01—Abstract
Summary
Summary of the 8-K filed October 29, 2026. Cited figures are marked; the original filing is the authoritative source.
Tradeweb Markets Inc. (Nasdaq: TW) reported third quarter 2026 results on October 29, 2026, in a press release furnished as Exhibit 99.1 under Item 2.02.
Total revenue was $584.5 milliona, up 14.9% year over year (15.4% on a constant currency basis). Net income was $224.9 million and adjusted net income was $238.8 million, with diluted EPS of $0.94 and adjusted diluted EPS of $1.02. Adjusted EBITDA was $318.9 million, a 54.5% margin.
Average daily volume reached $3.2 trillionb, up 22.4%, with quarterly ADV records in municipal bonds. Growth was broad across asset classes. Rates revenue rose 18.2% to $324.5 million, credit revenue rose 9.6% to $133.0 million, and equities revenue rose 28.8% to $38.4 million.
Market data revenue rose 19.6%, driven by amendments to the LSEG market data license agreement. Operating expenses increased 11.0% to $331.1 millionc, reflecting higher compensation, technology investment, and professional fees tied partly to acquisition activity. Other revenue fell 17.3%, mainly due to lower digital asset revenue from Canton Network validation.
The company also announced a definitive agreement to acquire Trumid Holdings, LLC for a total purchase price of approximately $1.97 billiond, with a $1.89 billion cash component expected to be funded primarily from cash on hand and targeted to close in the first half of 2027. The Board declared a quarterly dividend of $0.14 per share, payable December 15, 2026. The company updated full-year 2026 guidance, including adjusted expenses of $1,155 to $1,175 million, trending toward the middle of the range.
02—Key points
Key Highlights
- Total revenue of $584.5 million, up 14.9% year over year (15.4% constant currency); international revenue of $258.5 million, up 22.4%.
- Net income of $224.9 million and diluted EPS of $0.94; adjusted net income of $238.8 million and adjusted diluted EPS of $1.02.
- Adjusted EBITDA of $318.9 million with a 54.5% margin, compared with 54.0% in the prior-year quarter.
- Average daily volume of $3.2 trillion, up 22.4%, with quarterly ADV records in municipal bonds.
- Agreement to acquire Trumid for about $1.97 billion total purchase price ($1.89 billion cash), targeted to close in the first half of 2027.
- Quarterly dividend of $0.14 per share, a 16.7% increase from the prior-year period; $209.8 million of Class A shares repurchased in the quarter.
- Updated 2026 guidance: adjusted expenses of $1,155 to $1,175 million, trending toward the middle of the range, with other guidance items unchanged.
03—Questions
Frequently Asked Questions
What drove revenue growth this quarter?
Rates revenue rose 18.2% to $324.5 million, driven by U.S. government bond ADV up 28.0% and swaps/swaptions of one year or longer ADV up 42.4%. Equities revenue rose 28.8% and market data revenue rose 19.6%, the latter due to amendments to the LSEG market data license agreement that increased fees and shifted the timing of historical data deliveries.
What is the Trumid acquisition and how will it be funded?
Tradeweb entered a definitive agreement to acquire Trumid Holdings, LLC, a financial technology company and electronic credit trading marketplace, for a total purchase price of approximately $1.97 billion, including $1.89 billion in cash and $82.0 million in equity. The cash component is expected to be funded primarily with cash on hand, and the deal is targeted to close in the first half of 2027, subject to regulatory approvals and other customary conditions. The company described it as the largest acquisition in its history.
What pressures affected expenses and other income?
Operating expenses rose 11.0% to $331.1 million, driven by higher incentive compensation, headcount growth, technology investment in AI and data, and professional fees related to mergers and acquisitions. Other income fell 52.5% to $18.7 million, partly offset by a $24.0 million unrealized loss on Canton Coin holdings, while other revenue fell 17.3% on lower digital asset validation revenue.
What is the company's capital position and shareholder return?
As of September 30, 2026, Tradeweb had $2.1 billion in cash and cash equivalents and an undrawn $500 million credit facility. During the quarter it repurchased 2,020,555 Class A shares for $209.8 million, leaving $124.5 million in repurchase authorization. The Board declared a $0.14 quarterly dividend payable December 15, 2026. Trailing twelve-month free cash flow was $1.1 billion, up 9.7%.
04—Continue