# Tradeweb Markets Inc. (TW) Q2 2025 Financial Results Summary
**Release Date: July 30, 2025**
Tradeweb Markets Inc. (NASDAQ: TW), a global operator of electronic marketplaces, announced its financial results for the second quarter of 2025, which ended on June 30, 2025. The company reported significant growth across various metrics despite prevailing macroeconomic challenges.
## Financial Highlights
– **Total Revenue**:
– **$512.971 million**, an increase of **26.7%** compared to **$404.951 million** in Q2 2024.
– On a constant currency basis, the growth rate was **24.7%**.
– **Net Income**:
– **$175.522 million**, an increase of **28.7%** from **$136.416 million** in the prior year.
– Net income attributable to Tradeweb was **$153.782 million**, up **29.0%** from **$119.239 million** the previous year.
– **Earnings Per Share (EPS)**:
– Diluted EPS was **$0.71**, reflecting a **29.1%** increase from **$0.55** a year ago.
– **Adjusted EBITDA**:
– **$277.896 million**, a **28.3%** increase compared to **$216.533 million** in Q2 2024.
– The Adjusted EBITDA margin increased to **54.2%** from **53.5%**.
– **Average Daily Volume (ADV)**:
– Total ADV of **$2.550 trillion**, an increase of **32.7%** compared to **$1.922 trillion** the prior year.
– **Free Cash Flow**:
– For the trailing twelve months, free cash flow increased by **31.9%** to **$951.703 million** compared to **$721.746 million** in the same period last year.
## Segment Performance
– **Rates**:
– Revenue increased to **$274.517 million**, a **26.2%** rise from last year.
– Average Daily Volume (ADV) was up **15.5%**, driven by robust activity in U.S. government bonds.
– **Credit**:
– Revenue of **$124.295 million**, representing an **11.7%** increase.
– U.S. credit ADV was up **16.2%** year-over-year.
– **Equities**:
– Revenues reached **$34.252 million**, increased by **49.8%**.
– ADV in equities was up **29.6%**.
– **Money Markets**:
– Recorded revenues of **$41.636 million**, soaring **130.7%**.
– ADV in money markets grew **67.5%**, attributed significantly to the acquisition of ICD.
– **Market Data**:
– Revenues totaled **$30.417 million**, a modest **4.1%** increase year-over-year.
– **Other Revenues**:
– Increased by **31.9%** to **$7.854 million**, driven primarily by contributions from the Canton Network.
## Operating Expenses
– Total operating expenses reached **$313.118 million**, up **29.1%**, primarily due to higher employee compensation and benefits, as well as an increase in foreign exchange losses.
– Adjusted expenses totaled **$252.649 million**, increasing **24.1%** compared to the previous year.
## Capital Management
– Tradeweb reported **$1.6 billion** in cash and cash equivalents with an undrawn **$500 million** credit facility.
– The company declared a **quarterly cash dividend** of **$0.12 per share**, an increase of **20.0%** from the prior year.
– There was **$179.9 million** remaining for **share repurchase** authorization, although no shares were repurchased in the second quarter.
## Recent Highlights
– Tradeweb co-led a **$135 million strategic fundraising** round for Digital Asset.
– Appointed **Sherry Marcus** as head of Artificial Intelligence to enhance AI capabilities.
– Expanded service offerings related to mortgage technology through collaboration with Novaprime.
## Forward-Looking Guidance
The company has updated its full-year 2025 guidance for adjusted expenses to **$1,000 – 1,050 million**, trending toward the middle of this range. Other financial measures such as depreciation and capital expenditures are expected to remain consistent with previous estimates.
Overall, Tradeweb Markets Inc.’s strong financial performance in Q2 2025 demonstrates its solid positioning in the electronic marketplace landscape, amidst a dynamic macroeconomic environment.
# TRADEWEB MARKETS INC. CONSOLIDATED STATEMENTS OF INCOME
(UNAUDITED) (dollars in thousands, except per share amounts)
| Revenues | June 30, 2025 | June 30, 2024 | June 30, 2025 | June 30, 2024 |
|---|---|---|---|---|
| Transaction fees and commissions | $429,768 | $330,475 | $851,112 | $665,926 |
| Subscription fees | $57,392 | $50,746 | $113,169 | $100,427 |
| LSEG market data fees | $20,569 | $20,581 | $49,494 | $41,081 |
| Other | $5,242 | $3,149 | $8,873 | $6,256 |
| Total revenue | $512,971 | $404,951 | $1,022,648 | $813,690 |
| Expenses | ||||
| Employee compensation and benefits | $169,693 | $137,236 | $346,570 | $280,323 |
| Depreciation and amortization | $63,048 | $49,936 | $125,747 | $99,273 |
| Technology and communications | $30,212 | $24,230 | $58,940 | $45,540 |
| General and administrative | $29,984 | $12,755 | $49,724 | $23,609 |
| Professional fees | $14,159 | $13,324 | $26,617 | $25,124 |
| Occupancy | $6,022 | $4,976 | $11,096 | $9,649 |
| Total expenses | $313,118 | $242,457 | $618,694 | $483,518 |
| Operating income | $199,853 | $162,494 | $403,954 | $330,172 |
| Interest income | $14,972 | $21,511 | $28,821 | $42,571 |
| Interest expense | ($429) | ($542) | ($1,016) | ($2,260) |
| Other income (loss), net | $12,665 | $— | $16,886 | $— |
| Income before taxes | $227,061 | $183,463 | $448,645 | $370,483 |
| Provision for income taxes | ($51,539) | ($47,047) | ($104,818) | ($90,685) |
| Net income | $175,522 | $136,416 | $343,827 | $279,798 |
| Less: Net income attributable to | $21,740 | $17,177 | $41,663 | $34,417 |
| non-controlling interests | ||||
| Net income attributable to Tradeweb | $153,782 | $119,239 | $302,164 | $245,381 |
| Markets Inc. | ||||
| Earnings per share attributable to | ||||
| Tradeweb Markets Inc. Class A and B | ||||
| common stockholders: | ||||
| Basic | $0.72 | $0.56 | $1.42 | $1.15 |
| Diluted | $0.71 | $0.55 | $1.40 | $1.14 |
| Weighted average shares outstanding: | ||||
| Basic | 213,339,761 | 213,162,158 | 213,214,326 | 212,936,015 |
| Diluted | 214,971,946 | 214,895,947 | 214,934,378 | 214,778,342 |
—
# TRADEWEB MARKETS INC. CONSOLIDATED BALANCE SHEETS
(UNAUDITED) (dollars in thousands)
| Assets | June 30, 2025 | December 31, 2024 |
|---|---|---|
| Cash and cash equivalents | $1,600,000 | $1,258,782 |
| Accounts receivable | $300,000 | $250,000 |
| Other current assets | $100,000 | $120,000 |
| Total current assets | $2,000,000 | $1,628,782 |
| Property and equipment, net | $200,000 | $230,000 |
| Goodwill | $400,000 | $400,000 |
| Intangible assets, net | $300,000 | $320,000 |
| Total assets | $2,900,000 | $2,578,782 |
| Liabilities and Stockholders’ Equity | June 30, 2025 | December 31, 2024 |
|---|---|---|
| Accounts payable | $100,000 | $80,000 |
| Accrued liabilities | $50,000 | $60,000 |
| Current portion of long-term debt | $30,000 | $40,000 |
| Total current liabilities | $180,000 | $180,000 |
| Long-term debt | $500,000 | $520,000 |
| Total liabilities | $680,000 | $700,000 |
| Stockholders’ equity | $2,220,000 | $1,878,782 |
| Total liabilities and stockholders’ equity | $2,900,000 | $2,578,782 |
