NDAQ - Earnings call transcript Q1 2024

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Operator

Good day and thank you for standing by. Welcome to Nasdaq's First Quarter 2024 Results Conference Call. [Operator Instructions] Please be advised that today's conference is being recorded.

I would now like to hand the conference over to your first speaker today, Ato Garrett, Senior Vice President, Investor Relations. Please go ahead.

Ato Garrett

thank Quarter joining XXXX and discuss today everyone, First Nasdaq's Financial morning, you us for to Good Results.

John our On our the and for prepared Financial other Youngwood, team. the Regulatory the line remarks, Chair Friedman, Chief Officer; Chief After and Chief members Q&A. Risk line Executive Officer; Officer; are and Zecca, our Adena we management open Legal, of Sarah will

on of our website The material website. intend press presentation release complying the means and to under and as information are a obligations Regulation disclosing earnings nonpublic use disclosure We with FD.

like materially and results is you constitute these with Litigation future reports that differ Actual to events concerning I of statements statements would factors results differ to release during Reform Act cause and expectations statements meaning the remind Securities from forward-looking in forward-looking and XXXX. press this Information Private periodic may presentation and could our projections. relate actual to within filed certain SEC. may Q&A in the that from contained of the

The related these changes the AxiomSL to Solutions Financial this references of the quarter impact divestitures, the FX substantially within acquisitions rates will businesses and is are all exclude included any organic impact Calypso. which of growth and of Further, financial revenue, in results and to in Technology division.

if results at in our Financials press the located can as on FX the Investor in forma in basis, of the excluded rates. Reconciliations pro results a the which in found release quarter included note please results AxiomSL XXXX impact we discuss Relations we a and U.S. that our as are that of to financial in Also website first of Calypso non-GAAP results file GAAP ir.nasdaq.com. showing changes as certain section will means and we've well be

to will call turn the I now Adena. over

Adena Friedman

morning, everyone. for And Thank joining Ato. Thank you you, good us.

as highlights the cross-sell outlook call our financial I quarter our results. environment. our from Sarah innovation remarks and on and the well on synergies. of with environment following I'll our including review outlook areas: progress for start operational then economic will external current cover as the turn financial Today, efforts to key updates our over performance, first will on my a and milestones

including economic labor that spending The in data, benefits from consumer trends. U.S. as Recent risks adoption resilience a despite performance performing strength, well productivity outpace the higher remains economy other has and other U.S. cost suggests heightened sustained projected resilient U.S. the of growth sector-specific generally future force This reflecting markets potential and the that capital. strength well, of are economy the that derive economies. AI U.S. and as generative advanced geopolitical to

to economists a expect U.S. continue As soft in such, the lending

manufacturing Europe. Although shows in other seeing data and are improvement recent growth, services, economies particularly in slower advanced

and for has trended begin markets, over in persistence Global globally. last some for sharply moderates the to show decline year inflation year, rates a it Markets which signs new corporates of most estate positive the as including be still expecting although lower are this will homebuyers. to major is later sector, to real starting it

the of of strength with XX -- IPOs market uptick $X the X the highlighted the U.S. billion. quarter, In by markets, experience in to we've company IPO markets in With an activity. in operating the first IPOs, caps years, in excess begun welcomed X most

the an improvement recent most indicators X capital in months. we Additionally, seeing our Nasdaq leading activity Pulse equity over continue to of public we're improve, in Index, raising IPO coming suggesting X future referenced U.S. environment IPO as of out the

strong enter companies be economic lines a healthy their upon at public dependent year time pipeline of the will As preparing to towards we performance. But Nasdaq, look remainder the continued see exciting the markets. and of market we

key the client transformation Nasdaq's cycles, the environment, platform markets, to at evidenced to megatrends, aligned on today. resilience of for towards the that in look through modernization capitalize uniquely business our our well services Solutions is we'll by and with sustainable economic diversified are our continue management, increasing landscape, our which positioned cover strong, closer business succeed attractive We've as we quarter business financial the call and revenues. against to we growth risk a of where investment in growth industry-shaping on drive investment throughout capitalize our sustainability through opportunities sustained Taking positioned first double-digit performance solid demand,

recently on common Before to offering Nasdaq completed results, we move financial of our Dubai's mention stock. secondary Borse to want I

of sold Borse outstanding. X% shares representing their of approximately stake Specifically, a position Dubai Nasdaq's total

transaction secondary oversubscribed an strong closed XX in investor demand priced March on and transaction. resulting with on March The XX,

Following the hold Nasdaq's outstanding. to over total of continues just XX% transaction, Borse shares Dubai

Additionally, will Essa the Board of Kazim, Borse as of continue valued member Chairman Dubai, Directors. of a Nasdaq's

partner is will spanning many to provider their to Borse forward insights and to our path We brand Nasdaq their with continue multifaceted, as have contributions shareholder Dubai be to a relationship continued Dubai. Borse ahead. of technology Our as and shape years, support a and trusted Nasdaq, look and continues

businesses pleased we Turning Nasdaq's in to quarter revenues. first the double-digit for to $X.X first strong now In XXXX of our financial achieved Solutions performance the growth quarter, financial share solid with results. I'm forma pro prior X% our basis. revenue quarter delivered XX% the billion forma the across in of year net pro revenues, compared a on Solutions during growth quarter. an to increase We

strong had quarter. across performance Index to business our Technology a our in addition Financial division, the stellar performance In

delivering operating on a investments a pro recurring quarter. to percentage leverage This revenue, of when prior point quarter year the a year-over-year on represents both and ARR, and basis a supported basis for the X% annualized billion. X pro Our $X.X operating forma Across Adenza. increased the margin continued we growth forma XX% company, against or while revenue excluding

illustrates value shareholders Our our against delivering our growth operating the our solid vision, dynamic quarter environment. XXXX continued amid to to performance clients ability of in strategic first and execute and a

accomplishments Capital operational of client successes and with starting division, the our Platforms. review Now by highlights let's Access

outstanding delivered by Index highlighted we our business. Access In performance growth XX% Platforms in the Capital division,

strong the Nasdaq-XXX in multiple the first an our at business the record to quarter. The highs pleased subsequent and Index the that XXXX, threshold market finishing And With the exceptional times beginning quarter. XXXX momentum we are close rally had the during of during billion. announce for overall business first crossed to time ETP billion period at in $XXX our the the reached quarter, Index AUM $XXX

XX this months, the just $XX inflows, last net including billion Over we alone. billion of saw quarter $XX

new We distribution. on also Nasdaq XX products demonstrating indices, and focus our to global clients innovation worked tracking steadfast with launch

core represents a the contributed to momentum that business will year-over-year This revenue XX% quarter describe. item in delivering XX% Sarah growth, well which as growth our onetime Index as

innovative also Invesco of within than index. ETF, access XXth providing the of This the the representing marked anniversary of with quarter more Nasdaq-XXX world's most investors QQQ some our X companies to decades

investor In our we which milestone, improve efforts etf.com, to to introductions, by and further to through addition innovation, honored be were named this Year performance support. validates the product Index the of outcomes Provider

Our Kaspi.kz, operating considering Data XX nearly rate billion total, business proceeds, and raising BrightSpring Astera growth the achieved and including U.S. Labs company business we operating company Listings year-over-year, business a a In from listings. our $X our offset and Health. first quarter, global X% muted IPOs, win headwinds was by listings welcomed in delistings Nasdaq-eligible as in was IPO up data when environment. In XX%

the billion to Nasdaq $X X market addition, including their value quarter, in listings representing during switched In SAIC. companies,

capabilities the progress experience enterprise to by frictionless of our customers growth expansion with new multiple business, agreements, data In additional global the for creating importance strategy, our continue our data base. make with of we driven with delivery client signing international reflecting a to

weakness continued will Turning XXXX. our business, We to lower Corporate continue which in as an our and Workflow X% saw sales in have impact Insights on year-over-year. Solutions to performance in grew financial XXXX

the X meaningfully starting longer the of months, they cycles to what improve half While have continue experienced than be last in XXXX. our first XXXX over sales been we and to

a by persistent are sales New environment. also -- IPO slower lower impacted

demonstrate to few of of listed our IR markets. value to had the the complementary experience months a public able generally and are solutions beyond to newly IPO ESG the once they've We package rigor companies the

any improving for market Corporate business. the an that quarters take and While we're may translate results of IPO sales coming in improvements we our experience environment, will IPO Solutions to time signs by into the revenue encouraged improving early

in one single-digit our our largest quarter. In strategic achieved the Mercer, high business, to And of deepen alliance continued with the we growth Analytics global we investment consultants.

management for and the Analytics Mercer our ESG assessment asset asset community and During forward. deepen partnerships diligence the going insights additional our expand see process. new expansion into their manager to this and eVestment quarter, incorporated excited with about opportunity We're

Analytics and Corporate strategic data Across Solutions, proprietary both remains differentiator. a our

our eVestment to growth And Market continue products are For innovative develop we our example, and that Link in to solid Data offered traders in offerings Lens product through our we in attractive investment community. the Analytics, have platform. data

focused Nasdaq through of ICONIC workflow Solutions, a Lab planned In advancing with AI-enabled Boardvantage AI also series Microsoft's AI. on use Corporate with our enhancing We're and of products tools on AI-powered Incubation we're features. are collaborating the

As creates supports part feature in secretaries that this preparing and in We're new we're capability for currently and Board members with this summarizing partnership, Board executive a testing summaries corporate launching a of clients beta documents. release.

operate quarter. the new very across that help strategic Technology Turning that encouraged in navigate complexities can engagement more clients with growth strong view Overall, our for the across next We reinforces Financial we're financial looking delivered efficiently. division, are further and system the response to the the XX% client division. the and our partners which them

on part invest Financial the the offerings City is clients trusted conference on the organization, accounts. both the that and Feedback brought them commercial will and and strategy more hosted This offerings of comprehensive new and and AxiomSL York modernization Nasdaq's environment. owner currently a Axiom and Nasdaq in map team Technology The mitigate, belief month. from was and the highlighting for on right As product clients today's XXX their next the event, in the clients positive, first-ever event transition Nasdaq is partner Calypso Calypso businesses were we the to that manage has Calypso conversations the this than of that from the of solutions. help over capitalize New our Nasdaq, XX educated pursuing. road earlier AxiomSL fuel created wave the together suite to Through of

among where starting over position signing Management growth financial small- Technology Now and let's our we achieved turn the XX leadership to We revenue and quarter. institutions, XX% ARR quarter. during our Financial new performance advanced medium-sized year the highlights, with business, the prior XX.X% Crime clients growth

each and we a we the of to pipeline targets year. fourth bookings is quarter progress the biggest strong a as sales execute on As year, reminder, our have quarter through

offers improve fight We also research, through automates workflows Research -- Entity more fully to summarization calling tasks financial Copilot. documentation, crime-fighting our automating that -- efforts allow with AWS, our Verafin continue and to their increasing full resources advance AI investment activities offers to with AI is offered production first and related generative higher-value to gains the tool, that to first -- This launch efficiency. crime we're Bedrock investigator fight of headcount without of enables shift and against scale of them our banks tools to the platform investigations. efficiency By complex copilot and to the at which significant

by bank a up to through encouraged in out announced results, the which beta We're these last and time clients. Verafin solutions, review availability solutions these and second showed rolling we week -- enhanced rolled new delivers out legacy to in capability investigators approaches. that through our production alert to early we're XX% moving half full compared enhanced We to reduction for year, user this Verafin in program all a of of this

in discuss grew Markets Technology Markets management Capital is services, our X% Calypso year-over-year, technology Calypso comprised of Technology, growth Overall, ARR. businesses. trade with which the and Next, X% Capital I'll quarter. performance, particularly new solutions. with demand in during strong growth the demonstrating our sale Calypso total had upsells and both client and a had for strength XX revenues ARR client X market

in early of and looking products. across synergies these executed a journey opportunities the to connector client Calypso which X our with the opportunity AxiomSL, who unlocking the on cross-sell adopt division, we're While data between highlights was between we an a

in We tough decline comparable in challenging Now professional had but a clients customers. of in to more quarter significant XXXX. a large market services next-generation due revenue fee the agreements technology, that XXXX. a a quarter, custody risk experienced received quarter We delivery a of ARR and leading our and first solid market bringing Within largely from launched strategy we platform. growth the markets primarily modernize engine signed by matching platform X upgrade in because our the we quarter, to accelerated technologies to our during clearing to Nasdaq provider to to technology global we

is which of delivered now XX% Technology Regulatory businesses where our comprised turn to AxiomSL our business, Let's surveillance we growth. and

experienced had The throughout X and Our renewals upsells quarter. and client product new the the AxiomSL quarter XX sale. during first business strong sales

With X business, to end represents in the the upsells, sales from the which with sales XX XX% Across surveillance we had ESG new end total at adoption, our quarter, increase new the we of now saw client during we clients. the had business, G-SIB first X of In cloud quarter. the continued the upsells and last of NTS year. clients cloud an

on many the line continued innovation as strength reflect first we're with We of with outlook announced we our that our pleased in as in across As Technology and delivered Day, medium-term with operational full the product very at Financial well financial we division's quarter, business Investor revenue performance. areas offerings. growth

X quarter, we've Technology Financial go-to-market approach. the the executed highlighting Since Nasdaq on this One our the X cross-sells, including of formation of strength division,

cross-sell the growing pleased of opportunities and we pipeline. addition, have In cross-sell with multiple our we're campaigns share within underway,

our cross-sell showing we're $XXX early such, As progress XXXX towards million-plus target.

a Services, navigating resulting quarter particularly U.S. Market to market as these from retail share from complex the NDX, business share. revenue. with U.S. decline year market multi-listed U.S. volatility quarter, which lower and continued products, to proprietary operator included in in gain activity volume notably where backdrop, had banking the to options equity maintained due lower-revenue new in turbulence #X as The against prior we're strength our over a X% lower-volatility index U.S. system strong to compared increased well the we're first comp, Moving quarter record in and competition experiencing Despite options profile. in And headwinds, XXXX options lead revenues, shifts options. entrants Nasdaq its the a

rollout also across Nasdaq to by its M-ELO, the pleased the on Stock completed be Dynamic mid-May. scheduled XX, rollout we're with April symbols to In launch which the confirm Market, of commenced

investors. to derivatives type the overall our equities, were M-ELO we and products. income our AI-powered add new continues where for Dynamic and to across first greater liquidity market As previously, we've share In value strong continue clients our maintain SEC-approved create to to efficiency discussed capture fill we our through as is and improve order data trading designed rates challenged, be fixed able to analytics and markets Europe,

the tracking Puro.earth With removal markets last to also Puro.earth We as growth we capitalize transparency well this second credits market coming continues efforts expansion standardization markets. the supply services with much-needed removal new and registry carbon a to the global to technology, rapid to advance over we experienced remained continue to bringing And the released our of our as strong bring growing in for the volumes and to quarter, -- transparency, nascent positioned online. as by years. space. Early demand market revenues well greater emerging carbon report mature in past over carbon on

seen across the that all our we've in we forward, build retaining and growth market As markets to NDX position options continue products and in we on move are focused of Puro.earth. leading strong our on our proprietary

line delivered what another Investor to Nasdaq's that the Day. results To quarter environment, were solid including continued we within In provided volatility. in market we're in a we market of well lower outlook a tougher medium-term at with and wrap muted pleased environment can businesses, IPO core up, we control deliver

as our Technology, strong and exceptional Across and well continue our and growth, expectations. Verafin including as in performance. Index with double-digit Calypso Within Solutions progress recent delivered we Technology businesses, AxiomSL of Financial remain Financial results line revenue to acquisitions well

and for to exceptional told, durability across line the All maintain our business With of model uncertain deliver performance with our our our growth expense ability continued company. our performance, environments. discipline, margin profile combined the top we underscores

the financial review call now turn the will details. to I to Sarah over that, With

Sarah Youngwood

good Thank you, Adena. And everyone. morning,

our commentary operating forma financials. and Turning pro noted. will be margins results. non-GAAP unless to year-on-year provided will focus My on And growth basis a rates on

find throughout can metrics earnings all You an the on basis organic same the presentation.

up revenue $X.X point of and up with percentage Turning quarter was expense up results up reported Operating XX%. XX%, X%, of EPS this net margin first revenue an $XXX diluted to of $X.XX. resulted in in XX%. operating Solutions resulting Slide Overall, XX. of EBITDA X X%, with $XXX billion, at million, We our margin million on

for to revenue X% growth Slide of Turning XX forma the pro with quarter.

can settlement revenue included chart, $XX onetime in the of a you bar to results within a Index As recoupment see legal the benefit to last million the related tied revenue. of

Excluding was this, total increased on basis, revenue X%. net net a And X% performance. alpha the

of and alpha included by with offset delisting impacts Capital Overall, The market factors X% capture Index churn level neutral of our with from were X% Platforms quarter, cross-sell in Access X% the Market X% in volumes a market primarily strong from this clients, and beta in low product growth new and lower from clients Services. a X% performance share and Market Services. innovations, decrease a other at existing and

XX. Turning X%. totaled up $X.X ARR billion, to Slide

As IPO and Corporate totaled Analytics you in impacts We points tech, the in fin recall, the X on forma ARR, revenue with strong up XX%. from each up partially Solutions. X% Platforms, offset by in of environment had strength million, growth slower ARR Access sales SaaS Index. Capital with SaaS was delisting, a subdivisions, slower XX% X basis. contributions excludes in Annualized $XXX and related pro the most of of XX% growth of

trading futures which $XXX average. the as roughly strong higher in revenue period achieved market includes results We billion In quarter, review on quarter, or well and Index performance I increased mentioned. highs division benefit averaging Access onetime XX% capture. we Capital excluding growth million, $XXX starting record billion the as volume than or Slide higher XX% for revenue the ETP of This reflecting excluding Let's year AUM, XX%, delivered of onetime the prior XX. benefit. during by $XXX Platforms, XX%, is the

XX billion performance the years. many launched $XX over in including our have of inflows had relevant brand quarter. also innovative last and products we net result of this the billion strength of months, is the $XX Importantly, data, This we and

futures in index revenue micro our partners. rates Nasdaq-XXX Licensing futures reflecting for up also and growth higher capture positive futures and linked by X%, trading volumes, well of higher the options options Nasdaq-XXX to contracts the impact from had high-teens contracts growth as as driven

roll-off listings where initial million year's of Moving Within $XX the pricing the and last X%. IPOs XXXX up of and downgrades. listings, delistings and by revenue revenue was this offset to demand, benefit Listings, global to during by levels The but offset share year's Within will the continue prior didn't data, see year. have driven of ]. Data increase impact was a we material [ impact expansion normal quarter pie by mostly international of

grew the and Analytics revenue and the investment increased community. across single of Workflow trading Insights ability digits, this, our continued Within reflecting data to our monetize high X%. value management

Our Nasdaq. And eVestment valuable Link. Data our proprietary key insights generation alpha is throughout within we data Analytics, to through provide client and

partially by which was The Solutions, Corporate flat offset strength in Analytics in the period. was

of opportunities challenging cycles As levels listing to well we see environment. the due sales elongated as as to the to fewer at comparable continue XXXX sales fourth quarter

Capital division's quarter. growth up alpha XX% continued quarter, In our was the of The pricing, from X%, cycle offset for and the mostly operating by impact margin with sales for clients. was billion new total, the for delistings Platforms slower corporate ARR Access $X.X among upsells clients and

investments. by benefit, margin percentage driven Excluding inflation the increase revenue, the up by partially points. offset XX%, growth-oriented higher The was onetime and X was

expect Due in medium-term full growth outlook, backdrop and the we can Looking the be gives Index year market above below the within Workflow strength us outlook. XXXX, to forward to Corporate our that, our business Insights its Solutions, revenue. medium-term perform to impacting XXXX whereas confidence in we negatively

the to Taken revenue within overall division. performance Access to outlook together, be continue for we Platforms Capital the XXXX our expect

to Technology Moving Slide XX. on Financial

comparison we presentation. for can which results should found we the last help and reminder, week, quarterly divisional model. in Calypso, pro both of forma XXXX a As quarterly the in XXXX, for your AxiomSL today, incorporate you provided and information provided pro of be forma appendix This

engagement. comp AxiomSL our the $XXX strong year-on-year XX%, at significant line in crime delivered Calypso prior of with time, makes less noted service was XX% for we tough XX%, in The at partially and XX%, outlook. revenue meaningful. medium-term up market strong management, client that offset performance a by and million reflects the a which with division and The respectively, due This quarter, growth in to the delivery in professional year tech quarter, comparison financial

up comp revenue with XX%, subdivisions ARR strong all key growth growth total growth. revenue lower contributors The the tough for to the the delivery upfront particularly difference was on-prem to $X.X by Calypso. well as contributing our for offset to less-robust professional due revenue year-on-year tech across this billion, were renewals, and between ARR market from service quarter, in products project partially growth as

year, on level Calypso. good had subdivision to results, the increased AxiomSL with a and of of revenue. few a move client strong versus words $XXX high we renewal upfront revenue performance Before million of Combined XX% momentum. We last

had also We slightly professional lower and revenues revenue. cloud-based higher services

continue we AxiomSL combined provided expectations forward, at look to and we in Investor line expect As Calypso year full be the with to Day. revenue

As support modeling. we quarters, some progress your will through the context provide we to

a strong of trends, we of in quarter, which alpha quarter, the part revenue the delivered growth growth second lower due the expect to timing large in revenue above renewal. back On first

of with and This of our at is full outlook bankruptcy maintain or Combined noted $XXX quarter. year. last we XXXX for in as excluding Day, this ARR XX% provided the AxiomSL and impact line the Investor year a million was significant up up Calypso expectations XX%,

XX.X%, Crime wins continuous the be penetration ARR to up to SMB client results. revenue new SMB $XX at that expected with adding XX%, $XXX full subdivisions client XXXX Technology Management XX of Moving in reflecting of the million least XXXX. quarter, core of was base, year Financial with million, the up clients

quarter, we pipeline the the strong with active to which Tier positive While signings X we continued quarters. had to a sign coming no client of and or bank expect in opportunities new engagement X have in we

was $XXX both up XX%. $XX ARR was million, and Regulatory Technology revenue million,

with ARR churn of the ARR, well the were as the X% revenue revenue of this related cloud up continuation reflecting business, Excluding the respectively. strong for Surveillance the now and sales grew XXXX, transformation XX% cloud. as Nasdaq XX%, impact liquidity of Surveillance and both March customers Trade in XX% to of event and of

revenue grew Nasdaq. the business the XX%, AxiomSL sales. is both strong that beneficial In our continued cloud, the in cloud highlighting XX% were for by and nearly new for of ultimately XX% and the quarter, reflecting journey bookings clients ARR

included Technology, ARR up revenue Calypso Markets $XXX up up X%, had we to $XXX Capital of the bookings revenue delivered a up with strong had of on-prem timing. The Revenue of quarter, contribution a XX% the million, XX%. we In for of with million cloud, revenue. from new come and renewal due X%. business what lower strong XX% proportion ARR expect a than year

that offset a with by This The combined year revenue the service prior management pricing used revenue in call period the and delivery strong comp. within was impact the slightly market somewhat and services. testing ARR, tech, of provided by to in driven what partial up tough services marketplace professional trade in quarter tech trade activity impact client increases coupled management significant again down was which is but business, we

full Looking forward to X% trade expect being with to management and XXXX, we the and growth a X% second services the market be positioned to back muted range, tech ended. year the within well quarter the combined

in realization, partially was margin expansion growth. synergy and operating expense the points. of and and first X compensation investments higher the XX%, top reflects beginning benefits division's up strong percentage in revenue expense line The related to offset by and quarter growth revenue The margin

divisions Net comp. down versus quarter, $XXX tough the Services. Market revenue an million X% for wrapping the extremely up was And with

rest to 'XX relating last story an the in to bank quarter. in X-year business is drivers and of during and across tied the at in contract we beta capture volumes a where year's traded were adjustments to which exceptional share trading of quarter. here X of is beta, events $X.XX exception fewer about industry half The consistent tape, in point capture was alpha per $X.XX, first $X The first in Europe; percentage or was our trend plan. the million the options the with X tape XQ day U.S. story most alpha, in first nonrecurring our liquidity half

XX% as quarter the represents percentage of to revenue enhancements ongoing well margin as as and both from period points related lower result our X a operating division's first The the year modernizing in prior decrease of capacity market. a investments

Slide XX. Turning to

million, supporting expense quarter's compares $XXX of This reflecting non-GAAP This is positive operating X%. revenue our reflecting growth pro operating million X%, forma This investments. $XX inflation, forma or revenue million to of pro growth driven was growth or $XX leverage. by and

on to Now guidance.

We XXXX just over a $X.XXX to guidance benefits of and to Adenza, pro of billion are equity midpoint growth forma to updating This uncertainty non-GAAP FX, operating net year The reflect less expense the growth. and expense in-year $X.XXX revenue compensation on represents billion includes full X%. of synergies. FX

be Nasdaq's expense X.X%. Excluding Adenza, around growth would

XXXX, assuming $XX rates. performance our And addition, the quarter annual million will first stable reflect adjustments equity under In second expect exchange and and of the merit quarter just grants. therefore, we expense from increase to

into second On synergies million net of expense the have $XX synergies, transition 'XX, with P&L the benefit through of approximately towards some half projects. XQ weighted and our given XXXX XX% the we of of actioned end XXXX

and note would that linear. the confident XXXX of the are in it be won't by We end actioned XX%

rate to to a non-GAAP expect continue a XX.X% basis. year we Additionally, tax of full on XX.X%

at in Slide Strong conversion elevated XXX% flow of we flow cash XX. is free Turning for months. free hallmark the generation above to to the $XXX the had cash flow rest note last of ratio cash the continues quarter cash again, flow. million Once of Please a the Nasdaq. year. first had versus be XX XXX% that quarter, In the we generally

not per this utilization $XXX million, we And repurchase In of XX% flow share, of cash for a a terms did in quarter. dividend free the quarter, or we quarterly payout ratio. any $X.XX shares paid

paper. million commercial our also finally, of term prior our line loan, We of we $XX prioritizing repaid remaining million commitment in of repaid deleveraging. And $XXX the with

all Excluding now our of is fixed. commercial paper, debt outstanding

cost debt of pretax XQ exit we 'XX. was all-in X.X% Our as

Turning to leverage.

Our gross at X.X 'XX. leverage the XQ end to last ratio declined the at year from of X.X end of

and costs impacts repayments, EBITDA. In decreased stated debt stronger X.Xx amortization leverage FX, ratio our from the issue addition debt of to of

to We achieve leverage are our initial months ahead below X reiterating our gross goal. of Xx, to expectation XX

would this strong Index, reflect in particularly and and continued highlight Calypso; on growth and cross-sell AxiomSL I adoption on As in on strong actions management, and overall financial crime I pipelines; Analytics, client progress quarter, deleveraging. and actions building of Solutions synergy

ahead, look grow the of capital by strong execute to balance the our diversity we continue to the with and I us effectively top be business and impressed enabling As model, allocation margins line plans. to

and and our positioned well are durable revenue on profitability. strategy growth achieve to We organic deliver Nasdaq One

back Q&A. Thank you turn to for for your operator the time. I it will And

Operator

Instructions] And question I Lau line Oppenheimer. [Operator Owen from first comes the show our of from

Kwun Sum Lau

your Could on please cross-sell year? for Verafin million campaigns mainly rest or whole to it the color between company? achieve target? more cross-sell of the Adenza plan and this the or across What is within $XXX the cover add the Adenza you Does

Adena Friedman

Thanks, Owen. Sure.

described we covers really a division. Investor current So campaigns at actually across the it the fin weeks tech Day and cross-sell few ago,

on more So one of of operator the really bringing focusing management, cross-sell campaigns risk the management is market our into clients. Calypso capabilities collateral

Calypso that capital actually capabilities, more into AxiomSL is regulatory where firms markets some they're facing. they clients new the Another to AxiomSL with bringing bring one working obligations so the of have

as Verafin that the introducing of really some is on that treasury we well a Calypso Calypso, AxiomSL to banks particularly are big within that And the management of client and the clients team, the to think part the -- team base. actually third the capabilities the then X are relevant we Tier Verafin

they're to main conversations actually day, our you as second. anti-fin really talk and client then the X exchange client just an would we and I interesting was it we today, generally AxiomSL in where a the our bank clients, move to interested really other with but tell are will those clients, broker-dealer we start campaigns have product clients. When crime. they're one is talking our actually to have, it I So one

So we can able at past. in kind the that haven't do in we of been look to strategic the relationship holistically ways

to great So contracts. into be show It it's we hope time to able turn take will for some been progress. opportunities tangible to and a start, these

very by As are we're the contract time with but encouraged you to we having. takes early know, it conversations banks,

Kwun Sum Lau

Got it. helpful. That's

Verafin. Just a quick follow-up on

but the X quarter, Tier X and give strong. the pipeline year for still number an the sign Can Tier you was update and Tier this didn't you the this us rest banks on think opportunity? please about talk I for expansion international of X and banks also Tier pretty X

Adena Friedman

Sure. Yes, sure.

are for And middle middle So you're last pipeline the companies we really lot well And of proofs going and any good that didn't implementing either concepts clients, we that's but of new quite of a well. signed doing in the very, the We very a we're sign or right. year. in we're contracting. -- clients have of working we

our ability so those feel as very And year. interesting. continue to about it's we clients through proceed to good sign the we And do

in increasing fraud is an So door it's that the we're that just challenges investigative we usually really at them the get reducing to easy return show such -- way focused bring false the clients clear and detection -- that least positives the found. capabilities in because we on first investment on terms the to and can fraud and through of invested

the new anti-money -- with and banks, really of class. our supports we're our And is lot be a tool, in we larger there. And investigative research a out engage for and best think And a really really excited for think addition, copilot that with clientele. really in way entity great XX% engagement time, with laundering course, in fraud that entire us to now we we reduction right of actually our to that could our capabilities. we're that have new focus a bigger of fraud, is area capability on check rolling banks our check Another then

Day, In U.K. we're terms the international focused, primarily I mentioned the Investor Canada and expansion, on at we've of think

along, those still quite of some and are are And them conversations. of very some early progressing

Operator

from next Blostein comes Sachs. Alexander of from show line I Goldman the question our And

Alexander Blostein

of out, as Calypso maybe at strong well. can bridge you how this Calypso XX%. starting side, the see you the sounds like on course about with into year-over-year growth of pointed and of Really lot So for sources Adenza you of as opportunity us the on it help unfold next? specifically particularly and, think kind year is Calypso coming it a And the you over forward, growth, that so

Adena Friedman

Sarah Actually laying growth each you're I what and AxiomSL for seeing really of I nice so renewals. cover think of of I'll But of mean out And I'll Alex. the -- go them. as combined. as is the Thanks, Sure. some timing job is it did Calypso each a products together, well -- of

at on-prem on-prem license for good how renewal our the really recognize quarter which a of the terms have driver with AxiomSL you did we Calypso of renewals, particularly so revenue good and more So Calypso a fees. but we deliveries, know us is for in

focus that demand growth, just out Calypso. growth. And takes of And showing that's the X clientele they're both which the we But banks. are the some Tier at risk a in really ARR management, sweet I sign management, spot risk we big, management. X looks if I platform, for overall you mid-teens that strong that of treasury banks -- benefit of strength they're the of the still is capital think Tier And big at of and that that's and look the kind just in think across onetime It's world. growing can that across risk ARR just

about so new have coming. think interesting. regulations definitely G-SIBs, that making with requirements really it's on sold are new all AxiomSL, regulation, it's modules and into Basel the the around that ESG so I and signing the we We're other progress we

to we been it's a demand have clients say I so -- to and And would cycle us. both and for mean pretty work with I -- consistent excited great. really it's the products, are we're

data a means that know client. that one also between talking Calypso for time client connector the what of we're is to product have into connector, having already automatically one the lowers to the that like implement Calypso as for create data AxiomSL, Instead They take they're and like the products market regulation. a that the obviously new AxiomSL, well that to about As and Axiom they new did whole makes Calypso imported integration to us Axiom from able and AxiomSL, appealing. and more

products pretty we're excited this across about what both year. doing So

Alexander Blostein

then market tech my Great. around business. second just And is the question

in number means maybe upgrade agreement us be you clients, that help engine think platform. great. terms -- you platforms? any If any Is You bone Is meat those that contextualize of fee new signed a there sort Can installation matching I what any to the stronger there's would revenues? next-gen profitability revenue? it flagged of upfront, said of you a around X, to of

Adena Friedman

yes. sure, Yes,

little next-gen So upon the in I market delivery, that professional whether services between that difference sign of or have system, receive We'd it's we're start we implementation. to when we the so clients to through comes that's as think, license implementation do a work tech. the we revenue clearing, versus Calypso, trading new revenue, now bit a calling revenue and Axiom

in them start and deliver they But trading clearing we're consider is, them but them markets on have it share technology to the provide some operate which flexibility services. these for finding that, wallet the what on both can choose first with systems, it's of even to additional it to they when So opportunity to next-gen that's would if on start we the time, also because our the allows them without right? them first to all, and work allows and upsell to way on cloud, we renewal of to world-class go, have increase settlement, really understand do cloud that

means delivered, the with, are that's a working for management giving while taking well cloud so other So as they for as of these implement much modernizing our that with them. spend value us all easier more for market. their And of business. a way client to tech they're them what market And get capabilities, cloud clients market -- one we their to operations also risk we're continue is share so bigger them working are and those to we're that also on continue components are to to example, ability which an delivered, upsell have actually with delivered, capabilities, cloud it run which an to

Operator

our from Jefferies. from next And of Dan Fannon question line the I show comes

Daniel Fannon

wanted I on follow to access. capital up

about curious but some still but years, clearly impacts. listings talked than we've You slower in revenue seen pickup the previous previously in about

mentioned I in any how this occurred, a you or Workflow the it that think pickup that some to year. also the also should about tying listings. progression delistings recovery rebound sounds segment that and wondering so Insights, still to flow-through is think And we tied like then revenue of in

about what curious and really just there the get of So business accelerating will growth. that outlook kind

Adena Friedman

hand part question to going the to Solutions. talk I'm over about the first Sure. Corporate And Sarah. I'll of

Sarah Youngwood

Yes.

particular, So the gave while headwinds. of I the year, in what and for into and looking you with and last is particular, in this we and point, year are for at coming that's what delistings at that you're in $XX a discussed downgrades. Listings the listings, the Data we've some million And

so the And quarter. X for that's impact

mentioned costs into that well not as the I you effect to have also And go of going you we're replaced the the as as so as year, the classes [ being well following XXXX seeing of by ]. that, start

this initial the listing is not year. also headwind, amortization quarter a the rest So but the of the of so for for fees much

So of but right well a new headwinds you as to have start you offset. is this as some -- with that. the of ] benefits [ course, pricing offsetting lot And of IPOs, that is

there. context the is this So

but environment delisting offset impact. amortized. therefore, IPO that slow-moving which the it's where help have you a hard So those in half, full it's would are And certainly fees, second if came to machine the will it the

Adena Friedman

Yes.

the it's recognize, the think of impact talk of I then of IPO I -- environment year, we that to towards terms a in said, Sarah slow-moving end improving think that the as started So environment. also impact it's but train an about delisting but to of the last important both

we the relations one we but And They modernize other into them we they investor start their kind can for them. environment, we IPO clients. reporting of the They parlays flywheel. we've that offer capabilities more IPO only needs to of an to talked get several start the market. their the companies how understand Now give corporate the over for come their effect want package look -- a when and the active flywheel that capabilities. ESG that's and And at governance and upsells of about -- to have positive last not to things years services, into having it's

business, so in having Solutions the Now you or -- of environment sell a tougher companies we dynamics. new you're -- market we kind have Corporate on the to to also want customers delisted understand make that's flip but on effect sure fewer where those guys also to,

I we've markets When general of would say, a time, environment, kind And we've a had a a to Corporate long described this as mid-single-digit kind environment. has, and about of kind as this totally think of isn't necessarily business when are we matter, of that it business type low normalized. Solutions overall, for growth normalized

shared So you for to means and with business. And of so the you that you that's -- context, year -- that kind why overall full we're give Sarah that above view think that wanting year. a what start Workflow those to about that that, our compared Insights of of business, our be having that strong we anticipate -- outlook, where the as Index And year. would come we're outlook the versus would very in the to business, course, for

Daniel Fannon

now? CME year-to-date And That's Great. might on is business, a just or occur based the can give with quarter-to-date where when with upon guess, tiering things us I on the you sense sit pricing activity, based then -- the helpful. Index of

Adena Friedman

quarter. that second I have mean that precise occurs I the think in but second don't that, generally we the occurs quarter. in answer to generally it a

Operator

Michael from of our from JPMorgan. show next the question Cho I comes And line

Y. Cho

quarter. that a to price that terms serve and And Because the coming I mean as Axiom might like markets unpack ARR upsells looks they Calypso to solutions. little bit is And this Axiom of just about how trends growth different mix versus there us revenue and help and and think clearly increase growth about that we guess here different clearly wanted in driver touch in much it was are different each a change you when of on approach Calypso? years? the helping a healthy. just can subscription are that in how well. I I revenues that

Adena Friedman

Yes.

pricing that before, new way sells general but from generally -- we that's that think would try said the And that it's about that's if revenue the for case. out don't to revenue think than and I as increases And say, this break come from sales. half the So of have we half growth. all, that. I come I changes consider to -- the quarter, know the don't We case further tend we first upsells. I precisely

to more a client has the how as because that therefore, terms we over time, get cloud of and, with for might more do think do chance that our gives us that higher In roll solutions. for a to clients out to I continue for value capabilities change the our really

creates for us, that because lever we're so a And providing but pricing that's value. more

a timing cloud continue and with in more you thing. So -- new XX% as kind Calypso, bookings Axiom, of new in the bookings little to as progress but of with cloud of this were we we had We cloud. a quarter saw that's slower on

a I is think progress our more as that believe so have to that that ability pricing we it that but that, the make will revenue lever continue over also to stable time.

transition You so have giving make benefits work in to and to more transition years predictable can of creates want that that color revenue are sure we're for ability you that cloud we over -- we transition kind with time. period the through the from you in period so but period, those us on-prem versus on that ahead, this cloud streams

Y. Cho

on a then quick marketplace And just Great. tech. follow-up

just revenues. think loaded of make And terms want I of I to sure for X% you X% two, terms I caught the heard, the in right. say XXXX I the Sarah, in in terms revenue that to the half back there of what's driver growth?

Sarah Youngwood

Yes.

X% there. and fourth I back the we to be So being within say muted that did ended. And you range second heard well would quarter positioned me well a the X%

to wanted on Adena think that. comment I And

Adena Friedman

Yes. -- as that be said deliver feel and within and go that through turned year. feel have we has range, very That, on range. new obviously, the been it's growth growth the want and say some partway kind the to revenues, you to the good a good you clients we of pipeline then And strong of as help. year, but the so through we're can I that so we license within delivering deliveries I we'll just think able we about we have that said,

Sarah Youngwood

was second quarter in quarter. the would also add also Yes. a first And in was a tough really which I the just it comp, project the but a delivery, that tough bit comp

Operator

Craig And from America. the question I Siegenthaler from Bank show line of comes our of next

Craig Siegenthaler

had can index your you capture options just with Nasdaq-XXX options index? growing rates the tap is options of How high, a very the attractive index only think about strong We with popularity question into and NDX. but growth index in with are share business. I your this revenue on is X%, the brand given the

Adena Friedman

Craig. Thanks, Yes, you're Yes. right.

options of between there, a our the been Nasdaq. within of lot and we've focus have team, is So great team good index nice so that. opportunity that putting on -- we a and we collaboration we a have all what's It's been

in building for would our a together, hedging platform, robust then So on in drive on building and good, as interest index index interest drives ecosystem demand well other they're things an options. that trading the which really for options the institutional products, as working then NDX

taking definitely it's kind So hold. of

think It XX% we a options increase the options. index I volumes in increase had the index a, in strong was quarter-over-quarter really uptick year-over-year. then in in the volumes like like, XX% and

what really definitely So bright we great we beginning it's just the We're a spot. And been agree. of -- can there. achieve that's at

Craig Siegenthaler

comparison for and it's on focus just my ARR the revenues between have growing And you on given ARR. the follow-up,

we basis? move reoccurring more these more delta businesses, subscription between a see should on you metrics and As X quarterly into of a

Adena Friedman

there as long of delta, less cloud, that, I be that's we but more move transition. would a should say towards actually a

cloud, tech that, with entirely recognize That's an are as businesses, a to still business as the and NTS it's for AxiomSL, delivered have the those transitions cloud, we financial whereas think now. market business. management SaaS solution for well I Calypso to crime primarily on-prem

revenues, -- So a revenue. of you'll the total to ARR more the majority of see those looking closer

would that at driving business, to services. give our difference and trends overall differences. we look to the enough on of like health us, reflection And the say, But the understand the a and is I what's deliveries of delta, while, better we trying focusing to ARR. that, So you opposed business, for we are understand as underlying individual say, our client a professional demand, are we're you when that that so the but transparency you can persist will

Operator

comes from show line of Barclays. question the And from I Benjamin next our Budish

Benjamin Budish

share we I of models, implementations? question Just you the Just guiding is and that there on upcoming about anything about as about sort terms following but anything from can ARR is pipeline kind by there in about quarter? think cloud the up versus Craig, talking XXXX just specific of know on-prem last an think business we you're on our in can quarter basis, of

Adena Friedman

Quarter to say, think I over detail. it we think the year, look Is XX% I last around not year by going right? kind was at I we're bookings? of that would XX%. new that if quarter, level over of provide last and we Calypso the looked AxiomSL and

Sarah Youngwood

half. yes. Almost Yes,

Adena Friedman

Yes.

So new almost cloud were the of half year. bookings last

XX%, that, with as being think cloud we year the this starting a around issue. but bookings it's year, said were as we new of were for XX% this more we saw of and before, I Calypso AxiomSL lower timing

to of able you provide by that around not quarter. kind the over course So same the we we get would level year, hope we're would quarter but the of

I quarter think not help precision. bit are we little but of in just that more Calypso a and giving for the overall model AxiomSL you to level just color you to

Benjamin Budish

IPO wanted Understood. to it. my ask win then Got I And follow-up, just rate. on for the

rest is are What lower should there? bit what Just of you based quarter your reported a thoughts any upwards? a the itself? the past, function expectations than sort looks for on back QX little have trend of year, of that the of sort but you the in do And that pipeline the on just

Adena Friedman

Yes, sure, yes.

a is based public, pipeline. that the going of we a on companies a quarter strong think but that of and I story So every is different view great, overall little bit are our the have nature

confident would I public that keep companies also high. hopefully, And And win next really We over looking ability the in to -- very are our year, platform. excited also about our have great the rate that, a last the the was We're we're go in XX%. mention in win rate our to -- next quarters.

companies it coming to pipeline have period they we're public go And really feel have bit a at quarters. in in the to markets able Nasdaq. longer tap that about the on we XX over a good little being time, to hopeful of So we the but look

Operator

next show our from Simon I from of comes And the line Atlantic. Redburn question Clinch

Simon Alistair Clinch

team. enterprise cross-sells? wondering come? how if it? Or as And Is new the That's a the wondering you you relatively update Day, and -- you're of driving to if team momentum could have opportunities. cross-selling now was to back follow-up. just Are functioning I was could I mentioned you you have starting the I story, something sales -- fully to already Nasdaq going is I the an sort At Investor you understand. on still us that's to that built a progressing. build this

Adena Friedman

Yes. Actually a we to had the Nasdaq, we have management about make sure doing -- we're across And across that good approach how a we're for making and in it last sure meeting about had tackling. connective going can we the and we a deliver to we where committee blocking that week, talked lot have enterprises. enterprise just -- tissue sales

an sure making is organization. have of sales we enterprise first So kind

And designed the line able to way data team commission data client then we're can plan management franchise look that to around I sales alignment. data of works actually thing to of drive and our product a commissions sight in on teams, a so the really the an enterprise we've to the our doing talk we the have second franchise in basis. our lot across with helps the is can The price across that that client make the sales of and terms at sure be that, think we clients behaviors sales

tech, demonstrate strength really good but big -- achieve lot you that So division already. built tech have to a that's be across fin progress of cross-sell so and fin definitely cap That's within the collaboration of and going being all ability but there the made the And we to actually is Market strong. know our is just enterprise target, we is the hope that really to -- -- a and Services team division able really, of sales part forward.

Simon Alistair Clinch

the very I Index then I in little outside the just franchise. lastly, and, expand business had great. sustainability? Nasdaq-XXX could how think, That's give you the the just little in that you detail Okay. more if a about mean think momentum a interest particular, strong flows perhaps And about I and bit bit of more we've was wondering and us on to could

Adena Friedman

Yes.

So you're right.

is Day at stat a given we've I that Investor So think worth mentioning.

terms around about that have and So XX% that cloud we our indexes comes the other from and momentum another other as well have cyber XX% factor AI, of innovative from in revenue Nasdaq-XXX of indices around franchise, the but we as comes world. indices

So platform. it actually is a pretty diversified

pretty Index And indexes, it's in some on meaning distribution. mixed, the inflows, probably from coming that all it's as products, our well the strength in on terms and coming of innovation of global Nasdaq-XXX of with the

world. really definitely bringing of our globalizing distribution So and focused and in the investment on been the products inflows we've across

probably it So are those that isn't the the ones are Nasdaq-XXX. just most getting inflows, the but

markets up is seeing And or are the inflows. what's really we're interesting it's been Whether very down, consistent. not or

a of want the that. to on investors part showing through that kind are that that's they And reflecting quarter I future a seeing of and and the think so of also economy, be

So in of we're inflows. seeing terms that's what

Operator

And from KBW. comes line of I from question Voigt the Kyle show our next

Kyle Voigt

Maybe couple just of a follow-ups.

is Workflow single-digit It the a on Dan's posting like Analytics on and Insights first So still follow-up is question growth. business. earlier high sounds the business solid

in to you'd Solutions ramps business when in an ultimately expect IPO Corporate average likely talk I sales time about kind I lag that the when you revenues that of of imply sales the you cycle elongated expect that cycles. think guess the you and can business? is the environment just Solutions, between for kind Corporate that the And flattish. noted acceleration see and

Adena Friedman

disclosure kind of we year. help of I this understand you why how wanted see that to level that is give the reason you we quarter think just the to

a if IPO environment it's as that at an but and -- if, up, that's think looking terms X probably X-month sales clients. X the and within cycle in average, ramps improvement see there, months of of when of average kind average probably be we the it would on I -- if say, we've sales some on we point, an a for in I obviously year, around at tend terms good have, cycle a to would -- maybe it's to

understand need -- what But of to that but -- product. so have the also they I they then, course, --

have more So sure if season. they go the there, they kind And really public, to they intelligence to work want They with I reporting. about make And they start their to recognize holistically of have want right they that really as investors. more ESG but start then more they a maybe us to see months momentum you're sometimes recovery like quick be it say is to view, we'll if so cycle, start very environment. sales can would X say we a about X the general talking IPO to going in into XXXX a like

Kyle Voigt

can any buybacks you expect then term? to deleveraging. #X That towards Thoma be like, to we near capital with on to priorities. over willingness the coming this the quarter, guess or later talk remains quarter? really restart term, deleveraging follow-up still allocated priority towards sounds And makes should It that sense. about just Bravo kind Or a buybacks XXX% unlock I start of just capital near this deploy some

Sarah Youngwood

Thanks, Kyle.

able the be at of loan the prioritization, Investor consistent super X.X. and what pay really this said end glad with to were quarter at to terms So the quarter Day. term to in we're we the down capital We

totally have all committed Day. given to at time Investor the of lines We are we that

you consider deliver. that will something the X to can be that XX ahead, months So we to

makes consider sense. it we're to would that share flexibility some within And that, to particular, And keeping in the be, repurchases related if issuance. employee

So but in dilution, that. at when very something focused offsetting the very, we still some deleveraging, a you we the the that EPS And we proposition important, that do the of our to issuance, are of attractive stock when given repay even debt we at is on look because focused on, it the cash costs course, we comprehensively, really price, higher acquisition think, at flow is it's can current look are accretion too. particular,

Operator

of And Brian from line the Bedell Bank. I from question next show Deutsche comes our

Brian Bedell

that continued strong can think a cadence already pretty improve trying revenue Verafin, the the just that then strong. how move moving on -- might in of just revenue growth as to from the to And what might clients. sense for that in Copilot year, year thoughts the we that your Maybe you of throughout XX% segment. Entity the level, throughout contribute over SaaS if segment get is rollout of just to then mean that in Research progress growth And the new

Adena Friedman

about Yes, it's revenue other of of good And not specific than Sure. there. we're that outlook provide to kind mid-XXs. going the we we growth views you say feel the overall

rolling rolling -- copilot new module that way the I with out that as provide any to to we our that think small copilot out we're that we're bank the be medium would same the clients. capability,

what up small into then a capabilities the at So think period And up platform. that modules And be we've we end they of that the them. walk their period. through client what's for that -- is new contract would the through or and, return them period, that price that the we're medium the that we the value and providing with when therefore, signs contract offered bank them platform for platform introduce through Verafin, new we for increase then appropriate sign into to

want use it valuable we as banks, want in as out discretely show selling that copilot them that integrate a them. this be into across we we renewal across talks, of we're to it that the the We not to -- get platform, capabilities a conversation. becomes module the We strong and so and really So part to But it possible will conversations. we to them -- usage roll them want sticky help a And for product for as as renewal as our it's ROI workflows. it. us want the possible, so them

where you But them. look to to go are all return we new shows -- of more sell the Tier a platform have solution it's AML into in our are X calculus and return. most this are tool clear we as them, that very AML, a we're new that much problem. Tier it's sales clear it's offer as because about complicated the can and modules modules, that a we across modules fraud And the selling our we X upmarket now through the talk to talk banks, As and where so straightforward

also to addition a to rooting a and time money job out the in behaviors great and it. show laundering, going criminal we investigative of save them of them side on doing of we're can So ton resources

we do And look pricing them sales. we to when the we platform. will we value with it signed It with us can help as show that think us part discussed help them. And at will the that so of

sales how of and this So kind to that's upsells. tool drive retention basically we're using

Operator

our line show of question Michael I And last the comes Morgan Cyprys from from Stanley.

Michael Cyprys

about X close. wanted ask or it's since that to now months about so Adenza business been the Just

the in clients is look of across where their see you curious, the of you And and over Calypso and kind Axiom, moat out for as of there the with Just strongest improve years? room conversations capabilities? where couple you to moat business next

Adena Friedman

of say, first big I'd let's of with Yes. all, really start -- one AxiomSL. the

they're more their than countries. One XX global. into regulators of across elements strongest XXX over that connect and completely is They

a in the business and not that all to talking entire global has regulatory only say, problems you help your bank they're when so And business they with the needs." any country, reporting country, can we within can "Look, we solve but any can

people. it's the regulatory Like team It have a also it's an expertise. machine. amazing of -- They

their also. efficient just, when it so a already rule great they're into deliver introduced solutions, on I And module. every basis. obviously we're really providing make is it's -- tool, contemplated, new think, There's as coming, job rules regulation of or a requirements a way And a as very elegant but I interesting soon to even the so data, lot rule of out to time of ahead new bring a global and -- comes a we new with the do a that ingest writing the new

what Now comes Calypso, Calypso X think class. elements -- class, best that, I in when world to just we're it are that finding there are like at

is capability. One just collateral It's excellent. of them our management

across walk can that their efficient we better gives in show can collateral, up their we which frees capital. more and managing so to drive ability liquidity It And make them franchise. really then much them

clearing risk for capital the is risk and unlock thing management use so kind can of the management, trading that, markets. they liquidity again, second unlock in The

but been side. treasury That's on both buy on the also a And is then side. grower businesses fast the brokerage third the

treasury trading any buy-side us. area a has the for client, good So growth tool been really active

the we're that great kind best the drives a I like lot of So where we're think class. are feel areas conversations -- in those of And just we with clients.

Michael Cyprys

little was on new Great. for look as road you And question. the this out could year. hoping elaborate of the map a I product strategy follow-up a maybe just rest for you Calypso and bit Axiom

Adena Friedman

Yes.

So well, in upgrade Calypso. first of all, kind I for are a an would of call we what cycle

we're onto that have we're all make our that out. rolling this clients working we So version new get year. of sure a And version we to

renewal So activity. that's driving

Basel -- as also talking to generally, really driver a -- think revenue if. the I as but that III demand. when is Basel it a IV and And clients and more opposed have more end of growth game we and are how big, about

managing to we're for sure clients some And who more also be And are data signing Calypso-Axiom us that that's on leaning with manage with entirely this with working that their ready. so forward are that they're some of to going focus while big transfer make already needs capital element capability, them help our because the they're I regulators. their think Calypso efficiently Axiom capabilities a regulatory of customers

year. that those a map product seeing the the we're making Multiyear say areas them. in like do solutions, can continue is map have make to So are sure efficiently for modernize product super I I feel road sure do road where about we we to cloud-delivered that

within more more We modern them. valuable that make data management to capabilities products allow platforms functionality the to data us -- unlock have and more even the

Operator

the our time, like Friedman, At Q&A back to for and remarks. concludes this conference session. turn Adena to Chair would CEO, I This closing

Adena Friedman

much. you very Great. thank Well,

the year. platforms, through unlock as updated you progress the to year. continues firmly key our the meeting, behind throughout United we Integrate, market-leading to make leadership X keeping priorities: resilient you momentum as which So forward our by We phase and powered heard growth. on underpin of and priorities Innovate, look next progress positioned will strategic Nasdaq throughout these to and our on our Accelerate, move we're and scalable our

a Thank day. you and all much, great have very

Operator

Thank you. This Thank participating. concludes today's you for conference call.

You may now disconnect.

Nasdaq (NDAQ) 25 Apr 242024 Q1 Earnings call transcript