OTC Markets Group Inc
OTC:OTCM
OTC Markets Group Inc
OTC Markets Group, Inc. engages in the provision of trading, corporate, and market data services. The company is headquartered in New York City, New York. The company went IPO on 2009-09-16. Through its OTC Link Alternative Trading Systems (ATSs), the Company connects a diverse network of broker-dealers that provide liquidity and execution services. The company enables investors to trade through the broker of their choice and allow companies to improve the information for investors. The company has three business lines: OTC Link, Market Data Licensing and Corporate Services. Its OTC Link LLC operates three ATSs, OTC Link ATS, OTC Link ECN and OTC Link NQB, which provide trading services to a Financial Industry Regulatory Authority, Inc. (FINRA) member broker-dealer subscribers. Market Data Licensing provides investors, traders, institutions and regulators with a suite of enterprise and user market data licenses. Its Corporate Services operates OTCQX and OTCQB that offers disclosure and information services.
OTC Markets Group, Inc. engages in the provision of trading, corporate, and market data services. The company is headquartered in New York City, New York. The company went IPO on 2009-09-16. Through its OTC Link Alternative Trading Systems (ATSs), the Company connects a diverse network of broker-dealers that provide liquidity and execution services. The company enables investors to trade through the broker of their choice and allow companies to improve the information for investors. The company has three business lines: OTC Link, Market Data Licensing and Corporate Services. Its OTC Link LLC operates three ATSs, OTC Link ATS, OTC Link ECN and OTC Link NQB, which provide trading services to a Financial Industry Regulatory Authority, Inc. (FINRA) member broker-dealer subscribers. Market Data Licensing provides investors, traders, institutions and regulators with a suite of enterprise and user market data licenses. Its Corporate Services operates OTCQX and OTCQB that offers disclosure and information services.
Strong Revenue Growth: Gross and net revenues both increased by 15% in Q3, marking the third consecutive quarter of double-digit growth across all business lines.
Segment Highlights: OTC Link revenue surged 23%, Market Data rose 15% (driven by price increases), and Corporate Services grew 12%, with particular strength from the new OTCID Basic Market.
Margin Expansion: Operating profit margin improved to 34.6% from 32.4% last year, and operating income rose 23%.
Earnings & Cash: Diluted EPS was $0.71, up 16%, while operating cash flow and free cash flow more than doubled to $13.3 million.
Dividend Declaration: A special dividend of $1.75 and a regular quarterly dividend of $0.18 per share, both payable in December, were announced.
Strategic Initiatives: Successful launch and rapid uptake of the OTCID Basic Market, and continued momentum in Overnight Trading following regulatory changes in South Korea.
Expense Management: Operating expenses increased 8%, mainly from higher compensation and consulting fees, but were outpaced by revenue growth.
