Transatlantic exchange operator Nasdaq OMX Group reported higher second-quarter earnings on Thursday, exceeding analysts' estimates, as cost cuts offset the negative effects of changes in foreign exchange rates. Net income attributable to Nasdaq in the quarter ended June 30 totaled $133 million, or 77 cents per diluted share, up from $101 million, or 59 cents, a year earlier.
Excluding one-time items, such as restructuring charges and currency headwinds, Nasdaq earned 83 cents a share, topping analysts' average estimate by 3 cents, according to Thomson Reuters I/B/E/S. Revenue fell 1 percent to $518 million, mainly due to the impact of foreign exchange rate fluctuations. Analysts had expected $513.63 million.
Operating expenses fell 9.3 percent to $301 million.
Market services revenue at Nasdaq fell 4.1 percent to $189 million. Of that segment, cash equities revenues grew, helped by higher US and European volumes, while access and broker services, fixed income and derivatives revenues declined, due in part to negative foreign exchange impacts. Technology solutions revenue, including corporate solutions and market technology, fell 5.6 percent to $135 million. Information services revenue, which includes market data and index licensing and services, rose 4.1 percent to $128 million, helped by the recent acquisition of data analytics firm Dorsey Wright. Listing services revenue jumped 10 percent at $66 million, as more companies listed on Nasdaq in both the United States and Europe.