Nasdaq beats Q3 expectations as Solutions revenue tops $1 billion

NEW YORK - On Tuesday, Nasdaq, Inc. (NASDAQ:NDAQ) reported third-quarter earnings that exceeded analyst expectations, with revenue growth across all divisions driving a 19% increase in adjusted earnings per share.

The stock edged down 0.41% in pre-market trading following the results.

The exchange operator posted adjusted earnings of $0.88 per share, beating the analyst consensus of $0.85. Revenue came in at $1.315 billion, surpassing estimates of $1.3 billion and representing a 15% increase from the same period last year, or 11% on an organic basis.

Financial Technology revenue grew 23% to $457 million, while Index revenue increased 13% to $206 million, benefiting from $17 billion in net inflows during the quarter.

"Nasdaq achieved significant milestones in the third quarter, with Solutions quarterly revenue surpassing $1 billion and annual recurring revenues reaching $3 billion for the first time," said Adena Friedman, Chair and CEO. "This achievement reflects our successful transformation into a leading technology platform."

Market Services net revenue rose 14% YoY to $303 million, driven by record U.S. derivatives revenue and strong performance in U.S. cash equities. The company reported that the industry saw six of the 10 highest options contract volume days in history during the quarter.

Nasdaq returned $155 million to shareholders through dividends and repurchased $115 million of common stock during the quarter. The company also repurchased $69 million of senior unsecured notes.

For the full year 2025, Nasdaq updated its non-GAAP operating expense guidance to a range of $2,305 million to $2,335 million, slightly raising the lower end from the previous $2,295 million. The company also lowered its non-GAAP tax rate guidance to 22.5% to 23.5% due to certain discrete items that reduced the tax rate in the third quarter.

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