NASDAQ$NDAQ

Nasdaq Inc. · Q3 2024 earnings

Q3 2024 earnings · · Investor relations

Briefing

Nasdaq reported strong Q3 2024 results, driven by double-digit solutions revenue growth and the Adenza acquisition.

Nasdaq reported Q3 2024 net revenue of $1.1 billion, a 22% increase year-over-year, with Solutions revenue up 26%. The company's GAAP diluted EPS decreased by 11%, while non-GAAP diluted EPS increased by 5%. Nasdaq returned $138 million to shareholders through dividends and $88 million through share repurchases.

  • Net revenue increased by 22% year-over-year, reaching $1.1 billion.
  • Solutions revenue grew by 26% compared to the prior year period.
  • ARR increased by 31% year-over-year.
  • Financial Technology revenue increased by 56% over the third quarter of 2023.

Headline financials

Total Revenue

$1.9B

Previous: $1.45B+31.1%
EPS (adj)

$0.74

Previous: $0.71+4.2%
Capital Expenditures

-$147M

Previous: -$116M-26.7%
Free Cash Flow

$159M

Previous: $178M-10.7%
Net Income

$306M

Previous: $294M+4.1%
Operating Income

$448M

Previous: $431M+3.9%
Gross Profit

$1.15B

Previous: $940M+21.9%
Cash & Equivalents

$266M

Previous: $5.34B-95.0%
Total Assets

$30.6B

Previous: $24.4B+25.5%
Stock-Based Comp

$36M

Previous: $30M+20.0%

Revenue & EPS history

Nasdaq · Revenue · Quarterly

$1.9B

Q3 2024+31.1%vs Q3 2023
Beat estimate in 14 of 15 quarters(93%)
ActualEstimate

Revenue by segment

Nasdaq · $236M total across 1 segment · Q3 2023

  • Market Services
    $236M-22.6%

Forward guidance

Nasdaq is updating its 2024 non-GAAP operating expense guidance to a range of $2,150 million to $2,180 million, and is updating its 2024 non-GAAP tax rate guidance to be in the range of 23.5% to 24.5%.

Tailwinds

  • The company is actioning more than 80% of its net expense synergy target.
  • Nasdaq continues to delever ahead of plan.
  • Nasdaq reached new milestones in deploying AI tools and products.
  • The company launched an internal Generative AI platform with custom-built efficiency tools.
  • Calypso also announced an AI-based solution for X-Value Adjustments (XVA) with up to 100 times faster processing speeds.

Headwinds

  • U.S. GAAP operating expense and tax rate guidance are not provided due to the inherent difficulty in quantifying certain amounts due to a variety of factors including the unpredictability in the movement in foreign currency rates, as well as future charges or reversals outside of the normal course of business.
  • Forward-looking statements involve a number of risks, uncertainties or other factors beyond Nasdaq’s control.
  • Economic, political and market conditions and fluctuations, geopolitical instability, government and industry regulation, interest rate risk, U.S. and global competition could affect the results.
  • Nasdaq's ability to implement its strategic initiatives could affect the results.
  • Any litigation or regulatory or government investigation or action to which we are or could become a party could affect the results.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2024

Historical avgQ3 2024

+0.8%

Avg return

Earnings day

+0.3%

Avg return

5 days after

+1.8%

Avg return

30 days after

58%

40 / 69 earnings

Positive

+9.4%

Q1 2011

Best reaction

-6.4%

Q1 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.0%+5.7%+5.4%
Q4 2025-1.3%-11.1%-11.3%
Q3 2025+1.6%-0.5%-2.1%
Q2 2025-0.2%-1.8%-1.7%
Q1 2025+1.7%+3.3%+11.3%
Q4 2024+0.7%+0.9%+2.0%
Q3 2024+1.1%+2.7%+9.7%
Q2 2024+6.7%+10.2%+12.1%
Q1 2024-2.2%-2.7%+1.2%
Q4 2023-2.3%-4.2%-3.3%
Q3 2023+2.7%-0.2%+7.1%
Q2 2023-3.4%-0.6%+0.8%
Q1 2023+1.6%+1.7%-0.5%
Q4 2022-2.9%-3.7%-7.9%
Q3 2022-0.6%+2.7%+14.5%
Q2 2022+9.2%+8.0%+17.4%
Q1 2022-6.4%-8.0%-19.3%
Q4 2021-1.5%+2.4%-1.3%
Q3 2021-4.8%-3.5%-0.5%
Q2 2021+2.5%+3.1%+4.3%
Q1 2021+0.0%+0.2%+2.6%
Q4 2020-1.5%-1.8%-2.0%
Q3 2020+0.8%-1.2%-2.1%
Q2 2020+0.3%-0.4%-0.8%
Q1 2020-1.3%+6.0%+9.6%
Q4 2019+4.3%+6.0%-7.7%
Q3 2019+3.2%+0.9%+6.7%
Q2 2019-3.2%-4.2%-3.3%
Q1 2019-0.2%+2.0%+0.4%
Q4 2018+2.6%+1.3%+7.2%
Q3 2018+2.4%+3.0%+7.6%
Q2 2018-1.2%-2.9%-0.5%
Q1 2018+2.2%+2.4%+7.6%
Q4 2017-0.6%-5.4%-1.5%
Q3 2017-1.6%-1.4%+5.2%
Q2 2017+2.2%+2.2%+4.1%
Q1 2017-2.6%-3.0%-4.2%
Q4 2016+3.7%+3.2%+4.5%
Q3 2016-3.6%-3.6%-1.0%
Q2 2016+3.5%+4.3%+2.9%
Q1 2016-2.4%
Q4 2015+6.4%
Q3 2015+6.2%
Q2 2015+0.3%
Q1 2015-0.6%
Q4 2014+1.3%
Q3 2014-0.8%
Q2 2014+2.9%
Q1 2014-1.5%
Q4 2013+0.2%
Q3 2013+6.2%
Q2 2013-1.8%
Q1 2013+0.9%
Q4 2012+2.5%
Q3 2012-1.1%
Q2 2012+6.3%
Q1 2012-0.9%
Q4 2011+2.1%
Q3 2011+1.3%
Q2 2011-2.9%
Q1 2010+0.0%
Q1 2011+9.4%
Q4 2008+1.5%
Q4 2010+1.5%
Q3 2009+1.8%
Q3 2010+1.8%
Q2 2010+1.3%
Q4 2009+1.3%
Q2 2009+1.3%

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