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.
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(END) Dow Jones Newswires
July 16, 2021 09:24 ET (13:24 GMT)Copyright (c) 2021 Dow Jones & Company, Inc.