Tradeweb Markets (TW) Q1 2026 earnings summary

Executive summary

• Achieved record quarterly revenue of $617.8 million, up 21.2% year-over-year (17.5% constant currency), surpassing $600 million for the first time.

• Net income rose 38.5% to $233.2 million; adjusted net income up 24.0% to $255.1 million.

• International revenues grew 29.4% year-over-year, contributing nearly 60% of overall revenue growth.

• Strong client activity, record average daily volumes, and robust growth across rates, credit, and equities segments.

• Continued investment in technology, automation, digital assets, and new markets, including AI and tokenization.

Financial highlights

• Adjusted EBITDA margin expanded to 55.0%, up 40 bps year-over-year; adjusted EBITDA was $339.7 million.

• Adjusted expenses increased 20.2% year-over-year, mainly due to higher compensation, technology, and occupancy costs.

• Free cash flow for the trailing twelve months exceeded $1.1 billion, up 31.5% year-over-year.

• Cash and cash equivalents totaled $1.9 billion as of March 31, 2026.

• Quarterly dividend of $0.14 per share, up 17% year-over-year; $523 million remains authorized for share repurchases.

Outlook and guidance

• Adjusted expenses for 2026 expected to trend toward the top half of the $1.1–$1.16 billion guidance range.

• Capital expenditures and capitalized software development projected at $107–117 million for 2026.

• Management anticipates continued adjusted EBITDA and operating margin expansion, though incremental margin growth may be more muted.

• Ongoing investments in credit, rates, international markets, ICD, digital assets, and technology to drive long-term growth.

• April 2026 is trending toward another top-five revenue month despite lower volatility, with positive ADV growth in key products.