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UPDATE 1-Exchange operator Cboe's profit misses estimates as costs rise

From Reuters - February 9, 2018

(Reuters) - Cboe Global Markets Incs (CBOE.O) fourth-quarter earnings narrowly missed analysts forecasts, as the operator of the largest U.S. options exchange incurred higher costs.

Chicago-based Cboe said on Friday operating expenses rose to $156.9 million in the quarter ended Dec. 31 from $68.1 million a year earlier, partly due to its purchase of another major exchange operator, Bats Global, in 2016.

Cboe has been expanding through acquisitions, mainly to counter weakness in trading and clearing revenues due to swings in market volatility.

The company said net income allocated to common stockholders rose to $254.6 million from $44.7 million a year earlier, reflecting a one-time gain of $191.5 million related to new U.S. tax laws.

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