MarketAxess Holdings Inc. Announces Unaudited Consolidated Earnings Results for the Fourth Quarter and Full Year Ended December 31, 2017; Provides Earnings Guidance for 2018
For the year, the company reported total revenues of $397,471,000 against $369,919,000 a year ago. Income before income taxes was $201,768,000 against $191,602,000 a year ago. Net income was $148,089,000 against $126,172,000 a year ago. Diluted net income per common share was $3.89 against $3.34 a year ago. Earnings before interest, taxes, depreciation and amortization were $221,042,000 against $209,440,000 a year ago. Cash flow from operating activities was $168,035,000 against $89,747,000 a year ago. Purchases of furniture, equipment and leasehold improvements were $12,086,000 against $6,385,000 a year ago. Free cash flow was $159,559,000 against $145,439,000 a year ago.
For 2018, the company is providing guidance: Expenses are expected to be in the range of $220.0 million to $232.0 million, including duplicate occupancy costs of approximately $8.0 million for the company's new corporate offices in New York during the build-out phase. Capital expenditures are expected to be in the range of $43.0 million to $50.0 million, including approximately $25 million of buildout costs for the new corporate offices. The company's overall effective tax rate is expected to be between 23.0% to 25.0%, including the estimated impact of the Tax Act and excess tax benefits on share awards that are expected to vest in 2018.