BGC’s Revenue Jumps 30% on Strong Markets and OTC Acquisition

BGC Group closed 2025 with strong revenues,
as heightened activity across asset classes and the integration of OTC Global
Holdings lifted both quarterly and annual results.

The group reported fourth-quarter revenues of $756.4
million, up 32.2 percent from $572.3 million a year earlier.
Full-year revenues rose 30 percent to $2.94 billion from $2.26 billion in 2024.

Record Q4 and Full-Year Performance

GAAP income from operations before income taxes fell 8
percent in the quarter to $25 million, reflecting $54.8 million of charges linked to a cost reduction program, with $28.1 million of
that impact in cash.

GAAP net income for fully diluted shares declined to $13.9 million from $24.2 million, while GAAP fully diluted
earnings per share came in at $0.03 versus $0.05 a year earlier.

Related: BGC Takes U.S. Dollar Swaps Fully Electronic with New Trading Platform

On a non-GAAP basis, pre-tax Adjusted Earnings
increased 24.5 percent to $161.3 million, with a pre-tax margin of 21.3
percent. Post-tax Adjusted Earnings rose 21.1 percent to $149.6 million,
or $0.31 per share, up 24 percent from $0.25 a year earlier.

Adjusted EBITDA was $190.6 million, down 0.8
percent due to restructuring-related charges. For the full year 2025, GAAP net
income for fully diluted shares rose 22.6 percent to $148.7 million,
while post-tax Adjusted Earnings reached $587.5 million, up 20.4 percent
from 488 million dollars in 2024.

OTC Acquisition and Fenics Drive Growth

Total brokerage revenues increased 34.6 percent in Q4
to $694.6 million, supported by gains across major product lines.
Energy, Commodities, and Shipping revenues grew 92 percent to $257.5 million, driven by the OTC acquisition and organic growth; excluding OTC, ECS
still rose 10 percent year-over-year.

Last month BGC Group announced that its subsidiary, BGC Brokers, had obtained authorization from the UK Financial Conduct Authority to operate as a registered benchmark administrator under the UK Benchmarks Regulation.

The approval enables BGC to administer swaps pricing benchmarks covering EUR and GBP interest rate swaps, cross-currency swaps, and both EU and UK inflation swaps, with reference pages for these products now accessible on Bloomberg and LSEG platforms.

Additionally, the group acquired Macro Hive, a global provider of macro market analytics and strategy, in a move that strengthened its presence in the rates and FX markets. The deal also advanced BGC’s efforts to integrate AI technology into its brokerage platform, enhancing its data-driven trading and analysis capabilities.

This article was written by Jared Kirui at www.financemagnates.com.

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