Charles Schwab Corp
Q2 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: +1.95%.
Did SCHW Beat Earnings? Q2 2025 Results
Charles Schwab posted a strong second quarter, with adjusted earnings per share of $1.14 beating the $1.07 consensus by 6.48%, while revenue of $5.85 billion topped estimates by 3.70%, even as the top line reflected a 7.8% decline from the year-ago period. <a href="https://247wallst.com/investing/2025/07/18/live-will-schwab-soar-after-releasing-q2-earnings/">Shares climbed sharply</a> in the wake of the results, briefly touching a record high in premarket trading. The single biggest driver behind the beat was a surge in net interest revenue, which climbed 31% year-over-year to $2.82 billion, fueled by ongoing reductions in higher-cost bank supplemental funding and a rebound in securities lending. Trading revenue also contributed meaningfully, rising 23% to $952 million on daily average trading volume of 7.6 million trades. Client engagement remained robust, with core net new assets of $80.3 billion, up 31% year-over-year, and total client assets reaching $10.76 trillion, while more than 1 million new brokerage accounts were opened during the quarter.
- 25% year-over-year net revenue growth driven by net interest revenue expansion
- Net interest margin expanded 12 basis points sequentially to 2.65% from reduction of higher-cost liabilities and rebound in securities lending
- Bank Supplemental Funding declined $10.4 billion to $27.7 billion at quarter-end
- Core net new assets of $80.3 billion, up 31% year-over-year
- Daily average trading volume up 38% year-over-year to 7.6 million
- New brokerage account openings up 11% year-over-year to 1.1 million
- Managed Investing Solutions net inflows grew 37% versus Q2 2024
- Client transactional sweep cash ended at $412.1 billion, a sequential build of $4.3 billion
- Total client assets reached record $10.76 trillion, up 14% year-over-year
“Retail investors and RIAs continued to turn to Schwab as a trusted partner, opening over 1 million new brokerage accounts and gathering $80.3 billion in core net new assets – up 31% versus 2Q24.”
Charles Schwab CEO, on the earnings call
SCHW YoY Financials
SCHW Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.