Tradeweb Markets (NASDAQ: TW) reported Q2 EPS of $0.30, $0.01 better than the analyst estimate of $0.29. Revenue for the quarter came in at $212.11 million versus the consensus estimate of $212.36 million.

• $778.4 billion in average daily volume (“ADV”), an increase of 3.5% year over year. Quarterly records for ADV in U.S. High-Grade Credit, U.S. High-Yield Credit, Bilateral Repos, U.S. Treasury Bills and Emerging Markets Interest Rate Swaps
• $212.1 million quarterly gross revenues increased 11.4% (11.8% on a constant currency basis) year over year
• $42.4 million net income and $70.4 million adjusted net income, increases of 70.9% and 24.3% respectively from the prior year period
• 47.8% adjusted EBITDA margin or $101.3 million adjusted EBITDA for the quarter compared to 45.6% or $86.9 million respectively for the prior year period
• $0.16 diluted earnings per share (“Diluted EPS”) and $0.30 adjusted diluted earnings per share
• $0.08 per share quarterly cash dividend declared

Lee Olesky, CEO of Tradeweb Markets:

“Financial markets are becoming more electronic and Tradeweb’s strong performance in the second quarter demonstrated the benefits of our broad, diversified approach across asset classes, trading protocols, liquidity sources and geographies. Our clients are adapting to remote work and leveraging electronic trading and digital workflows across our platforms. Yet, we continue to develop new functionality that expands and deepens our connections to their businesses. One great example of this is our portfolio trading protocol for corporate bonds, which in June surpassed $100 billion in cumulative trading volume just 18 months after its launch.”

Updated Full-Year 2020 Guidance*

• Adjusted Expenses: $495 - $505 million
  • Includes ~$5 million of technology & communications investments (data strategy and cybersecurity)
  • Includes ~$7 - $8 million of G&A in Q3 and Q4 excluding the impact of FX
  • Duplicative occupancy (rent) delayed to 2021
• Acquisition and Refinitiv Transaction related depreciation and amortization expense: $110 million
• Assumed non-GAAP tax rate: 22.0%
• Capital expenditures and capitalization of software: $45 - $50 million

For earnings history and earnings-related data on Tradeweb Markets (TW) click here.