For the six months of 2012, its net income stood at $470m with a decline of 2% from $481m during the corresponding period last year.
The company’s financial results for both the second quarter and first half of 2012 include a pre-tax gain of $70m, or nearly $44m after-tax, relating to the previously disclosed resolution of a vendor dispute.
Charles Schwab CEO and president Walt Bettinger said, "Even as trading activity weakened during the period, we saw other signs of sustained client engagement, including $16.0 billion in net new assets, up 4% from a year ago; an ongoing pattern of net purchases of securities throughout the quarter; and cash holdings at Schwab that remained at pre-financial crisis levels."
"In addition, clients opened 221,000 new brokerage accounts during the second quarter, up 8% year-over-year. We ended the quarter with 8.7 million active brokerage accounts, 822,000 banking accounts, and $1.80 trillion in total client assets, up 7, 10, and 9%, respectively, over June 2011."
CFO Joe Martinetto added, "While trading revenue slowed under these conditions, asset management and administration fees and net interest revenue both increased sequentially, by 2% and 6%, respectively. As a result, our second quarter results included 1% sequential growth for those three major revenue lines combined."
The firm offers a wide variety of securities, brokerage, banking, money management and financial advisory services in the US.
