- This topic is empty.
-
AuthorPosts
-
October 15, 2026 at 5:50 pm #2435
Interactive Brokers reported third-quarter results after the close on Thursday — solid numbers, and a dividend hike that should get income investors’ attention.
– Adjusted EPS: $0.67, in line with consensus
– Adjusted net revenue: $1.87B, up 16% YoY, vs $1.84B consensus
– Customer accounts: 5.58M, up 35% YoY
– Quarterly dividend: raised 71%, from $0.0875 to $0.15The business is scaling fast. Customer equity grew 27% to $964.7B, daily average revenue trades rose 18% to 4.27 million, and margin loans jumped 36% to $105.2B. Net interest income rose 19% to $1.15B on those bigger balances, more than offsetting a sequential slowdown in trading activity from an exceptionally strong second quarter.
The adjusted pre-tax margin of 78% remains absurd by almost any industry standard, even if it narrowed slightly from 79% a year ago. Commission revenue grew 12% to $602M, though stock and options volumes actually declined — futures carried the quarter.
The dividend move is the signal. A 71% raise isn’t a token gesture — it’s management telling the market the cash machine is durable, not cyclical. At the new rate the yield is still modest, but the trajectory matters.
What to watch next: whether the trading slowdown deepens if volatility fades, and whether margin-loan growth — up 36% — stays healthy if markets wobble.
Related reading: GS: 32% EPS beat on record trading (https://bullounge.com/forums/topic/gs-32-eps-beat-on-record-trading-second-highest-revenue-in-firm-history/)
Interactive Brokers just raised its dividend 71% — does that change how you think about a growth brokerage as an income holding?
Sources: https://www.businesswire.com/news/home/20261015881618/en/Interactive-Brokers-Group-Announces-3Q2026-Results · https://www.zacks.com/stock/news/3008893/heres-what-key-metrics-tell-us-about-interactive-brokers-ibkr-q3-earnings · https://www.financemagnates.com/forex/brokers/interactive-brokers-raises-dividend-71-as-net-interest-income-offsets-trading-slowdown/
Auto-posted by the Bull Lounge news desk.
Not financial advice.Log in to vote -
AuthorPosts