What drove the strong revenue growth in the second quarter of 2025?

Revenue rose 26.7% to $513.0 million, led by rates (up 26.2% to $274.5 million), equities (up 49.8% to $34.3 million) and money markets (up 130.7% to $41.6 million). The filing attributes the money markets increase partly to the August 1, 2024 acquisition of ICD and record global repurchase agreement activity, and the rates growth to strong U.S. Treasuries and swaps activity amid market volatility.

Why were operating expenses higher, and what changed in the full-year outlook?

Operating expenses rose 29.1% to $313.1 million, due to higher incentive-based compensation and headcount, a $14.6 million increase in foreign exchange losses, and higher depreciation and amortization tied to the ICD acquisition. The company revised its 2025 adjusted expenses guidance to $1,000 to $1,050 million, trending toward the middle of the range, to reflect strong business momentum and accelerated investments in future growth initiatives.

How strong is Tradeweb's balance sheet and capital return position?

As of June 30, 2025, the company had $1.6 billion in cash and cash equivalents and an undrawn $500 million credit facility. Trailing twelve-month free cash flow was $951.7 million. The board declared a $0.12 per share quarterly dividend payable September 16, 2025, and $179.9 million remained available under the share repurchase authorization, though no shares were repurchased in the quarter.

What non-GAAP measures should investors consider alongside GAAP results?

The company highlights adjusted EBITDA ($277.9 million), adjusted net income ($206.1 million) and adjusted diluted EPS ($0.87). These exclude items such as merger and acquisition costs, depreciation and amortization related to acquisitions and the Refinitiv Transaction, stock-based compensation, and foreign exchange gains and losses. The filing notes these measures have limitations and should not be considered in isolation from GAAP results.

TW 8-K: Earnings & Results

01—Abstract

Summary

Summary of the 8-K filed July 30, 2025. Cited figures are marked; the original filing is the authoritative source.

Tradeweb Markets Inc. (Nasdaq: TW) reported second quarter 2025 results on July 30, 2025, as furnished under Item 2.02 and detailed in Exhibit 99.1.

Total revenue was $513.0 million^a, up 26.7% year over year (24.7% on a constant currency basis). Net income was $175.5 million and net income attributable to Tradeweb Markets Inc. was $153.8 million, with diluted EPS of $0.71. Adjusted net income was $206.1 million and adjusted diluted EPS was $0.87.

Adjusted EBITDA was $277.9 million^b, with an adjusted EBITDA margin of 54.2%. Average daily volume reached $2.6 trillion, up 32.7%, with record ADV in several products including U.S. government bonds, U.S. swaps/swaptions under one year, and global repurchase agreements. Growth was broad across asset classes.

Rates revenue rose 26.2% to $274.5 million^c, credit revenue rose 11.7% to $124.3 million, equities revenue rose 49.8% to $34.3 million, and money markets revenue rose 130.7% to $41.6 million, with the money markets increase reflecting the August 1, 2024 acquisition of ICD. Operating expenses rose 29.1% to $313.1 million, driven by higher employee compensation, a $14.6 million increase in foreign exchange losses, and higher depreciation and amortization. The company ended the quarter with $1.6 billion in cash and cash equivalents and an undrawn $500 million credit facility, and it declared a quarterly dividend of $0.12 per share.

The company revised its full-year 2025 guidance, raising the adjusted expenses range to $1,000 to $1,050 million^d, trending toward the middle of the range, to reflect strong business momentum and accelerated investments in future growth initiatives. Other guidance items, including depreciation and amortization, the assumed non-GAAP tax rate, capital expenditures, and LSEG market data contract revenue, were unchanged from the prior quarter. No shares were repurchased during the second quarter, and $179.9 million remained available under the repurchase authorization.

02—Key points

Key Highlights

Total revenue of $513.0 million, up 26.7% year over year; international revenue of $215.2 million, up 40.8%.
Net income of $175.5 million and diluted EPS of $0.71; adjusted diluted EPS of $0.87, versus $0.70 in the prior-year quarter.
Adjusted EBITDA of $277.9 million with a 54.2% margin, compared with 53.5% in the prior-year period.
Average daily volume of $2.6 trillion, up 32.7%, with quarterly ADV records in U.S. government bonds, U.S. swaps/swaptions under one year, fully electronic U.S. high yield credit, municipal bonds, European ETFs and global repurchase agreements.
Full-year 2025 adjusted expenses guidance revised to $1,000 to $1,050 million, trending toward the middle of the range, citing accelerated investments in growth initiatives.
Free cash flow for the trailing twelve months of $951.7 million, up 31.9%; $1.6 billion in cash and an undrawn $500 million credit facility at June 30, 2025.
Quarterly cash dividend of $0.12 per share declared, a 20.0% increase from the prior-year period; no shares repurchased in the quarter.

03—Questions

Frequently Asked Questions

What drove the strong revenue growth in the second quarter of 2025?
Revenue rose 26.7% to $513.0 million, led by rates (up 26.2% to $274.5 million), equities (up 49.8% to $34.3 million) and money markets (up 130.7% to $41.6 million). The filing attributes the money markets increase partly to the August 1, 2024 acquisition of ICD and record global repurchase agreement activity, and the rates growth to strong U.S. Treasuries and swaps activity amid market volatility.
Why were operating expenses higher, and what changed in the full-year outlook?
Operating expenses rose 29.1% to $313.1 million, due to higher incentive-based compensation and headcount, a $14.6 million increase in foreign exchange losses, and higher depreciation and amortization tied to the ICD acquisition. The company revised its 2025 adjusted expenses guidance to $1,000 to $1,050 million, trending toward the middle of the range, to reflect strong business momentum and accelerated investments in future growth initiatives.
How strong is Tradeweb's balance sheet and capital return position?
As of June 30, 2025, the company had $1.6 billion in cash and cash equivalents and an undrawn $500 million credit facility. Trailing twelve-month free cash flow was $951.7 million. The board declared a $0.12 per share quarterly dividend payable September 16, 2025, and $179.9 million remained available under the share repurchase authorization, though no shares were repurchased in the quarter.
What non-GAAP measures should investors consider alongside GAAP results?
The company highlights adjusted EBITDA ($277.9 million), adjusted net income ($206.1 million) and adjusted diluted EPS ($0.87). These exclude items such as merger and acquisition costs, depreciation and amortization related to acquisitions and the Refinitiv Transaction, stock-based compensation, and foreign exchange gains and losses. The filing notes these measures have limitations and should not be considered in isolation from GAAP results.

04—Continue

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