Chicago Mercantile Exchange (CME) shares soared last Tuesday after the company reported better-than-expected first quarter earnings, driven in part by clearing revenue from the common clearing link with Chicago Board of Trade (CBoT).
CME first quarter net income jumped 77% to $46.1m, or $1.35 a share, up from $26.1m, or 77 cents per share in Q1 2003. CME shares rose to $121.94 on Tuesday before sliding back to $118.50 on Wednesday.
CME net revenues climbed 32% to a record $166.4m for the first quarter of this year, up from $126m a year earlier.
learing and transaction fees accounted for 74% of its net revenues and totaled $123m in the first quarter, up 20% from $102m a year earlier.
Average daily volume was 2.83m contracts for the first quarter,...