Charles Schwab Corporation Reports 22% Revenue Growth and 54% Increase in Net Income for 2025

**Charles Schwab Corporation Reports Strong 2025 Financial Results**

The Charles Schwab Corporation (CSC) has released its 10-K filing for the fiscal year ended December 31, 2025, showcasing significant growth and strategic developments. The company reported total net revenues of $23.92 billion, a 22% increase compared to $19.61 billion in 2024. Net income available to common stockholders rose by 54% to $8.42 billion, translating to diluted earnings per share (EPS) of $4.65, a 56% increase from the previous year's $2.99. This performance was attributed to strong asset gathering, sustained client engagement, equity market appreciation, increased demand for lending offerings, and balanced expense management.

A key driver of CSC's financial success was its net interest revenue, which increased by 28% to $11.75 billion. This growth was primarily due to lower interest expenses from reduced bank supplemental funding and lower rates on funding sources, coupled with growth in margin and bank lending. Asset management and administration fees also contributed significantly, rising by 14% to $6.51 billion, driven by higher client asset balances and growth in managed investing solutions. Trading revenue increased by 20% to $3.92 billion, reflecting higher trading volumes. Total expenses excluding interest were $12.46 billion, a 5% increase from 2024, reflecting ongoing investments to support business growth and enhance client-serving capabilities.

Operationally, CSC experienced growth across several key business indicators. Client assets reached $11.90 trillion, an 18% increase from the previous year. The company added 4.69 million new brokerage accounts, a 13% increase, bringing the total active brokerage accounts to 38.51 million, a 6% increase. Assets receiving ongoing advisory services also saw a 19% increase, reaching $6.02 trillion. The company's strategy of focusing "Through Clients' Eyes" has translated into more assets from both new and existing clients, ultimately driving more revenue.

Looking ahead, CSC anticipates closing its acquisition of Forge Global Holdings, Inc., a private market platform, in March 2026, valued at approximately $660 million. This acquisition is expected to enhance Schwab's ability to meet the evolving needs of investors across its growing client base. The company also plans to offer expanded client access to trading in digital assets, including select cryptocurrencies, beginning in 2026. While some legislative and regulatory details have emerged, laws and regulations related to transactions in these asset types are still pending further development, which could negatively impact our ability to launch these products or services or limit the profitability of transacting with these assets. The company anticipates that total expenses excluding interest in full-year 2026 will increase approximately 5.5% to 6.5% from 2025.