Schwab Posts $2.9B Q3 Profit, Extending Record Earnings Streak
SCHW sits 16% above its 52-week low of $83.96.
Summary
Schwab reported Q3 net income of $2.9 billion, up from $2.8 billion in Q2, continuing its run of record quarterly profits. Q3 EPS was $1.69 on revenue of $7.20 billion, beating estimates of $1.65 and $7.18 billion, with revenue up 17% year-over-year. Q3 net new assets were $190.4 billion, following record August net new assets of $64.8 billion, and 1.2 million new brokerage accounts were opened in Q3, bringing total client accounts to 48.6 million. Bank loan balances were $72.3 billion U.S. at end of September, up 35% year-over-year, margin loan balances increased 14% quarter-over-quarter to $187.9 billion U.S., daily average trading volumes were 10.7 million, up 44% year-over-year, and trading revenue was $1.2 billion U.S., up 16% year-over-year. The company has been aggressively returning capital, with a $20 billion buyback program and a $2.4 billion repurchase announced alongside Q1 results, and the higher profit gives it more room to keep doing so.
Updated with a BayStreet report · What changed
Updates
· BayStreet — Schwab's Q3 EPS was $1.69 on revenue of $7.20 billion, beating estimates of $1.65 and $7.18 billion; net new assets were $190.4 billion.
- Revenue Growth — Revenue up 17% year-over-year.
- Client Accounts — 1.2 million new brokerage accounts opened in Q3, bringing total client accounts to 48.6 million.
- Loan Balances — Bank loan balances were $72.3 billion U.S. at end of September, up 35% year-over-year; margin loan balances increased 14% quarter-over-quarter to $187.9 billion U.S.
- Trading Activity — Daily average trading volumes were 10.7 million, up 44% year-over-year; trading revenue was $1.2 billion U.S., up 16% year-over-year.
All 7 details
- Revenue up 17% year-over-year
- 1.2 million new brokerage accounts opened in Q3
- Total client accounts reached 48.6 million
- Bank loan balances $72.3 billion U.S. at end of September, up 35% year-over-year
- Margin loan balances increased 14% quarter-over-quarter to $187.9 billion U.S.
- Daily average trading volumes 10.7 million, up 44% year-over-year
- Trading revenue $1.2 billion U.S., up 16% year-over-year
At the time of this announcement, SCHW was trading at $97.64 on NYSE in the Finance sector, with a market capitalization of approximately $167.4B. The 52-week trading range was $83.96 to $114.53. This news item was assessed with positive market sentiment and an importance score of 8 out of 10. Source: Dow Jones Newswires.