Surging Trading Volumes Drives Nasdaq Profits up 23% to $1.90 EPS

Surging Trading Volumes Drives Nasdaq Profits up 23% to $1.90 EPS

(Nasdaq) Nasdaq Inc. announced a profit of $ 1.90 EPS, a 23% increase compared to $1.54 EPS from the second quarter of 2020. The result beat a market forecast of $1.75 per share.

Nasdaq’s rosy earnings are attributed to an increase in trading volumes and the re-opening of the economy.

Nasdaq Inc.’s revenue was $846 million in the second quarter of 2021, up 21% from $699 million reported in the same period last year.  

The company undertook 135 IPOs during the quarter, an equivalent of $32 billion in capital raised. In the IPO, 88 were operating companies while 47 were special purpose acquisition firms.

Market services segment was the largest contributor to Nasdaq’s revenue at $312 million in the quarter, a 13% increase year over year.

Nasdaq repurchased $248 million worth of common stock in the same quarter to bring the total buyback YTD to $410 million in common stock shares. 

The board approved authorized share repurchases of up to $1.5 billion last month.

NASDAQ 100 is up +0.40%.

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