Interactive Brokers Group, Inc. (NASDAQ:IBKR) stock fell 0.61% (As on July 20, 11:22:08 AM UTC-4, Source: Google Finance) after the company posted lower than expected results for the second quarter of FY 22. Commission revenue increased 5% to $322 million on higher customer options and futures trading volume tempered by lower stock volume. Net interest income increased 27% to $348 million on higher benchmark interest rates and customer balances, partially offset by a decline in securities lending activity. Other income decreased $175 million to a loss of $57 million. This decrease was mainly comprised of the non-recurrence of a $113 million gain related to our strategic investment in Up Fintech Holding Limited (“Tiger Brokers”), $44 million related to the currency diversification strategy, and $7 million related to our U.S. government securities portfolio. Reported pretax profit margin was 60% for the current quarter and 63% as adjusted. For the year-ago quarter, reported pretax margin was 72% and 67% as adjusted.

IBKR in the second quarter of FY 22 has reported the adjusted earnings per share of 84 cents, missing the analysts’ estimates for the adjusted earnings per share of 91 cents. The company had reported the adjusted revenue of $656 million in the second quarter of FY 22, beating the analysts’ estimates for revenue of $736.3 million.

Moreover, Customer accounts increased 36% to 1.92 million. Customer equity decreased 19% to $294.8 billion, including approximately 3% due to an omnibus broker that is now using a trust company for custody. Total DARTs decreased 6% to 2.17 million. Cleared DARTs decreased 7% to 1.93 million. Customer credits increased 13% to $92.5 billion. Customer margin loans decreased 13% to $42.6 billion.

Additionally, the company has declared a quarterly cash dividend of $0.10 per share. This dividend is payable on September 14, 2022, to shareholders of record as of September 1, 2022.

Meanwhile, in connection with the currency diversification strategy, the company base the net worth in GLOBALs, a basket of 10 major currencies in which the company hold the equity. In this quarter, the currency diversification strategy decreased the comprehensive earnings by $158 million, as the U.S. dollar value of the GLOBAL decreased by approximately 1.46%. The effects of the currency diversification strategy are reported as components of (1) Other Income (loss of $53 million) and (2) Other Comprehensive Income (loss of $105 million).