MIAX — Miami International Holdings, Inc.

Summary of MIAX Q4 2025 Earnings Call

1. Key Financial Results and Metrics

• Q4 2025 Performance:

  • Total net revenue increased by 52% year-over-year to $125 million.
  • Adjusted EBITDA more than doubled to $62 million, with an adjusted EBITDA margin of 50% (up 1,400 basis points).
  • Adjusted diluted EPS was $0.52.

• Full Year 2025 Performance:

  • Total net revenue rose by 56% year-over-year to $431 million.
  • Adjusted EBITDA more than doubled to $199 million, with a margin of 46% (up 1,600 basis points).
  • Adjusted diluted EPS was $1.82.

2. Strategic Updates and Business Highlights

• MIAX achieved a record market share in multi-listed options of 18.2% in Q4, up from 15.9% year-over-year, with an average daily volume of 11.1 million contracts (46% increase).
• Completed a secondary public offering of 7.8 million shares in December 2025, enhancing liquidity.
• Sold 90% of MIAX Derivatives Exchange to Robinhood and Susquehanna, retaining a 10% equity stake to access prediction markets.
• Launched the MIAX Sapphire options trading floor, which is performing well and supports the hybrid market structure.
• Plans to introduce retail-sized contracts for Bloomberg Index Futures (B100 and B500) in Q2 2026, focusing on retail market engagement.
• Continued growth in options products, particularly short-term expirations, which are gaining traction among retail and institutional investors.

3. Forward Guidance and Outlook

• 2026 Guidance:
  • Expected adjusted operating expenses between $265 million and $275 million, reflecting a 13% to 18% increase from 2025.
  • Anticipated share-based compensation expense between $27 million and $30 million.
  • CapEx projected between $40 million and $45 million.
  • Effective tax rate on adjusted earnings expected to be between 27% and 29% following the release of deferred tax valuation allowances.

4. Bad News, Challenges, or Points of Concern

• Market share has slightly declined in Q1 2026 compared to Q4 2025, with concerns about maintaining growth momentum.
• The company acknowledged that while 2025 saw significant volume growth, it may not sustain the same level of growth in 2026 due to market dynamics.
• Increased operational expenses due to headcount expansion and technology investments may pressure margins if revenue growth does not meet expectations.
• The competitive landscape remains challenging, particularly with the introduction of new products by peers.

5. Notable Q&A Insights

• Management expressed confidence in continued volatility in 2026, driven by geopolitical issues and domestic policies, which could support options volume growth.
• Discussions on the new Bloomberg derivatives products highlighted a focus on engaging retail investors with competitive pricing strategies.
• There was a cautious approach regarding the introduction of additional trading days for new options, prioritizing expansion of product classes over adding more trading days.
• Management indicated no immediate plans for tokenized equities, focusing instead on core business growth and product launches.

Overall, MIAX demonstrated strong financial performance in 2025, with strategic initiatives aimed at expanding market share and product offerings, while also acknowledging potential challenges in sustaining growth and managing operational costs in the coming year.