Segment Reporting

9 Months Ended

Sep. 30, 2020

Segment Reporting [Abstract]

Segment Reporting

Segment ReportingWe operate two reportable business segments: our Trading and Clearing segment and our Data and Listings segment. This presentation is reflective of how our chief operating decision maker reviews and operates our business. Our Trading and Clearing segment comprises our transaction-based execution and clearing businesses as well as our mortgage technology business. Our Data and Listings segment comprises our data services and our securities listings businesses, which are both largely subscription-based. 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 two segments do not engage in intersegment transactions.

Financial data for our business segments is as follows for the nine and three months ended September 30, 2020 and 2019 (in millions):

	Nine Months Ended September 30, 2020						Nine Months Ended September 30, 2019
	Trading and Clearing Segment		Data and Listings Segment		Consolidated		Trading and Clearing Segment		Data and Listings Segment		Consolidated
Revenues:
Energy futures and options contracts	$	858	$	—	$	858	$	749	$	—	$	749
Agricultural and metals futures and options contracts	197		—		197		194		—		194
Financial futures and options contracts	275		—		275		252		—		252
Cash equities and equity options	1,934		—		1,934		1,201		—		1,201
Fixed income and credit	424		—		424		268		—		268
OTC and other transactions	38		—		38		34		—		34
Pricing and analytics	—		845		845		—		809		809
Exchange data and feeds	—		552		552		—		528		528
Desktops and connectivity	—		330		330		—		315		315
Listings	—		334		334		—		336		336
Other revenues	224		—		224		194		—		194
Revenues	3,950		2,061		6,011		2,892		1,988		4,880
Transaction-based expenses	1,646		—		1,646		976		—		976
Revenues, less transaction-based expenses	2,304		2,061		4,365		1,916		1,988		3,904
Operating expenses	998		1,114		2,112		732		1,121		1,853
Operating income	$	1,306	$	947	$	2,253	$	1,184	$	867	$	2,051

	Three Months Ended September 30, 2020						Three Months Ended September 30, 2019
	Trading and Clearing Segment		Data and Listings Segment		Consolidated		Trading and Clearing Segment		Data and Listings Segment		Consolidated
Revenues:
Energy futures and options contracts	$	229	$	—	$	229	$	265	$	—	$	265
Agricultural and metals futures and options contracts	54		—		54		60		—		60
Financial futures and options contracts	76		—		76		91		—		91
Cash equities and equity options	593		—		593		401		—		401
Fixed income and credit	191		—		191		101		—		101
OTC and other transactions	12		—		12		11		—		11
Pricing and analytics	—		287		287		—		273		273
Exchange data and feeds	—		189		189		—		172		172
Desktops and connectivity	—		113		113		—		108		108
Listings	—		111		111		—		114		114
Other revenues	75		—		75		67		—		67
Revenues	1,230		700		1,930		996		667		1,663
Transaction-based expenses	519		—		519		327		—		327
Revenues, less transaction-based expenses	711		700		1,411		669		667		1,336
Operating expenses	406		378		784		255		375		630
Operating income	$	305	$	322	$	627	$	414	$	292	$	706

Revenue from one clearing member of the Trading and Clearing segment comprised $276 million, or 12%, and $76 million, or 11%, of our Trading and Clearing revenues, less transaction-based expenses, for the nine and three months ended September 30, 2020, respectively. Revenue from one clearing member of the Trading and Clearing segment comprised $286 million, or 15% and $92 million, or 14% of our Trading and Clearing revenues, less transaction-based expenses for the nine and three months ended September 30, 2019, respectively. 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 for the nine and three months ended September 30, 2020 and 2019.