MarketAxess Holdings, Inc. (NASDAQ:MKTX) Q3 2023 Earnings Conference Call October 25, 2023 10:00 AM ET

Company Participants

Stephen Davidson - Head of Investor Relations

Chris Concannon - Chief Executive Officer

Richard Schiffman - Global Head of Trading Solutions

Christopher Gerosa - Chief Financial Officer

Conference Call Participants

Christopher Allen - Citigroup

Patrick Moley - Piper Sandler

Alex Kramm - UBS

Benjamin Budish - Barclays Capital

Daniel Fannon - Jefferies

Brian Bedell - Deutsche Bank

Simon Clinch - Redburn Atlantic

Kyle Voigt - KBW

Michael Cyprys - Morgan Stanley

Alexander Blostein - Goldman Sachs

Patrick O'Shaughnessy - Raymond James

Operator

Ladies and gentlemen, thank you for standing by. Welcome to the MarketAxess Third Quarter 2023 Earnings Conference Call. At this time, all participants are in a listen-only mode. Later we will conduct the question-and-answer session. [Operator Instructions]. As a reminder, this conference call is being recorded on October 25, 2023.

I would now like to turn the call over to Steve Davidson, Head of Investor Relations at MarketAxess. Please go ahead, sir.

Stephen Davidson

Thank you, Christa. Good morning, and welcome to the MarketAxess third quarter 2023 earnings conference call. For the call, Chris Concannon, Chief Executive Officer, will provide you with a strategic update on the company. Rick Schiffman, Global Head of Trading Solutions, will update you on how we executed this quarter and then Chris Gerosa, Chief Financial Officer, will walk you through the financial results for the quarter.

Before I turn the call over to Chris Concannon, let me remind you that today's call may include forward-looking statements. These statements represent the company's beliefs regarding future events that by their nature are uncertain. The company's actual results and financial condition may differ materially from what is indicated in those forward-looking statements.

For a discussion of some of the risks and factors that could affect the company's future results, please see the description of risk factors in our annual report on Form 10-K for the year ended December 31, 2022. I would also direct you to read the forward-looking statements disclaimer in our quarterly earnings release, which was issued earlier this morning and is now available on our website. Now let me turn the call over to Chris Concannon.

Chris Concannon

Good morning. I'm very pleased to update you on the significant progress we made in the third quarter to enhance our franchise and drive long-term growth. First, in terms of the quarter, we generated revenue of $172 million, earnings per share was $1.46 on net income of $55 million. Our quarterly results were impacted by unusually low levels of credit spread volatility during the seasonally slower summer period. But we are seeing some early positive signs of higher volatility in October. We are not happy with our growth rates in U.S. credit, but we believe we are taking the right steps to improve our growth rates in our business in the years ahead.