Quarterly Operating Revenues of $818.2 million, up 16%   Quarterly Net Income of $53.1 million, ROE of 14.0% Quarterly Diluted EPS of $1.63 per share, up 25% NEW YORK, May 08, 2024 (GLOBE NEWSWIRE) -- StoneX Group Inc. ((the "Company", NASDAQ:SNEX), a global financial services network that connects companies, organizations, traders and investors to the global market ecosystem through a unique blend of digital platforms, end-to-end clearing and execution services, high touch service and deep expertise, today announced its financial results for the fiscal year 2024 second quarter ended March 31, 2024. Sean M. O'Connor, the Company's CEO, stated, "We are reporting solid results for our second fiscal quarter due in large part to the diversification of both our product offering and client base, with net income of $53.1 million, up 27% versus the prior year quarter, and diluted EPS of $1.63, representing a 14.0% return on equity for the quarter and 17.4% for the trailing twelve months. These results included $9.1 million in unrealized losses, or approximately $0.20 per share, on derivative positions held against precious metals inventories carried at cost, which are short term in nature and will be reversed in subsequent quarters when these inventories are sold. We are well-positioned to continue to deliver superior returns to our shareholders in the future." StoneX Group Inc. Summary Financials Consolidated financial statements for the Company will be included in our Quarterly Report on Form 10-Q to be filed with the Securities and Exchange Commission (the "SEC"). Upon filing, the Quarterly Report on Form 10-Q will also be made available on the Company's website at www.stonex.com.   Three Months Ended March 31,   Six Months Ended March 31, (Unaudited) (in millions, except share and per share amounts)   2024       2023     %Change     2024       2023     %Change Revenues:                       Sales of physical commodities $ 21,321.9     $ 15,506.2       38 %   $ 40,142.8     $ 27,909.6       44 % Principal gains, net   281.8       256.6       10 %     575.6       510.8       13 % Commission and clearing fees   136.2       130.7       4 %     265.9       248.7       7 % Consulting, management, and account fees   40.2       40.7       (1 )%     78.7       80.5       (2 )% Interest income   326.0       226.8       44 %     616.1       423.0       46 % Total revenues   22,106.1       16,161.0       37 %     41,679.1       29,172.6       43 % Cost of sales of physical commodities   21,287.9       15,456.6       38 %     40,076.7       27,813.4       44 % Operating revenues   818.2       704.4       16 %     1,602.4       1,359.2       18 % Transaction-based clearing expenses   78.5       69.2       13 %     152.8       136.5       12 % Introducing broker commissions   42.0       42.2       — %     81.1       79.0       3 % Interest expense   259.2       178.7       45 %     495.2       333.0       49 % Interest expense on corporate funding   16.2       14.9       9 %     29.4       29.3       — % Net operating revenues   422.3       399.4       6 %     843.9       781.4       8 % Compensation and other expenses:                       Variable compensation and benefits   123.7       121.8       2 %     245.6       240.3       2 % Fixed compensation and benefits   110.7       110.7       — %     206.9       191.2       8 % Trading systems and market information   19.4       17.8       9 %     38.1       35.5       7 % Professional fees   19.3       11.3       71 %     35.0       27.2       29 % Non-trading technology and support   18.0       16.2       11 %     34.9       31.0       13 % Occupancy and equipment rental   13.6       10.6       28 %     21.3       19.5       9 % Selling and marketing   15.6       14.2       10 %     27.3       27.1       1 % Travel and business development   7.1       5.8       22 %     14.2       11.5       23 % Communications   2.3       2.1       10 %     4.5       4.3       5 % Depreciation and amortization   12.3       13.1       (6 )%     23.5       25.8       (9 )% Bad debts (recoveries), net   (0.4 )     3.0     n/m     (0.7 )     3.7     n/m Other   15.3       15.3       — %     32.2       34.7       (7 )% Total compensation and other expenses   356.9       341.9       4 %     682.8       651.8       5 % Gain on acquisition and other gain   6.9       —     n/m     6.9       23.5       (71 )% Income before tax   72.3       57.5       26 %     168.0       153.1       10 % Income tax expense   19.2       15.8       22 %     45.8       34.8       32 % Net income $ 53.1     $ 41.7       27 %   $ 122.2     $ 118.3       3 % Earnings per share:(1)                       Basic $ 1.68     $ 1.35       24 %   $ 3.88     $ 3.85       1 % Diluted $ 1.63     $ 1.30       25 %   $ 3.76     $ 3.71       1 % Weighted-average number of common shares outstanding:(1)                       Basic   30,473,856       29,895,041       2 %     30,352,824       29,775,078       2 % Diluted   31,498,943       30,931,792       2 %     31,373,739       30,830,870       2 %                         Return on equity ("ROE")   14.0 %     13.8 %         16.7 %     20.4 %     ROE on tangible book value   14.8 %     14.9 %         17.7 %     22.1 %     n/m = not meaningful to present as a percentage (1 ) On November 24, 2023, the Company effected a three-for-two stock dividend to stockholders of record as of November 17, 2023. The stock split increased the number of shares of common stock outstanding. All share and per share amounts have been retroactively adjusted for the stock split. The following table presents our consolidated operating revenues by segment for the periods indicated.   Three Months Ended March 31,   Six Months Ended March 31, (in millions)   2024       2023     % Change     2024       2023     % Change Segment operating revenues represented by:                       Commercial $ 200.5     $ 220.1       (9 )%   $ 398.9     $ 402.5       (1 )% Institutional   463.4       362.5       28 %     899.1       706.0       27 % Retail   102.0       78.6       30 %     194.5       149.1       30 % Payments   49.3       49.8       (1 )%     109.9       105.2       4 % Corporate   14.4       2.5       476 %     23.6       15.3       54 % Eliminations   (11.4 )     (9.1 )     25 %     (23.6 )     (18.9 )     25 % Operating revenues $ 818.2     $ 704.4       16 %   $ 1,602.4     $ 1,359.2       18 %   The following table presents our consolidated income by segment for the periods indicated.   Three Months Ended March 31,   Six Months Ended March 31, (in millions)   2024       2023     % Change     2024       2023     % Change Segment income represented by:                       Commercial $ 85.6     $ 102.9       (17 )%   $ 172.8     $ 185.7       (7 )% Institutional   61.3       55.8       10 %     126.5       117.8       7 % Retail   33.2       4.8       592 %     61.9       0.6     n/m Payments   24.6       15.9       55 %     59.6       48.2       24 % Total segment income $ 204.7     $ 179.4       14 %   $ 420.8     $ 352.3       19 % Reconciliation of segment income to income before tax:             Segment income $ 204.7     $ 179.4       14 %   $ 420.8     $ 352.3       19 % Net operating revenues (loss) within Corporate(1)   (12.8 )     (21.8 )     (41 )%     (28.4 )     (32.9 )     (14 )% Overhead costs and expenses   (119.6 )     (100.1 )     19 %     (224.4 )     (189.8 )     18 % Gain on acquisition   —       —       — %     —       23.5       (100 )% Income before tax $ 72.3     $ 57.5       26 %   $ 168.0     $ 153.1       10 % (1 ) Includes interest expense on corporate funding. Key Operating Metrics The tables below present operating revenues disaggregated across the key products we provide to our clients and select operating data and metrics used by management in evaluating our performance, for the periods indicated.   Three Months Ended March 31,   Six Months Ended March 31,     2024       2023     % Change     2024       2023     % Change Operating Revenues (in millions):                       Listed derivatives $ 111.7     $ 110.5       1 %   $ 220.9     $ 210.3       5 % Over-the-counter ("OTC") derivatives   53.0       57.9       (8 )%     97.5       100.4       (3 )% Securities   340.7       249.2       37 %     656.9       483.3       36 % FX / Contracts for difference ("CFD") contracts   80.3       61.8       30 %     154.9       110.6       40 % Payments   48.4       48.5       — %     107.8       102.7       5 % Physical contracts   45.9       54.1       (15 )%     97.3       113.8       (14 )% Interest / fees earned on client balances   104.2       103.4       1 %     202.6       189.6       7 % Other   31.0       25.6       21 %     64.5       52.1       24 % Corporate   14.4       2.5       476 %     23.6       15.3       54 % Eliminations   (11.4 )     (9.1 )     25 %     (23.6 )     (18.9 )     25 %   $ 818.2     $ 704.4       16 %   $ 1,602.4     $ 1,359.2       18 % Volumes and Other Select Data:             Listed derivatives (contracts, 000's)   53,805       41,588       29 %     104,563       81,787       28 % Listed derivatives, average rate per contract(1) $ 1.98     $ 2.54       (22 )%   $ 2.01     $ 2.42       (17 )% Average client equity - listed derivatives (millions) $ 6,064     $ 7,222       (16 )%   $ 6,117     $ 7,722       (21 )% OTC derivatives (contracts, 000's)   810       858       (6 )%     1,625       1,576       3 % OTC derivatives, average rate per contract $ 65.66     $ 67.94       (3 )%   $ 60.28     $ 64.37       (6 )% Securities average daily volume ("ADV") (millions) $ 7,473     $ 5,759       30 %   $ 6,838     $ 4,995       37 % Securities rate per million ("RPM")(2) $ 239     $ 282       (15 )%   $ 265     $ 341       (22 )% Average money market / FDIC sweep client balances (millions) $ 1,047     $ 1,374       (24 )%   $ 1,054     $ 1,455       (28 )% FX / CFD contracts ADV (millions) $ 10,453     $ 13,490       (23 )%   $ 10,685     $ 13,160       (19 )% FX / CFD contracts RPM $ 120     $ 72       67 %   $ 114     $ 67       70 % Payments ADV (millions) $ 64     $ 65       (2 )%   $ 69     $ 70       (1 )% Payments RPM $ 12,327     $ 11,916       3 %   $ 12,453     $ 11,655       7 % (1 ) Give-up fee revenues, related to contract execution for clients of other FCMs, as well as cash and voice brokerage revenues are excluded from the calculation of listed derivatives, average rate per contract. (2 ) Interest expense associated with our fixed income activities is deducted from operating revenues in the calculation of Securities RPM while interest income related to securities lending is excluded. Interest expense   Three Months Ended March 31,   Six Months Ended March 31, (in millions)   2024       2023     % Change     2024       2023     % Change Interest expense attributable to:                       Trading activities:                       Institutional dealer in fixed income securities $ 198.0     $ 119.4       66 %   $ 370.1     $ 215.7       72 % Securities borrowing   14.0       8.3       69 %     28.6       16.2       77 % Client balances on deposit   31.4       37.2       (16 )%     67.7       73.7       (8 )% Short-term financing facilities of subsidiaries and other direct interest of operating segments   15.8       13.8       14 %     28.8       27.4       5 %     259.2       178.7       45 %     495.2       333.0       49 % Corporate funding   16.2       14.9       9 %     29.4       29.3       — % Total interest expense $ 275.4