Tradeweb Markets (NASDAQ: TW) reported Q3 EPS of $0.30, $0.01 better than the analyst estimate of $0.29. Revenue for the quarter came in at $212.87 million versus the consensus estimate of $209.54 million.

• $47.0 million GAAP net income, a decrease of 3.1%, due to a higher tax rate and lower interest rates on cash balances. $69.9 million adjusted net income, an increase of 13.5% from the prior year period
• 47.4% adjusted EBITDA margin or $100.9 million adjusted EBITDA for the quarter compared to 46.5% or $93.4 million, respectively, for the prior year period
• $0.19 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:

“Tradeweb’s business performed exceedingly well in the third quarter, as increased adoption of electronic trading and heightened debt issuance helped fuel record TRACE share in U.S. credit and higher volumes in U.S. treasuries, European government bonds and mortgages. We also saw broader interest in a range of trading protocols and tools including electronic portfolio trading, anonymous A2A trading and automated execution. Throughout the quarter we continued to innovate for our clients, including the launch of a new trading platform for mortgage originators and the introduction of a new channel to help foreign investors gain access to the local Chinese bond market.”

Updated Full-Year 2020 Guidance*

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

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