Early Access

10-KPeriod: FY2023

NASDAQ, INC. Annual Report, Year Ended Dec 31, 2023

Filed February 21, 2024For Securities:NDAQ

Summary

Nasdaq, Inc. (NDAQ) reported a strong performance in its 2023 fiscal year, driven significantly by the strategic acquisition of Adenza. The company's revenue, less transaction-based expenses, increased by 8.7% year-over-year to $3.9 billion. This growth was primarily fueled by the Financial Technology segment, which saw a substantial 27.2% revenue increase, largely attributable to the integration of Adenza's solutions. The Capital Access Platforms segment also demonstrated steady growth, with a 5.2% increase in revenue, supported by robust performance in Index and Workflow & Insights. While operating expenses rose by 14.8%, largely due to integration and restructuring costs related to the Adenza acquisition, operating income remained stable. Net income attributable to Nasdaq saw a slight decrease of 5.9% to $1.06 billion, resulting in diluted earnings per share of $2.08. The company also actively managed its capital, with significant proceeds from debt issuance for the Adenza acquisition and continued share repurchases and dividend payments to shareholders. Nasdaq's strategic focus on technology, including AI and cloud migration, positions it for continued growth in the evolving financial landscape.

Financial Statements
Beta
Revenue$6.06B
Cost of Revenue$2.17B
Gross Profit$3.90B
Operating Expenses$2.32B
Operating Income$1.58B
Interest Expense$284.00M
Net Income$1.06B
EPS (Basic)$2.10
EPS (Diluted)$2.08
Shares Outstanding (Basic)504.91M
Shares Outstanding (Diluted)508.39M

Key Highlights

  • 1Revenue less transaction-based expenses increased by 8.7% to $3.9 billion in 2023.
  • 2The Financial Technology segment experienced a significant revenue surge of 27.2%, driven by the acquisition of Adenza.
  • 3Capital Access Platforms segment revenue grew by 5.2%, with strong contributions from Index and Workflow & Insights.
  • 4Operating income remained largely stable at $1.6 billion, despite a 14.8% increase in operating expenses primarily due to acquisition-related costs.
  • 5Net income attributable to Nasdaq decreased by 5.9% to $1.06 billion, with diluted EPS at $2.08.
  • 6The company successfully integrated the Adenza acquisition, which was a key strategic move for expanding its technology solutions.
  • 7Nasdaq continues to invest in AI and cloud migration, aiming to enhance its product offerings and operational efficiency.

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