Bullish Q4 FY2025 earnings call

• Bullish closed 2025 with strong momentum, capturing institutional business, scaling liquidity services, launching options trading in Q4 with over $2 billion in open interest by quarter end, and securing key licenses. - 2026 priorities include growing the exchange, expanding tokenization of real-world assets, and accelerating digital assets indices/insight spaces. - Liquidity services business is growing with new use cases, adding partners like IOTA, VeChain, etc., and plans to list tokenized securities in 2026 while expanding regulatory footprint.

In the fourth quarter of 2025, SS and O revenue reached $54.6 million, a 284% year-over-year increase. Full-year 2025 SS and O revenue was $157.7 million, up nearly 160% from 2024. Fourth quarter adjusted EBITDA was $44.5 million, a record high with a 48% margin, and full-year 2025 adjusted EBITDA was $94.3 million. Adjusted net income in Q4 was $28.9 million and $38.8 million for the full year 2025.

• Expect SS and O revenue between $220 million and $250 million in 2026. - Adjusted operating expenses are expected to be between $210 million and $230 million in 2026. - Adjusted transaction revenue guidance not provided; investors are encouraged to track monthly exchange metrics.

• Volatility in digital asset prices which could impact market sentiment. - Regulatory uncertainties, particularly around the Clarity Act and its potential impact on tokenization, DeFi, and stablecoins.

Q: Could you talk about the key assumptions influencing the 2026 SS and O guidance?

A: David Bonanno mentioned potential upsides from swift infrastructure bill passage and macro headwinds baked into the guidance.

Q: Can you talk about the contribution from the Consensus conferences to SS and O revenue this year?

A: David Bonanno said Consensus events are expected to be larger than 2025 but likely at the lower end of growth rates within the bucket.

Q: Could you comment where Bullish stands on the Clarity Act and its key provisions?

A: Thomas Farley discussed the bill's progress, key issues like DeFi KYC/AML and conflicts of interest, and personal optimism it could pass before summer.

Q: What would be the impact if intermediaries no longer paid interest on stablecoins?

A: David Bonanno said there would be minimal to no financial impact on Bullish's liquidity services business due to carve-outs for liquidity providers.

Q: How do you see pipeline growth during market volatility?

A: Thomas Farley said pipeline build has been steady but volatility may cause some slowdown, but pipeline is full currently.

Q: Could you provide color on the mix of SS and O revenue between services, liquidity, and events?

A: David Bonanno said they don't break out internals due to aggressive cross-selling, with events revenue in Q4 de minimis.

Q: What are customers saying about their crypto strategy during volatility?

A: Thomas Farley said tokenization is unaffected by Bitcoin price, but some slowdown in investment may occur, while pipeline remains strong.

Q: Could you comment on progress with the US launch and its impact on volumes?

A: David Bonanno said New York BitLicense was acquired midway through Q4, with strong pipeline in US and expectation of increasing volume from high-quality customers.

Q: Thoughts on the momentum of the options business?

A: Thomas Farley said options business hit the ground running, ripped through competition, and aims to be number one globally.