Mar 31

Tradeweb Q1 2025 Earnings Report

Tradeweb reported strong Q1 2025 results with record revenue, trading volumes, and notable growth across core asset classes.

Key Takeaways

Tradeweb achieved record revenue of $509.7M and net income of $168.3M in Q1 2025, fueled by surging trading volumes and robust performance in rates, credit, and money markets.

Revenue reached a record $509.7M, up 24.7% YoY

Average daily trading volume hit $2.5 trillion, up 33.7% YoY

Net income rose to $168.3M, while adjusted EPS was $0.86

Money Markets and Market Data segments saw the highest revenue growth

Total Revenue
$510M
Previous year: $409M
+24.7%
EPS
$0.86
Previous year: $0.71
+21.1%
Average Daily Volume
$2.55T
Previous year: $1.9T
+33.7%
Cash and Equivalents
$1.3B
Previous year: $1.55B
-15.9%
Free Cash Flow
$834M
Previous year: $31.3M
+2561.2%

Tradeweb

Tradeweb

Tradeweb Revenue by Segment

Forward Guidance

Full-year 2025 guidance remains unchanged with stable projections for adjusted expenses and continued investment in data infrastructure.

Positive Outlook

  • SEC approval for swap execution facility registration
  • Successful integration of ICD boosting money markets segment
  • Launch of electronic portfolio trading for European gov bonds
  • Strong capital position with $1.3B in cash and undrawn $500M facility
  • New strategic collaboration with Coremont expanding analytics capabilities

Challenges Ahead

  • Operating expenses rose 26.8% due to higher compensation and FX losses
  • Net income margin declined to 33.0% from 35.1% YoY
  • Lower variable fees per million in credit asset class
  • Continued pressure in U.S. ETF wholesale business in equities segment
  • Increased technology and data costs tied to trading volume growth