The Nasdaq brand is displayed on the Nasdaq Market website in Instances Sq. in New York Metropolis, U.S., December 3, 2021. REUTERS/Jeenah Moon/File Photograph
April 20 (Reuters) – Nasdaq Inc (NDAQ.O) topped Wall Avenue estimates for first-quarter revenue on Wednesday, pushed by strong demand for its investment- and market technology-related merchandise that offset a lull in preliminary public choices.
The inventory trade operator has diversifiedunder Chief Govt Officer Adena Friedman, repositioning as a monetary know-how firm with an increasing footprint within the software program sector, providing analytics, knowledge and cloud providers.
Revenues from the New York-based firm’s market providers section eased 6% to $315 million from a file quarter final 12 months, whereas the corporate’s options section, which additionally contains anti-financial crime and environmental, social, and governance advisory merchandise, rose 15% to $576 million.
Internet income was up 5% at $892 million.
Sanctions towards Russia over its invasion of Ukraine boosted demand for Nasdaq’s anti-financial crime merchandise from massive banks, Friedman stated on a name with analysts.
“When the sanctions hit, they had been shortly capable of replace and improve the sanction module that we have had within the product for some time to essentially replicate the most recent sanctions,” she stated.
The conflict in Ukraine, together with rising rates of interest and weak point in excessive progress know-how shares, had a dampening impact on U.S. IPOs.
Nasdaq hosted 70 IPOs within the quarter, together with the largest market debut this 12 months of personal fairness agency TPG (TPG.O), however that was down from 275 inventory market flotations a 12 months earlier.
Nasdaq additionally stated it was looking for regulatory and shareholder approvals for a 3-for-1 inventory cut up which it expects to finish within the third quarter.
In keeping with different monetary firms which have felt the pinch of inflationary pressures, Nasdaq’s adjusted working bills rose 9%, reflecting prices tied to greater worker compensation and advantages.
Excluding one-time objects, Nasdaq earned $1.97 per share, above analysts’ common estimate of $1.95 per share, in accordance with IBES knowledge from Refinitiv.
Reporting by Manya Saini in Bengaluru and John McCrank in New York; Modifying by Vinay Dwivedi and Bernadette Baum
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