Interactive Brokers Reports 38% Surge in DARTs for July 2024

Interactive Brokers reports a 38% surge in DARTs for July 2024, with significant gains in client equity and accounts.

Key Points

• 38% Increase in DARTs: Interactive Brokers saw a 38% rise in Daily Average Revenue Trades for July 2024, totaling 2.756 million.
• Client Equity and Accounts Up: Ending client equity reached $509.5 billion, and client accounts grew to 3.00 million.
• Strong Q2 Performance: Q2 2024 net revenues were $1,230 million, a 23% increase year-over-year, with a 26% rise in commission revenue.

Interactive Brokers Group, Inc. (NASDAQ: IBKR) has announced a substantial increase in its trading metrics for July 2024, highlighting a 38% year-over-year rise in Daily Average Revenue Trades (DARTs). The brokerage recorded 2.756 million DARTs for the month, marking a 12% improvement from the previous month.

The company’s client equity also grew significantly, reaching $509.5 billion at the end of July. This represents a 32% increase compared to last year and a 2% rise from June 2024. Additionally, client accounts have grown to 3.00 million, up 29% year over year and 2% month over month.

Interactive Brokers Reports 38% Surge in DARTs for July 2024

Regarding transaction costs, the average commission per cleared Commissionable Order, including exchange, clearing, and regulatory fees, was reported at $2.78.

In its financial results for the second quarter of 2024, Interactive Brokers reported net revenues of $1,230 million, a notable increase from $1,000 million in the same quarter of the previous year. Adjusted net revenues for the quarter were $1,290 million, up from $1,064 million year-over-year. The firm’s income before income taxes stood at $880 million, or $940 million, on an adjusted basis.

The second quarter also saw a 26% rise in commission revenue, reaching $406 million, driven by a significant increase in customer trading volumes across options, stocks, and futures. Customer trading volumes for these instruments rose by 35%, 26%, and 10%, respectively.

Net interest income grew 14% to $792 million, benefitting from higher benchmark interest rates, increased customer margin loans, and elevated credit balances. Other fees and services climbed by 45% to $68 million, primarily due to increased risk exposure fees and payments for order flow from exchange-mandated programs and FDIC sweep program fees.

Interactive Brokers continues demonstrating strong performance across its trading and financial operations, reflecting robust market activity and effective management strategies.

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