MKTX FY 2010 Earnings Report — MarketAxess Holdings Inc. Revenue & Financial Results | Market Cap Arena

MarketAxess Holdings Inc.MKTX

FY 2010 Earnings

Reported February 24, 2011

Quarter Comparison

Revenue

Operating Income

Gross Margin

Net Margin

EPS (Diluted)

Free Cash Flow

Metric	FY 2010	Prior Q	FY 2009	QoQ Change	YoY Change
Revenue	$146M	—	$114M	—	27.8%
Op. Income	$51M	—	$30M	—	69.4%
Gross Margin	95.7%	—	94.1%	—	1.6pp
Net Margin	21.5%	—	14.1%	—	7.4pp
EPS (Diluted)	$0.80	—	$0.42	—	90.5%
Free Cash Flow	$57M	—	$37M	—	56.1%

Revenue Flow

Item	Amount
REVENUE	$146M
Cost of Revenue	$6M
GROSS PROFIT	$140M
R&D Expenses	$0
Selling & Marketing	$0
General & Administrative	$0
SG&A Expenses	$0
Other Expenses	$89M
Operating Expenses	$89M
Cost & Expenses	$95M
OPERATING INCOME	$51M
Interest Income	$1M
Interest Expense	$0
Other Income/Expenses	$0
INCOME BEFORE TAX	$51M
Income Tax Expense	$19M
Net Income from Continuing Ops	$31M
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$31M
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$28M
D&A	$6M
EBIT	$51M
EBITDA	$57M
EPS	$1
EPS Diluted	$1

Income Statement

Item	Amount
REVENUE	$146M
Cost of Revenue	$6M
GROSS PROFIT	$140M
R&D Expenses	$0
Selling & Marketing	$0
General & Administrative	$0
SG&A Expenses	$0
Other Expenses	$89M
Operating Expenses	$89M
Cost & Expenses	$95M
OPERATING INCOME	$51M
Interest Income	$1M
Interest Expense	$0
Other Income/Expenses	$0
INCOME BEFORE TAX	$51M
Income Tax Expense	$19M
Net Income from Continuing Ops	$31M
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$31M
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$28M
D&A	$6M
EBIT	$51M
EBITDA	$57M
EPS	$1
EPS Diluted	$1

Cash Flow Statement

Item	Amount
Net Income	$31M
Depreciation & Amortization	$6M
Stock-Based Compensation	$9M
Deferred Income Tax	$16M
Other Non-Cash Items	$191.0K
Change in Working Capital	$1M
OPERATING CASH FLOW	$64M
Capital Expenditure	-$7M
Acquisitions (Net)	-$2M
Purchases of Investments	-$66M
Sales/Maturities of Investments	$65M
Other Investing Activities	$2M
NET CASH FROM INVESTING	-$8M
Net Debt Issuance	$0
Common Stock Repurchased	-$30M
Common Dividends Paid	-$11M
Other Financing Activities	$7M
NET CASH FROM FINANCING	-$34M
FREE CASH FLOW	$57M
Net Change in Cash	$22M

Balance Sheet

Item	Amount
Cash & Equivalents	$125M
Short-Term Investments	$5M
Net Receivables	$26M
Inventory	$0
Other Current Assets	$0
TOTAL CURRENT ASSETS	$228M
PP&E (Net)	$9M
Goodwill	$32M
Intangible Assets	$7M
Long-Term Investments	$0
Tax Assets	$20M
Other Non-Current Assets	$3M
TOTAL NON-CURRENT ASSETS	$71M
TOTAL ASSETS	$300M
Account Payables	$0
Short-Term Debt	$0
Deferred Revenue	$5M
Other Current Liabilities	$0
TOTAL CURRENT LIABILITIES	$35M
Long-Term Debt	$0
Deferred Revenue NC	$0
Deferred Tax Liabilities	$0
Other Non-Current Liabilities	$30M
TOTAL NON-CURRENT LIABILITIES	$30M
TOTAL LIABILITIES	$65M
Common Stock	$117.0K
Additional Paid-In Capital	$341M
Retained Earnings	-$35M
Treasury Stock	-$70M
Accum. Other Comp. Income	-$2M
Other Equity	$0
TOTAL STOCKHOLDERS' EQUITY	$234M
Minority Interest	$0
TOTAL EQUITY	$234M
TOTAL LIABILITIES & EQUITY	$300M
Total Debt	$0
Net Debt	-$125M