Intercontinental Exchange (ICE), has recently reported a record-breaking consolidated fourth-quarter net revenues—$1.3 billion. This is about 14 percent up against its revenue from last year—2018. ICE, which is the parent company of the Bakkt, a popular new cryptocurrency trading platform made this known recently.
ICE’s Chief Financial Officer (CFO) Scott Hill revealed these numbers via a recent conference call. A trading and clearing net revenue of $657 million was reported. For data and listings revenues a total of $651 million was reported. $553 million was reported for adjusted operating expenses.
Speaking on how the company plans to spend its massive cash pile, Hill said the company will continue to support key strategic initiatives, including “fixed income, mortgages and along with our partners, the launch of Bakkt.”
“Our investment in Bakkt will generate $20 million to $25 million of expense based upon the run rate in the first quarter. We will update you on progress at Bakkt and the level of investment as we move through the year. We delivered another record year in 2018, and we have momentum entering 2019.” Hill explained.
Bakkt and the Intercontinental Exchange (ICE) Group
Speaking on the significance of Bakkt to the ICE group, CEO Jeff Sprecher, Bakkt made it clear that the project is a unique structure for the group.
Sprecher further stated that:
“So right now, ICE is the majority investor in the company, I expect that we’ll do other rounds of financing. We’ll make a decision as it goes forward whether we stay majority or allow it to spin three of us.” “We believe that what ICE has, if you step back and look at us, is we have, obviously, trading clearing. We have settlement capabilities, warehouse and custody management capabilities, large treasury operations, banking connectivity and a global infrastructure that is in many, many jurisdictions, regulatory distinctions around the world with a massive cyber overlay.”