Early Access

10-KPeriod: FY2009

NASDAQ, INC. Annual Report, Year Ended Dec 31, 2009

Filed February 18, 2010For Securities:NDAQ

Summary

The NASDAQ OMX Group, Inc.'s 2009 10-K filing reveals a company solidifying its position as a global exchange leader following significant acquisitions in 2008. Despite a slight decrease in total revenues less liquidity rebates, brokerage, clearance and exchange fees, down 0.5% to $1,453 million, the company demonstrated operational growth, particularly in derivative trading and clearing, and market technology. The company successfully navigated a challenging economic environment, with a notable shift towards a stronger U.S. equity trading performance in the latter part of the year. NASDAQ OMX is strategically leveraging its technology, particularly the INET platform, across its global operations, anticipating future growth and efficiency gains. The company also highlighted its diversification across market services, issuer services, and market technology, aiming to capitalize on evolving market demands and technological advancements.

Financial Statements
Beta
Revenue$3.41B
Cost of Revenue$1.96B
Gross Profit$1.45B
Operating Expenses$850.00M
Operating Income$603.00M
Interest Expense$102.00M
Net Income$266.00M
EPS (Basic)$0.43
EPS (Diluted)$0.42
Shares Outstanding (Basic)614.09M
Shares Outstanding (Diluted)643.61M

Key Highlights

  • 1Total revenues less liquidity rebates, brokerage, clearance and exchange fees decreased slightly by 0.5% to $1,453 million in 2009, indicating a resilient revenue base amidst economic challenges.
  • 2Derivative trading and clearing revenues saw significant growth, driven by the full-year inclusion of NASDAQ OMX PHLX and NASDAQ OMX Commodities, alongside increased market share.
  • 3Market Technology revenues increased by 21.8% to $119 million, demonstrating strong demand for NASDAQ OMX's technological solutions globally.
  • 4The company has strategically integrated its acquired businesses, including OMX AB and PHLX, and is leveraging its INET technology platform across its U.S. and European markets to enhance efficiency and offer new services.
  • 5Issuer Services revenues saw a slight decrease of 5.5% to $324 million, largely due to a decline in U.S. listing fees, reflecting broader trends in the IPO market.
  • 6NASDAQ OMX maintained compliance with all debt covenants and is strategically managing its capital structure, including refinancing its credit facilities in early 2010.
  • 7The company is actively managing risks, including competition, market volatility, and technological changes, while emphasizing its commitment to regulatory integrity.

Frequently Asked Questions