Interactive Brokers reports increase in Q4 2024 revenues
Electronic trading major Interactive Brokers Group, Inc. (NASDAQ:IBKR) has announced its results for the quarter ended December 31, 2024.
Reported diluted earnings per share were $1.99 for the fourth quarter of 2024 and $2.03 as adjusted. For the year-ago quarter, reported diluted earnings per share were $1.48 and $1.52 as adjusted. Reported net revenues were $1,387 million for the fourth quarter of 2024 and $1,424 million as adjusted. For the year-ago quarter, reported net revenues were $1,139 million and $1,149 million as adjusted.
Commission revenue increased 37% to $477 million on higher customer trading volumes. Customer trading volume in options and stocks increased 32% and 65%, respectively, while customer futures volume decreased by 3%.
Reported income before income taxes was $1,040 million for the current quarter and $1,077 million as adjusted. For the year-ago quarter, reported income before income taxes was $816 million and $831 million as adjusted.
Net interest income increased 11% to $807 million on higher average customer margin loans and customer credit balances.
Execution, clearing and distribution fees expenses increased 15% to $115 million, driven by a higher SEC fee rate, a new FINRA Consolidated Audit Trail (CAT) fee initiated during the current quarter, and higher customer trading volumes in options and stocks.
Pretax profit margin for the fourth quarter of 2024 was 75% as reported and 76% as adjusted. For the year-ago quarter, pretax margin was 72% both as reported and as adjusted.
The Interactive Brokers Group, Inc. Board of Directors declared a quarterly cash dividend of $0.25 per share. This dividend is payable on March 14, 2025, to shareholders of record as of February 28, 2025.
Customer accounts increased 30% year-on-year to 3.34 million.
Customer equity increased 33% from the year-ago quarter to $568.2 billion.
Total daily average revenue trades (DARTs) increased 61% from the fourth quarter of 2023 to 3.12 million.
Customer margin loans increased 45% to $64.2 billion.