Interactive Brokers ( NASDAQ: IBKR ) Q4 earnings topped Wall Street expectations as its commission revenue rose, net interest income jumped, and other income, including its investment in UP Fintech Holding ( TIGR ) swung from a loss to a gain.
Q4 adjusted EPS of $1.30, beating the $1.17 consensus, climbed from $1.08 in Q3 and from $0.83 in Q4 2021.
Meanwhile, Q4 adjusted net revenue of $958M, vs. $932M consensus, rose from $847M in the prior quarter and from $683M in the year-ago period.
Interactive Brokers ( IBKR ) shares rose 2.5% in after-hours trading.
Q4 total daily average revenue trades of 1.89M compared with 1.92M in Q3 and from 2.44M in the year-ago quarter.
Commission revenue rose 3% Y/Y to $331M, on higher customers futures trading volume and larger average trade size in options, partly offset by lower customer stock trading volume. The figure compares with $320M in Q3.
Net interest income was $565M vs. $473M in Q3 and $295M in Q4 2021.
Other income increased $107M Y/Y to a gain of $37M, mainly comprised of $58M related to its investment in UP Fintech Holding ( TIGR ), $34M related to its currency diversification strategy, and $6M related to the remeasurement of its Tax Receivable Agreement liablity.
Total noninterest expenses of $287M vs. $267M in the prior quarter and $230M in the year-ago quarter.
Customer accounts rose to 2.09M from 2.01M at the end of Q3.
Conference call at 4:30 PM ET.
Earlier, Interactive Brokers Group ( IBKR ) non-GAAP EPS of $1.30 beats by $0.13, revenue of $958M beats by $26M
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Interactive Brokers Q4 earnings bolstered by interest income, commission revenue