Nasdaq Touts 10% Revenue Growth In Q4, Sets 2025 Expense And Tax Guidance

Nasdaq, Inc NDAQ reported fourth-quarter revenue growth of 10% year-on-year to $1.227 billion, beating the analyst consensus estimate of $1.226 billion.

The financial services company reported adjusted EPS of 76 cents, which beat the analyst consensus estimate of 75 cents. However, the stock price slid after the print.

Nasdaq’s Annualized Recurring Revenue (ARR) increased 7% year-over-year to $2.77 billion.

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Solutions revenues were $949 million, up by 10% Y/Y, reflecting strong growth from Index and Financial Technology.

Market Services net revenues were $268 million, up 8% Y/Y. Financial Technology revenues grew by 10% Y/Y to $438 million. Index revenues climbed 29% Y/Y to $188 million.

Nasdaq generated $705 million in operating cash flow and held $623 in cash and equivalents as of December 31, 2024.

Chair and CEO Adena Friedman said 2024 was a transformative year for Nasdaq. With the integration of AxiomSL and Calypso essentially complete, the company made progress executing well across its strategic priorities, including driving cross-sell opportunities, innovating across its solutions, and expanding client relationships with its One Nasdaq strategy.

2025 Outlook: Nasdaq initiated adjusted operating expense guidance of $2.245 billion-$2.325 billion and adjusted tax rate guidance of 22.5%-24.5%.

Price Action: Nasdaq stock is down 4.72% at $77.36 at the last check Wednesday.

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