Miami International Holdings (MIAX) Q4 2025 earnings review
Record Options Volumes Drive Massive Margin Expansion
MIAX finished its IPO year with exceptional financial results, driven by an Accelerating options segment that hit a record 18.2% market share. Net revenue surged 52% YoY to $124.5 million, but the real story is the operating leverage: Adjusted EBITDA more than doubled to $62.2 million, pushing margins to 50%. While the Equities segment approached breakeven, the Futures business remains a glaring laggard, posting negative revenue growth and wider operating losses. With $433.6 million in cash and minimal debt, MIAX is well-capitalized to pursue its 2026 growth initiatives.
🐂 Bull Case
MIAX's technology investments are scaling beautifully. Net revenue grew 52% YoY while total operating expenses grew just 10%, causing Adjusted EBITDA margins to expand from 36% in 24Q4 to 50% in 25Q4.
The core Options segment continues to steal share from incumbents, reaching 18.2% in Q4 (up from 15.9% a year ago). Average daily volume (ADV) jumped 46.5% YoY to 11.1 million contracts.
🐻 Bear Case
The Futures segment is Reversing, with Q4 net revenue falling 14% YoY to $4.8M and operating losses widening to $14.2M. Participant migrations to the new Onyx platform and low commodity volatility are dragging down overall performance.
Options account for 86% of total net revenues. If industry-wide retail trading volumes or market volatility drop, MIAX's primary growth engine will stall.
⚖️ Verdict: 🟢
Bullish. The core options business is printing cash and capturing market share at an impressive rate. The operating leverage demonstrated this quarter proves the viability of MIAX's technology-first exchange model, easily offsetting the temporary weakness in the Futures segment.
Key Themes
Options Market Share Accelerating
MIAX's core Options business is firing on all cylinders. Q4 Options net revenue grew 46% to $106.9 million. The company's market share climbed sequentially from 17.2% in 25Q3 to 18.2% in 25Q4, driven by the full-year impact of the MIAX Sapphire electronic exchange and higher revenue per contract (RPC) of $0.106. The technology stack is successfully attracting market makers and capturing surging industry volumes.
Equities Segment Reversing to Profitability
The Equities segment achieved a major milestone, approaching operating breakeven in Q4 (vs a $6.3M loss in 24Q4). Net revenue surged 245% to $6.4 million, and Adjusted EBITDA flipped positive to $1.6 million. This turnaround was driven by higher net transaction fees from improved pricing, with equities capture becoming net neutral compared to historically inverted rates.
Futures Segment Remains a Laggard
Futures is the only business line Decelerating. Q4 net revenue fell 14% YoY to $4.8 million. Management cited lower listings fees and decreased transaction volumes caused by timing issues with participant migrations to the MIAX Futures Onyx platform. Operating losses for the segment worsened to $14.2 million from $11.0 million a year ago, driven by lower revenue and increased compensation costs.
Strategic Divestiture of MIAXdx
In a surprising but strategic move, MIAX completed the sale of 90% of MIAXdx in January 2026 to a joint venture established by Robinhood and Susquehanna International Group (SIG). MIAX retains a 10% equity stake in the entity, now renamed Rothera Exchange and Clearing LLC. This removes a capital-intensive project from MIAX's balance sheet while allowing them to retain upside through industry heavyweights.
International Expansion Paying Off
The June 2025 acquisition of The International Stock Exchange (TISE) is proving highly accretive. The International segment's net revenue jumped to $6.0 million in Q4 (from $0.9 million a year ago), generating $0.9 million in operating income. This diversification strategy is establishing a solid foothold in European and UK listing markets.
Other KPIs
MIAX exits 2025 with a fortress balance sheet following its IPO. Cash and cash equivalents stand at $433.6 million, up from $150.3 million at the end of 2024. Total debt has been aggressively paid down to just $1.5 million, eliminating significant interest expenses and providing immense flexibility for future M&A or capital returns.
Operating expenses grew 10% YoY, a highly Stable trajectory relative to the 52% surge in net revenues. The increase was primarily allocated toward planned investments in technology headcount to support the Sapphire exchange and the Futures Onyx platform, resulting in massive margin expansion.
Guidance
Stable. Excludes share-based compensation, D&A, and litigation. This suggests management expects to maintain their tight grip on core expense growth while scaling revenues, which should support continued high EBITDA margins.
Decelerating. This is a significant drop from the $57.6 million recorded in FY25 (which included heavy IPO-related vesting), indicating that the 'lumpy' comp expenses have largely cleared the system, providing a cleaner earnings profile going forward.
Stable. This includes the capitalization of internally developed software, reflecting ongoing investments in the core proprietary technology stack that acts as MIAX's primary competitive moat.
Key Questions
Futures Recovery Timeline
With the Onyx platform participant migrations cited as a headwind in Q4, when do you expect the Futures segment to return to sequential and YoY revenue growth, and when will operating losses peak?
Capital Allocation Strategy
Sitting on $433 million in cash with virtually no debt, what is the priority for capital deployment in 2026? Are you targeting further international M&A, or is the board considering dividends/buybacks?
MIAXdx Divestiture Economics
Can you provide more color on the financial impact of selling 90% of MIAXdx to Robinhood and SIG? How much ongoing capital expenditure does this save MIAX annually?