MarketAxess Holdings Inc. (Nasdaq: MKTX) announced its financial results for the third quarter ended September 30, 2026, in a Form 8-K filed on October 23, 2026. The company reported total revenues of $210.4 million, representing a 1% increase compared to the prior year.
Revenue growth was driven primarily by services revenue, which increased by 6% to $30.5 million. Commission revenue remained flat at $179.9 million. Within the credit segment, commission revenue decreased by 2% to $161.2 million, while rates commission revenue increased by 34% to $8.9 million.
Trading activity metrics showed significant growth. Total average daily volume (ADV) increased by 13%, with market share gains in high yield and municipal bonds. The Client-Initiated Channel saw a 21% increase in block trading ADV to $5.4 billion, while the Portfolio Trading Channel saw a 37% increase in ADV to $1.9 billion.
Regarding expenses, total expenses increased by 10% to $136.0 million. However, expenses excluding notable items remained flat at $122.9 million. The company reported diluted earnings per share (EPS) of $1.53 on net income of $54.0 million. Excluding notable items, EPS was $1.86 on net income of $65.7 million.
In other corporate developments, the company announced that its Board of Directors has declared a regular quarterly cash dividend of $0.78 per share of common stock. This dividend is payable on November 25, 2026, to stockholders of record as of the close of business on November 11, 2026.
As of September 30, 2026, the company held $539.6 million in cash and cash equivalents, down from $678.9 million at the end of 2025. The company also had $92.0 million in borrowings outstanding under its credit facility, compared to $220.0 million at the end of 2025.
MarketAxess also disclosed that on July 29, 2026, it entered into an Agreement and Plan of Merger with Intercontinental Exchange, Inc. (ICE). Under the agreement, ICE will merge with and into MarketAxess, with MarketAxess surviving as a wholly owned subsidiary of ICE. At the effective time of the merger, each outstanding share of MarketAxess common stock will be converted into the right to receive $167.00 in cash.
