Earnings Per Share

12 Months Ended

Dec. 31, 2022

The following table summarizes the calculations of basic and diluted earnings per share of Class A and Class B common stock for Tradeweb Markets Inc:


	Year Ended
	December 31,
	2022		2021		2020

	(in thousands, except share and per share amounts)
Numerator:
Net income attributable to Tradeweb Markets Inc.	$	309,338	$	226,828	$	166,296
Less: Distributed and undistributed earnings allocated to unvested RSUs and unsettled vested PRSUs (1)	(244)		—		—
Net income attributable to outstanding shares of Class A and Class B common stock - Basic and Diluted	309,094		226,828		166,296

Denominator:
Weighted average shares of Class A and Class B common stock outstanding - Basic	205,576,637		201,419,081		180,409,462
Dilutive effect of PRSUs	770,726		2,067,558		2,472,801
Dilutive effect of options	1,810,956		3,473,549		5,179,109
Dilutive effect of RSUs	241,721		294,652		161,660
Weighted average shares of Class A and Class B common stock outstanding - Diluted	208,400,040		207,254,840		188,223,032

Earnings per share - Basic	$	1.50	$	1.13	$	0.92
Earnings per share - Diluted	$	1.48	$	1.09	$	0.88

(1)During the year ended December 31, 2022, there was a total of 193,441 weighted average unvested RSUs and unsettled vested PRSUs that were considered a participating security for purposes of calculating earnings per share in accordance with the two-class method. There were none during the years ended December 31, 2021 and 2020.

LLC Interests held by Continuing LLC Owners are redeemable in accordance with the TWM LLC Agreement, at the election of such holders, for shares of Class A or Class B common stock, as applicable, of Tradeweb Markets Inc. The potential dilutive effect of LLC Interests are evaluated under the if-converted method. The potential dilutive effect of PRSUs, shares underlying options and RSUs are evaluated under the treasury stock method.

The following table summarizes the PRSUs, shares underlying options, RSUs and weighted-average LLC Interests that were anti-dilutive for the periods indicated. As a result, these shares, which were outstanding, were excluded from the computation of diluted earnings per share for the periods indicated:


	Year Ended
	December 31,
	2022	2021	2020

Anti-dilutive Shares:
Equity-settled PRSUs	—	—	—
Options	—	—	264,376
RSUs	19,551	—	443
LLC Interests	28,830,686	30,699,577	45,828,289

Shares of Class C and Class D common stock do not have economic rights in Tradeweb Markets Inc. and, therefore, are not included in the calculation of basic earnings per share and are not participating securities for purposes of the computation of diluted earnings per share.