Tradeweb Markets Inc.

Second quarter revenue was $559 million, up 9% year-over-year on a reported basis and 8.3% on a constant-currency basis. Adjusted EBITDA margin was 54.4%, up 43 basis points versus full-year 2025 margins. Net interest income was approximately $18 million, and free cash flow exceeded $1 billion for the trailing 12 months, up about 13% year-over-year. The company ended the quarter with approximately $2.1 billion in cash and cash equivalents. For 2026, management said adjusted expenses are expected to trend toward the top half of the initial $1.1 billion to $1.16 billion range, while still expecting adjusted EBITDA and operating margin expansion versus 2025; incremental margin expansion should be more muted as investment continues.

Billy Hult framed the quarter as evidence of more durable growth, not just a volatility-driven spike, highlighting deeper client engagement, broader electronification, and the payoff from long-term investment in technology and workflows. He emphasized Tradeweb’s position in a market shaped by changing rates expectations, fiscal deficits, geopolitical shifts, and AI, and said the company intends to keep building around AI, automation, and data across the trade lifecycle. His tone was confident and expansive, repeatedly describing the franchise as well positioned for long-term share gains.

Sara Furber highlighted the company’s second-highest revenue quarter, with $559 million of revenue and adjusted EBITDA margin of 54.4%, and noted that international clients contributed roughly 44% of second-quarter revenue. She said adjusted expenses rose 9.4% reported and 9.9% constant currency, driven by tech and communications, professional fees, occupancy, and ongoing investments in AI, data infrastructure, and frontier markets. On capital allocation, she said the company ended with approximately $2.1 billion of cash, generated more than $1 billion of trailing-12-month free cash flow, paid a $0.14 quarterly dividend up 16.7% year-over-year, repurchased 1.9 million shares for $189 million, and had $334 million of repurchase authorization remaining.

Analysts focused on the announced ICE/MarketAxess deal, asking whether it changes the competitive landscape in credit or rates; Hult said it validates the fee pool, welcomed rational competition, and argued Tradeweb’s playbook in data, execution, and client relationships is well suited to the current environment. Questions also centered on TARA and the new Kalshi page, with management saying adoption is still early but initial client feedback is encouraging and that these tools are meant to move clients from data retrieval to insight generation. On capital returns, Furber said Tradeweb is open to opportunistic buybacks at current prices but is also evaluating M&A and strategic investments, while keeping acquisitions disciplined and accretive near-term.