BGC Group's Q2 2025: Key Contradictions in OTC Acquisition, FMX Launch, and Revenue Growth

OTC Global Holdings acquisition and margin impact, FMX Futures Exchange launch and development status, Futures business growth and market share, Revenue growth and margin trajectory, FCM onboarding and market share are the key contradictions discussed in BGC Group's latest 2025Q2 earnings call.



Revenue Growth and Market Share Expansion:
- BGC Group reported record revenues of $784 million for Q2 2025, marking a 42% increase versus the previous year.
- Excluding OTC revenues, growth was 21%, surpassing last quarter's record revenues. This growth was driven by gaining market share in the ECS and financial markets, with strong performance across all asset classes and geographies.

Fenics Revenue and Platform Growth:
- Total Fenics revenues grew by 19%, with Fenics Growth Platforms increasing by 30%, driven by strong double-digit growth from FMX, portfolio match, and Lucera.
- FMX UST generated record average daily volume of $68 billion, a 45% increase compared to the previous year, and FMX FX nearly doubled its ADV to a record $15.6 billion.

Regional Revenue Growth:
- BGC's revenues saw substantial increases across all regions, with EMEA revenues up 50.3%, Americas revenues up 40.3%, and Asia Pacific revenues up 17.4%.
- This growth was driven by strong performances in energy complex, rates, foreign exchange, and equities across these regions.

Profitability and Cost Reduction:
- BGC's pretax adjusted earnings grew by 38% to a record $173.6 million, with adjusted EBITDA increasing by 31.4% to $213.3 million.
- The implementation of a cost reduction program following a recent acquisition is expected to deliver at least $25 million in annualized savings through expense synergies, enhancing profitability and driving higher margins.