Interactive Brokers Group, Inc. (NASDAQ:IBKR) stock fell 2.69% (As on October 17, 11:22:01 AM UTC-4, Source: Google Finance) though the company posted higher than expected results for the third quarter of FY25. The company reported income before income taxes was $1,312 million for the current quarter and $1,267 million as adjusted. For the year-ago quarter, reported income before income taxes was $909 million and $871 million as adjusted. Pretax profit margin for the current quarter was 79% both as reported and as adjusted. For the year-ago quarter, pretax margin was 67% as reported and 66% as adjusted. Total equity of $19.5 billion. During the third quarter, Customer accounts increased 32% to 4.13 million. Customer equity increased 40% to $757.5 billion. Total DARTs increased 34% to 3.62 million. Customer credits increased 33% to $154.8 billion. Customer margin loans increased 39% to $77.3 billion. The company reported strong net new account growth, adding their 4 millionth customer and reaching $150 billion in client cash balances, both up over 30% from last year.

Moreover, Commission revenue increased 23% to $537 million on higher customer trading volumes. Customer trading volume in stocks and options increased 67% and 27%, respectively, while futures decreased 7%. Net interest income increased 21% to $967 million on stronger securities lending activity and higher average customer margin loans and customer credit balances. Other fees and services decreased 8% to $66 million, led by a decrease of $12 million in risk exposure fees, which was partially offset by a $3 million increase in FDIC sweep fees. Execution, clearing and distribution fees decreased 21% to $92 million, driven by lower regulatory fees, as the SEC Section 31 transaction fee rate was reduced to zero on May 14, 2025, and greater capture of liquidity rebates from certain exchanges due to higher trading volumes in stocks and options.

Additionally, the company has declared a quarterly cash dividend of $0.08 per share. This dividend is payable on December 12, 2025, to shareholders of record as of December 1, 2025.

IBKR in the third quarter of FY25 has reported the adjusted earnings per share of 57 cents, beating the analysts’ estimates for the adjusted earnings per share of 50 cents, according to the Zacks Consensus Estimate. The company had reported the adjusted revenue growth of 21 percent to $1.61 billion in the third quarter of FY25, beating the analysts’ estimates for revenue by 12.85%.