Charles Schwab Posts Record Q1 2025 Revenue and Strong Earnings Growth

The Charles Schwab Corporation (NYSE: SCHW) reported record first-quarter 2025 revenue of $5.6 billion, an 18% increase from Q1 2024, driven by strong client asset growth, rising trading activity, and continued bank lending momentum. Net income rose 40% year-over-year to $1.9 billion, with adjusted earnings per share reaching $1.04, up 41%.

The company added $137.7 billion in core net new assets during the quarter, a 44% year-over-year increase. Total client assets grew 9% from a year ago to $9.93 trillion, while active brokerage accounts reached 37.0 million.

President and CEO Rick Wurster credited the results to Schwab's ability to serve clients across retail, advisor, and workplace channels, noting that Schwab was named the #1 Overall Broker by StockBrokers.com. “We delivered growth on all fronts,” Wurster said.

Bank sweep cash ended the quarter at $407.8 billion. The company also repurchased $1.5 billion in common stock and raised its dividend by 8% to $0.27 per share.

Trading volumes rose 17% from the previous quarter, helping boost trading revenue by 11% year-over-year. Meanwhile, net interest margin expanded to 2.53%, up 20 basis points sequentially.

Schwab’s adjusted pre-tax profit margin reached 46.2%, and the return on tangible common equity stood at 35%.

CFO Mike Verdeschi noted improvements in balance sheet management, including a $11.8 billion reduction in bank supplemental funding during the quarter.

The company will provide further details during its Spring Business Update webcast.