Summary
The NASDAQ OMX Group, Inc. (NDAQ) reported its financial results for the quarter and six months ended June 30, 2009. Total revenues less liquidity rebates, brokerage, clearance, and exchange fees decreased by 3.4% to $367 million in the second quarter compared to the prior year, impacted by foreign exchange. For the first six months, these revenues increased by 11.7% to $735 million, benefiting from operational growth, particularly in derivative trading. Net income for the quarter was $69 million, or $0.33 per diluted share, down from $100 million, or $0.47 per diluted share, in the same period last year. The company's balance sheet showed total assets of $11.66 billion and total equity of $4.51 billion as of June 30, 2009. Cash flow from operations remained steady at $224 million for the first six months. The company faced a challenging economic environment, with revenue from U.S. cash equity trading seeing a decline in the second quarter, though derivative trading revenues showed significant growth, bolstered by the inclusion of NASDAQ OMX PHLX's results. Issuer Services revenue experienced a decrease, largely due to fewer new listings and a decline in the market capitalization of Nordic issuers. The company continued its integration efforts following significant acquisitions in 2008, such as OMX AB and PHLX, which impacted operating expenses. Despite revenue pressures, the company maintained a strong liquidity position and remained compliant with its debt covenants.
Financial Highlights
27 data points| Revenue | $889.00M |
| Cost of Revenue | $522.00M |
| Gross Profit | $367.00M |
| Operating Expenses | $208.00M |
| Operating Income | $159.00M |
| Interest Expense | $25.00M |
| Net Income | $69.00M |
| EPS (Basic) | $0.11 |
| EPS (Diluted) | $0.11 |
Key Highlights
- 1Revenues less liquidity rebates, brokerage, clearance and exchange fees decreased 3.4% to $367 million for Q2 2009, but increased 11.7% to $735 million for the first six months of 2009 compared to the prior year.
- 2Net income attributable to NASDAQ OMX for Q2 2009 was $69 million ($0.33/share diluted), down from $100 million ($0.47/share diluted) in Q2 2008.
- 3Operating expenses decreased 7.6% to $208 million in Q2 2009, primarily due to favorable foreign exchange impacts and cost-saving programs.
- 4Cash provided by operating activities was $224 million for the first six months of 2009, largely consistent with $220 million in the prior year.
- 5The company's balance sheet shows total assets of $11.66 billion and total equity of $4.51 billion as of June 30, 2009.
- 6Significant integration of acquisitions from 2008 (OMX AB, PHLX) continued to influence operating results and expenses.
- 7The company generated a $5 million loss from the sale of an investment security (Oslo Børs) and an $18 million loss from other unconsolidated investees in the second quarter, impacting profitability.