Nasdaq posts higher-than-expected quarterly profit

Earnings Reuters

(Reuters)

Exchange operator Nasdaq Inc reported a better-than-expected quarterly profit, helped by a jump in revenue in its market services business that oversees transactions, clearing and settlement services.

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The company's net income rose to $147 million, or 87 cents per share, in the second quarter ended June 30 from $70 million, or 42 cents per share, a year earlier.

Excluding one-time items, Nasdaq earned $1.02 per share, beating the average analyst estimate of 96 cents, according to Thomson Reuters I/B/E/S.

Revenue from market services, the company's biggest business, rose 16.5 percent to $620 million.

The company's results were also helped by its focus on growing its information services and market technology businesses.

Nasdaq recently offered to buy Sybenetix, a London-based startup that uses artificial intelligence to help compliance officers at asset management firms analyze the behavior of their traders in order to prevent market abuse.

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The company's revenue from information services unit rose 7.5 percent to $144 million, while revenue from its market technology unit was up 4.3 percent at $72 million.

Revenue, excluding transaction-based expenses, rose 7.7 percent to $602 million, while operating expenses fell 7 percent to $358 million. (Reporting by Diptendu Lahiri in Bengaluru; Editing by Sai Sachin Ravikumar and Anil D'Silva)

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