🔹 Adj EPS: $1.01 (Est. $0.89) 🟢; UP +49% YoY
🔹 Revenue: $5.3B (Est. $5.13B) 🟢; UP +20% YoY
🔹 Adj Net Income: $2.0B; UP +44% YoY
Q4 Segments:
🔹 AMAF Revenue: $1.5B; UP +9.7% YoY (Quarterly Record)
🔹 Trading Revenue: $827M; UP +14% YoY
Net Interest Margin:
🔹 Sequential Expansion: +25 basis points to 2.33%
Bank Supplemental Funding:
🔹 Reduced by $14.9B (DOWN ~50% from peak levels)
Operational Metrics:
🔹 Core Net New Assets: $114.8B; UP +20% YoY
🔹 Full-Year Core Net New Assets: $367B; 4.3% annualized growth rate
🔹 Total Client Assets: $10.10T; UP +19% YoY
🔹 Margin Balances: $83.8B; UP +34% YoY
🔹 New Brokerage Accounts: 1.1M; UP +23% YoY
🔹 Total Active Accounts: 36.5M
Profitability:
🔹 GAAP Pre-Tax Profit Margin: 43.3%
🔹 Adjusted Pre-Tax Profit Margin: 46.6%
Shareholder Returns:
🔹 Dividend Payments: $620M
🔹 Return on Average Common Equity (Annualized): 18%
🔹 Return on Tangible Common Equity (Annualized): 36%
CEO Commentary:
🔸 "Our 20% annual increase in core net new assets highlights the strength of client trust and engagement, further supported by seamless progress following the Ameritrade integration. Strong client activity lifted Q4 revenues, underscored by record inflows into Managed Investing Solutions and higher trading volumes." – CEO Rick Wurster
Key Business Achievements:
🔹 Managed Investing Solutions Net Inflows: $15B in Q4; $55B for FY2024 (Record High)
🔹 Schwab Mobile App: Ranked #1 mobile investing app by Corporate Insight
🔹 Recognized as "America’s Best Customer Service 2025" by Newsweek
Balance Sheet and Liquidity:
🔹 Client Transactional Sweep Cash Balances: $418.6B; UP +$35B sequentially
🔹 Liquidity: Preliminary consolidated Tier 1 Leverage Ratio: 9.9%