Interactive Brokers reports rise in revenues in Q1 2023
Electronic trading major Interactive Brokers Group, Inc. (NASDAQ:IBKR) has reported its financial results for the first quarter of 2023.
For the quarter ended March 31, 2023, reported diluted earnings per share were $1.42 and $1.35 as adjusted. For the year-ago quarter, reported diluted earnings per share were $0.74 and $0.82 as adjusted.
Reported net revenues were $1,056 million for the current quarter and $1,015 million as adjusted. For the year-ago quarter, reported net revenues were $645 million and $692 million as adjusted.
Commission revenue increased 2% to $357 million on record contract volumes in futures and larger average trade sizes in options and futures, tempered by lower customer stock trading volume.
Reported income before income taxes was $761 million for the current quarter and $720 million as adjusted. For the year-ago quarter, reported income before income taxes was $394 million and $441 million as adjusted. Net interest income increased 126% to $637 million on higher benchmark interest rates and customer credit balances.
Reported pretax profit margin was 72% for the current quarter and 71% as adjusted. For the year-ago quarter, reported pretax margin was 61% and 64% as adjusted.
Customer accounts increased 21% to 2.20 million but customer equity decreased 4% to $343.1 billion.
Total DARTs decreased 19% to 2.05 million.
The Interactive Brokers Group, Inc. Board of Directors declared a quarterly cash dividend of $0.10 per share. This dividend is payable on June 14, 2023, to shareholders of record as of June 1, 2023.