Interactive Brokers Group Announces Strong 3Q 2023 Results

October 17, 2023 - Interactive Brokers Group, Inc. announced results for the quarter ended September 30, 2023.

Reported diluted earnings per share were $1.56 for the current quarter and $1.55 as adjusted. For the year-ago quarter, reported diluted earnings per share were $0.97 and $1.08 as adjusted.

Reported net revenues were $1,145 million for the current quarter and $1,139 million as adjusted. For the year-ago quarter, reported net revenues were $790 million and $847 million as adjusted.

Reported income before income taxes was $840 million for the current quarter and $834 million as adjusted. For the year-ago quarter, reported income before income taxes was $523 million and $580 million as adjusted.

Financial Highlights
(All comparisons are to the year-ago quarter.)

• Commission revenue increased 4% to $333 million. Customer trading volume was mixed across product types with options contracts volume up 18% while futures contracts and stock share volumes were down 1% and 22%, respectively.
• Net interest income increased 55% to $733 million on higher benchmark interest rates and customer credit balances.
• Other income increased $75 million to a gain of $27 million. This increase was mainly comprised of $37 million related to our investment in Tiger Brokers and $23 million related to our currency diversification strategy.
• Execution, clearing and distribution fees expenses increased 14% to $98 million, driven by higher customer trading volume in options.
• Pretax profit margin for the current quarter was 73% as reported and as adjusted. For the year-ago quarter, reported pretax margin was 66% and 68% as adjusted.
• Total equity of $13.3 billion.

The Interactive Brokers Group, Inc. Board of Directors declared a quarterly cash dividend of $0.10 per share. This dividend is payable on December 14, 2023, to shareholders of record as of December 1, 2023.

Business Highlights
(All comparisons are to the year-ago quarter.)

• Customer accounts increased 21% to 2.43 million.
• Customer equity increased 29% to $369.8 billion.
• Total DARTs2 decreased 1% to 1.91 million.
• Cleared DARTs increased slightly to 1.71 million.
• Customer credits increased 3% to $98.0 billion.
• Customer margin loans increased 8% to $43.6 billion.