Charles Schwab reported record second quarter revenue and earnings above Wall Street estimates as market volatility and the SpaceX initial public offering drove increased activity among retail traders.
The brokerage recorded 11.9 million daily average trades during the quarter, up 57% from the previous year. Trading revenue climbed 28% to $1.2 billion as clients remained active amid geopolitical uncertainty and broader market volatility.
Schwab generated $7.07 billion in net revenue during the three months through June, an increase of 21% from the previous year and above the $6.92 billion expected by analysts. Adjusted earnings reached a quarterly record of $1.62 per share, beating estimates of $1.54.
The company also attracted $118.7 billion in net new assets, representing a 61% increase and exceeding analyst estimates of $111 billion.
Total client assets reached approximately $13.1 trillion as Schwab continued adding brokerage accounts and expanding its lending and wealth management businesses.
