Nasdaq Surges: 15% Revenue Jump, Record Assets Under Management

Nasdaq Inc. has achieved a landmark milestone, surpassing $1 trillion in assets under management within its Index business for the first time. This accomplishment coincides with a robust financial period, marked by a 15% year-over-year increase in net revenue, reaching $1.5 billion, and a 17% rise in solutions revenue, totaling $1.2 billion. Annualized Recurring Revenue (ARR) also saw a healthy 12% increase, amounting to $3.3 billion.

The exchange operator facilitated the historic SpaceX IPO, the largest in history, further solidifying its position as a leading global financial marketplace. Nasdaq's Financial Technology division demonstrated significant strength, with an 18% revenue growth in Capital Access Platforms and a 15% increase in Financial Technology revenue, alongside a 16% ARR growth. Free cash flow for the second quarter was reported at $477 million.

However, the company is navigating increased operating expenses, which rose by 10% primarily due to higher employee compensation and marketing costs. Challenges in expanding its Verafin business internationally are attributed to prolonged sales cycles in new regions. Nasdaq also faces a potential headwind from a revenue mix shift in derivatives, moving from higher-priced E-mini contracts to lower-priced Micro E-mini contracts.

In its investor call on July 23, 2026, Nasdaq executives discussed AI monetization strategies, indicating a product-by-product approach. Some AI capabilities are integrated into core offerings, while others are offered as premium modules. The company expressed encouragement as clients transition from free to paid AI subscriptions.