Revenue growth to $7.3 billion in 2026Q1 combined with gross margin expansion from 70.8% in 2023Q4 to 88.8% indicates robust operational scaling.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 | Dec'99 | Dec'98 | Dec'97 | Dec'96 |
|---|
| Sales/Revenue | 28.32B | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Revenue Growth % | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Cost of Goods Sold | 0 | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| COGS % of Revenue | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Gross Profit | 24.32B | 22.22B | 19.61B | 18.84B | 20.76B | 18.52B | 11.69B | 10.72B | 10.13B | 8.62B | 7.48B | 6.37B | 6.05B | 5.43B | 4.9B | 4.71B | 4.28B | 4.11B | 5.21B | 4.99B | 4.31B | 3.62B | 4.2B | 4.09B | 4.09B | 4.29B | 5.79B | 4.49B | 2.74B | 2.3B | 1.85B |
| Gross Margin % | 85.85% | 80.28% | 75.41% | 73.81% | 93.07% | 97.49% | 96.55% | 90.97% | 92.2% | 96.18% | 97.76% | 97.97% | 98.34% | 98.1% | 97.03% | 96.42% | 95.55% | 91.82% | 95.84% | 88.91% | 86.39% | 87.84% | 93.82% | 94.43% | 92.45% | 82.51% | 81.06% | 83.32% | 80.76% | 80.79% | 81.29% |
| Gross Profit Growth % | - | 13.32% | 4.08% | -9.27% | 12.11% | 58.41% | 9.05% | 5.81% | 17.57% | 15.24% | 17.41% | 5.2% | 11.41% | 10.92% | 4.03% | 10.15% | 4.07% | -21.17% | 4.35% | 15.9% | 19.07% | -13.87% | 2.81% | -0.1% | -4.68% | -25.85% | 29.02% | 63.95% | 19.03% | 24.2% | 30.35% |
| Operating Expenses | 11.6B | 8.54B | 11.91B | 12.46B | 11.37B | 10.81B | 7.39B | 5.87B | 5.57B | 4.97B | 4.49B | 4.1B | 3.94B | 3.73B | 3.43B | 3.3B | 3.47B | 2.79B | 3.17B | 3.14B | 2.83B | 2.59B | 3.56B | 3.38B | 3.86B | 4.12B | 4.56B | 3.39B | 2.16B | 1.85B | 1.46B |
| OpEx % of Revenue | - | 30.86% | 45.82% | 48.82% | 50.99% | 56.89% | 61.04% | 49.83% | 50.69% | 55.45% | 58.7% | 63.08% | 64.05% | 67.34% | 67.99% | 67.55% | 77.54% | 62.45% | 58.23% | 55.92% | 56.8% | 62.91% | 79.42% | 78.03% | 87.32% | 79.1% | 63.82% | 62.91% | 63.74% | 65.07% | 63.98% |
| Selling, General & Admin | 6.36B | 0 | 6.44B | 6.71B | 6.36B | 5.93B | 4.28B | 4B | 3.8B | 3.42B | 3.11B | 2.83B | 2.65B | 2.5B | 2.26B | 2.18B | 1.98B | 1.94B | 2.12B | 2.01B | 1.81B | 1.61B | 2.06B | 1.91B | 2.05B | 2.14B | 2.75B | 2.14B | 1.32B | 1.09B | 850.3M |
| SG&A % of Revenue | - | - | 24.77% | 26.3% | 28.49% | 31.24% | 35.35% | 33.96% | 34.59% | 38.11% | 40.69% | 43.53% | 43.08% | 45.21% | 44.84% | 44.64% | 44.17% | 43.38% | 39.01% | 35.8% | 36.25% | 39.17% | 46.01% | 44.13% | 46.42% | 41.1% | 38.46% | 39.67% | 38.9% | 38.36% | 37.35% |
| Research & Development | 0 | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| R&D % of Revenue | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Operating Expenses | 0 | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Operating Income | 12.71B | 13.68B | 7.69B | 6.38B | 9.39B | 7.71B | 4.3B | 4.85B | 4.56B | 3.65B | 2.99B | 2.28B | 2.12B | 1.71B | 1.45B | 1.39B | 779M | 1.28B | 2.03B | 1.85B | 1.48B | 1.03B | 645M | 710M | 227M | 177M | 1.23B | 1.1B | 576.6M | 447.3M | 394.1M |
| Operating Margin % | 44.89% | 49.42% | 29.59% | 24.99% | 42.09% | 40.6% | 35.51% | 41.14% | 41.51% | 40.74% | 39.13% | 35.06% | 34.36% | 30.78% | 28.72% | 28.5% | 17.41% | 28.52% | 37.3% | 32.99% | 29.59% | 24.93% | 14.4% | 16.4% | 5.13% | 3.4% | 17.24% | 20.41% | 17.02% | 15.72% | 17.31% |
| Operating Income Growth % | - | 77.8% | 20.6% | -32.06% | 21.72% | 79.37% | -11.3% | 6.27% | 24.99% | 21.95% | 31.33% | 7.75% | 24.05% | 17.59% | 4.17% | 78.69% | -38.95% | -37.08% | 9.44% | 25.54% | 43.72% | 59.22% | -9.15% | 212.78% | 28.25% | -85.62% | 12.01% | 90.6% | 28.91% | 13.5% | 42.22% |
| EBITDA | 14.06B | 15.04B | 9.13B | 7.72B | 10.64B | 8.88B | 4.9B | 5.2B | 4.87B | 3.92B | 3.23B | 2.5B | 2.31B | 1.91B | 1.65B | 1.55B | 925M | 1.44B | 2.18B | 2.01B | 1.63B | 1.21B | 871M | 994M | 548M | 581M | 1.54B | 1.28B | 715.1M | 572M | 492.4M |
| EBITDA Margin % | 49.65% | 54.34% | 35.11% | 30.23% | 47.68% | 46.73% | 40.5% | 44.1% | 44.3% | 43.74% | 42.19% | 38.5% | 37.59% | 34.43% | 32.6% | 31.67% | 20.67% | 32.07% | 40.1% | 35.77% | 32.74% | 29.27% | 19.45% | 22.97% | 12.38% | 11.17% | 21.55% | 23.77% | 21.11% | 20.1% | 21.63% |
| EBITDA Growth % | 43.89% | 64.76% | 18.29% | -27.45% | 19.82% | 81.02% | -5.64% | 6.76% | 24.22% | 21.44% | 28.93% | 8.17% | 21.34% | 15.86% | 6.4% | 67.24% | -35.54% | -34.17% | 8.51% | 23.03% | 35.41% | 38.46% | -12.37% | 81.39% | -5.68% | -62.25% | 20.23% | 79% | 25.02% | 16.17% | 42.39% |
| D&A (Non-Cash Add-back) | 1.35B | 1.36B | 1.44B | 1.34B | 1.25B | 1.16B | 604M | 349M | 306M | 269M | 234M | 224M | 199M | 202M | 196M | 155M | 146M | 159M | 152M | 156M | 157M | 179M | 226M | 284M | 321M | 404M | 308M | 181M | 138.5M | 124.7M | 98.3M |
| EBIT | 12.71B | 13.68B | 7.69B | 6.38B | 9.39B | 7.71B | 4.3B | 4.85B | 4.56B | 3.65B | 2.99B | 2.28B | 2.12B | 1.71B | 1.45B | 1.39B | 779M | 1.28B | 2.03B | 1.85B | 1.48B | 1.03B | 645M | 710M | 227M | 177M | 1.23B | 1.1B | 576.6M | 447.3M | 394.1M |
| Net Interest Income | 12.19B | 11.75B | 9.14B | 9.43B | 10.68B | 8.03B | 6.11B | 6.52B | 5.82B | 4.28B | 3.32B | 2.52B | 2.27B | 1.98B | 1.76B | 1.73B | 1.52B | 1.06B | 1.68B | 1.65B | 1.43B | 1.02B | 936M | 729M | 824M | 911M | 1.24B | 820M | 475.6M | 353.6M | 255M |
| Interest Income | 15.71B | 15.5B | 15.54B | 16.11B | 12.23B | 8.51B | 6.53B | 7.58B | 6.68B | 4.62B | 3.49B | 2.66B | 2.37B | 2.08B | 1.91B | 1.9B | 1.72B | 1.43B | 1.91B | 2.27B | 2.11B | 1.52B | 1.21B | 970M | 1.16B | 1.82B | 2.59B | 1.72B | 1.13B | 900.1M | 680.9M |
| Interest Expense | 3.52B | 3.75B | 6.39B | 6.68B | 1.54B | 476M | 418M | 1.06B | 857M | 342M | 171M | 132M | 102M | 105M | 150M | 175M | 199M | 366M | 226M | 623M | 679M | 501M | 277M | 241M | 334M | 910M | 1.35B | 898M | 651.9M | 546.5M | 425.9M |
| Other Income/Expense | 0 | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Pretax Income | 12.19B | 11.46B | 7.69B | 6.38B | 9.39B | 7.71B | 4.3B | 4.85B | 4.56B | 3.65B | 2.99B | 2.28B | 2.12B | 1.71B | 1.45B | 1.39B | 779M | 1.28B | 2.03B | 1.85B | 1.48B | 1.03B | 645M | 710M | 227M | 177M | 1.23B | 1.1B | 576.6M | 447.3M | 394.1M |
| Pretax Margin % | 43.04% | 41.41% | 29.59% | 24.99% | 42.09% | 40.6% | 35.51% | 41.14% | 41.51% | 40.74% | 39.13% | 35.06% | 34.36% | 30.78% | 28.72% | 28.5% | 17.41% | 28.52% | 37.3% | 32.99% | 29.59% | 24.93% | 14.4% | 16.4% | 5.13% | 3.4% | 17.24% | 20.41% | 17.02% | 15.72% | 17.31% |
| Income Tax | 2.77B | 2.61B | 1.75B | 1.31B | 2.21B | 1.86B | 1B | 1.14B | 1.05B | 1.3B | 1.1B | 832M | 794M | 634M | 522M | 528M | 325M | 489M | 798M | 733M | 585M | 393M | 231M | 238M | 92M | 71M | 513M | 433M | 228.1M | 177M | 160.3M |
| Effective Tax Rate % | 22.72% | 22.75% | 22.75% | 20.56% | 23.49% | 24.09% | 23.28% | 23.6% | 23.13% | 35.51% | 36.89% | 36.51% | 37.54% | 37.18% | 36% | 37.93% | 41.72% | 38.32% | 39.35% | 39.56% | 39.63% | 38.27% | 35.81% | 33.52% | 40.53% | 40.11% | 41.67% | 39.4% | 39.56% | 39.57% | 40.67% |
| Net Income | 9.42B | 8.85B | 5.94B | 5.07B | 7.18B | 5.86B | 3.3B | 3.7B | 3.51B | 2.35B | 1.89B | 1.45B | 1.32B | 1.07B | 928M | 864M | 454M | 787M | 1.21B | 2.41B | 1.23B | 725M | 286M | 472M | 109M | 199M | 718M | 666M | 348.5M | 270.3M | 233.8M |
| Net Margin % | 33.26% | 31.99% | 22.85% | 19.85% | 32.2% | 30.82% | 27.24% | 31.43% | 31.91% | 26.27% | 24.7% | 22.26% | 21.46% | 19.34% | 18.38% | 17.69% | 10.15% | 17.59% | 22.29% | 42.85% | 24.6% | 17.6% | 6.39% | 10.91% | 2.46% | 3.83% | 10.06% | 12.37% | 10.29% | 9.5% | 10.27% |
| Net Income Growth % | 45.2% | 48.97% | 17.27% | -29.46% | 22.68% | 77.48% | -10.93% | 5.62% | 48.98% | 24.62% | 30.55% | 9.54% | 23.34% | 15.41% | 7.41% | 90.31% | -42.31% | -35.07% | -49.65% | 96.17% | 69.24% | 153.5% | -39.41% | 333.03% | -45.23% | -72.28% | 7.81% | 91.1% | 28.93% | 15.61% | 35.46% |
| Net Income (Continuing) | 9.42B | 8.85B | 5.94B | 5.07B | 7.18B | 5.86B | 3.3B | 3.7B | 3.51B | 2.35B | 1.89B | 1.45B | 1.32B | 1.07B | 928M | 864M | 454M | 787M | 1.23B | 1.12B | 891M | 634M | 414M | 472M | 135M | 106M | 718M | 666M | 348.5M | 270.3M | 233.8M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -18M | 1.29B | 336M | 91M | -128M | 0 | -38M | -28M | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 5.38 | 4.66 | 2.99 | 2.54 | 3.50 | 2.83 | 2.12 | 2.67 | 2.45 | 1.61 | 1.31 | 1.03 | 0.95 | 0.78 | 0.69 | 0.70 | 0.38 | 0.68 | 1.05 | 1.97 | 0.95 | 0.55 | 0.21 | 0.35 | 0.08 | 0.14 | 0.51 | 0.49 | 0.28 | 0.22 | 0.19 |
| EPS Growth % | 52.73% | 55.85% | 17.72% | -27.43% | 23.67% | 33.49% | -20.6% | 8.98% | 52.17% | 22.9% | 27.18% | 8.42% | 21.79% | 13.04% | -1.43% | 84.21% | -44.12% | -35.24% | -46.7% | 107.37% | 72.73% | 161.9% | -40% | 337.5% | -42.86% | -72.55% | 4.08% | 75% | 27.27% | 15.79% | 35.71% |
| EPS (Basic) | - | 4.68 | 3.00 | 2.55 | 3.52 | 2.84 | 2.13 | 2.69 | 2.47 | 1.63 | 1.32 | 1.04 | 0.96 | 0.78 | 0.69 | 0.70 | 0.38 | 0.68 | 1.06 | 1.99 | 0.97 | 0.56 | 0.21 | 0.35 | 0.08 | 0.14 | 0.53 | 0.51 | 0.29 | 0.23 | 0.20 |
| Diluted Shares Outstanding | 1.75B | 1.78B | 1.83B | 1.83B | 1.89B | 1.9B | 1.44B | 1.32B | 1.36B | 1.35B | 1.33B | 1.33B | 1.31B | 1.29B | 1.27B | 1.23B | 1.19B | 1.16B | 1.16B | 1.22B | 1.29B | 1.31B | 1.36B | 1.36B | 1.38B | 1.4B | 1.41B | 1.37B | 1.23B | 1.23B | 1.23B |
| Basic Shares Outstanding | 1.75B | 1.77B | 1.83B | 1.82B | 1.89B | 1.89B | 1.43B | 1.31B | 1.35B | 1.34B | 1.32B | 1.31B | 1.3B | 1.28B | 1.27B | 1.23B | 1.19B | 1.16B | 1.15B | 1.21B | 1.29B | 1.31B | 1.36B | 1.35B | 1.38B | 1.4B | 1.35B | 1.31B | 1.19B | 1.18B | 1.17B |
| Dividend Payout Ratio | - | 26.31% | 38.29% | 44.92% | 29.37% | 31.12% | 38.8% | 28.62% | 22.44% | 25.15% | 25.73% | 26.75% | 28.24% | 34.36% | 36.31% | 34.14% | 63.44% | 35.45% | 20.87% | 62.32% | 14.1% | 16% | 35.31% | 14.41% | 55.05% | 30.65% | 8.64% | 9.16% | 12.37% | 13.73% | 13.47% |
Net interest margin compression
According to recent quarterly financial disclosures, SCHW has demonstrated consistent top-line growth, with revenue climbing from $6.3 billion in 2023Q4 to $7.3 billion by 2026Q1, reflecting the firm's ability to scale its asset-gathering engine despite a challenging interest rate environment and shifting client cash behaviors.
The steady climb in revenue suggests that the firm's dual-segment strategy is successfully capturing market share, likely bolstered by the final integration of the TD Ameritrade platform. Investors should monitor whether this growth trajectory remains sustainable if market volatility dampens trading activity or if further interest rate adjustments impact the firm's net interest revenue.
As reported in financial statements, the company's gross margin has shown significant improvement, rising from 70.8% in 2023Q4 to 88.8% in 2026Q1, which indicates a strengthening ability to manage interest-related costs relative to the firm's expanding base of interest-earning assets and fee-based revenue streams.
This expansion in gross margin appears to reflect the firm's success in optimizing its funding costs, even as clients continue to seek higher yields on their cash balances. The ability to maintain such high margins suggests a durable competitive advantage in its cost-of-funds management, though this remains sensitive to future regulatory scrutiny regarding sweep deposit practices.
Based on the provided income statement data, operating income has scaled from $1.2 billion in 2023Q4 to $3.2 billion in 2026Q1, demonstrating that the firm is successfully leveraging its fixed-cost technology infrastructure to drive profitability faster than the underlying growth in its revenue base.
The improvement in operating margin from 19.0% to 43.7% over the observed period suggests that the post-merger cost synergies are beginning to materialize in the bottom line. This trend implies that the firm is effectively managing its sprawling compliance and technology overhead, though analysts should remain cautious about potential future wage inflation in specialized technical roles.
Analysis of recent filings reveals that EPS has grown from $0.51 in 2023Q4 to $1.37 in 2026Q1, with stock-based compensation remaining relatively contained, which suggests that the reported net income is largely driven by core operational performance rather than significant non-cash accounting adjustments or excessive dilution.
The consistency in EPS growth, particularly when contrasted with the volatility of the prior interest rate cycle, indicates a high quality of earnings that is increasingly decoupled from one-time merger-related charges. Investors should continue to evaluate the impact of unrealized losses on fixed-income holdings, which may not be fully captured in the headline net income figures.
Quick answers to the most common questions about buying SCHW stock.
The Charles Schwab Corporation (SCHW) is profitable, generating $8.85B in net income for the fiscal year ending 2025 with a net profit margin of 32.0%.
The Charles Schwab Corporation (SCHW) reported an operating income of $13.68B, resulting in an operating profit margin of 49.4%. This margin reflects the operational efficiency of the business before interest and taxes.
The Charles Schwab Corporation (SCHW) generated $22.22B in gross profit for the year, representing a gross profit margin of 80.3%. This demonstrates the company's core pricing power and production efficiency.