Charles Schwab 2Q Profit, Revenue Grow; Trading Volume Slows Sequentially
July 16 2021 - 9:25AM
Dow Jones News
By Matt Grossman
Charles Schwab Corp. recorded greater earnings and revenue year
over year in the second quarter, a comparison boosted by its
acquisition of TD Ameritrade, although trading volume slowed from
the first quarter.
The Westlake, Texas-based financial-services company posted
earnings of 59 cents a share, up from 48 cents a share in the same
three-month period a year earlier. Net income was $1.27 billion, up
from $671 million in the year-ago period.
Excluding one-time items, Schwab's adjusted earnings were 70
cents a share. Analysts polled by FactSet had been expecting
adjusted earnings of 71 cents a share.
Revenue was $4.53 billion, a rise from $2.45 billion a year ago.
Analysts were forecasting revenue of $4.46 billion.
The year-over-year growth in part reflects the addition of TD
Ameritrade, acquired by Schwab last year.
In 2021's second quarter, client activity moderated compared
with the first three months of 2021 but was maintained at high
levels, Chief Executive Walter Bettinger said. Clients opened 1.7
million new brokerage accounts in the period.
Daily trade volume averaged above 6 million. That was down 28%
compared with the first quarter's high-water mark, but represented
a 4% increase compared with 2020's fourth quarter, Mr. Bettinger
said.
Core net new assets totaled $108.8 billion. Total client assets
ended June at $7.57 trillion, up by 7% from the end of the first
quarter.
Write to Matt Grossman at matt.grossman@wsj.com
(END) Dow Jones Newswires
July 16, 2021 09:24 ET (13:24 GMT)
Copyright (c) 2021 Dow Jones & Company, Inc.
Charles Schwab (NYSE:SCHW)
Historical Stock Chart
From Aug 2024 to Sep 2024
Charles Schwab (NYSE:SCHW)
Historical Stock Chart
From Sep 2023 to Sep 2024