v3.23.2
Segment Reporting
 6 Months Ended
Jun. 30, 2023
Segment Reporting [Abstract]  
Segment Reporting Segment Reporting
Our business is conducted through three reportable business segments:
•Exchanges: We operate regulated marketplaces for the listing, trading and clearing of a broad array of derivatives contracts and financial securities;
•Fixed Income and Data Services: We provide fixed income pricing, reference data, indices, analytics and execution services as well as global CDS clearing and multi-asset class data delivery solutions; and
•Mortgage Technology: We provide a technology platform that offers customers comprehensive, digital workflow tools that aim to address the inefficiencies that exist in the U.S. residential mortgage market, from application through closing and the secondary market.
While revenues are recorded specifically in the segment in which they are earned or to which they relate, a significant portion of our operating expenses are not solely related to a specific segment because the expenses serve functions that are necessary for the operation of more than one segment. We directly allocate expenses when reasonably possible to do so. Otherwise, we use a pro-rata revenue approach as the allocation method for the expenses that do not relate solely to one segment and serve functions that are necessary for the operation of all segments.
Our chief operating decision maker does not review total assets or statements of income below operating income by segments; therefore, such information is not presented below. Our three segments do not engage in intersegment transactions.
Beginning in the first quarter of 2023, closing solutions revenues within our Mortgage Technology segment now include membership dues that were previously included in other revenues. We believe this is a more accurate reflection of the nature of these revenues. The impact of this change was not material, and the prior year periods have been adjusted for comparability.
Financial data for our business segments is as follows for the six months and three months ended June 30, 2023 and 2022 (in millions):
Six Months Ended June 30, 2023
ExchangesFixed Income and Data ServicesMortgage Technology Consolidated
Revenues:
Energy futures and options$700 $— $— $700 
Agricultural and metals futures and options147 — — 147 
Financial futures and options232 — — 232 
Cash equities and equity options1,215 — — 1,215 
OTC and other 205 — — 205 
Data and connectivity services463 — — 463 
Listings252 — — 252 
Fixed income execution— 60 — 60 
CDS clearing— 185 — 185 
Fixed income data and analytics— 553 — 553 
Other data and network services— 311 — 311 
Origination technology— — 337 337 
Closing solutions— — 87 87 
Data and analytics— — 45 45 
Other— — 16 16 
Revenues3,214 1,109 485 4,808 
Transaction-based expenses1,024 — — 1,024 
Revenues, less transaction-based expenses2,190 1,109 485 3,784 
Operating expenses631 699 530 1,860 
Operating income/(loss)$1,559 $410 $(45)$1,924 

Three Months Ended June 30, 2023
ExchangesFixed Income and Data ServicesMortgage Technology Consolidated
Revenues:
Energy futures and options$355 $— $— $355 
Agricultural and metals futures and options77 — — 77 
Financial futures and options104 — — 104 
Cash equities and equity options544 — — 544 
OTC and other 104 — — 104 
Data and connectivity services231 — — 231 
Listings126 — — 126 
Fixed income execution— 28 — 28 
CDS clearing— 84 — 84 
Fixed income data and analytics— 277 — 277 
Other data and network services— 157 — 157 
Origination technology— — 170 170 
Closing solutions— — 47 47 
Data and analytics— — 24 24 
Other— — 8 8 
Revenues1,541 546 249 2,336 
Transaction-based expenses448 — — 448 
Revenues, less transaction-based expenses1,093 546 249 1,888 
Operating expenses311 356 266 933 
Operating income/(loss)$782 $190 $(17)$955 
Six Months Ended June 30, 2022
ExchangesFixed Income and Data ServicesMortgage Technology Consolidated
Revenues:
Energy futures and options$618 $— $— $618 
Agricultural and metals futures and options122 — — 122 
Financial futures and options253 — — 253 
Cash equities and equity options1,357 — — 1,357 
OTC and other 205 — — 205 
Data and connectivity services432 — — 432 
Listings260 — — 260 
Fixed income execution— 40 — 40 
CDS clearing— 138 — 138 
Fixed income data and analytics— 551 — 551 
Other data and network services— 292 — 292 
Origination technology— — 399 399 
Closing solutions— — 138 138 
Data and analytics— — 44 44 
Other— — 23 23 
Revenues3,247 1,021 604 4,872 
Transaction-based expenses1,159 — — 1,159 
Revenues, less transaction-based expenses2,088 1,021 604 3,713 
Operating expenses603 692 557 1,852 
Operating income$1,485 $329 $47 $1,861 

Three Months Ended June 30, 2022
ExchangesFixed Income and Data ServicesMortgage Technology Consolidated
Revenues:
Energy futures and options$265 $— $— $265 
Agricultural and metals futures and options61 — — 61 
Financial futures and options123 — — 123 
Cash equities and equity options698 — — 698 
OTC and other 108 — — 108 
Data and connectivity services218 — — 218 
Listings131 — — 131 
Fixed income execution— 25 — 25 
CDS clearing— 66 — 66 
Fixed income data and analytics— 274 — 274 
Other data and network services— 147 — 147 
Origination technology— — 196 196 
Closing solutions— — 66 66 
Data and analytics— — 24 24 
Other— — 11 11 
Revenues1,604 512 297 2,413 
Transaction-based expenses599 — — 599 
Revenues, less transaction-based expenses1,005 512 297 1,814 
Operating expenses304 338 303 945 
Operating income/(loss)$701 $174 $(6)$869 

Revenue from one member of the Exchanges segment comprised $254 million, or 12%, and $130 million, or 12%, of our Exchange revenues, less transaction-based expenses for the six months and three months ended June 30, 2023, respectively. Revenue from one member of the Exchanges segment comprised $213 million, or 10%, of our Exchange
revenues, less transaction-based expenses for the six months ended June 30, 2022 and no customers or clearing members accounted for more than 10% of our Exchange revenues, less transaction-based expenses during the three months ended June 30, 2022. Clearing members are primarily intermediaries and represent a broad range of principal trading firms. If a clearing member ceased its operations, we believe that the trading firms would continue to conduct transactions and would clear those transactions through another clearing member firm. No additional customers or clearing members accounted for more than 10% of our segment revenues or consolidated revenues during the six months or three months ended June 30, 2023 or 2022.