Interactive Brokers' revenue for Q2 falls, posting $656 million, with adjusted figures at $717 million. This is a 13% dip compared to last year's result.
Interactive Brokers reported its financials for the second quarter of 2022, posting net revenue of $656 million, with adjusted figures of $717 million. There was a 13% year-on-year decline in net income, while the adjusted amount rose 10.3%.
In fact, thanks to a push from higher customer options and lower volume futures trading volume, commission revenue jumped 5% to $322 million. In addition, the broker's net interest income rose 27% to $348 million. Unfortunately, revenue from other sources dipped from $175 million to a loss of $57 million. It appears that Interactive Brokers' currency diversification strategy during Q2 lowered revenue by $158 million.
IBKR ended the quarter between April and June with pre-tax revenue of $392 million, down from the $541 million it generated last year. However, the adjusted amount strengthened to $453 million from $437 million.
Profit margin before tax also reportedly fell to 60%, while the adjusted figure slumped to 63%. Despite the reported decline in revenue and net profit, Interactive Brokers saw improvements in several customer metrics. The number of customer accounts on the platform rose 36% year on year to reach 1.92 million at the end of the quarter. In addition, customer credit also jumped 13% to $92.5 billion.
However, total DART for the quarter fell 6% to 2.17 million. The cleared DART reached 1.93 million, or 7% lower. Furthermore, the CFTC-regulated company's customer margin loans also decreased by 13% to $42.6 billion.