BGC Group, Inc.

Previous wording

The objective of this Management’s Discussion and Analysis is to allow investors to view the Company from management’s perspective, considering items that have had and could have a material impact on future operations. This discussion summarizes the significant factors affecting our results of operations and financial condition as of and during the three and six months ended June 30, 2026 and 2025. This discussion is provided to increase the understanding of, and should be read in conjunction with, our unaudited Condensed Consolidated Financial Statements and the notes thereto included elsewhere in this report.

Current wording

The objective of this Management’s Discussion and Analysis is to allow investors to view the Company from management’s perspective, considering items that have had and could have a material impact on future operations. This discussion summarizes the significant factors affecting our results of operations and financial condition as of and during the three and nine months ended September 30, 2026 and 2025. This discussion is provided to increase the understanding of, and should be read in conjunction with, our unaudited Condensed Consolidated Financial Statements and the notes thereto included elsewhere in this report.

Previous wording

As of June 30, 2026, we had 2,467 brokers, salespeople, managers, and other front-office personnel across our businesses.

Current wording

As of September 30, 2026, we had 2,464 brokers, salespeople, managers, and other front-office personnel across our businesses.

Previous wording

BGC and leading global investment banks and market-making firms have partnered to create FMX, part of the BGC group of companies, which includes a U.S. interest rate futures exchange, a cash U.S. Treasuries platform and spot foreign exchange platform.

Current wording

BGC and leading global investment banks and market-making firms have partnered to create FMX, part of the BGC group of companies, which includes a U.S. interest rate futures exchange, a cash U.S. Treasuries platform and a spot foreign exchange platform.

Previous wording

FMX includes FMX UST, the world’s fastest growing cash U.S. Treasuries marketplace, FMX Futures Exchange, a U.S. interest rate future exchange, and FMX FX, a spot foreign exchange platform. FMX is challenging the CME’s leading position in U.S. interest rate futures, cash U.S. Treasuries and spot foreign exchange.

Current wording

FMX includes FMX UST, the world’s fastest growing cash U.S. Treasuries marketplace, FMX Futures Exchange, a U.S. interest rate futures exchange, and FMX FX, a spot foreign exchange platform. FMX is challenging the CME’s leading position in U.S. interest rate futures, cash U.S. Treasuries and spot foreign exchange.

Previous wording

Revenues in our Fenics businesses increased 14.3% to $186.2 million, and 17.2% to $393.1 million, for the three and six months ended June 30, 2026, respectively, as compared to the prior year periods.

Current wording

Revenues in our Fenics businesses increased 13.3% to $181.3 million, and 15.9% to $574.4 million, for the three and nine months ended September 30, 2026, respectively, as compared to the prior year periods.

Previous wording

Within our Fenics businesses, Fenics Markets revenue grew to $152.8 million in the second quarter of 2026, driven by higher electronic trading volumes across Rates, Credit, and Foreign Exchange and increased Fenics Market Data revenues. Excluding kACE, Fenics Markets grew by 16.5% in the second quarter of 2026 as compared to the prior year period.

Current wording

Within our Fenics businesses, Fenics Markets revenue grew to $145.1 million in the third quarter of 2026, driven by higher electronic trading volumes across Rates, Credit and increased Fenics Market Data revenues. Excluding kACE, Fenics Markets grew by 11.9% in the third quarter of 2026 as compared to the prior year period.

Previous wording

Fenics Growth Platforms revenue grew to $33.4 million in the second quarter of 2026, primarily driven by FMX, PortfolioMatch, and Lucera.

Current wording

Fenics Growth Platforms revenue grew to $36.2 million in the third quarter of 2026, primarily driven by FMX, PortfolioMatch and Lucera.

Previous wording

•FMX FX ADV increased by 16% to $18.0 billion in the second quarter of 2026, driven by continued growth across spot FX and non-deliverable forward volumes, resulting in continued market share gains.

Current wording

•FMX FX ADV increased by 43% to $18.7 billion in the third quarter of 2026, driven by spot FX and NDFs, resulting in continued market share gains.

Previous wording

•Lucera, Fenics’ network business providing critical real-time trading infrastructure to the capital markets, grew revenues by 15% in the second quarter, led by continued momentum in its FX offering and the onboarding of several large new clients.

Current wording

•Lucera, Fenics’ network business providing critical real-time trading infrastructure to the capital markets, generated record revenues which grew by 28% in the third quarter, driven by FX and fixed income offerings.

Previous wording

Data, network and post-trade revenues increased by 3.4% compared to the second quarter of 2025 to $36.7 million. This growth was primarily driven by Lucera and Fenics Market Data, partially offset by lower revenues due to the sale of BGC’s kACE business in the fourth quarter of 2025. Excluding kACE, Data, network and post-trade revenues grew by 18.6%.

Current wording

Data, network and post-trade revenues increased by 5.1% compared to the third quarter of 2025 to $36.1 million. This growth was primarily driven by Lucera and Fenics Market Data, partially offset by lower revenues due to the sale of BGC’s kACE business in the fourth quarter of 2025. Excluding kACE, Data, network and post-trade revenues grew by 21.2%.

Previous wording

Fenics brokerage revenues increased by 17.4% to $149.5 million in the second quarter of 2026 over the prior year period driven by higher electronic trading volumes across Rates, Credit, and Foreign Exchange.

Current wording

Fenics brokerage revenues increased by 15.5% over the prior year period to $145.1 million in the third quarter of 2026, driven by higher electronic trading volumes across Rates, Credit, and Foreign Exchange.

Previous wording

We did not complete any acquisitions during the six months ended June 30, 2026. There was one acquisition completed by the Company during the six months ended June 30, 2025.

Current wording

We did not complete any acquisitions during the nine months ended September 30, 2026. There was one acquisition completed by the Company during the nine months ended September 30, 2025.

Previous wording

On July 27, 2026, we announced that we entered into an agreement to sell Water Street Labs, LLC and CX Clearinghouse L.P. to Fanatics which will enable Fanatics to offer its own federally regulated prediction market exchange and expand its market offerings on Fanatics Markets. By harnessing BGC’s expertise in institutional market infrastructure and trading, BGC and Fanatics will connect retail-focused prediction markets with the institutional marketplace. We will partner with Fanatics to build a prediction market ecosystem that serves both retail and institutional participants. The partnership is intended to bring together BGC’s established market data and analytics capabilities to enable the development of new data products.

Current wording

On August 5, 2026, we completed the sale of Water Street Labs, LLC, Water Street Labs Holdings, LLC, CX Clearinghouse L.P. and CX Clearinghouse Holdings, LLC to an affiliate of Fanatics which will enable Fanatics to offer its own federally regulated prediction market exchange and expand its market offerings on Fanatics Markets. By harnessing BGC’s expertise in institutional market infrastructure and trading, BGC and Fanatics expect to connect retail-focused prediction markets with the institutional marketplace. We have partnered with Fanatics to build a prediction market ecosystem that serves both retail and institutional participants. The partnership is intended to bring together BGC’s established market data and analytics capabilities to enable the development of new data products.

Previous wording

Our cost reduction program is expected to result in approximately $35 million of annualized cost savings. We will continue to identify and execute cost savings throughout 2026. These expected savings are subject to risks and uncertainties, and actual results may differ. We will continue to monitor the impact of this program on our financial position and results of operations. In connection with the cost reduction program, we recorded compensation charges of $18.7 million for the six months ended June 30, 2026. These charges primarily relate to the termination or modification of certain employment contracts and the accelerated expense recognition of certain employee loans. These charges are reflected in “Compensation and employee benefits” in our unaudited Condensed Consolidated Statements of Operations for the six months ended June 30, 2026. During the six months ended June 30, 2026, we made cash payments totaling $12.3 million in connection with the cost reduction program, representing a portion of the $18.7 million of charges recognized during the period.

Current wording

Our cost reduction program has currently identified approximately $35 million of annualized cost savings. We will continue to identify and execute cost savings throughout the remainder of 2026. These expected savings are subject to risks and uncertainties, and actual results may differ. We will continue to monitor the impact of this program on our financial position and results of operations. In connection with the cost reduction program, we recorded compensation charges of $28.6 million for the nine months ended September 30, 2026. These charges primarily relate to the termination or modification of certain employment contracts and the accelerated expense recognition of certain employee loans. These charges are reflected in “Compensation and employee benefits” in our unaudited Condensed Consolidated Statements of Operations for the nine months ended September 30, 2026. During the nine months ended September 30, 2026, we made cash payments totaling $20.7 million in connection with the cost reduction program, representing a portion of the $28.6 million of charges recognized during the period.

Previous wording

In February 2022, the U.S., U.K., EU, and other countries imposed sanctions on Russian counterparties, and as a result, we ceased trading with those clients. During both the three and six months ended June 30, 2026, we did not record any additional provision for expected credit losses associated with Russia’s Invasion of Ukraine. During both the three and six months ended June 30, 2025, we recognized a benefit of $4.4 million from the release of previously recorded allowances for expected credit losses associated with Russia’s Invasion of Ukraine, which was included in “Other expenses” in our unaudited Condensed Consolidated Statements of Operations. See Note 25—“Current Expected Credit Losses (CECL)” for additional information.

Current wording

In February 2022, the U.S., U.K., EU, and other countries imposed sanctions on Russian counterparties, and as a result, we ceased trading with those clients. During both the three and nine months ended September 30, 2026, we did not record any additional provision for expected credit losses associated with Russia’s Invasion of Ukraine. During the three months ended September 30, 2025, we did not record any additional provision for expected credit losses associated with Russia’s Invasion of Ukraine. During the nine months ended September 30, 2025, we recognized a benefit of $4.4 million from the release of previously recorded allowances for expected credit losses associated with Russia’s Invasion of Ukraine, which was included in “Other expenses” in our unaudited Condensed Consolidated Statements of Operations. See Note 25—“Current Expected Credit Losses (CECL)” for additional information.

Previous wording

Management performed Pillar 2 calculations for the necessary jurisdictions for the second quarter of 2026 and determined that the minimum global effective tax did not have a material impact on our second quarter 2026 tax rate.

Current wording

Management performed Pillar 2 calculations for the necessary jurisdictions for the third quarter of 2026 and determined that the minimum global effective tax did not have a material impact on our third quarter 2026 tax rate.

Previous wording

Over this same timeframe, demand from financial institutions, large corporations, and other end-users of financial products have increased volumes in the wholesale derivatives market, thereby increasing the business opportunity for financial intermediaries.

Current wording

Over this same timeframe, demand from financial institutions, large corporations, and other end-users of financial products has increased volumes in the wholesale derivatives market, thereby increasing the business opportunity for financial intermediaries.

Previous wording

Over the past decade, there has been significant consolidation among the interdealer-brokers and wholesale brokers with which we compete. We compete with TP ICAP and Tradition across various Voice/Hybrid brokerage marketplaces as well as across multiple electronic marketplaces via Fenics, which additionally competes with Tradeweb and MarketAxess. We also compete with the electronic markets and market data businesses of the CME, primarily through our FMX businesses where we compete in U.S. Treasuries, U.S. interest rate futures, and foreign exchange products. Additionally, we have become the largest participant in the energy, commodities and shipping markets, and are competing with ECS brokers such as Marex Group PLC, StoneX Group and Clarksons PLC.

Current wording

Over the past decade, there has been significant consolidation among the interdealer-brokers and wholesale brokers with which we compete. We compete with TP ICAP and Tradition across various Voice/Hybrid brokerage marketplaces as well as across multiple electronic marketplaces via Fenics, which additionally competes with Tradeweb and MarketAxess. The electronic fixed income trading landscape has seen continued consolidation, as evidenced by ICE’s announced acquisition of MarketAxess and Tradeweb Markets Inc’s announced acquisition of Trumid. We view the consolidation in the industry favorably, as we expect it to provide additional operating leverage to our businesses in the future. We also compete with the electronic markets and market data businesses of the CME, primarily through our FMX businesses where we compete in U.S. Treasuries, U.S. interest rate futures, and foreign exchange products. Additionally, we have become the largest participant in the energy, commodities and shipping markets, and are competing with ECS brokers such as Marex Group PLC, StoneX Group and Clarksons PLC.

Previous wording

Additional factors have weighed on market volumes in the products we broker. For example, the Basel III accord, implemented in late 2010 by the G-20 central banks, is a global regulatory framework on bank capital adequacy, stress testing and market liquidity risk that was developed with the intention of making banks more stable in the wake of the financial crisis by increasing bank liquidity and reducing bank leverage. The accord, which took effect on January 1, 2023, requires most large banks in G-20 nations to hold approximately three times as much Tier 1 capital as was required under the previous set of rules. These capital rules have made it more expensive for banks to hold non-sovereign debt assets on their balance sheets, and as a result, analysts say that banks have reduced their proprietary trading activity in corporate and asset-backed fixed income securities as well as in various other OTC cash and derivative instruments. We believe that this has further reduced overall market exposure and industry volumes in many of the products we broker, particularly in Credit.

Current wording

Additional factors have weighed on market volumes in the products we broker. For example, the Basel III accord, agreed in late 2010 by the G-20 central banks, is a global regulatory framework on bank capital adequacy, stress testing and market liquidity risk that was developed with the intention of making banks more stable in the wake of the financial crisis by increasing bank liquidity and reducing bank leverage. The accord, which took effect on January 1, 2023, requires most large banks in G-20 nations to hold approximately three times as much common equity Tier 1 capital as was required under the previous set of rules. Implementation of the final elements of the accord, including revised market risk rules, has been delayed in several major jurisdictions. These elements are scheduled to be largely in effect in the EU and U.K. by January 2027, but remain subject to final rulemaking in the U.S. These capital rules have made it more expensive for banks to hold non-sovereign debt assets on their balance sheets, and as a result, analysts say that banks have reduced their proprietary trading activity in corporate and asset-backed fixed income securities as well as in various other OTC cash and derivative instruments. We believe that this has further reduced overall market exposure and industry volumes in many of the products we broker, particularly in Credit. Recent and pending changes to bank capital rules, including modification of the U.S. enhanced supplementary leverage ratio that became effective in April 2026 and the pending U.S. Basel III rules, could increase the capital banks allocate to trading activities and, in turn, affect volumes in the products we broker.

Previous wording

During the three months ended June 30, 2026, industry volumes were generally higher across Credit and Equities compared to the prior year period. Secondary market trading volumes were mixed across Rates and Foreign Exchange and generally lower across ECS. BGC’s brokerage revenues were up by 7.2% year-over-year in the quarter, reflecting growth across all asset classes.

Current wording

During the three months ended September 30, 2026, industry volumes were generally higher across ECS, Rates, Foreign Exchange and Credit compared to the prior year period. Secondary market trading volumes were mixed across Equities. BGC’s brokerage revenues were up by 14.8% year-over-year in the quarter, reflecting growth across asset classes.

Previous wording

ECS volumes were lower during the second quarter of 2026 compared to the prior year period. CME’s and ICE energy futures and options volumes were down 13% and 21%, respectively, compared to the prior year period. In comparison, BGC’s ECS revenues increased 5.3%, compared to the prior year period, to $275.5 million, driven by strong organic growth across our shipping, environmental, and commodities businesses, partially offset by lower oil and refined product volumes due to disruptions caused by the Strait of Hormuz closure.

Current wording

ECS volumes were higher during the third quarter of 2026 compared to the prior year period. CME and ICE energy futures and options volumes were up 16% and 18%, respectively, compared to the prior year period. In comparison, BGC’s ECS revenues increased 18.8%, compared to the prior year period, to $287.1 million, driven by strong growth across our shipping, environmental, and crude oil businesses, partially offset by lower refined product volumes.

Previous wording

Rates volumes were mixed during the second quarter of 2026 compared to the prior year period. According to Bloomberg and the Federal Reserve Bank of New York, the Primary Dealer average daily volume of U.S. Government Securities was up 5% compared to the prior year period. Over the same time period, listed products on CME and ICE were down 6% and up 24%, respectively, and OTC interest rate derivative volumes traded on SEF were up 22% compared to the second quarter of 2025, according to Clarus. In comparison, our overall Rates revenues were up 10.6% as compared to a year earlier, to $221.9 million.

Current wording

Rates volumes were higher during the third quarter of 2026 compared to the prior year period, as persistent inflationary pressures and the Federal Reserve’s decision to raise interest rates contributed to higher U.S. Treasury yields, which supported increased trading activity in Rates products. According to Bloomberg and the Federal Reserve Bank of New York, the Primary Dealer average daily volume of U.S. Government Securities was up 18% compared to the prior year period. Over the same time period, listed products on CME and ICE were up 13% and 49%, respectively, and OTC interest rate derivative volumes traded on a SEF were up 35% compared to the third quarter of 2025, according to Clarus. In comparison, our overall Rates revenues were up 12.4% as compared to a year earlier, to $219.6 million.

Previous wording

Global foreign exchange volumes were mixed during the second quarter of 2026 compared to the prior year period. Volumes for CME EBS spot FX were down 9% and Cboe FX increased by 6%, respectively. Volumes for FX Options were up 3% compared to the prior year period, according to Clarus. In comparison, our overall FX revenues increased by 9.4%, compared to the prior year period, to $118.7 million.

Current wording

Global foreign exchange volumes were generally higher during the third quarter of 2026 compared to the prior year period. Volumes for CME EBS spot FX were up 18% and Cboe FX were up by 21%, respectively, compared to the prior year period. Volumes for FX NDFs were up 32% compared to the prior year period, according to Clarus. In comparison, our overall FX revenues increased by 13.9%, compared to the prior year period, to $121.5 million.

Previous wording

Our Credit business is impacted by the level of global corporate bond issuance and interest rates. Credit volumes were higher during the second quarter of 2026 compared to the prior year period. FINRA TRACE average daily volume for U.S. Investment Grade was up 13% and U.S. High Yield was up 1% according to Bloomberg, compared to the prior year period. In comparison, our overall Credit revenues increased by 5.4%, compared to the prior year period, to $79.3 million.

Current wording

Our Credit business is impacted by the level of global corporate bond issuance and interest rates. Credit volumes were generally higher during the third quarter of 2026 compared to the prior year period. FINRA TRACE average daily volume for U.S. Investment Grade was up 18% and CDS Index volumes traded on a SEF were up 35%, according to Clarus, while FINRA TRACE average daily volume for U.S. High Yield was down 4% according to Bloomberg, compared to the prior year period. In comparison, our overall Credit revenues decreased by 2.5%, compared to the prior year period, to $67.4 million.

Previous wording

Global equity volumes were generally higher during the second quarter of 2026 compared to the prior year period. According to the Securities Industry and Financial Markets Association, the average daily volume of U.S. cash equities was up 10% as compared to a year earlier. Over the same timeframe, the average daily volume of U.S. options was up 27%, according to the OCC and Eurex average daily volumes of equity and equity index derivatives increased 10%. Our Equities business primarily consists of equity derivatives and our overall revenues from Equities increased by 2.8%, compared to the prior year period, to $76.0 million.

Current wording

Global equity volumes were mixed during the third quarter of 2026 compared to the prior year period. According to the Securities Industry and Financial Markets Association, the average daily volume of U.S. cash equities was down 4% as compared to a year earlier. Over the same timeframe, the average daily volume of U.S. options was up 15% according to the OCC, and Eurex average daily volumes of equity and equity index derivatives increased 14%. Our Equities business primarily consists of equity derivatives and our overall revenues from Equities increased by 28.0%, compared to the prior year period, to $77.3 million.

Previous wording

As of June 30, 2026, our front-office headcount was 2,467 brokers, salespeople, managers, and other front-office personnel, down 0.5% from 2,480 a year ago. Compared to the prior year, average revenue per front-office employee for the three months ended June 30, 2026, increased by 3.6%, to $0.3 million.

Current wording

As of September 30, 2026, our front-office headcount was 2,464 brokers, salespeople, managers, and other front-office personnel, down 1.9% from 2,513 a year ago. Compared to the prior year, average revenue per front-office employee for the three months ended September 30, 2026, increased by 15.9%, to $0.3 million, reflecting higher volumes and the continued benefits of our investment in technology and automation.

Previous wording

Income from operations before income taxes was $98.9 million compared to $75.3 million in the prior year period.

Current wording

Income from operations before income taxes was $98.1 million compared to $33.5 million in the prior year period.

Previous wording

Total revenues increased $61.5 million compared to the prior year period, or 7.8%, to $845.5 million.

Current wording

Total revenues increased $95.7 million compared to the prior year period, or 13.0%, to $832.6 million.

Previous wording

Brokerage revenues increased by $51.5 million, or 7.2%, due to overall growth across all asset classes:

Current wording

Brokerage revenues increased by $99.7 million, or 14.8%, due to overall growth across asset classes:

Previous wording

Interest and dividend income increased $11.4 million, or 75.0%, primarily due to dividend income from investments. This increase was partially offset by lower interest income due to lendings to Cantor under the BGC Credit Agreement in the second quarter of 2025. Data, network and post-trade revenues increased by $1.2 million, or 3.4%, primarily driven by Lucera and Fenics Market Data. This increase was partially offset by decreased revenues from software solutions following the sale of the kACE business in the fourth quarter of 2025. Excluding kACE, Data, network and post-trade revenues grew by 18.6%. Other revenues decreased $2.9 million, or 35.7%, mainly attributable to lower consulting income.

Current wording

Interest and dividend income decreased $2.2 million, or 15.8%, primarily due to lower interest income. Data, network and post-trade revenues increased by $1.8 million, or 5.1%, primarily driven by Lucera and Fenics Market Data. This increase was partially offset by decreased revenues from software solutions following the sale of the kACE business in the fourth quarter of 2025. Excluding kACE, Data, network and post-trade revenues grew by 21.2%. Other revenues decreased $4.3 million, or 39.5%, mainly attributable to the wind-down of a non-core logistics business acquired as part of OTC Global.

Previous wording

Total expenses increased $62.0 million, or 8.7%, to $773.6 million compared to the prior year period. Total compensation and employee benefits expenses increased by $25.1 million, which was primarily due to higher commissionable revenues during the three months ended June 30, 2026.

Current wording

Total expenses increased $77.9 million, or 11.0%, to $783.5 million compared to the prior year period. Total compensation and employee benefits expenses increased by $54.5 million, which was primarily due to higher commissionable revenues during the three months ended September 30, 2026.

Previous wording

The $36.8 million increase in non-compensation expenses was primarily driven by an increased accrual related to the U.K. Tax Matter, increased selling and promotion, and commissions and floor brokerage expense related to higher client activity.

Current wording

The $23.4 million increase in non-compensation expenses was primarily driven by a non-cash impairment charge related to certain capitalized software assets. For additional information, see Note 15—“Fixed Assets, Net” to our unaudited Condensed Consolidated Financial Statements in Part I, Item 1 of this Quarterly Report on Form 10-Q. Additionally, there were increased Selling and promotion expenses and Commissions and floor brokerage expenses related to higher client activity.

Previous wording

Income from operations before income taxes was $214.4 million compared to $155.3 million for the same period in the prior year.

Current wording

Income from operations before income taxes was $312.4 million compared to $188.8 million for the same period in the prior year.

Previous wording

Total revenues increased $352.8 million compared to the prior year period, or 24.4%, to $1,801.0 million. Excluding OTC Global, revenues grew by $225.6 million, or 17.0%. Brokerage revenues increased by $336.6 million, or 25.3% due to overall growth across all asset classes:

Current wording

Total revenues increased $448.5 million compared to the prior year period, or 20.5%, to $2,633.6 million. Excluding OTC Global, revenues grew by $317.4 million, or 16.2%. Brokerage revenues increased by $436.3 million, or 21.8% due to overall growth across all asset classes:

Previous wording

•ECS increased $193.9 million, or 47.1%, driven by the operations of OTC Global. Excluding OTC Global, ECS grew by $68.6 million, or 23.0%;

Current wording

•ECS increased $239.3 million, or 36.6%, driven by the operations of OTC Global. Excluding OTC Global, ECS grew by $107.9 million, or 24.7%;

Previous wording

Interest and dividend income increased $10.4 million, or 38.6%, primarily due to dividend income from investments. This increase was partially offset by lower interest income due to lendings to Cantor under the BGC Credit Agreement in the second quarter of 2025. In addition, there was an increase of $3.2 million, or 4.7%, in Data, network and post-trade revenues, primarily driven by Fenics Market Data and Lucera. This increase was partially offset by decreased revenues from software solutions following the sale of the kACE business in the fourth quarter of 2025. Additionally, there was an increase of $2.5 million, or 19.3%, in Other revenues, principally due to increased consulting income.

Current wording

Interest and dividend income increased $8.2 million, or 20.0%, primarily due to dividend income from investments. This increase was partially offset by lower interest income due to lendings to Cantor under the BGC Credit Agreement in the second quarter of 2025. In addition, there was an increase of $4.9 million, or 4.8%, in Data, network and post-trade revenues, primarily driven by Fenics Market Data and Lucera. This increase was partially offset by decreased revenues from software solutions following the sale of the kACE business in the fourth quarter of 2025. Additionally, there was a decrease of $1.8 million, or 7.5%, in Other revenues, principally due to decreased consulting income.

Previous wording

Total expenses increased $322.4 million, or 24.8%, to $1,620.6 million, compared to the prior year period, primarily driven by increases in total compensation and employee benefits and the operations of OTC Global, which we acquired on April 1, 2025. Total compensation and employee benefits expenses increased by $228.9 million primarily driven by higher commissionable revenues during the period and the operations of OTC Global. The $93.5 million increase in non-compensation expenses was primarily driven by the operations of OTC Global and increases in other expenses, due to an increased accrual related to the U.K. Tax Matter, selling and promotion, and increases in Interest expense related to the BGC Group 6.150% Senior Notes issued in April 2025. These higher Interest expenses were partially offset by a reduction of interest expense due to the repayments in full of the $288.2 million outstanding aggregate principal amount of BGC Group 4.375% Senior Notes and the $11.8 million outstanding aggregate principal amount of BGC Partners 4.375% Senior Notes on December 15, 2025.

Current wording

Total expenses increased $400.3 million, or 20.0%, to $2,404.1 million, compared to the prior year period, primarily driven by increases in total compensation and employee benefits and the operations of OTC Global, which we acquired on April 1, 2025. Total compensation and employee benefits expenses increased by $283.4 million primarily driven by higher commissionable revenues during the period and the operations of OTC Global and charges related to the cost reduction program. The $116.9 million increase in non-compensation expenses was primarily driven by increases in Other expenses, due to an increased accrual related to the U.K. Tax Matter and a non-cash impairment charge related to certain capitalized software assets. Additionally, there were increases in Selling and promotion, increases in Interest expense related to the BGC Group 6.150% Senior Notes issued in April 2025 and the operations of OTC Global. These charges were partially offset by a reduction of Interest expense due to the repayments in full of the $288.2 million outstanding aggregate principal amount of BGC Group 4.375% Senior Notes and the $11.8 million outstanding aggregate principal amount of BGC Partners 4.375% Senior Notes on December 15, 2025.

Previous wording

Total other income (losses), net increased $24.1 million, or 813.5%, to $27.0 million, primarily due to a $20.0 million gain from contingent consideration realized and earned during the three months ended June 30, 2026, in connection with the sale of kACE in the fourth quarter of 2025.

Current wording

Total other income (losses), net increased $75.5 million, or 1010.2%, to $83.0 million, primarily due to a $35.0 million gain from the sale of Water Street Labs, LLC, Water Street Labs Holdings, LLC, CX Clearinghouse L.P. and CX Clearinghouse Holdings, LLC to an affiliate of Fanatics, a $20.0 million gain from contingent consideration realized and earned during the nine months ended September 30, 2026, in connection with the sale of kACE in the fourth quarter of 2025, and a $13.5 million unrealized gain recorded in the nine months ended September 30, 2026 related to fair value adjustments on investments carried under the measurement alternative.

Previous wording

Total brokerage revenues increased by $51.5 million, or 7.2%, to $771.4 million for the three months ended June 30, 2026 as compared to the three months ended June 30, 2025. Commissions revenues increased by $49.7 million, or 8.3%, to $649.2 million for the three months ended June 30, 2026 as compared to the three months ended June 30, 2025. Principal transactions revenues increased by $1.9 million, or 1.5%, to $122.3 million for the three months ended June 30, 2026 as compared to the three months ended June 30, 2025.

Current wording

Total brokerage revenues increased by $99.7 million, or 14.8%, to $772.8 million for the three months ended September 30, 2026 as compared to the three months ended September 30, 2025. Commissions revenues increased by $87.5 million, or 15.3%, to $660.6 million for the three months ended September 30, 2026 as compared to the three months ended September 30, 2025. Principal transactions revenues increased by $12.3 million, or 12.3%, to $112.2 million for the three months ended September 30, 2026 as compared to the three months ended September 30, 2025.

Previous wording

Our ECS revenues increased by $13.8 million, or 5.3%, to $275.5 million for the three months ended June 30, 2026 as compared to the three months ended June 30, 2025, driven by strong growth across our shipping, environmental, and commodities businesses, partially offset by lower oil and refined products volumes due to disruptions caused by the Strait of Hormuz closure.

Current wording

Our ECS revenues increased by $45.5 million, or 18.8%, to $287.1 million for the three months ended September 30, 2026 as compared to the three months ended September 30, 2025, driven by strong growth across shipping, environmental, and crude oil businesses, partially offset by lower refined product volumes, particularly in distillate products, as tight global supply drove wholesale diesel prices in the U.S. and Europe to record levels, reducing customer trading activity.