Charles Schwab Adds Most Accounts in Quarter in Past 18 Years -- Earnings Review
By Allison Prang
Charles Schwab Corp. (SCHW) released its financial results for its first quarter before the market opened Monday. Here's what you need to know.
PROFIT: The company made $783 million, or 55 cents a share, up 39% from the $564 million, or 39 cents a share, it made in the same quarter a year ago. Analysts were expecting earnings of 54 cents a share.
REVENUE: Total net revenue increased 15% to $2.4 billion. Analysts were expecting revenue of $2.38 billion. Net interest revenue rose 26% to $1.26 billion. The company's net interest margin rose to 2.12% from 1.87% the same time a year ago.
EXPENSES: Expenses, excluding interest, rose 13% to $1.4 billion.
COMMENTARY: Chief Executive Walt Bettinger said in prepared remarks that the company had 443,000 new accounts, the most it has accumulated in a quarter in the last 18 years. The company had $3.31 trillion in client assets at quarter's end, an increase of 13% from a year ago, he said.
Shares rose 1.9% premarket and have risen 36% in the past year. Year to date, they've fallen 0.6%.
Write to Allison Prang at [email protected]