officer, and Shelly Brown, Chief Executive Officer of MiX Futures and Chief Strategy Officer of Miami International Holdings, Inc., joining us for the Q&A session following our prepared remarks. Our earnings announcement was released prior to this call, and we published an accompanying slide presentation on our Investor Relations website at ir.myaxglobal.com.

In addition, this call is being webcast, and an archived version will be available there shortly after the conclusion of the call. Our discussion today includes forward-looking statements that are based on the expectations, estimates, and projections regarding the company’s future performance, anticipated events or trends, and other matters that are not historical facts. The forward-looking statements in our discussion are subject to various assumptions, risks, uncertainties, and other factors that are difficult to predict, which could cause actual results to differ materially from those expressed or implied in the forward-looking statements. These statements are not guarantees of future performance and therefore, you should not place undue reliance on them.

We refer you to our earnings press release and filings with the SEC for a more detailed discussion of the risks and uncertainties that could impact the future operating results and financial condition of Miami International Holdings, Inc. We do not intend to update any forward-looking statements made on this conference call to reflect events or circumstances after today, or to reflect new information or the occurrence of unanticipated events except as required by law. During today’s call, we will refer to non-GAAP measures as defined and reconciled in our earnings materials. With that, I will now turn the call over to Tom.

Thomas Gallagher: Thanks, John, and good afternoon, everyone. We appreciate you joining us today. In Q1, we executed well and continued to benefit from industry tailwinds, posting record quarterly revenue in a volatile market environment. That is the story of this quarter, and I want to spend a few minutes walking you through what drove our results before Lance takes you through the financial details. I will first highlight three things I hope every investor takes away from today’s call. First, we continue to execute well and our options business had another strong quarter. We are seeing the benefits of our technology investment show up in sustained year-over-year volume growth and healthy revenue per contract levels.

This continued strong performance is the result of the strong relationships we have built over the last decade. Second, we continue to benefit from powerful secular tailwinds in our core market. Options industry ADV reached 63 million contracts in Q1, up 17% year over year, driven by elevated volatility, broad investor participation, and growing volume in the new short-term expiration single-name stocks. On top of that, when the market gets volatile, industry volumes tend to rise. Third, we are seeing broadening revenue and margin contributions across our business and continue to invest in offerings that will drive the next leg of our growth. Our equities business maintained its positive trajectory and our international segment performed well.

Our futures business is set to expand as we are on track for the May 17 launch of our Bloomberg equity futures. Q1 was defined by elevated volatility across asset classes driven by geopolitical tensions, trade policy uncertainty, and shifting expectations around rates and growth. While most businesses are volatility-averse, for Miami International Holdings, Inc., elevated volatility is good for our business. Sustained geopolitical volatility drives an increased need for risk management tools for virtually all market participants—institutions hedging equity exposure, corporations managing exposure to underlying markets, or retail investors protecting positions. Options are an important tool that can help end users manage risk, and increased hedging demand translates directly into higher contract volumes on our exchanges.

All of these factors contributed to our Q1 performance. First-quarter total net revenue grew 40% year over year to 129 million dollars and adjusted EBITDA margin improved by 800 basis points year over year to 51%. Q1 adjusted diluted EPS was 0.42 dollars. These results reflect the continued strength of our options business, the operating leverage in our model, and the broadening contributions we are seeing across the platform. Taking a broader look at our business segments, our options franchise continued to perform well in Q1, with market share and volumes tracking ahead of levels seen in 2025. Our market share in multi-listed options was 17.3% in the first quarter, up from 16% in the prior-year period.

We continue to see opportunity for share gains over time as we build out new functionality and bring new products to market. Our Sapphire trading floor continues to build momentum, and on April 14, we had our first 1 million contract day. We have also seen improvements in our equities business with improved capture rates during Q1 and line of sight to sustained profitability. Our international segment delivered another strong quarter, and looking ahead, we will continue to streamline operations across Tyson BSX to maximize revenue as well as cost synergies.

In futures, our Onex platform continues to perform well and we are in the final stages of industry testing ahead of the launch of our new Bloomberg equity index futures. We will be launching the first product, a retail-size contract based on the Bloomberg 100 equity index, on the evening of May 17. We are launching with three different contracts designed to serve both institutional and retail participants. The full B500 contract provides large notional exposure for institutions, while the Teeny B500 and B100 contracts are smaller-sized versions of those indexes targeted at retail investors with fees that we expect will be very competitive with existing contracts traded by our peers.

These new futures will clear at the Options Clearing Corporation, giving our members real margin efficiencies as part of their broader equity derivatives activity. The Bloomberg 500 and the Bloomberg 100 indices are built differently than the competing futures and options market benchmarks. Rather than relying on a committee to make decisions about which companies belong in the index, Bloomberg uses a transparent, rules-based algorithmic methodology. Constituents are added and removed based on predetermined criteria, eliminating subjectivity and delays, and newly minted public companies can be added faster than under a committee-driven process.

We think this is a better construction and a meaningful structural advantage as the IPO pipeline improves, and we believe the market will come to appreciate these differences. We have been working closely with liquidity providers on both onboarding and platform integration, and Bloomberg is an active partner in our go-to-market effort. Building a futures market takes time, but we are doing it in the right way. The infrastructure is in place, the participants are engaged, and we are confident in the long-term opportunity this product suite creates for Miami International Holdings, Inc., Bloomberg, and our members. Following our Bloomberg product launch, and given clear customer demand, we intend to bring additional commodity and agricultural products to the market.

I also want to provide a brief update on our sale of MIAXDX, now called Rithera. As previously announced back in January, we completed the sale of 90% of the business to a joint venture established by Robinhood Markets in partnership with Susquehanna International Group. Miami International Holdings, Inc. retains a 10% equity stake in that joint venture, giving us accelerated access to the predictions marketplace without tying up capital or resources. We will carry that stake at cost, with any future distributions flowing through as dividend income. In other words, this is not something investors should be building into their revenue models.

What it represents for Miami International Holdings, Inc. is real long-term optionality—a position in a growing market alongside two strong partners, with upside if the prediction market volumes scale the way we believe they can. We remain focused on what we can control, which is running our business exceptionally well. With positive free cash flow, we are generating cash and ended Q1 with more than 550 million dollars in cash on our balance sheet. Our capital allocation priorities are unchanged: organic growth opportunities, including our futures business, supporting the Bloomberg product launch, and investing in technology and people. Beyond that, we are open to opportunistic acquisitions that fit our strategy and make sense for our business.

We understand that our cash position is a competitive advantage and we intend to deploy it thoughtfully. With that, I will turn it over to Lance to walk through the financial details.

Lance Emmons: Thanks, Tom, and good afternoon. We are pleased with how the quarter came together across the business. Before I get into the numbers, let me briefly remind you of Miami International Holdings, Inc.’s revenue model. We generate revenue from transaction and non-transaction fees. Our key performance drivers for transaction fees include industry trading volumes, market share, and revenue per contract or share, which measures the average revenue we earn per contract or share traded. Also, as a reminder, we provide RPC and capture rates on a three-month rolling average basis on our Investor Relations website.

For non-transaction fees, we generate revenue from access fees, which we charge customers to connect to our exchanges; market data, which we earn through direct subscriptions and through our participation in the U.S. tape plans; and from listings fees, primarily in our international segment. Q1 total net revenue grew 40% year over year to a record 129 million dollars, reflecting strong performance in our options business and growing contributions from our other business segments. Organic net revenue growth, excluding the contribution from Dice, was approximately 35% year over year. Adjusted Q1 operating expenses were 63 million dollars compared to 52 million dollars in the prior-year period.

This increase was primarily due to planned expansion of headcount to support our growth initiatives, and higher employer payroll taxes tied to the timing of incentive compensation payments. Adjusted EBITDA was 66 million dollars, up 66% year over year; adjusted EBITDA margin was 51%, up 800 basis points year over year. This reflects the operating leverage in our model as revenue scales across a largely fixed cost base. GAAP net income of 170 million dollars includes a 51 million dollar gain on the sale of MIAX DX, and a 70 million dollar income tax benefit for the quarter primarily resulting from the release of our valuation allowance on deferred tax assets.

The release is based on 12 quarters of cumulative positive pretax income and our expectations for future profitability. Adjusted earnings grew 51% year over year to 45 million dollars in Q1, compared to 30 million dollars in the prior-year period. Moving to Q1 segment performance, starting with Options. Options segment net revenue was 111 million dollars, up 37% year over year. This represents average daily volume of 10.9 million contracts, a 27% year-over-year increase that outpaced industry ADV of 17%. Non-transaction revenue rose 45%, primarily due to increases in member connections, fee increases, market data sales, and the expiration of certain Sapphire fee waivers.

I will note that Q1 2026 included 2.7 million dollars in ad hoc historical market data sales from a new market data offering. We expect this type of revenue will be episodic in nature and we would not recommend modeling it as a run-rate item. Our options market share for the quarter was 17.3%, up year over year but down slightly on a sequential basis. Market share fluctuates quarter to quarter, and we continue to manage our business for the right mix of volume and economics rather than for a headline share number. With that in mind, we do continue to see opportunities to grow share over time. Underneath the share number, our technology remains differentiated.

Our complex order franchise continues to grow, and the Sapphire floor is performing well. RPC remains strong, reflecting the quality of order flow we are tracking. That includes complex orders and high-touch flow routed through our Sapphire trading floor, which carry higher capture rates. Early market share in the single-name Monday and Wednesday expirations across the nine names has largely tracked in line with our historical share in those classes. We view this as an additive volume driver and support expansion to additional names over time, subject to market demand and regulatory approvals.

Our equities segment net revenue was 7 million dollars, up from 4 million dollars in the prior-year period, primarily due to higher net transaction fees from improved pricing. Equities capture was net positive for the quarter compared to inverted in the year-ago period. Futures segment net revenue was 5 million dollars compared to 6 million dollars in the prior-year period due to lower listings and interest revenues and decreased net transaction fees. Our international segment net revenue was 6 million dollars compared to 1 million dollar in the year-ago period, due to the acquisition of Tice in June 2025.

Following our Tice acquisition, we are beginning to streamline sales and marketing processes across our international operations to better serve global debt issuers and listings clients. Turning to our balance sheet, we ended the quarter with cash and cash equivalents of 551 million dollars and outstanding debt of less than 2 million dollars. Now let us walk through our 2026 guidance. We are reaffirming our full-year 2026 adjusted operating expense guidance of 265 million dollars to 275 million dollars. We note that our expense expectations for the rest of the year include planned increases in marketing costs, including for quarter incentives associated with our Bloomberg index futures products and for a recently launched “Excellence in Every Exchange” nationwide advertising campaign.

We continue to expect full-year share-based compensation expense in a range of 27 million dollars to 30 million dollars. We also continue to expect full-year capital expenditures in a range between 40 million dollars and 45 million dollars. CapEx was a bit front-loaded in Q1; we locked in many equipment purchases ahead of AI-driven price increases. Given that, we are comfortable reiterating our full-year guide. Our Q1 adjusted effective tax rate, which excludes the release of our deferred tax valuation allowance, was 27.2%. Beginning in Q2, we expect our tax rate will be in the 27% to 29% range, consistent with the guidance we provided in February. I will now turn it back over to Tom.

Thomas Gallagher: Thanks, Lance. We are very excited about our recent progress and look forward to another productive year in 2026. We will keep doing the things we said we will do, and leverage the four competitive pillars you have heard me talk about before: our high-performance technology, our broad range of regulatory licenses, our diverse and expanding product range, and our deep customer relationships that now include Bloomberg. These remain real competitive advantages and will help us drive long-term shareholder value. We like what we see ahead. The upcoming launch of our Bloomberg index futures products represents a major milestone, and the growth we are seeing in single-name short-dated expirations is encouraging.

We also see incremental volume opportunities for our exchanges given an improving IPO pipeline and continued growth in structured products that use options as part of their strategies. Before we close, I want to acknowledge the recent sudden passing of our friend and board member Mary Stall, who passed away a few weeks ago. Mary was an exceptional leader who brought insight and integrity to our board, and her positive impact will be felt by our team for years to come. One of the things Mary believed is that there is a real opportunity for a truly global exchange operator.

Thanks to her and the support of our employees, members, and shareholders, we are well on our way towards realizing this vision. We are grateful to each of you for joining us today, and as a reminder, Doug and Shelly are here with Lance and me for Q&A. So let us begin. Operator?

Operator: We will now open the call for questions. To ask a question, you may press star then 1 on your touch-tone phone. To withdraw your question, please press star then 2. At this time, we will pause momentarily to assemble our roster. The first question will be from Patrick Moley from Piper Sandler. Please go ahead.

Patrick Moley: Yes, good afternoon. Thanks for taking the question. Maybe just starting off with one on options market share. The year-over-year growth has been quite impressive, and you mentioned that you were optimistic on the opportunities for further market share gains there. I understand the Bloomberg options would probably be some or part of that, but maybe if you could just walk us through what you think are the biggest opportunities to grow market share and how we should think about some of the puts and takes here throughout the rest of the year?

Thomas Gallagher: Thanks very much, Patrick, for that question. I will start and maybe I will turn to some of my colleagues here. There always are normal shifts in volume and market share quarter to quarter, and, obviously, our team watches it really closely. Our RPC was very strong, and I think it reflected, with regards to Q1, order flow quality and market share gains in areas with higher capture rates. Anecdotally, I did see some shifts in what I would call lower-capture or negative-capture volume, but I consider this the normal quarter-to-quarter migrations from time to time.

At our disposal, we have a range of pricing mechanisms that we can use to grow market share, and what we really do is try and target the right mix of volume and economics rather than look for a headline share number. Maybe I will turn it over to Shelly to talk about some of the ways that we think we can increase that market share that we experienced here in Q1 of 17.3%. Shelly?

Shelly Brown: Thank you, Tom, and thank you, Patrick, for the question. As Tom said, we focus not just on market share but also capture rate, and by changing our market share in terms of less low-capture volume and less negative-capture volume, it is truly a positive from a revenue perspective. But as Tom said, we do have some ability to raise market share by focusing on other lower-quality or lower-capture products, and it is a constant mix between market share and net capture.

Thomas Gallagher: Shelly, in terms of the dials to increase our volumes and our market share, can you just talk quickly about the Sapphire floor and maybe some other releases coming out in 2026?

Shelly Brown: Absolutely, Tom. We continue to see growth in the Sapphire floor. That is higher-capture business rather than the electronic business, which tends to be lower capture. We are seeing growth there, and we have additional releases coming throughout the year, the first one next month, to enhance functionality, which we believe would draw greater flow to the trading floor. Again, that trading floor is higher capture than the electronic markets.

Thomas Gallagher: And Shelly, just quickly to finalize the question from Patrick, give us a sense of what the volumes were on floors in Q4 versus Q1 of this year?

Shelly Brown: Market shares in the trading floors have been ranging from about 6% to 8%. The first quarter this year, it was 8.1% across all the trading floors versus 6.5% in 2025. We are seeing growth in the volume on trading floors, and we are seeing some growth from our trading floor as well. I expect continued growth with the new functionality.

Thomas Gallagher: Great. And I think lastly, Patrick, the secular tailwinds that have been driving ADV in the industry and driving ours, to me, remain intact. Some of the same concerns and issues with global strife, interest rate questions, and a political season are still creating the tailwinds that we had as we ended 2025. Thank you for the question.

Operator: The next question will come from Michael Cyprys from Morgan Stanley. Please go ahead.

Michael Cyprys: Great, thanks so much for taking the question. I was just hoping to dig in a little bit further on the market share. You mentioned scope for new functionality, new products. I was hoping you could elaborate exactly on what that entails, what the timing looks like, and what the sort of benefit and ramp you expect on the back of that? Thank you.

Thomas Gallagher: Yes. I think, Shelly, if you would not mind just following up on that. The things that I am thinking about are the expanded single-name expiration, Shelly, and the IPOs. But do you want to throw a little more color on that for Michael?

Shelly Brown: Absolutely. Michael, thank you for the question. So there are multiple aspects of this, as Tom said. We see continued growth—it is still very early—in the daily weeklies on equities. That has been very positive for the industry and positive for us as well. Our overall market share in those names [inaudible].