Tradeweb Markets Inc Cls A
Q2 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: +1.67%.
Did TW Beat Earnings? Q2 2025 Results
Tradeweb Markets posted a largely strong second quarter for 2025, with adjusted diluted EPS of $0.87 edging past the $0.86 consensus by 1.30%, even as revenue of $512.97 million came in fractionally below the $515.58 million estimate, a slim 0.51% miss that did little to obscure the company's 26.7% year-over-year top-line expansion. The standout driver was record average daily volume of $2.55 trillion in notional value, up 32.7% year-over-year, reflecting an exceptionally active rates environment shaped by April tariff announcements, geopolitical tensions, and shifting central bank policy. The Rates segment led the way at $274.52 million in revenue, up 26.2%, while Money Markets surged 130.7% to $41.64 million, buoyed by the ICD acquisition. Adjusted EBITDA margins held firm at 54.2%, expanding 70 basis points year-over-year. At least one analyst maintained a bullish stance on the stock with a $166 price target. Looking ahead, Tradeweb updated its full-year 2025 adjusted expense guidance to $1.00 billion to $1.05 billion, trending toward the midpoint, reflecting continued investment in growth initiatives.
- Record ADV in U.S. government bonds, U.S. swaps/swaptions < 1-year, fully electronic U.S. high yield credit, municipal bonds, European ETFs and global repurchase agreements
- Total ADV of $2.6 trillion, up 32.7% YoY
- Significant volatility in global rates markets due to U.S. trade policy changes, geopolitical tensions and shifts in investor sentiment
- Continued client adoption across RFQ and Portfolio Trading protocols in credit
- ICD acquisition contributing to 130.7% Money Markets revenue growth
- Growing client base across U.S. and Europe in equity derivatives
- International revenues of $215.2 million, up 40.8% YoY
“Tradeweb delivered a strong second quarter, despite macro challenges around the April 2025 U.S. tariff announcements, rising tensions in the Middle East and evolving central bank policy decisions, which continued to test the resiliency of electronic trading across global markets.”
Tradeweb Markets CEO, on the earnings call
Forward Guidance & Outlook
Tradeweb updated its full-year 2025 guidance: Adjusted Expenses of $1,000–$1,050 million (trending toward middle of range), revised upward to reflect strong business momentum and accelerated investments in future growth initiatives. Acquisition and Refinitiv Transaction related depreciation and amortization expense of ~$176 million. Assumed non-GAAP tax rate of ~24.5%–25.5%. Cash capital expenditures and capitalized software development of ~$99–$109 million. LSEG Market Data Contract Revenue of ~$90 million. Depreciation and amortization, assumed non-GAAP tax rate, expenditures and LSEG Market Data Contract Revenue guidance are unchanged from prior quarter. Expense guidance assumes an average 2025 Sterling/USD foreign exchange rate of 1.28.
TW YoY Financials
TW Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.