Summary
Interactive Brokers Group, Inc. (IBKR) reported strong financial results for the first quarter ended March 31, 2011. Diluted earnings per share surged by 322% to $0.38 compared to $0.09 in the prior year's quarter. This significant improvement was driven by a substantial increase in net revenues, which grew by 75% to $367.9 million, largely due to a 149% jump in trading gains and a 19% increase in commissions and execution fees. Income before income taxes more than tripled, reaching $222.0 million, reflecting improved profitability in both the market making and electronic brokerage segments. The company's robust performance was supported by a more favorable market environment characterized by wider bid/offer spreads and increased customer trading activity.
Financial Highlights
27 data points| Revenue | $385.63M |
| Net Income | $16.66M |
| EPS (Basic) | $0.10 |
| EPS (Diluted) | $0.10 |
| Shares Outstanding (Basic) | 168.93M |
| Shares Outstanding (Diluted) | 171.17M |
Key Highlights
- 1Diluted EPS increased significantly to $0.38 from $0.09 year-over-year.
- 2Total net revenues grew 75% to $367.9 million.
- 3Trading gains rose by 149% to $200.3 million, driven by wider bid/offer spreads and improved volatility.
- 4Commissions and execution fees increased by 19% due to higher customer trading volumes.
- 5Income before taxes more than tripled to $222.0 million, indicating strong operational leverage.
- 6Market making segment pre-tax profit margin improved dramatically to 67% from 7% year-over-year.
- 7Electronic brokerage segment saw a 40% increase in income before taxes, with customer accounts and equity growing substantially.