Summary
Nasdaq, Inc. (NDAQ) reported its 2022 full-year financial results, showcasing resilience and strategic progress across its diversified business segments. The company generated total revenues of $6.23 billion, an increase of 5.8% year-over-year, with "Revenues less transaction-based expenses" growing by 4.7% to $3.58 billion. This growth was primarily driven by a robust performance in the Anti-Financial Crime segment, which saw revenues surge by 32.5%, and continued expansion in Capital Access Platforms (up 7.4%). The Market Platforms segment, while experiencing a slight dip in net revenue, demonstrated stability. Nasdaq's strategic focus on technology, data, and anti-financial crime solutions positions it well for future growth in the evolving financial landscape. The company emphasized its commitment to innovation, including investments in cloud infrastructure and expanding its anti-financial crime technology to cover the cryptocurrency ecosystem. Nasdaq also highlighted its strong ESG initiatives, achieving carbon neutrality for the fifth consecutive year and receiving improved ESG ratings. Despite a slight decrease in net income attributable to Nasdaq ($1.125 billion, down 5.2% from $1.187 billion in 2021) and diluted EPS ($2.26, down 3.8% from $2.35), the company maintained a solid financial position with healthy cash flow from operations ($1.71 billion) and continued to return value to shareholders through increased dividends and share repurchases.
Financial Highlights
57 data points| Revenue | $6.23B |
| Cost of Revenue | $2.64B |
| Gross Profit | $3.58B |
| Operating Expenses | $2.02B |
| Operating Income | $1.56B |
| Interest Expense | $129.00M |
| Net Income | $1.13B |
| EPS (Basic) | $2.28 |
| EPS (Diluted) | $2.26 |
| Shares Outstanding (Basic) | 492.42M |
| Shares Outstanding (Diluted) | 497.86M |
Key Highlights
- 1Total revenues increased by 5.8% to $6.23 billion in 2022, demonstrating topline growth.
- 2The Anti-Financial Crime segment was a significant growth driver, with revenues up 32.5% year-over-year, reflecting strong demand for fraud detection and AML solutions.
- 3Capital Access Platforms also showed healthy growth, with revenues increasing by 7.4%, driven by Data & Listing Services, Index, and Workflow & Insights businesses.
- 4Nasdaq continues to invest in technology, notably migrating North American markets to the AWS cloud and expanding anti-financial crime technology for the digital asset ecosystem.
- 5The company maintained its commitment to ESG, achieving carbon neutrality for the fifth consecutive year and improving its ESG ratings from agencies like MSCI and CDP.
- 6Despite a slight decrease in net income and diluted EPS, Nasdaq generated strong operating cash flow of $1.71 billion and increased its quarterly cash dividend.
- 7The company's strategic shift to three new reporting segments (Market Platforms, Capital Access Platforms, and Anti-Financial Crime) aligns its business with key industry trends.