Tradeweb Markets (TW) Q4 2025 earnings summary

Executive summary

• Achieved record annual revenue exceeding $2 billion for the first time, marking the 26th consecutive year of record revenues and the 7th consecutive year of double-digit revenue growth as a public company.

• Fourth quarter revenue reached $521.2 million, up 12.5% year-over-year, with international revenues at $220.2 million, up 16.8%.

• Net income for Q4 was $367.1 million, up 129.5% year-over-year, and full-year net income was $921.5 million, up 61.7%, including significant non-operating gains from Canton Coin holdings.

• Strong client activity, share gains, and a risk-on environment, along with expansion in electronic trading, digital assets, and global markets, drove growth.

• January 2026 saw record volumes and 17% year-over-year revenue growth, with robust momentum continuing into February.

Financial highlights

• Full-year 2025 revenue grew 18.9% year-over-year to $2.1 billion, with adjusted EBITDA margin at 54%, up 64 basis points.

• Adjusted net income for FY25 was $825 million, up 18.7%; adjusted diluted EPS was $3.47, up 18.8%.

• Free cash flow for FY25 was $1.1 billion, up 31.6% year-over-year.

• Net interest income was $18.8 million, supported by higher cash balances.

• GAAP results included $207 million in net gains from strategic investments, mainly from Canton Coin mark-to-market and Securitize warrants.

Outlook and guidance

• 2026 adjusted expenses expected between $1.1 billion and $1.16 billion, with capex and capitalized software development projected at $107–$117 million.

• Continued investment in credit, rates, international markets, ICD, and digital assets.

• 2026 revenue from LSEG master data agreement expected at ~$105 million.

• Assumed non-GAAP tax rate for FY26 is 23.5–24.5%.

• Net interest income for Q1 2026 forecasted at ~$15 million.