NEW YORK (AP) - The Charles Schwab Corp. on Monday reported a jump in third-quarter profit as the financial services firm added brokerage accounts and saw a surge in fees.
The financial services firm reported a 33 percent rise in profit to $503 million, or 35 cents per share. Earnings, adjusted for non-recurring gains, came to 34 cents per share.
Revenue jumped 17 percent to $1.91 billion.
The results topped Wall Street expectations. The average estimate of 12 analysts surveyed by Zacks Investment Research was for earnings of 33 cents per share, while eight analysts surveyed by Zacks expected $1.88 billion in revenue.
The San Francisco-based company said revenue from asset management and administration fees rose 20 percent to $798 million.
New retail brokerage accounts rose 6 percent to about approximately 167,000, while total accounts rose 3 percent to 7 million. Meanwhile, the company's balance sheet assets jumped 28 percent to $162.5 billion while its outstanding mortgage and home equity loans were flat at about $11.2 billion.
Schwab shares fell 77 cents, or 2.4 percent, to $31.20 in morning trading Monday. The stock has risen 9 percent in the last 12 months.
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Elements of this story were generated by Automated Insights (http://automatedinsights.com/ap) using data from Zacks Investment Research. Access a Zacks stock report on SCHW at http://www.zacks.com/ap/SCHW.
Published: Wed, Oct 19, 2016
