Charles Schwab Corp. ( (SCHW) ) has released its Q4 earnings. Here is a breakdown of the information Charles Schwab Corp. presented to its investors.
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The Charles Schwab Corporation is a leading financial services provider offering wealth management, securities brokerage, banking, and advisory services to individual investors and independent investment advisors, with $10.10 trillion in client assets.
In its latest earnings report, Charles Schwab Corp. announced a significant financial performance improvement, with net revenues for the fourth quarter of 2024 reaching $5.3 billion, a year-over-year increase of 20%. The company also reported a 49% increase in adjusted earnings per share to $1.01, reflecting robust client engagement and strategic growth.
Key financial metrics included a 20% growth in net revenues and a 46.6% adjusted pre-tax profit margin for the fourth quarter. The company successfully gathered $367 billion in core net new assets for 2024, marking a 20% increase from the previous year. Charles Schwab Corp. also reduced its Bank Supplemental Funding by $14.9 billion, highlighting effective balance sheet management.
The company experienced a 15% growth in margin balances, reaching $83.8 billion, and a 23% increase in new brokerage account openings. Trading activity rose by 11%, driven by heightened client engagement post-election, while retail client satisfaction scores hit record levels. Additionally, Schwab’s mobile app was recognized as the top mobile investing app by Corporate Insight.
Looking ahead, Charles Schwab Corp. remains focused on sustaining its growth momentum and maintaining competitive strengths in the market. The management continues to emphasize disciplined expense management and strategic asset gathering, aiming to further enhance shareholder value and client satisfaction.
