BGC Group's third-quarter net income more than doubled, the New York-based interdealer broker said today (Thursday). Record revenue and a one-off gain from selling two prediction-market units to Fanatics both lifted the result.
Net income for fully diluted shares rose to $68.7 million from $26.8 million a year earlier, including a $35.0 million gain on the sale of Water Street Labs and CX Clearinghouse to Fanatics.
Revenues climbed 13.0% to $832.6 million in the three months to September 30, which the company called a third-quarter record.
Currency trading was among the faster-growing lines. Foreign exchange brokerage revenue rose 13.9% to $121.5 million, and average daily volume on FMX FX, BGC's electronic currency venue, jumped 43% to $18.7 billion, according to the company.
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Smallest Venue, Fastest Growth
Set against the institutional FX platforms that publish monthly volumes, FMX FX is still the smallest, but it grew the fastest in the quarter.
Cboe FX averaged $56.8 billion a day in July to September, up 21.4% from a year earlier, by FinanceMagnates.com's calculation from the venue's data.
Euronext FX averaged $30.3 billion, up 26.1%, and 360T handled $40.1 billion a day, figures that FinanceMagnates.com tracks in its monthly volume reports.
FMX FX's 43% growth was about twice Cboe FX's pace, though its volume was about a third of Cboe's. BGC said spot FX and non-deliverable forwards drove the gain. FM Intelligence's Ask FMIQ answers questions on trading volumes and market data.
BGC tied the wider FX revenue increase to emerging markets, G10 forwards and its Macro Hive business. Co-Chief Executive Officer John Abularrage pointed to BGC's technology bets, "from our first fully AI-brokered institutional trade to our prediction markets partnership with Fanatics."
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Treasury Futures Drive FMX
FMX, the venue BGC built with backing from a group of global banks, raised revenue by more than 35% to $30.5 million.
Its US Treasury cash platform averaged $83.0 billion a day, up 40%, and its share of the central limit order book market rose to 42% from 37%, the company said, citing Coalition Greenwich data.
The FMX Futures Exchange, which won Commodity Futures Trading Commission (CFTC) approval for Treasury and SOFR futures, averaged more than 80,000 contracts a day, nearly seven times the level a year earlier.
September averaged 112,000 contracts a day after FMX listed the full Treasury futures curve in August.
Fenics, the electronic business that houses FMX, grew revenue 13.3% to $181.3 million. Its growth platforms, which include FMX, rose 39.8% to $36.2 million, faster than the 22.9% they posted in the second quarter.
| Q3 ($ million, except EPS) | 2026 | 2025 | Change |
|---|---|---|---|
| Total revenues | 832.6 | 736.8 | +13.0% |
| Foreign exchange revenues | 121.5 | 106.7 | +13.9% |
| ECS revenues | 287.1 | 241.6 | +18.8% |
| Fenics revenues | 181.3 | 160.0 | +13.3% |
| GAAP net income (fully diluted) | 68.7 | 26.8 | +156.7% |
| Pre-tax adjusted earnings | 187.5 | 155.1 | +20.9% |
| Post-tax adjusted EPS ($) | 0.34 | 0.29 | +17.2% |
Energy Desk Stays the Largest
Energy, commodities and shipping, the unit expanded by the purchase of OTC Global Holdings, remained BGC's biggest line. Its revenue rose 18.8% to $287.1 million, about a third of total revenue.
Interest-rate products brought in $219.6 million, up 12.4%, and equities $77.3 million, up 28.0%. Credit was the only brokerage line to shrink, slipping 2.5% to $67.4 million on lower emerging-market and European volumes.
BGC excludes the Fanatics gain, from a deal agreed in July, from adjusted earnings, which rose 20.9% before tax to $187.5 million.
Total GAAP expenses grew 11.0% to $783.5 million. They included a $22.6 million non-cash impairment of long-lived assets and $9.9 million of charges under a cost-reduction program.
Aubin to Step Back at Year-End
JP Aubin will become vice chairman and step down as co-chief executive at the end of the year, BGC said earlier this week. He is one of the three co-CEOs who took over from Howard Lutnick in February 2025, leaving Abularrage and Sean Windeatt as co-CEOs.
For the fourth quarter, BGC forecast revenue of $805 million to $865 million, against $756.4 million a year earlier, and pre-tax adjusted earnings of $178 million to $196 million. Liquidity stood at $917.3 million at September 30.
The board declared a quarterly dividend of $0.02 per share, payable on December 9 to shareholders of record on November 25.
