Interactive Brokers reports an increase in revenue in the third quarter of 2024

Interactive Brokers Group, Inc. (NASDAQ:IBKR), an automated global electronic broker, announced its financial results for the quarter ended September 30, 2024.

For the third quarter of 2024, the company reported diluted earnings per share of $1.81. This is an increase from diluted earnings per share of $1.56 in the year-ago quarter.

Reported net sales for the current quarter were $1,365 million and adjusted were $1,327 million. For the prior-year quarter, reported net income was $1,145 million and adjusted $1,139 million.

Commission income increased 31% to $435 million due to higher customer trading volumes. Customer trading volume in options, stocks and futures increased by 35%, 22% and 13%, respectively.

Reported profit before income taxes was $987 million in the current quarter and $949 million adjusted. For the year-ago quarter, reported earnings before income taxes were $840 million and adjusted earnings were $834 million.

Net interest income increased 9% to $802 million due to higher customer loans and customer loan balances.

General and administrative expenses increased $30 million, or 67%, to $75 million, primarily due to a one-time charge of $12 million related to the consolidation of Interactive Brokers’ European subsidiaries and an increase of $9 million US dollars in connection with legal and regulatory matters.

Pre-tax profit margin for the current quarter was 72% both reported and adjusted. In the same quarter last year, the pre-tax margin was 73%, both reported and adjusted.

The Board of Directors of Interactive Brokers Group, Inc. has declared a quarterly cash dividend of $0.25 per share. This dividend is payable on December 13, 2024 to shareholders of record on November 29, 2024.

Customer accounts increased 28% to 3.12 million, while customer capital rose 46% to $541.5 billion.

Total daily average revenue transactions (DARTs) rose 42% to 2.70 million.