Charles Schwab 3Q26 Revenue Rises 17% to Record $7.2 Billion
Net income grew 23% to $2.9 billion, driven by record core net new assets of $190.4 billion and a 44% surge in daily average trading volume.
What they reported
- Net revenues reached a record $7.17 billion for the three months ended September 30, 2026, up 17% from $6.14 billion in the third quarter of 2025.
- GAAP net income rose 23% year-over-year to $2.91 billion, with GAAP diluted EPS increasing 29% to $1.62.
- Adjusted net income, which excludes $151 million of pre-tax transaction-related costs, was $3.02 billion, or $1.69 per adjusted share.
- Core net new assets for the quarter totaled $190.4 billion, representing a 38% increase compared to the third quarter of 2025.
Against a year ago
- GAAP EPS of $1.62 increased from $1.26 in the third quarter of 2025.
- Daily average trading volume rose 44% year-over-year to 10.7 million, helping drive trading revenue up 16% to $1.2 billion.
- Asset management and administration fees grew 14% year-over-year to $1.9 billion.
- Total client assets reached $13.33 trillion at quarter-end, up 15% from $11.59 trillion a year earlier.
What management said
CFO Mike Verdeschi noted that the firm's diversified business model, continued focus on meeting clients' evolving needs, and industry-leading scale combined to drive year-over-year GAAP earnings growth of 29% to a record $1.62. CEO Rick Wurster added that clients opened 1.2 million new brokerage accounts during the quarter, bringing total client accounts to 48.6 million.
What to watch next
- Net interest margin trajectory, which expanded quarter-over-quarter to 3.04% in the third quarter of 2026.
- The stabilization of client transactional sweep cash balances, which ended September at $492.8 billion, up $7.1 billion from the prior quarter.
- Growth in bank loan balances, which reached $72.3 billion (up 35% year-over-year), and margin loan balances, which grew 14% quarter-over-quarter to $187.9 billion.