Summary
Nasdaq, Inc. (NDAQ) reported its financial results for the second quarter and first six months ended June 30, 2019. For the second quarter, total revenues were $1.061 billion, an increase of 3.3% year-over-year, while net income attributable to Nasdaq was $174 million, up 7.4%. Diluted EPS was $1.04, a 7.2% increase. For the first six months, revenues were $2.100 billion, down 3.3%, but net income increased 24.2% to $421 million, and diluted EPS rose 24.8% to $2.52. The company saw growth in its Information Services and Market Technology segments, with Market Technology's Annualized Recurring Revenue (ARR) increasing by 16% year-over-year. Significant debt refinancing activities occurred, including the issuance of new notes and repayment of existing debt and credit facilities, contributing to lower interest expenses. Overall, Nasdaq demonstrated solid revenue growth in the second quarter driven by its Information Services and Market Technology segments. While total revenues for the first six months saw a slight decline, net income and EPS experienced substantial growth, aided by lower interest expenses and a favorable tax rate. The company continued its commitment to returning capital to shareholders through dividends and share repurchases, while also making strategic investments like the acquisition of Cinnober, which contributed to the Market Technology segment's growth. Investors should note the company's ongoing efforts in debt management and its strategic focus on recurring revenue streams.
Financial Highlights
56 data points| Revenue | $1.06B |
| Cost of Revenue | $438.00M |
| Gross Profit | $623.00M |
| Operating Expenses | $367.00M |
| Operating Income | $256.00M |
| Interest Expense | $31.00M |
| Net Income | $174.00M |
| EPS (Basic) | $0.35 |
| EPS (Diluted) | $0.35 |
| Shares Outstanding (Basic) | 496.79M |
| Shares Outstanding (Diluted) | 501.12M |
Key Highlights
- 1Total revenues for Q2 2019 increased by 3.3% to $1.061 billion, while net income attributable to Nasdaq grew by 7.4% to $174 million.
- 2Diluted EPS for Q2 2019 increased by 7.2% to $1.04.
- 3For the first six months of 2019, net income rose by 24.2% to $421 million, and diluted EPS increased by 24.8% to $2.52.
- 4Market Technology segment revenue increased by 19.7% in Q2 2019, with Annualized Recurring Revenue (ARR) up 16% year-over-year.
- 5Information Services segment revenue grew by 10.9% in Q2 2019.
- 6The company returned $150 million to shareholders through dividends in the first six months of 2019 and continued its share repurchase program, with $282 million remaining authorization as of June 30, 2019.
- 7Nasdaq completed significant debt refinancing activities, including issuing new notes and repaying existing debt and credit facilities, leading to a decrease in interest expense.