uploads///AMTD and comp expected EBITDA

TD Ameritrade Saw Strong Growth in Net New Client Assets

By

Sep. 12 2017, Published 8:41 a.m. ET

Earnings and revenue numbers

TD Ameritrade Holding (AMTD) has reported EPS (earnings per share) of $0.44 for fiscal 3Q17, thus beating analysts’ estimate of $0.41. The beat was mainly due to strong trading volumes in the quarter. The company reported revenues of $931.0 million, which reflects a rise of 11.1% on a YoY (year-over-year) basis. It beat analysts’ estimate of $897.8 million.

From fiscal 1Q17 through fiscal 3Q17, TD Ameritrade has managed to generate net revenues of $2.7 billion. From fiscal 1Q16 through fiscal 3Q16, its net revenues were $2.5 billion.

The company has witnessed a substantial growth of 61.7% in net new client assets for fiscal 3Q17 compared to fiscal 3Q16. In 3Q17, net new client assets were $22.0 billion compared to $13.6 billion in 3Q16. The substantial growth was mainly due to institutional channel and strong retail inflows.

Article continues below advertisement

Expected EBITDA

TD Ameritrade (AMTD) is expected to report EBITDA (earnings before interest, tax, depreciation, and amortization) of $0.43 billion in fiscal 4Q17. Below are the expected EBITDAs of other brokerage companies (XLF) for 3Q17:

  • Charles Schwab (SCHW): $1.0 billion
  • E*Trade Financial (ETFC): $0.25 billion
  • Interactive Brokers Group (IBKR): $0.24 billion
Advertisement

More From Market Realist