Interactive Brokers (Nasdaq: IBKR) published its financials for the second quarter of 2022 on Tuesday, reporting net revenue of $656 million, with the adjusted figure at $717 million. There was a 13 percent decline year-over-year in the net revenue, whereas the adjusted number strengthened by 10.3 percent.
The revenue generated from commissions jumped by 5 percent to $322 million. It was pushed by the higher customer options and futures trading volume with a lower stock volume.
The net interest income of the broker also increased by 27 percent to $348 million. However, the income from the other sources dipped by $175 million to a loss of $57 million. The disappearance of several non-recurrence gains pushed this segment to losses.
The currency diversification strategy of the broker in Q2 decreased its comprehensive earnings by $158 million, which was reported in the other incomes.
The broker ended the quarter, between April and June, with a pre-tax income of $392 million, down from $541 million generated a year earlier. The adjusted number, however, strengthened to $453 million from $437 million.
The pre-tax profit margin for the reported figures dropped to 60 percent from 70 percent in a year, whereas the adjusted figure witnessed a drop to 63 percent from 67 percent.
Client Metrics
Despite the declined reported net revenue and profits, the American broker witnessed a string quarter when it comes to some customer metrics. The number of customer accounts on the platform increased by 36 percent year-over-year to reach 1.92 million by the end of the quarter.
Customer credits also jumped by 13 percent to $92.5 billion.
However, the total DARTs for the quarter declined by 6 percent to 2.17 million. The cleared DARTs came in at 1.93 million, which was 7 percent lower. Further, the customer margin loans witnessed a decline of 13 percent to $42.6 billion.
Interactive Brokers (Nasdaq: IBKR) published its financials for the second quarter of 2022 on Tuesday, reporting net revenue of $656 million, with the adjusted figure at $717 million. There was a 13 percent decline year-over-year in the net revenue, whereas the adjusted number strengthened by 10.3 percent.
The revenue generated from commissions jumped by 5 percent to $322 million. It was pushed by the higher customer options and futures trading volume with a lower stock volume.
The net interest income of the broker also increased by 27 percent to $348 million. However, the income from the other sources dipped by $175 million to a loss of $57 million. The disappearance of several non-recurrence gains pushed this segment to losses.
The currency diversification strategy of the broker in Q2 decreased its comprehensive earnings by $158 million, which was reported in the other incomes.
The broker ended the quarter, between April and June, with a pre-tax income of $392 million, down from $541 million generated a year earlier. The adjusted number, however, strengthened to $453 million from $437 million.
The pre-tax profit margin for the reported figures dropped to 60 percent from 70 percent in a year, whereas the adjusted figure witnessed a drop to 63 percent from 67 percent.
Client Metrics
Despite the declined reported net revenue and profits, the American broker witnessed a string quarter when it comes to some customer metrics. The number of customer accounts on the platform increased by 36 percent year-over-year to reach 1.92 million by the end of the quarter.
Customer credits also jumped by 13 percent to $92.5 billion.
However, the total DARTs for the quarter declined by 6 percent to 2.17 million. The cleared DARTs came in at 1.93 million, which was 7 percent lower. Further, the customer margin loans witnessed a decline of 13 percent to $42.6 billion.
