01—Abstract
Summary
Summary of the 10-Q filed October 30, 2025. Cited figures are marked; the original filing is the authoritative source.
Tradeweb Markets Inc. reported strong third-quarter 2025 results, with total revenue of $508.6 milliona, up 13.3% from $448.9 million a year earlier, and net income of $210.5 million versus $130.2 million.
Growth was driven mainly by transaction fees and commissions, which rose to $421.3 millionb, primarily on higher rates derivatives revenue. Subscription fees increased to $60.8 million (excluding LSEG market data fees of $20.5 million, as presented in the income statement), partly reflecting clients moving to plans with minimum fee floors or subscriptions. Diluted EPS was $0.86 versus $0.53, and Adjusted Diluted EPS was $0.87 versus $0.75.
Adjusted EBITDA reached $274.4 millionc, a 54.0% margin. For the nine months ended September 30, 2025, total revenue was $1.53 billion, up 21.3%, and net income was $554.4 million. Operating cash flow was $811.7 million and Free Cash Flow was $743.4 million.
Cash and cash equivalents rose to $1.9 billiond from $1.3 billion at year-end 2024, and the company had no borrowings under its $500.0 million revolving credit facility. Other income of $39.4 million in the quarter was primarily driven by gains on Canton Coin holdings, which the company earns for validator services and which are valued using Level 3 inputs. After quarter-end, the board declared a $0.12 per share quarterly dividend payable December 15, 2025.
The company also reached an agreement in principle with the LSEG Parties to renew its Master Data Agreement for three years, retrospective to November 1, 2025, subject to definitive documentation and board approval, and delivered notice to begin a 12-month transition period. The tax receivable agreement liability stood at $351.4 million, and the company expects to make payments of approximately $37.9 million within the next 12 months.
02—Key points
Key Highlights
- Total revenue of $508.6 million for Q3 2025, up 13.3% from $448.9 million, with constant currency growth of 11.3%.
- Net income attributable to Tradeweb Markets Inc. of $185.6 million for Q3 2025 versus $113.9 million; diluted EPS of $0.86 versus $0.53.
- Adjusted EBITDA of $274.4 million for Q3 2025, a 54.0% margin, up from 53.4% in the prior-year quarter.
- Nine-month operating cash flow of $811.7 million and Free Cash Flow of $743.4 million, with cash and cash equivalents of $1.9 billion at September 30, 2025.
- Other income of $39.4 million in Q3 2025 was primarily driven by $43.2 million of realized and unrealized gains on Canton Coin holdings, partly offset by $3.8 million of minority equity investment impairments.
- Post-quarter, the board declared a $0.12 per share quarterly dividend, and the company reached an agreement in principle to renew its LSEG Master Data Agreement for three years, subject to definitive documentation.
- No borrowings were outstanding under the $500.0 million 2023 Revolving Credit Facility, and no shares were repurchased under the 2022 Share Repurchase Program during the nine months ended September 30, 2025.
03—One dollar
04—Financials
Financial Highlights
Figures from 10-QQ3 FY2025filed October 30, 2025Financial Statements
Q3 FY2025 against Q3 FY2024
| Line item | Q3 FY2025Q3 FY2024 | Change |
|---|---|---|
| Revenue | $508.60M$448.92M | +13.3% |
| Operating Expenses | $298.23M$289.60M | +3.0% |
| Operating Income | $210.37M$159.32M | +32.0% |
| Net Income | $185.64M$113.92M | +63.0% |
| EPS (Basic) | $0.87$0.53 | +64.2% |
| EPS (Diluted) | $0.86$0.53 | +62.3% |
| Shares Outstanding (Basic) | 213.36M213.21M | +0.1% |
| Shares Outstanding (Diluted) | 214.98M215.10M | −0.1% |
05—Questions
Frequently Asked Questions
What drove revenue growth in the third quarter of 2025?
The primary driver was a $47.8 million increase in transaction fees and commissions to $421.3 million, mainly due to higher revenues for rates derivatives products. Subscription fees also rose $9.6 million to $81.4 million, primarily because some market participants moved from fully variable pricing to plans with minimum fee floors or subscriptions.
How did the company's profitability change?
Operating income rose to $210.4 million from $159.3 million in the prior-year quarter. Net income increased to $210.5 million from $130.2 million, and Adjusted Diluted EPS increased to $0.87 from $0.75. Results in the quarter also benefited from $39.4 million of other income, largely Canton Coin gains.
What is the status of the LSEG market data agreement?
The company and the LSEG Parties reached an agreement in principle to renew the current data schedules under the Master Data Agreement for an additional three-year term, expected to apply retrospectively to November 1, 2025. The renewal remains subject to definitive documentation and board approval. On October 29, 2025, the company delivered notice to commence a 12-month transition period while the renewal is finalized.
How much cash does the company have and what are its capital return plans?
Cash and cash equivalents were $1.9 billion at September 30, 2025, up from $1.3 billion at December 31, 2024. The board declared a $0.12 per share dividend payable December 15, 2025, and TWM LLC approved a $108.1 million distribution payable December 11, 2025. $179.9 million remained available under the 2022 Share Repurchase Program, but no shares were repurchased during the nine months ended September 30, 2025.
What obligations does the company have under the Tax Receivable Agreement?
The tax receivable agreement liability was $351.4 million at September 30, 2025. The company expects to make payments of approximately $37.9 million within the next 12 months and approximately $313.5 million thereafter. Under the agreement, the company pays 50% of certain realized tax savings to Continuing LLC Owners.
06—Continue