By Dean Seal
Charles Schwab booked higher earnings and a new high-water mark for first-quarter revenue as volatile markets boosted trading volumes and capital inflows.
The brokerage posted a profit of $1.91 billion, or 99 cents a share, compared with $1.36 billion, or 68 cents a share, in the same quarter a year earlier.
Stripping out one-time items, adjusted earnings were $1.04 a share. Analysts polled by FactSet had expected $1.01 a share.
Revenue climbed 18% to $5.6 billion, clearing analyst targets for $5.53 billion.
The firm logged higher revenue from trading and net interest, along with higher fees on bank-deposit accounts and for asset management and administration. Net inflows to its managed-investing division grew 15%, setting a quarterly record, according to the company.
The recent weakness in the stock market was more than offset by organic growth and better product utilization as asset-management fees climbed, Schwab said. The rush of activity in the market has driven up volumes for the trading division, it said.
"Investors turned to Schwab to navigate an increasingly uncertain environment," Chief Executive Rick Wurster said.
Shares rose 3.9% to $78.63 in premarket trading.
Write to Dean Seal at dean.seal@wsj.com
(END) Dow Jones Newswires
April 17, 2025 08:21 ET (12:21 GMT)
Copyright (c) 2025 Dow Jones & Company, Inc.