Parent Company

12 Months Ended

Dec. 31, 2020

Condensed Financial Information Disclosure [Abstract]

Parent Company

Parent Company    VFI is the sole managing member of Virtu Financial, which guarantees the indebtedness of its direct subsidiary under the First Lien Term Loan Facility (see Note 11 "Borrowings"). VFI is limited to its ability to receive distributions (including for purposes of paying corporate and other overhead expenses and dividends) from Virtu Financial under the Credit

Agreement. The following financial statements (the “Parent Company Only Financial Statements”) should be read in conjunction with the consolidated financial statements of the Company and the foregoing.

Virtu Financial, Inc.

(Parent Company Only)

Condensed Statements of Financial Condition

(In thousands except interest data)	December 31, 2020		December 31, 2019
Assets
Cash	$	71,481	$	4,650
Deferred tax asset	183,549		197,792
Investment in subsidiary	3,126,502		2,689,026
Other assets	82,917		33,653
Total assets	$	3,464,449	$	2,925,121
Liabilities, redeemable membership interest and equity
Liabilities
Payable to affiliate	$	1,724,046	$	1,724,465
Accounts payable and accrued expenses and other liabilities	698		—
Tax receivable agreement obligations	271,165		269,282
Total liabilities	1,995,909		1,993,747
Virtu Financial Inc. Stockholders' equity
Class A common stock (par value $0.00001), Authorized — 1,000,000,000 and 1,000,000,000 shares, Issued — 125,627,277 and 120,435,912 shares, Outstanding — 122,012,180 and 118,257,141 shares at December 31, 2020 and December 31, 2019, respectively	1		1
Class B common stock (par value $0.00001), Authorized — 175,000,000 and 175,000,000 shares, Issued and Outstanding — 0 and 0 shares at December 31, 2020 and December 31, 2019, respectively	—		—
Class C common stock (par value $0.00001), Authorized — 90,000,000 and 90,000,000 shares, Issued and Outstanding — 10,226,939 and 12,887,178 shares at December 31, 2020 and December 31, 2019, respectively	—		—
Class D common stock (par value $0.00001), Authorized — 175,000,000 and 175,000,000 shares, Issued and Outstanding — 60,091,740 and 60,091,740 shares at December 31, 2020 and December 31, 2019, respectively	1		1
Treasury stock, at cost, 3,615,097 and 2,178,771 shares at December 31, 2020 and December 31, 2019, respectively	(88,923)		(55,005)
Additional paid-in capital	1,160,567		1,075,779
Retained earnings (accumulated deficit)	422,381		(88,755)
Accumulated other comprehensive income (loss)	(25,487)		(647)
Total Virtu Financial Inc. stockholders' equity	1,468,540		931,374
Total liabilities and stockholders' equity	$	3,464,449	$	2,925,121

Virtu Financial, Inc.

(Parent Company Only)

Condensed Statements of Comprehensive Income

	Years Ended December 31,
(in thousands)	2020		2019		2018
Revenues:
Other Income	$	—	$	—	$	—
	—		—		—
Operating Expenses:
Operations and administrative	171		3		1
Income (loss) before equity in income of subsidiary	(171)		(3)		(1)
Equity in income (loss) of subsidiary, net of tax	1,121,084		(29,416)		620,193
Net income (loss)	$	1,120,913	$	(29,419)	$	620,192
Net income (loss) attributable to common stockholders	$	1,120,913	$	(29,419)	$	620,192
Other comprehensive income (loss):
Foreign currency translation adjustment, net of taxes	8,604		(565)		(3,073)
Net change in unrealized cash flow hedges gains (losses), net of taxes	(33,444)		—		—
Comprehensive income (loss)	$	1,096,073	$	(29,984)	$	617,119

Virtu Financial, Inc.

(Parent Company Only)

Condensed Statements of Cash Flows

	Years Ended December 31,
(in thousands)	2020		2019		2018
Cash flows from operating activities
Net income	$	1,120,913	$	(29,419)	$	620,192
Adjustments to reconcile net income to net cash provided by operating activities:
Equity in income of subsidiary, net of tax	(543,992)		136,878		(305,936)
Tax receivable agreement obligation reduction	15,169		54,879		79,722
Deferred taxes	14,243		(8,165)		(64,996)
Changes in operating assets and liabilities:	(48,566)		2,339		(25,268)
Net cash provided by operating activities	557,767		156,512		303,714
Cash flows from investing activities
Investments in subsidiaries, equity basis	56,629		70,762		34,909
Net cash provided by investing activities	56,629		70,762		34,909
Cash flows from financing activities
Distribution from Virtu Financial to non-controlling interest	(363,919)		(99,221)		(206,903)
Dividends	(120,496)		(112,414)		(100,329)
Repurchase of Class C common stock	—		(196)		(8,216)
Purchase of treasury stock	(49,864)		(14,259)		(66,218)
Tax receivable agreement obligations	(13,286)		—		(12,359)
Issuance of common stock in connection with secondary offering, net of offering costs	—		(375)		(950)
Net cash used in financing activities	(547,565)		(226,465)		(394,975)
Net increase (decrease) in Cash	66,831		809		(56,352)
Cash, beginning of period	4,650		3,841		60,193
Cash, end of period	$	71,481	$	4,650	$	3,841
Supplemental disclosure of cash flow information:
Taxes paid	$	203,031	$	1,332	$	73,991
Non-cash financing activities
Tax receivable agreement described in Note 7	(1,388)		(5,811)		(911)