Interactive Brokers registers rise in Q4 FY23 revenues
Electronic trading major Interactive Brokers Group, Inc. (NASDAQ:IBKR) has announced results for the quarter ended December 31, 2023.
Reported diluted earnings per share were $1.48 for the current quarter and $1.52 as adjusted. For the year-ago quarter, reported diluted earnings per share were $1.31 and $1.30 as adjusted.
Reported net revenues were $1,139 million for the current quarter and $1,149 million as adjusted. For the year-ago quarter, reported net revenues were $976 million and $958 million as adjusted.
Reported income before income taxes was $816 million for the current quarter and $831 million as adjusted. For the year-ago quarter, reported income before income taxes was $689 million and $671 million as adjusted.
Commission revenue increased 5% from the year-ago quarter to $348 million. Customer trading volume was mixed across product types with options and futures contract volumes up 21% and 4%, respectively, while stock share volume was down 22%.
Net interest income increased 29% from the fourth quarter of 2022 to $730 million on higher benchmark interest rates, customer margin loans and customer credit balances.
Other income decreased $31 million to $6 million. This decrease was mainly comprised of $20 million related to IBKR currency diversification strategy and $8 million related to its investment in Tiger Brokers.
Execution, clearing and distribution fees expenses increased 11% to $100 million, driven by higher customer trading volume in options and futures.
The Interactive Brokers Group, Inc. Board of Directors declared a quarterly cash dividend of $0.10 per share. This dividend is payable on March 14, 2024, to shareholders of record as of March 1, 2024.
Customer accounts increased 23% to 2.56 million.
Total DARTs increased 2% to 1.93 million, whereas cleared DARTs increased 2% to 1.73 million.
Customer margin loans increased 14% to $44.4 billion.
