By Micah Maidenberg

 

Charles Schwab Corp. said its acquisition of TD Ameritrade helped fourth-quarter results, but closing that deal came with costs.

Schwab on Tuesday reported earnings of $1.14 billion, or 57 cents a share, compared with a profit of $852 million, or 62 cents a share, for the year earlier. The company's adjusted profit rose to 74 cents a share, or three cents more than what analysts predicted for that metric, according to Factset.

Revenue increased to $4.18 billion from $2.61 billion, above the $4.11 billion consensus estimate for the fourth quarter.

Schwab completed its purchase of TD Ameritrade on Oct. 6. Transaction-related costs totaled $429 million during the latest period on a pre-tax basis, the company said, and $632 million for the full year.

That deal "not only builds scale, but also supports our ability to meet specific needs across client segments," Chief Executive Walt Bettinger said.

Schwab said investors had 29.6 million active brokerage accounts through it as of the end of last year, up from 29 million as of the end of October.

 

Write to Micah Maidenberg at micah.maidenberg@wsj.com

 

(END) Dow Jones Newswires

January 19, 2021 09:22 ET (14:22 GMT)

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