Core Viewpoint - Interactive Brokers announced a 4-for-1 stock split effective June 18, 2025, following strong Q1 results, indicating management's confidence in the company's growth trajectory [1][3]. Financial Performance - The company's Q1 2025 revenue reached $1.43 billion, a 19% increase year over year, driven by a 50% rise in daily average revenue trades (DARTs) to 3.52 million [3]. - Customer accounts grew by 32% year over year to 3.62 million, while customer equity increased by 23% to $573.5 billion [3]. Market Sentiment - Despite strong fundamentals, Interactive Brokers' stock fell approximately 10% after the earnings report, attributed to adjusted earnings per share of $1.88, which was below analysts' expectations [5]. - Management noted a 10% to 12% decrease in customer margin loans due to market conditions, but expressed confidence in the long-term growth story [6]. Strategic Initiatives - The company declared a quarterly dividend of $0.32, marking a 28% increase, which positions the stock's yield near 1% [7]. - The stock split is seen as a strategic move to enhance accessibility for investors and reflects the company's commitment to growth [3][7]. Long-term Outlook - The post-earnings dip may present a buying opportunity for long-term investors, as the company is expected to maintain its growth trajectory [8].

Tomas Riba is an economist and former Chief Financial Officer. He invests in high-quality companies that can compound their cash flow over the long term.His journey in financial markets started at a young age, and he has been investing since 2007. Following his studies in economics, Tomas initially built his career in accounting.After taking on the role of CFO for a holding company operating in the pharma, medical device, textile, food, and real estate industries, he pursued an academic career. Currently, h ...

Keefe, Bruyette & Woods analyst Kyle Voigt reiterated the Market Perform rating on Interactive Brokers Group, Inc. IBKR, with a price forecast of $181.On Tuesday, Interactive Brokers released its first-quarter results. It reported quarterly earnings of $1.88 per share, which missed the analyst consensus estimate of $1.92. The analyst noted that the earnings miss was mainly due to a decline in net interest income, largely caused by weaker securities lending revenue.In the first quarter, Interactive Brokers’  ...

Shares of Interactive Brokers Group (IBKR) plunged 9.9% in after-market hours on lower-than-expected quarterly results. Its first-quarter 2025 adjusted earnings per share of $1.88 lagged the Zacks Consensus Estimate of $1.92. However, the bottom line indicates a rise of 14.6% from the prior-year quarter.Concurrently, IBKR announced a forward stock split and an increase in quarterly dividends.Results were adversely impacted by higher expenses. On the other hand, an increase in revenues and growth in customer ...

Core Insights - Interactive Brokers (NASDAQ: IBKR) reported a mixed Q1 performance with revenue reaching $1.43 billion, slightly exceeding analyst estimates by 1.42% [1] - The adjusted EPS for the quarter was $1.88, which fell short of street expectations by 2.66% [1] - Following the earnings report, the stock experienced a decline of approximately 3% in post-market trading [1]

Financial Data and Key Metrics Changes - The company reported record net revenues and pre-tax income, with commissions rising 36% year-on-year, reaching over $500 million for the first time [28][12] - Net interest income increased by 3% year-on-year to $770 million, driven by higher balances, partially offset by lower benchmark interest rates [29][38] - Client credit balances rose 19% to a record $125.2 billion, while client equity increased by 23% to $573.5 billion [12][35] - The adjusted pre-tax profit margin was 74%, marking the eighth time it reached 70% or more [13][34] Business Line Data and Key Metrics Changes - Options contract volumes increased by 25%, futures volumes rose by 16%, and stock share volumes surged by 47% [10][28] - The company added 279,000 new accounts in Q1 2025, a record surpassing previous highs [12][11] - The average commission per cleared commissionable order decreased to $2.76 due to smaller average order sizes and higher rebates [37] Market Data and Key Metrics Changes - The S&P 500 ended the quarter down 5%, with a notable decline of 9% from its February peak [8] - Despite market declines, customer trading activity remained robust, with 22 out of the 25 most active names seeing net buying activity [9][10] Company Strategy and Development Direction - The company plans to continue automating its brokerage business and expanding its product offerings while minimizing costs [25][49] - A stock split of four-for-one was announced to enhance liquidity and affordability for shareholders [14] - The company is actively looking for M&A opportunities but has faced challenges in finding suitable targets at reasonable prices [15][16] Management's Comments on Operating Environment and Future Outlook - Management noted that the long-term trend towards global investing remains strong, despite short-term market fluctuations [25] - The company is well-positioned to handle market volatility, allowing clients to trade across various asset classes seamlessly [66] - There is ongoing confidence in the appetite for US investments from non-US clients, despite recent tariff discussions [58][59] Other Important Information - The company introduced several new products, including additional cryptocurrencies and trading options, to enhance its offerings [20][81] - The SEC's reduction of its fee rate to zero is expected to benefit execution and clearing costs in upcoming quarters [31] Q&A Session Summary Question: Impact of retail pressure on equity market levels - Management observed significant trading volumes during market fluctuations, with a slight decrease in margin loans by 10-12% as clients adjusted their risk posture [55] Question: Appetite for US stocks amid tariff news - There has been no noticeable decrease in non-US clients' appetite for US markets, with continued account openings and trading activity [58][59] Question: Client activity tracking in April - There was a 12% drop in margin loans, but overall trading activity returned to normal levels [71] Question: Expansion of crypto offerings - The decision to expand the crypto offering was driven by regulatory changes and increased appetite for the crypto space, although growth has not met expectations [78][81] Question: Changes in risk exposure fees - Risk exposure fees fluctuate more than margin balances, reflecting clients' quick adjustments to market conditions [121]

For the quarter ended March 2025, Interactive Brokers Group, Inc. (IBKR) reported revenue of $1.4 billion, up 16% over the same period last year. EPS came in at $1.88, compared to $1.64 in the year-ago quarter.The reported revenue represents a surprise of -2.25% over the Zacks Consensus Estimate of $1.43 billion. With the consensus EPS estimate being $1.92, the EPS surprise was -2.08%.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to ...

Core Insights - Interactive Brokers Group, Inc. (IBKR) reported quarterly earnings of $1.88 per share, missing the Zacks Consensus Estimate of $1.92 per share, but showing an increase from $1.64 per share a year ago, resulting in an earnings surprise of -2.08% [1] - The company posted revenues of $1.4 billion for the quarter ended March 2025, which was below the Zacks Consensus Estimate by 2.25%, but an increase from $1.2 billion year-over-year [2] - The stock has lost approximately 2.1% since the beginning of the year, outperforming the S&P 500's decline of -8.1% [3] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $1.78 on revenues of $1.37 billion, and for the current fiscal year, it is $7.20 on revenues of $5.56 billion [7] - The estimate revisions trend for Interactive Brokers is currently favorable, leading to a Zacks Rank 2 (Buy) for the stock, indicating expected outperformance in the near future [6] Industry Context - The Financial - Investment Bank industry, to which Interactive Brokers belongs, is currently in the bottom 33% of over 250 Zacks industries, suggesting potential challenges ahead [8] - Evercore (EVR), another company in the same industry, is expected to report quarterly earnings of $1.60 per share, reflecting a year-over-year decline of -24.9% [9]

Exhibit 99.1 INTERACTIVE BROKERS GROUP ANNOUNCES 1Q2025 RESULTS GAAP DILUTED EPS OF $1.94, ADJUSTED1 EPS OF $1.88 GAAP NET REVENUES OF $1,427 MILLION, ADJUSTED NET REVENUES OF $1,396 MILLION RAISES QUARTERLY DIVIDEND FROM $0.25 TO $0.32 DECLARES FOUR-FOR-ONE FORWARD STOCK SPLIT GREENWICH, CT, April 15, 2025 — Interactive Brokers Group, Inc. (Nasdaq: IBKR), an automated global electronic broker, announced results for the quarter ended March 31, 2025. In addition, Interactive Brokers Group, Inc. announced a f ...

Interactive Brokers Group (IBKR) is slated to report first-quarter 2025 results on Tuesday, after market close. See the Zacks Earnings Calendar to stay ahead of market-making news.Among IBKR’s close peers, Charles Schwab (SCHW) will report quarterly numbers on April 17 and Tradeweb Markets Inc. (TW) will come out with first-quarter results on April 30.Interactive Brokers’ fourth-quarter 2024 earnings outpaced the Zacks Consensus Estimate. Higher total GAAP net revenues, growth in customer accounts and an in ...