Chicago Mercantile Exchange Holdings Inc. today reported a 32% increase in total revenues to a record US$332 million and a 42% increase in net income to a record US$130 million for first-quarter 2007 compared with first- quarter 2006.

Average daily volume reached a record 6.5 million contracts during first-quarter 2007, a 30% increase from first-quarter 2006. Trading on the CME Globex electronic trading platform grew 40% to a record 4.8 million contracts per day in first-quarter 2007 from 3.4 million per day in first-quarter 2006. Electronic volume represented 75% of total CME volume in the quarter. Total first-quarter options volume averaged 1.3 million contracts per day, up 20% compared with first-quarter 2006. Electronic options volume averaged a record 165,000 contracts per day for the quarter, more than doubling from the same period a year ago.

“During the first quarter, we surpassed volume records in all our products lines, leading to the strongest top-line, quarter-over-quarter growth since 2004 and resulting in record earnings and cash flow,” said CME executive chairman Terry Duffy. “In addition, we processed record volumes for the Chicago Board of Trade and the New York Mercantile Exchange. The energy volume traded on the CME Globex platform for NYMEX surged to a record 584,000 contracts per day during the first quarter, making it the highest quarterly electronic energy volume ever traded on any exchange. NYMEX volume has increased to 637,000 electronic energy contracts per day in April, widening our lead over the next nearest electronic energy competitor.”

“In addition to delivering tremendous results in our core business, we are making significant progress on other strategic initiatives designed to meet the unique needs of market users around the world, including expansion into the two largest over-the-counter markets,” said CME chief executive officer Craig Donohue.

Clearing and transaction fees increased 29% to US$258 million, up from US$201 million for first-quarter 2006, driven by quarterly volume records across all product lines. CME E-mini equity products showed particular strength, growing 40% from first-quarter 2006, driven by heightened volatility. FX volume rose 36% during the quarter to a record 555,000 contracts per day. In March, CME traded a record US$80 billion per day of notional value in foreign exchange.

During the quarter, CME Clearing handled record CBOT volumes of 3.9 million contracts per day, up 24% from the same period a year ago. NYMEX energy and metals volume on CME Globex averaged a record 675,000 contracts per day. This record volume drove all time high revenue from processing services, which rose 92% to a record US$35 million. Additionally, quotation data fees were up 24% to US$25 million.

Total expenses increased 17% to US$132 million, driven by increased compensation, technology related and marketing expenses.

First-quarter income before income taxes was US$215 million, an increase of 43% from US$151 million for the year-ago period. The company’s operating margin was a record 60%, compared with 55% for the same period last year.