On October 18, 2023, Nasdaq Inc (NDAQ, Financial) released its financial results for the third quarter of 2023. The company reported broad-based growth, with a notable 9% increase in Solutions Businesses Revenues, reaching $694 million. However, Trading Services Net Revenues saw a slight decrease of 1%, settling at $236 million. Overall, Net Revenues increased by 6% to $940 million, while GAAP Diluted EPS rose by 2% to $0.60.
Company Performance and Future Prospects
Nasdaq's CEO, Adena Friedman, commented on the company's performance, stating:
“Our third quarter 2023 results reflect Nasdaq’s solid execution amid a continued dynamic economic and capital markets backdrop. We experienced some improvement in the IPO environment by welcoming marquee IPOs, we continued to broaden our Anti-Financial Crime clientele, and we introduced new innovations to our products and services."
She also mentioned the company's upcoming acquisition of Adenza, which is expected to close in the fourth quarter of 2023. This acquisition is anticipated to deepen client relationships and expand Nasdaq's role as a leading financial technology provider to the global financial system.
Financial Review and Guidance
Ann Dennison, Executive Vice President and CFO, highlighted the company's strong cash flows and preparedness to execute its capital plan. The plan includes paying down debt, increasing dividends, and repurchasing shares in the coming quarters to achieve financial goals with the announced Adenza acquisition.
Looking at the company's condensed consolidated statements of income, Nasdaq reported total revenues of $1.45 billion for the third quarter of 2023, compared to $1.56 billion for the same period in 2022. The company's net income attributable to Nasdaq remained steady at $294 million.
Conclusion
In conclusion, Nasdaq Inc (NDAQ, Financial) has demonstrated solid performance in Q3 2023, with broad-based growth driving revenue acceleration. The company's future prospects look promising, with the upcoming acquisition of Adenza and a strong capital plan in place. As Nasdaq continues to innovate and expand its services, it remains a significant player in the global financial system.
