Charles Schwab | 8-K: FY2026 Q2 Revenue: USD 7.072 B

Revenue: As of FY2026 Q2, the actual value is USD 7.072 B.

EPS: As of FY2026 Q2, the actual value is USD 1.54, beating the estimate of USD 1.4887.

EBIT: As of FY2026 Q2, the actual value is USD 3.669 B.

Revenue

• Total net revenues for the second quarter of 2026 reached a record $7.1 billion, an increase of 21% year-over-year. For the six months ended June 30, 2026, total net revenues were $13,554 million, up 18% from $11,450 million in the same period of 2025 .
• Net interest revenue for Q2 2026 was $3,357 million, up 19% year-over-year and 7% quarter-over-quarter. For the six months ended June 30, 2026, net interest revenue was $6,501 million, compared to $5,528 million in 2025 .
• Asset management and administration fees grew by 16% year-over-year to $1.8 billion in Q2 2026. For the six months ended June 30, 2026, these fees totaled $3,584 million, up from $3,100 million in 2025 .
• Trading revenue was $1.2 billion in Q2 2026, up 28% year-over-year. For the six months ended June 30, 2026, trading revenue was $2,304 million, compared to $1,860 million in 2025 .
• Bank deposit account fees increased 35% year-over-year to $333 million in Q2 2026. For the six months ended June 30, 2026, these fees were $628 million, up from $492 million in 2025 .
• Other revenue was $342 million in Q2 2026, up 32% year-over-year. For the six months ended June 30, 2026, other revenue was $537 million, compared to $470 million in 2025 .

Operational Metrics

• Net Income: GAAP net income for Q2 2026 was $2.8 billion, representing a 32% increase year-over-year. Excluding pre-tax transaction-related costs, adjusted net income was $2.9 billion, up 32% compared to Q2 2025. For the six months ended June 30, 2026, GAAP net income was $5,279 million, up 31% from $4,035 million in 2025. Adjusted net income for the same period was $5,518 million, up 30% from $4,230 million in 2025 .
• Profitability and Margins:
  • GAAP pre-tax profit margin for Q2 2026 was 51.9%, up from 47.9% in Q2 2025 .
  • Adjusted pre-tax profit margin for Q2 2026 was 54.3%, up from 50.1% in Q2 2025 .
  • Return on average common stockholders’ equity (annualized) was 25% for Q2 2026, compared to 19% for Q2 2025 .
  • Return on tangible common equity (annualized) was 44% for Q2 2026, compared to 35% for Q2 2025 .
  • Net interest margin for Q2 2026 expanded by 12 basis points quarter-over-quarter to 3.00% .
• Expenses:
  • GAAP expenses excluding interest for Q2 2026 increased 12% year-over-year to $3,403 million .
  • Excluding acquisition and integration-related costs and the amortization of acquired intangibles, adjusted total expenses were up 11% relative to Q2 2025 .
  • For the six months ended June 30, 2026, total expenses excluding interest were $6,697 million, compared to $6,192 million in 2025 .
• Capital and Liquidity:
  • Preliminary consolidated Tier 1 Leverage Ratio was 8.7% as of June 30, 2026 .
  • Adjusted Tier 1 Leverage Ratio (non-GAAP) was 6.8% as of June 30, 2026 .
  • 嘉信理财 (The Charles Schwab Corporation) redeemed $2.1 billion Series I Preferred Stock and issued $1.5 billion Series L Preferred Stock during Q2 2026 .
  • The company repurchased 11.2 million shares of common stock for $1.0 billion during Q2 2026 .

Unique Operational Metrics

• Total client assets increased 22% year-over-year to $13.08 trillion as of June 30, 2026 .
• Core net new assets totaled $119.8 billion in Q2 2026, up 49% versus Q2 2025. June core net new assets grew 47% year-over-year to $62.7 billion .
• New brokerage account openings equaled 1.4 million in Q2 2026, bringing total client accounts to 48.0 million .
• Managed Investing Solutions net flows grew 53% versus Q2 2025 .
• Bank loan balances were $67.0 billion at June month-end, up 33% year-over-year .
• Margin loan balances increased 30% quarter-over-quarter to $165.1 billion at quarter-end .
• Daily average trading volume reached a record 11.9 million in Q2 2026, up 57% versus Q2 2025 .
• Client transactional sweep cash balances ended June at $485.7 billion, an increase of $24.2 billion versus the prior quarter-end .
• Average interest-earning assets for Q2 2026 equaled $445.0 billion, up 5% versus Q2 2025 .
• Total assets were $517.3 billion at quarter-end, up 13% year-over-year .
• Bank deposits were $249.7 billion at quarter-end, up 7% year-over-year .
• Full-time equivalent employees were 33.7 thousand at quarter-end, up 3% year-over-year .
• Capital expenditures were $792 million in Q2 2026, which includes incremental capital expenditures of $633 million related to a multi-year software license agreement .
• Revenue Per Trade was $1.64 in Q2 2026, down -19% year-over-year .
• Client assets for Investor Services totaled $7,343.0 billion, up 21% year-over-year .
• Client assets for Advisor Services totaled $5,741.9 billion, up 22% year-over-year .
• Net new assets for Investor Services were $38.5 billion, up 23% year-over-year .
• Net new assets for Advisor Services were $80.2 billion, up 89% year-over-year .
• Active brokerage accounts reached 39,802 thousand, up 6% year-over-year .
• Banking accounts reached 2,352 thousand, up 12% year-over-year .
• Workplace Plan Participant Accounts reached 5,888 thousand, up 5% year-over-year .
• Client cash as a percentage of client assets was 9.0% at June month-end, down -90 basis points year-over-year .

Cash Flow

• Operating cash flow and free cash flow information were not explicitly provided in the reference .

Outlook/Guidance

No explicit forward-looking financial guidance or outlook was provided in the reference text beyond general statements about management’s expectations and subject to risks and uncertainties .