DGAP-News: NASDAQ OMX Reports Record First Quarter 2014 Results

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| Source: EQS Group AG
DGAP-News: The NASDAQ OMX Group, Inc. /
NASDAQ OMX Reports Record First Quarter 2014 Results

24.04.2014 / 13:00

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  -- First quarter 2014 net revenues1 were a record $529 million, up 27% from
     the prior year quarter.
  -- Achieved 9% organic revenue growth2 year-over-year and had organic growth
     in all segments: Information Services, Market Services, Technology
     Solutions, and Listing Services.
  -- Generated record first quarter 2014 non-GAAP diluted EPS of $0.72, which
     was 13% higher year-over-year. First quarter 2014 GAAP diluted EPS was
     $0.59. Non-transaction based revenues were 72% of our total first quarter
     2014 net revenues, and increased 27% from the prior year quarter.
  -- The company paid down $121 million in debt in the period, and the
     deleveraging plan remains on schedule to return NASDAQ OMX to its long-term
     leverage target by the end of the second quarter of 2014.

NEW YORK, April 24, 2014 (GLOBE NEWSWIRE) -- The NASDAQ OMX Group, Inc.
(Nasdaq:NDAQ) today reported results for the first quarter of 2014. First
quarter net revenues were $529 million, up from $418 million in the prior year
period, driven by both acquisitions and organic growth in all four business
segments. On an organic basis, first quarter net revenues increased 9%
year-over-year. 

'Our unique and diverse mix of businesses accelerated meaningfully, resulting
in record financial results for our shareholders,' said Bob Greifeld, CEO,
NASDAQ OMX. 'After a 2013 which included transformative acquisitions and
significant internal investments, NASDAQ OMX has begun 2014 with strong
broad-based organic growth.' 

Mr. Greifeld continued, 'While we have benefited from a more constructive
market environment, we also saw meaningful improvement in our leadership
position in the period, as evidenced by our higher U.S. and European equity
trading market share, and our 64% share of U.S. IPOs. Regarding the recent
elevated debate over various U.S. equity market structure issues, NASDAQ OMX
operates its leading exchanges with transparency, fairness, and efficiency, has
been a leading innovator, and will continue to work with regulators and market
participants to evolve our markets.' 

On a non-GAAP basis, first quarter 2014 operating expenses were $315 million,
up 33% as compared to the prior year quarter, primarily due to the inclusion of
expenses associated with the acquisitions of the Thomson Reuters IR, PR and
Multimedia businesses and the eSpeed electronic fixed income trading platform.
On an organic basis, first quarter non-GAAP operating expenses were up 6%. On a
GAAP basis, operating expenses were $345 million in the first quarter of 2014,
up 5% compared to $328 million in the prior year quarter. 

First quarter 2014 non-GAAP diluted earnings per share was $0.72, compared to
$0.64 in the prior year quarter. Please refer to our reconciliation of GAAP to
non-GAAP net income, diluted earnings per share, operating income and operating
expenses included in the attached schedules. 

On a GAAP basis, net income attributable to NASDAQ OMX for the first quarter of
2014 was $103 million, or $0.59 per diluted share, compared with $42 million,
or $0.25 per diluted share, in the prior year quarter. 

'Our strategic and measured investments have begun to deliver meaningful
results in 2014,' said Lee Shavel, EVP and CFO, NASDAQ OMX. 'We continue to
make substantial investments in promising GIFT initiatives, and in integration,
infrastructure and product development that we expect to put us in a position
to realize significant synergies from the eSpeed and Thomson Reuters
acquisitions in the coming periods.' 

Mr. Shavel continued, 'On the capital front, we continued our strong pace of
deleveraging, paying down $121 million in debt, and we expect to bring our
gross debt/EBITDA leverage ratio to our longer-term target by the end of the
second quarter of 2014.' 

At March 31, 2014, the company had cash and cash equivalents of $384 million
and total debt of $2,514 million, resulting in net debt of $2,130 million. This
compares to net debt of $1,375 million at March 31, 2013. 

1Represents revenues less transaction rebates, brokerage, clearance and
exchange fees. 

2Assumes constant currency and excludes acquisitions.

BUSINESS HIGHLIGHTS

Market Services (40% of total net revenues) - Net revenues were $213 million in
the first quarter of 2014, up $31 million when compared to $182 million in the
first quarter of 2013. 

Derivatives (14% of total net revenues) - Total net derivative trading and
clearing revenues were $76 million in the first quarter of 2014, up $2 million
compared to the first quarter of 2013. European derivative trading and clearing
revenues rose $2 million, due principally to higher energy revenues. Net U.S.
derivative trading and clearing revenues were unchanged, as higher market
volumes were offset by modestly lower market share and capture. 

Cash Equities (11% of total net revenues) - Total net cash equity trading
revenues were $58 million in the first quarter of 2014, up $13 million compared
to the first quarter of 2013. Net U.S. cash equity trading revenues were $9
million higher, on higher market share, average capture, and industry volumes,
while European cash equity trading revenues rose $4 million year-over-year, on
higher market share and market volumes. 

Fixed Income (3% of total net revenues) - Total net fixed income trading
revenues were $14 million in the first quarter of 2014, with the decrease from
the fourth quarter of 2013 reflecting an expected decrease in revenues
associated with a 3rd party technology customer. 

Access and Broker Services (12% of total net revenues) - Access and broker
services revenues totaled $65 million in the first quarter of 2014, up $2
million compared to the first quarter of 2013, due to pricing increases, the
inclusion of eSpeed hosting revenues, and growth in newer products, like
microwave connectivity. 

Information Services (23% of total net revenues) - Revenues were $123 million
in the first quarter of 2014, up $17 million from the first quarter of 2013. 

Market Data (19% of total net revenues) - Total market data revenues were $100
million in the first quarter of 2014, up $11 million compared to the first
quarter of 2013, due to the inclusion of market data revenues associated with
eSpeed, growth in NASDAQ Basic, higher equity market share, and the impact of
select pricing initiatives, partially offset by a $1 million decrease in audit
collections. 

Index Licensing and Services (4% of total net revenues) - Index licensing and
services revenues were $23 million in the first quarter of 2014, up $6 million
from the first quarter of 2013. The revenue growth was a function of materially
higher assets under management and the number of licensed exchange traded
products. 

Technology Solutions (26% of total net revenues) - Revenues were $135 million
in the first quarter of 2014, up $60 million from the first quarter of 2013. 

Corporate Solutions (16% of total net revenues) - Corporate solutions revenues
were $82 million in the first quarter of 2014, up $58 million from the first
quarter of 2013. Corporate solutions revenue growth was primarily due to the
inclusion of the Thomson Reuters IR, PR, and Multimedia businesses, as well as
organic growth, in particular the continued growth of Directors Desk. 

Market Technology (10% of total net revenues) - Market technology revenues were
$53 million in the first quarter of 2014, up $2 million from the first quarter
of 2013. The revenue increase is primarily due to an increase in software,
license and support revenues as well as an increase in software-as-a-service
revenues due to organic growth, in particular at BWise and SMARTS Broker,
partially offset by slightly lower change request revenues, and an unfavorable
impact from foreign exchange of $1 million. 

Listing Services (11% of total net revenues) - Revenues were $58 million in the
first quarter of 2014, up $3 million compared to the first quarter of 2013.
U.S. listing revenues increased $1 million in the first quarter of 2014
compared to the first quarter of 2013, due to growth in the issuer base and
higher new issue activity, including 47 first quarter U.S. IPO wins, 64% of the
industry total. European listing revenues rose by $2 million, and new issue
activity included the IPO of the largest Nordic company by market
capitalization in 14 years, ISS Group A/S. 

CORPORATE HIGHLIGHTS

  -- NASDAQ OMX Genium INET named 'Product of the Year.' On January 13, 2014,
     Risk.net, a publisher of risk management news and analysis, named NASDAQ
     OMX Genium INET as its Trading Technology Product of the Year. The Genium
     INET trading platform was designed to be one of the fastest and most
     functionally complete multi-asset trading systems and supports multiple
     markets simultaneously on a single platform, including trading of
     traditional cash and fixed income securities, derivatives, and commodities.
  -- Global Indexes continues to expand global footprint. Eight of the top ten
     global exchange traded fund providers now license NASDAQ OMX indexes. This
     quarter marked a special milestone in NASDAQ OMX's index business with the
     15th anniversary of the fourth-largest ETF, the QQQ, benchmarked to its
     flagship index, the NASDAQ-100. Today, NASDAQ OMX's index licensing
     business spans twenty-eight countries.
  -- Launched NASDAQ Private Market (NPM). On March 5, 2014, NASDAQ OMX launched
     the NASDAQ Private Market, a new capital marketplace for private companies.
     Built as a company-first platform on industry-leading technology, NASDAQ
     Private Market provides qualifying private companies the tools and
     resources to efficiently raise capital, control secondary transactions, and
     manage their equity-related functions.
  -- NASDAQ Stock Market leads U.S. exchanges for IPOs in first quarter of 2014.
     In the first quarter NASDAQ OMX welcomed 77 new U.S. listings, including 47
     IPOs on The NASDAQ Stock Market, more than double the number of IPOs of any
     other U.S. exchange. Combined proceeds raised by NASDAQ's first quarter
     IPOs totaled approximately $2.6 billion, a 20 percent increase from first
     quarter figures in 2013. In addition, 98 percent of NASDAQ's IPOs filed as
     'emerging growth companies,' the new class of issuer created under the JOBS
     Act.
  -- NASDAQ OMX hosts largest Nordic IPO since 2000. On March 13, 2014, ISS
     Group A/S began trading on NASDAQ OMX Copenhagen. ISS Group A/S is the
     largest company by market capitalization to list on a Nordic exchange since
     2000.
  -- NASDAQ OMX becomes first EMIR-authorized clearinghouse. On March 18th,
     2014, NASDAQ OMX became the first European authorized clearinghouse under
     the new European Union rules. The region's clearinghouses have to reapply
     to operate in Europe under new legislation known as the European Market
     Infrastructure Regulation (EMIR). More than 20 clearinghouses have applied
     for authorization.

About NASDAQ OMX Group

NASDAQ OMX (Nasdaq:NDAQ) is a leading provider of trading, exchange technology,
information and public company services across six continents. Through its
diverse portfolio of solutions, NASDAQ OMX enables customers to plan, optimize
and execute their business vision with confidence, using proven technologies
that provide transparency and insight for navigating today's global capital
markets. As the creator of the world's first electronic stock market, its
technology powers more than 70 marketplaces in 50 countries, and 1 in 10 of the
world's securities transactions. NASDAQ OMX is home to more than 3,400 listed
companies with a market value of over $8.5 trillion and more than 10,000
corporate clients. To learn more, visit www.nasdaqomx.com. 

Non-GAAP Information

In addition to disclosing results determined in accordance with GAAP, NASDAQ
OMX also discloses certain non-GAAP and pro forma non-GAAP results of
operations, including, but not limited to, net income, diluted earnings per
share, net exchange revenues, operating income, and operating expenses, that
make certain adjustments or exclude certain charges and gains that are
described in the reconciliation table of GAAP to non-GAAP and pro forma
non-GAAP information provided at the end of this release. Management believes
that this non-GAAP and pro forma non-GAAP information provides investors with
additional information to assess NASDAQ OMX's operating performance by making
certain adjustments or excluding costs or gains and assists investors in
comparing our operating performance to prior periods. Management uses this
non-GAAP and pro forma non-GAAP information, along with GAAP information, in
evaluating its historical operating performance. 

The non-GAAP information is not prepared in accordance with GAAP and may not be
comparable to non-GAAP information used by other companies. The non-GAAP
information should not be viewed as a substitute for, or superior to, other
data prepared in accordance with GAAP. 

Cautionary Note Regarding Forward-Looking Statements

Information set forth in this communication contains forward-looking statements
that involve a number of risks and uncertainties. NASDAQ OMX cautions readers
that any forward-looking information is not a guarantee of future performance
and that actual results could differ materially from those contained in the
forward-looking information. Such forward-looking statements include, but are
not limited to (i) projections about our future financial results, growth,
trading volumes, taxes and achievement of synergy targets, (ii) statements
about the closing or implementation dates and benefits of certain strategic,
technology, de-leveraging and capital return initiatives, (iii) statements
about our integrations of our recent acquisitions, (iv) statements relating to
any litigation or regulatory or government investigation or action to which we
are or could become a party, and (v) other statements that are not historical
facts. Forward-looking statements involve a number of risks, uncertainties or
other factors beyond NASDAQ OMX's control. These factors include, but are not
limited to, NASDAQ OMX's ability to implement its strategic initiatives,
economic, political and market conditions and fluctuations, government and
industry regulation, interest rate risk, U.S. and global competition, and other
factors detailed in NASDAQ OMX's filings with the U.S. Securities and Exchange
Commission, including its annual reports on Form 10-K and quarterly reports on
Form 10-Q which are available on NASDAQ OMX's website at
http://www.nasdaqomx.com and the SEC's website at www.sec.gov. NASDAQ OMX
undertakes no obligation to publicly update any forward-looking statement,
whether as a result of new information, future events or otherwise. 

NDAQF



                           The NASDAQ OMX Group, Inc.                           
                   Condensed Consolidated Statements of Income                  
                     (in millions, except per share amounts)                    
                                   (unaudited)                                  
                                                                                
                                                                                
                                                                                
                                                           Three Months Ended   
                                                       -------------------------
                                                         March  December   March
                                                         31,       31,     31,  
                                                         2014     2013     2013 
                                                       -------------------------
Revenues:                                                                       
Market Services                                          $ 582     $ 533   $ 508
Cost of revenues:                                                               
Transaction rebates                                      (285)     (254)   (242)
Brokerage, clearance and exchange fees                    (84)      (75)    (84)
                                                       -------------------------
 Total cost of revenues                                  (369)     (329)   (326)
                                                       -------------------------
Total Market Services revenues less transaction            213       204     182
 rebates, brokerage, clearance and exchange fees                                
                                                                                
Listing Services                                            58        58      55
Information Services                                       123       107     106
Technology Solutions                                       135       151      75
                                                       -------------------------
Revenues less transaction rebates, brokerage,              529       520     418
 clearance and exchange fees                                                    
                                                       -------------------------
                                                                                
Operating Expenses:                                                             
Compensation and benefits                                  158       146     117
Marketing and advertising                                    8         8       7
Depreciation and amortization                               35        34      27
Professional and contract services                          39        45      29
Computer operations and data communications                 22        25      15
Occupancy                                                   25        27      22
Regulatory                                                   7         7       7
Merger and strategic initiatives                            28      (11)       8
General, administrative and other                           23        19      25
Restructuring charges                                       --        --       9
Voluntary accommodation program                             --      (18)      62
                                                       -------------------------
 Total operating expenses                                  345       282     328
                                                       -------------------------
                                                                                
Operating income                                           184       238      90
                                                                                
Interest income                                              2         2       3
Interest expense                                          (30)      (30)    (24)
Gain on sale of investment security                         --        30      --
Asset impairment charges                                    --       (5)    (10)
                                                       -------------------------
                                                                                
Income before income taxes                                 156       235      59
Income tax provision                                        53        94      17
                                                       -------------------------
                                                                                
Net income                                                 103       141      42
                                                                                
Net (income) loss attributable to noncontrolling            --        --      --
 interests                                                                      
                                                       -------------------------
Net income attributable to NASDAQ OMX                    $ 103     $ 141    $ 42
                                                       =========================
                                                                                
Per share information:                                                          
 Basic earnings per share                               $ 0.61    $ 0.84  $ 0.26
                                                       =========================
 Diluted earnings per share                             $ 0.59    $ 0.81  $ 0.25
                                                       =========================
 Cash dividends declared per common share               $ 0.28    $ 0.13  $ 0.13
                                                       =========================
                                                                                
Weighted-average common shares outstanding for                                  
 earnings per share:                                                            
 Basic                                                   169.6     168.3   165.7
 Diluted                                                 173.7     173.1   169.7

                                                                                
                           The NASDAQ OMX Group, Inc.                           
                                 Revenue Detail                                 
                                 (in millions)                                  
                                   (unaudited)                                  
                                                                                
                                                           Three Months Ended   
                                                       -------------------------
                                                         March  December   March
                                                         31,       31,     31,  
                                                         2014     2013     2013 
                                                       -------------------------
MARKET SERVICES                                         
 Derivative Trading and Clearing Revenues:                                      
 U.S. derivative trading and clearing                    $ 126     $ 120   $ 117
 Cost of revenues:                                                              
     Transaction rebates                                  (75)      (71)    (62)
     Brokerage, clearance and exchange fees                (7)       (7)    (11)
                                                       -------------------------
     Total U.S. derivative trading and clearing cost      (82)      (78)    (73)
      of revenues                                                               
                                                       -------------------------
     Net U.S. derivative trading and clearing revenues      44        42      44
 European derivative trading and clearing                   32        30      30
                                                       -------------------------
    Total net derivative trading and clearing revenues      76        72      74
                                                       -------------------------
                                                                                
 Cash Equity Trading Revenues:                                                  
 U.S. cash equity trading                                  318       279     276
 Cost of revenues:                                                              
     Transaction rebates                                 (210)     (183)   (180)
     Brokerage, clearance and exchange fees               (76)      (67)    (73)
                                                       -------------------------
     Total U.S. cash equity cost of revenues             (286)     (250)   (253)
                                                       -------------------------
     Net U.S. cash equity trading revenues                  32        29      23
 European cash equity trading                               26        22      22
                                                       -------------------------
    Total net cash equity trading revenues                  58        51      45
                                                       -------------------------
                                                                                
 Fixed Income Trading Revenues:                                                 
 Fixed income trading                                       15        18      --
 Cost of revenues:                                                              
     Brokerage, clearance and exchange fees                (1)       (1)      --
                                                       -------------------------
    Total net fixed income trading revenues                 14        17      --
                                                       -------------------------
                                                                                
 Access and Broker Services Revenues                        65        64      63
                                                       -------------------------
                                                                                
 Total Market Services revenues less transaction           213       204     182
  rebates, brokerage, clearance and exchange fees                               
                                                       -------------------------
                                                                                
LISTING SERVICES                                                                
 U.S. listing services                                      43        44      42
 European listing services                                  15        14      13
                                                       -------------------------
                                                                                
 Total Listing Services revenues                            58        58      55
                                                       -------------------------
                                                                                
INFORMATION SERVICES                                                            
 Market Data Products Revenues:                                                 
 U.S. market data products                                  71        63      61
 European market data products                              22        17      21
 Index data products                                         7         7       7
                                                       -------------------------
    Total Market Data Products revenues                    100        87      89
                                                                                
 Index Licensing and Services revenues                      23        20      17
                                                       -------------------------
                                                                                
 Total Information Services revenues                       123       107     106
                                                       -------------------------
                                                                                
TECHNOLOGY SOLUTIONS                                                            
 Corporate Solutions Revenues:                                                  
 Governance                                                  5         4       3
 Investor relations                                         45        47      11
 Multimedia solutions                                       17        18       3
 Public relations                                           15        14       7
                                                       -------------------------
    Total Corporate Solutions revenues                      82        83      24
                                                       -------------------------
                                                                                
 Market Technology Revenues:                                                    
 Software, license and support                              40        45      39
 Change request and advisory                                 5        13       6
 Software as a service                                       8        10       6
                                                       -------------------------
    Total Market Technology revenues                        53        68      51
                                                       -------------------------
                                                                                
 Total Technology Solutions revenues                       135       151      75
                                                       -------------------------
                                                                                
Total revenues less transaction rebates, brokerage,      $ 529     $ 520   $ 418
 clearance and exchange fees                                                    
                                                       -------------------------

                                                                   
                     The NASDAQ OMX Group, Inc.                    
               Condensed Consolidated Balance Sheets               
                           (in millions)                           
                                                                   
                                           March 31,   December 31,
                                             2014          2013    
                                         --------------------------
Assets                                    (unaudited)              
Current assets:                                                    
   Cash and cash equivalents                    $ 384         $ 398
   Restricted cash                                 84            84
   Financial investments, at fair value           197           189
   Receivables, net                               434           393
   Deferred tax assets                             17            12
   Default funds and margin deposits            2,253         1,961
   Other current assets                           150           126
                                         --------------------------
Total current assets                            3,519         3,163
Property and equipment, net                       266           268
Non-current deferred tax assets                   415           404
Goodwill                                        6,173         6,186
Intangible assets, net                          2,362         2,386
Other non-current assets                          243           170
                                         --------------------------
Total assets                                 $ 12,978      $ 12,577
                                         ==========================
                                                                   
Liabilities                                                        
Current liabilities:                                               
   Accounts payable and accrued expenses        $ 227         $ 228
   Section 31 fees payable to SEC                  74            82
   Accrued personnel costs                         96           154
   Deferred revenue                               276           151
   Other current liabilities                      186           141
   Deferred tax liabilities                        36            38
   Default funds and margin deposits            2,253         1,961
   Current portion of debt obligations            430            45
                                         --------------------------
Total current liabilities                       3,578         2,800
Debt obligations                                2,084         2,589
Non-current deferred tax liabilities              707           708
Non-current deferred revenue                      222           143
Other non-current liabilities                     147           153
                                         --------------------------
Total liabilities                               6,738         6,393
                                         --------------------------
                                                                   
Commitments and contingencies                                      
Equity                                                             
NASDAQ OMX stockholders' equity:                                   
   Common stock                                     2             2
   Additional paid-in capital                   4,302         4,278
   Common stock in treasury, at cost          (1,026)       (1,005)
   Accumulated other comprehensive loss          (71)          (67)
   Retained earnings                            3,032         2,976
                                         --------------------------
Total NASDAQ OMX stockholders' equity           6,239         6,184
Noncontrolling interests                            1            --
                                         --------------------------
Total equity                                    6,240         6,184
                                         --------------------------
Total liabilities and equity                 $ 12,978      $ 12,577
                                         --------------------------

                                                                                
                           The NASDAQ OMX Group, Inc.                           
 Reconciliation of GAAP Net Income, Diluted Earnings Per Share, Operating Income
                                       and                                      
Operating Expenses to Non-GAAP Net Income, Diluted Earnings Per Share, Operating
                         Income, and Operating Expenses                         
                     (in millions, except per share amounts)                    
                                   (unaudited)                                  
                                                                                
                                                                                
                                                          Three Months Ended    
                                                    ----------------------------
                                                      March    December   March 
                                                       31,       31,       31,  
                                                      2014       2013     2013  
                                                    ----------------------------
GAAP net income attributable to NASDAQ OMX             $ 103      $ 141     $ 42
                                                                                
Non-GAAP adjustments:                                                           
                                                                                
  Merger and strategic initiatives                        28       (11)        8
  Special legal expenses                                   1          1        2
  Gain on sale of investment security                     --       (30)       --
  Voluntary accommodation program                         --       (18)       62
  Asset impairment charges                                --          5       10
  Securities and Exchange Commission matter               --         --       10
  Restructuring charges                                   --         --        9
  Other                                                    1        (3)       --
                                                    ----------------------------
  Total non-GAAP adjustments                              30       (56)      101
                                                                                
  Adjustment to the income tax provision to reflect      (8)         29     (35)
   non-GAAP adjustments (1)                                                     
  Significant tax adjustments, net                        --          5       --
                                                    ----------------------------
  Total non-GAAP adjustments, net of tax                  22       (22)       66
                                                                                
Non-GAAP net income attributable to NASDAQ OMX         $ 125      $ 119    $ 108
                                                    ============================
                                                                                
                                                                                
GAAP diluted earnings per share                       $ 0.59     $ 0.81   $ 0.25
  Total adjustments from non-GAAP net income above      0.13     (0.12)     0.39
                                                    ----------------------------
                                                                                
Non-GAAP diluted earnings per share                   $ 0.72     $ 0.69   $ 0.64
                                                    ============================
                                                                                
                                                                                
                                                                                
                                                                                
                                                          Three Months Ended    
                                                    ----------------------------
                                                      March    December   March 
                                                       31,       31,       31,  
                                                      2014       2013     2013  
                                                    ----------------------------
                                                                                
GAAP operating income                                  $ 184      $ 238     $ 90
                                                                                
Non-GAAP adjustments:                                                           
                                                                                
  Merger and strategic initiatives                        28       (11)        8
  Special legal expenses                                   1          1        2
  Voluntary accommodation program                         --       (18)       62
  Securities and Exchange Commission matter               --         --       10
  Restructuring charges                                   --         --        9
  Other                                                    1        (3)       --
                                                    ----------------------------
   Total non-GAAP adjustments                             30       (31)       91
                                                    ----------------------------
                                                                                
Non-GAAP operating income                              $ 214      $ 207    $ 181
                                                    ============================
                                                                                
                                                                                
Total revenues less transaction rebates, brokerage,    $ 529      $ 520    $ 418
 clearance and exchange fees                                                    
                                                                                
Non-GAAP operating margin (2)                            40%        40%      43%
                                                                                
                                                                                
                                                                                
                                                                                
(1) We determine the tax effect of each item based on the tax rules in the      
 respective jurisdiction where the transaction occurred.                        
(2) Non-GAAP operating margin equals non-GAAP operating income divided by total 
 revenues less transaction rebates, brokerage, clearance and exchange fees.     

                                                                                
                           The NASDAQ OMX Group, Inc.                           
 Reconciliation of GAAP Net Income, Diluted Earnings Per Share, Operating Income
                                       and                                      
Operating Expenses to Non-GAAP Net Income, Diluted Earnings Per Share, Operating
                         Income, and Operating Expenses                         
                                 (in millions)                                  
                                   (unaudited)                                  
                                                                                
                                                                                
                                                                                
                                                      Three Months Ended        
                                             -----------------------------------
                                              March 31,  December 31,  March 31,
                                                 2014        2013         2013  
                                             -----------------------------------
                                                                                
GAAP operating expenses                           $ 345         $ 282      $ 328
                                                                                
Non-GAAP adjustments:                                                           
                                                                                
  Merger and strategic initiatives                 (28)            11        (8)
  Special legal expenses                            (1)           (1)        (2)
  Voluntary accommodation program                    --            18       (62)
  Securities and Exchange Commission matter          --            --       (10)
  Restructuring charges                              --            --        (9)
  Other                                             (1)             3         --
                                             -----------------------------------
  Total non-GAAP adjustments                       (30)            31       (91)
                                             -----------------------------------
                                                                                
Non-GAAP operating expenses                       $ 315         $ 313      $ 237
                                             ===================================

                                                                                
                           The NASDAQ OMX Group, Inc.                           
                          Quarterly Key Drivers Detail                          
                                   (unaudited)                                  
                                                                                
                                                          Three Months Ended    
                                                    ----------------------------
                                                      March    December   March 
                                                       31,       31,       31,  
                                                      2014       2013     2013  
                                                    ----------------------------
Market Services                                                                 
 Derivative Trading and Clearing                                                
 U.S. Equity Options                                                            
 Total industry average daily volume (in millions)      16.1       14.7     15.0
    NASDAQ OMX PHLX matched market share               16.0%      17.6%    20.7%
    The NASDAQ Options Market matched market share     10.3%       9.1%     7.9%
    NASDAQ OMX BX Options matched market share          1.0%       0.8%     1.0%
                                                    ----------------------------
    Total market share                                 27.3%      27.5%    29.6%
                                                                                
 NASDAQ OMX Nordic and NASDAQ OMX Baltic                                        
 Average daily volume:                                                          
  Options, futures and fixed-income contracts        420,941    407,816  446,789
  Finnish option contracts traded on Eurex            82,134     77,703  144,905
                                                                                
 NASDAQ OMX Commodities                                                         
  Clearing Turnover:                                                            
     Power contracts (TWh)(1)                            429        436      460
                                                                                
 Cash Equity Trading                                                            
 NASDAQ securities                                                              
  Total average daily share volume (in billions)        2.17       1.82     1.82
  Matched market share executed on NASDAQ              25.8%      25.2%    23.1%
  Matched market share executed on NASDAQ OMX BX        2.7%       2.5%     2.5%
  Matched market share executed on NASDAQ OMX PSX       0.5%       0.5%     0.9%
  Market share reported to the FINRA/NASDAQ                                     
     Trade Reporting Facility                          35.2%      36.1%    35.7%
                                                    ----------------------------
  Total market share (2)                               64.2%      64.2%    62.2%
                                                                                
 New York Stock Exchange, or NYSE, securities                                   
  Total average daily share volume (in billions)        3.57       3.22     3.56
  Matched market share executed on NASDAQ              13.6%      12.1%    11.6%
  Matched market share executed on NASDAQ OMX BX        2.9%       2.5%     2.4%
  Matched market share executed on NASDAQ OMX PSX       0.4%       0.3%     0.5%
  Market share reported to the FINRA/NASDAQ                                     
     Trade Reporting Facility                          31.1%      32.3%    32.7%
                                                    ----------------------------
  Total market share (2)                               48.0%      47.3%    47.2%
                                                                                
 NYSE MKT and regional securities                                               
  Total average daily share volume (in billions)        1.20       0.98     0.99
  Matched market share executed on NASDAQ              12.2%      12.5%    13.1%
  Matched market share executed on NASDAQ OMX BX        3.4%       3.1%     2.8%
  Matched market share executed on NASDAQ OMX PSX       0.9%       1.1%     1.4%
  Market share reported to the FINRA/NASDAQ                                     
     Trade Reporting Facility                          30.7%      30.4%    33.0%
                                                    ----------------------------
  Total market share (2)                               47.2%      47.1%    50.3%
                                                                                
 Total U.S.-listed securities                                                   
  Total average daily share volume (in billions)        6.94       6.01     6.38
  Matched share volume (in billions)                    87.2       74.1     70.3
  Matched market share executed on NASDAQ              17.2%      16.1%    15.1%
  Matched market share executed on NASDAQ OMX BX        2.9%       2.6%     2.5%
  Matched market share executed on NASDAQ OMX PSX       0.5%       0.5%     0.8%
                                                    ----------------------------
  Total market share                                   20.6%      19.2%    18.4%
                                                                                
 NASDAQ OMX Nordic and NASDAQ OMX Baltic Securities                             
  Average daily number of equity trades              383,448    309,756  317,069
  Total average daily value of shares traded (in       $ 5.7      $ 4.4    $ 4.4
   billions)                                                                    
  Total market share                                   71.9%      68.3%    68.8%
                                                                                
Listing Services                                                                
 Initial public offerings                                                       
  NASDAQ                                                  47         35       18
  Exchanges that comprise NASDAQ OMX Nordic and            5          8       --
   NASDAQ OMX Baltic                                                            
                                                                                
 New listings                                                                   
  NASDAQ (3)                                              77         80       33
  Exchanges that comprise NASDAQ OMX Nordic and            9         14        4
   NASDAQ OMX Baltic (4)                                                        
                                                                                
 Number of listed companies                                                     
  NASDAQ (5)                                           2,667      2,637    2,568
  Exchanges that comprise NASDAQ OMX Nordic and          755        758      752
   NASDAQ OMX Baltic (6)                                                        
                                                                                
Technology Solutions                                                            
 Market Technology                                                              
 Order intake (in millions)(7)                          $ 57      $ 139     $ 20
 Total order value (in millions)(8)                    $ 652      $ 660    $ 527
                                                                                
 (1) Primarily transactions executed on Nord Pool ASA and reported for clearing 
  to NASDAQ OMX Commodities measured by Terawatt hours (TWh) and one thousand   
  metric tons of carbon dioxide (1000 tCO2).                                    
 (2) Includes transactions executed on NASDAQ's, NASDAQ OMX BX's and NASDAQ OMX 
  PSX's systems plus trades reported through the FINRA/NASDAQ Trade Reporting   
  Facility.                                                                     
 (3) New listings include IPOs, including those completed on a best efforts     
  basis, issuers that switched from other listing venues, closed-end funds and  
  separately listed exchange traded funds (ETFs).                               
 (4) New listings include IPOs and represent companies listed on the exchanges  
  that comprise NASDAQ OMX Nordic and NASDAQ OMX Baltic and companies on the    
  alternative markets of NASDAQ OMX First North.                                
 (5) Number of listed companies for NASDAQ at period end, including separately  
  listed ETFs.                                                                  
 (6) Represents companies listed on the exchanges that comprise NASDAQ OMX      
  Nordic and NASDAQ OMX Baltic and companies on the alternative markets of      
  NASDAQ OMX First North at period end.                                         
 (7) Total contract value of orders signed during the period.                   
 (8) Represents total contract value of orders signed that are yet to be        
  recognized as revenue.                                                        




         CONTACT: Contact Media Relations:
         Joseph Christinat +1.646.441.5121
         Joseph.Christinat@NASDAQOMX.Com
         
         Contact Investor Relations:
         Ed Ditmire +1.212.401.8737
         Ed.Ditmire@NASDAQOMX.Com
News Source: NASDAQ OMX


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Language:    English                     
Company:     The NASDAQ OMX Group, Inc.  
 
 
             United States               
ISIN:        US6311031081                
 
 
End of News    DGAP News-Service  
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264528 24.04.2014