IBG, Inc.(US:IBKR)2024-10-15 20:02Financial Performance - GAAP diluted EPS for Q3 2024 was $1.81, up from $1.56 in the year-ago quarter, while adjusted EPS was $1.75 compared to $1.55[1] - Net revenues for Q3 2024 reached $1,365 million, a 19% increase from $1,145 million in the same quarter last year[1][2] - Adjusted net revenues for Q3 2024 were $1.327 billion, up from $1.139 billion in Q3 2023, marking a growth of 16.6%[27] - Adjusted diluted EPS for Q3 2024 was $1.75, compared to $1.55 in Q3 2023, an increase of 12.9%[29] - Net interest income for Q3 2024 was $826 million, compared to $744 million in Q3 2023, reflecting an increase of 11.0%[24] - Adjusted income before income taxes for Q3 2024 was $949 million, compared to $834 million in Q3 2023, reflecting a growth of 13.8%[27] Revenue Sources - Commission revenue increased by 31% to $435 million, driven by a 35% rise in customer trading volume in options[2] - Net interest income rose 9% to $802 million, supported by higher customer margin loans and credit balances[2] Customer Metrics - Customer accounts grew by 28% to 3.12 million, and customer equity surged 46% to $541.5 billion[4] - Total customer DARTs (Daily Average Revenue Trades) rose to 2,703 thousand, a 42% increase from 1,907 thousand year-over-year[22] - Average DARTs per account (annualized) improved to 198, up 10% from 180 in the previous year[22] - Customer margin loans increased to $54.647 billion in Q3 2024, up from $42.853 billion in Q3 2023, a rise of 27.6%[24] - Customer credit balances rose to $106.865 billion in Q3 2024, compared to $95.506 billion in Q3 2023, an increase of 11.9%[24] Operational Metrics - Total Daily Average Revenue Trades (DARTs) increased by 42% to 2.70 million[4] - Executed order volumes for 3Q2024 showed a total of 189,342 orders, a 49% increase compared to 127,375 orders in 3Q2023[18] - Options contracts executed in 3Q2024 reached 344,540, a 34% increase from 256,481 contracts in 3Q2023[19] Expenses and Liabilities - General and administrative expenses increased by 67% to $75 million, primarily due to a one-time charge related to the consolidation of European subsidiaries[3] - Total liabilities increased to $132,448 million, up from $114,356 million, marking a 15.8% rise[16] Equity and Assets - Total equity stood at $16.1 billion as of September 30, 2024[3] - Total assets increased to $148,526 million, up from $128,423 million, representing a growth of 15.7%[16] - Noncontrolling interests increased to $11,918 million, compared to $10,483 million, indicating a growth of 13.7%[16] Dividend and Earnings Strategy - The company declared a quarterly cash dividend of $0.25 per share, payable on December 13, 2024[3] - The currency diversification strategy contributed an increase of $178 million to comprehensive earnings this quarter[5] Interest Metrics - Average interest-earning assets increased to $138.709 billion in Q3 2024, up from $119.906 billion in Q3 2023, representing a growth of 15.7%[24] - Net interest margin (NIM) for Q3 2024 was 2.37%, slightly down from 2.46% in Q3 2023[24] - The annualized yield on customer margin loans was 5.73% in Q3 2024, slightly down from 5.77% in Q3 2023[24] Adjustments - Total non-GAAP adjustments for Q3 2024 amounted to $(38) million, impacting adjusted net revenues and income before income taxes[27]