Tradeweb Revenue Growth Slows as Volume Gains Decelerate
Total revenue rose 9.0% year-over-year to $558.9 million in the second quarter.
Tradeweb Markets (TW), the electronic trading platform for rates, credit, and equities, saw a deceleration in its top-line growth during the second quarter of 2026. Total revenue increased 9.0% year-over-year to $558.9 million. This followed a more rapid 21.2% year-over-year increase in the first quarter.
Trading activity slowed across the platform's core segments. Average Daily Volume (ADV) rose 18.2% year-over-year to $3.0 trillion, a decline in pace from the 31.4% growth reported in the prior quarter.
Growth decelerated across all primary asset classes. Rates ADV grew 23.1% year-over-year, down from 44.2% in the first quarter. Credit ADV increased 13.3% year-over-year, compared to 41.6% growth in the previous period. Equities and money markets also saw slower momentum, with ADV growing 17.3% and 11.7% year-over-year, respectively.
Market data provided a point of divergence. Revenues in this segment grew 22.6% year-over-year to $37.3 million. The result reversed a 4.6% year-over-year decline recorded in the first quarter.
Profitability margins expanded despite the slower revenue trajectory. Net income margin rose 276 bps year-over-year to 37.0%. Adjusted EBITDA margin increased 24 bps to 54.4%. Adjusted expenses rose 9.4% year-over-year to $276.4 million due to higher depreciation, amortization, and technology and communication costs.
Tradeweb increased its capital return to shareholders. The company declared a quarterly cash dividend of $0.14 per share, a 16.7% increase from the prior year period.
Buyback activity continued in the second quarter. Tradeweb purchased 1,908,308 shares of Class A common stock for $188.9 million. The company maintains $334.3 million in remaining share repurchase authorization.