# Nasdaq, Inc. (NDAQ) Q2 2025 Financial Results Summary
Nasdaq, Inc. (NDAQ) released its financial results for the second quarter of 2025 on July 24, 2025. The company reported strong growth across multiple divisions, reflecting significant momentum in its operations.
### Key Financial Highlights
– **Net Revenue**:
– Q2 2025: $1.3 billion
– Change: +13% vs. Q2 2024 (up 12% on an organic basis)
– **Annualized Recurring Revenue (ARR)**:
– Q2 2025: $2.9 billion
– Change: +10% vs. Q2 2024 (up 9% organically)
– **SaaS Revenue**:
– Growth: +13% overall; up 12% organically
– Contribution to ARR: 37%
– **Solutions Revenue**:
– Q2 2025: $991 million
– Change: +10% vs. Q2 2024
– **Financial Technology Revenue**:
– Q2 2025: $464 million
– Change: +10% vs. Q2 2024
– **Index Revenue**:
– Q2 2025: $196 million
– Change: +17% vs. Q2 2024
– Notable Inflows: $88 billion over the trailing twelve months and $20 billion in Q2 2025
– **GAAP Diluted Earnings Per Share (EPS)**:
– Q2 2025: $0.78
– Change: +103% vs. Q2 2024
– **Non-GAAP Diluted EPS**:
– Q2 2025: $0.85
– Change: +24% vs. Q2 2024
### Cost and Expenses
– **Operating Income**:
– Q2 2025: $568 million
– Change: +34% vs. Q2 2024
– **Operating Expenses**:
– GAAP: $738 million (in line with Q2 2024)
– Non-GAAP: $585 million
– Change: +9% vs. Q2 2024 (up 8% on an organic basis)
### Cash Flow and Shareholder Returns
– **Cash Flow from Operations**: $746 million in Q2 2025
– **Total Returned to Shareholders**:
– Dividends: $155 million
– Share Repurchases: $100 million
– **Debt Repayment**: $400 million of senior unsecured notes during Q2 2025
– **Remaining Under Share Repurchase Program**: $1.5 billion as of June 30, 2025
### Year-over-Year Growth Summary
– **Net Revenue Growth**: 13%
– **Organic Net Revenue Growth**: 12%
– **Solutions Revenue Growth**: 10%
– **Market Services Revenue Growth**: 22% (21% organic growth)
– **ARR Growth**: 10% (9% organic growth)
– **Financial Technology ARR Growth**: 12% (11% organic growth)
– **Market Services and Financial Technology Growth**: 10% each
### Forward-Looking Statements
Management believes that its business model shows resilience and outstanding growth potential, as evidenced by its substantial cash flow generation and capital allocation strategies. The company will continue to focus on innovation and enhancing client relationships moving forward.
This quarter’s solid performance reflects Nasdaq’s effective market engagement and its commitment to driving operational efficiency and strategic growth initiatives across its divisions.
### Conclusion
Overall, Nasdaq’s Q2 2025 results demonstrate strong financial performance, marked by significant revenue growth, robust earnings, and a commitment to shareholder returns through dividends and stock repurchases. The company continues to position itself effectively within the financial technology landscape, navigating market dynamics to deliver sustainable growth.
### Nasdaq, Inc. Condensed Consolidated Statements of Income (in millions, except per share amounts) (unaudited)
| Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | |
|---|---|---|---|---|
| Revenues: | ||||
| Capital Access Platforms | $527 | $481 | $1,042 | $960 |
| Financial Technology | $464 | $420 | $896 | $813 |
| Market Services | $1,090 | $883 | $2,224 | $1,678 |
| Other Revenues | $9 | $8 | $18 | $18 |
| Total revenues | $2,090 | $1,792 | $4,180 | $3,469 |
| Transaction-based expenses: | ||||
| Transaction rebates | $(629) | $(483) | $(1,208) | $(965) |
| Brokerage, clearance and exchange fees | $(155) | $(150) | $(429) | $(227) |
| Revenues less transaction-based expenses | $1,306 | $1,159 | $2,543 | $2,277 |
| Operating Expenses: | ||||
| Compensation and benefits | $352 | $328 | $681 | $669 |
| Professional and contract services | $39 | $39 | $75 | $72 |
| Technology and communication infrastructure | $79 | $69 | $156 | $135 |
| Occupancy | $30 | $27 | $58 | $56 |
| General, administrative and other | $23 | $30 | $29 | $58 |
| Marketing and advertising | $14 | $12 | $28 | $23 |
| Depreciation and amortization | $158 | $153 | $313 | $308 |
| Regulatory | $14 | $18 | $29 | $28 |
| Merger and strategic initiatives | $20 | $4 | $44 | $13 |
| Restructuring charges | $9 | $56 | $15 | $82 |
| Total operating expenses | $738 | $736 | $1,428 | $1,444 |
| Operating income | $568 | $423 | $1,115 | $833 |
| Interest income | $12 | $6 | $24 | $12 |
| Interest expense | $(95) | $(102) | $(192) | $(211) |
| Net gain on divestitures | $39 | $- | $39 | $- |
| Other income | $1 | $12 | $- | $13 |
| Net income from unconsolidated investees | $23 | $2 | $50 | $6 |
| Income before income taxes | $548 | $341 | $1,036 | $653 |
| Income tax provision | $96 | $119 | $190 | $198 |
| Net income | $452 | $222 | $846 | $455 |
| Net loss attributable to noncontrolling interests | $- | $- | $1 | $1 |
| Net income attributable to Nasdaq | $452 | $222 | $847 | $456 |
| Per share information: | ||||
| Basic earnings per share | $0.79 | $0.39 | $1.47 | $0.79 |
| Diluted earnings per share | $0.78 | $0.38 | $1.46 | $0.79 |
| Cash dividends declared per common share | $0.27 | $0.24 | $0.51 | $0.46 |
| Weighted-average common shares outstanding for earnings per share: | ||||
| Basic | 574.1 | 576.4 | 574.6 | 575.9 |
| Diluted | 579.0 | 579.0 | 579.5 | 578.9 |
### Nasdaq, Inc. Condensed Consolidated Balance Sheets (in millions)
| June 30, 2025 | December 31, 2024 | |
|---|---|---|
| Assets | ||
| Current assets: | ||
| Cash and cash equivalents | $732 | $592 |
| Restricted cash and cash equivalents | $195 | $31 |
| Default funds and margin deposits | $5,218 | $5,664 |
| Financial investments | $84 | $184 |
| Receivables, net | $896 | $1,022 |
| Other current assets | $227 | $293 |
| Total current assets | $7,352 | $7,786 |
| Property and equipment, net | $656 | $593 |
| Goodwill | $14,328 | $13,957 |
| Intangible assets, net | $6,741 | $6,905 |
| Operating lease assets | $441 | $375 |
| Other non-current assets | $865 | $779 |
| Total assets | $30,383 | $30,395 |
| Liabilities | ||
| Current liabilities: | ||
| Accounts payable and accrued expenses | $246 | $269 |
| Section 31 fees payable to SEC | $411 | $319 |
| Accrued personnel costs | $280 | $325 |
| Deferred revenue | $848 | $711 |
| Other current liabilities | $154 | $215 |
| Default funds and margin deposits | $5,218 | $5,664 |
| Short-term debt | $500 | $399 |
| Total current liabilities | $7,657 | $7,902 |
| Long-term debt | $8,678 | $9,081 |
| Deferred tax liabilities, net | $1,540 | $1,594 |
| Operating lease liabilities | $453 | $388 |
| Other non-current liabilities | $237 | $230 |
| Total liabilities | $18,565 | $19,195 |
| Commitments and contingencies | ||
| Equity | ||
| Nasdaq stockholders’ equity: | ||
| Common stock | $6 | $6 |
| Additional paid-in capital | $5,425 | $5,530 |
| Common stock in treasury, at cost | $(706) | $(647) |
| Accumulated other comprehensive loss | $(1,869) | $(2,099) |
