Third Quarter Core Net New Assets Equal $137.5 Billion, Up 44% Year-Over-Year

3Q Net Revenues Up 27% Year-Over-Year to $6.1 Billion

Quarterly GAAP Earnings Per Share of $1.26, $1.31 Adjusted ⁽¹⁾ – up 70% versus 3Q24

The Charles Schwab Corporation reported net income for the third quarter totaling $2.4 billion, or $1.26 earnings per share. Excluding $127 million of pre-tax transaction-related costs, adjusted ⁽¹⁾ net income and earnings per share equaled $2.5 billion and $1.31, respectively.

This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20251016176801/en/

Client Driven Growth	44% 3Q25 Core NNA Growth vs. 3Q24	"Our unwavering focus on delivering for clients helped us attract $137.5 billion in 3Q core net new assets plus over 1 million new brokerage accounts for the fourth straight quarter." President & CEO Rick Wurster

Diversified Revenue Growth	27% 3Q25 Revenue Growth vs. 3Q24	"Strengthening organic growth trends, increasing adoption of wealth solutions, and favorable macroeconomic tailwinds powered another quarter of record revenue and earnings per share." President & CEO Rick Wurster

Balance Sheet Management	$12.9B 3Q25 Reduction in Bank Supplemental Funding⁽²⁾	"Client transactional sweep cash grew by $13.5 billion versus 2Q25, helping us to further reduce higher cost bank funding by $12.9 billion to $14.8 billion at quarter-end." CFO Mike Verdeschi

Opportunistic Capital Return	$2.7B 3Q25 Common Stock Repurchases	"During 3Q25, we repurchased 28.9 million shares for $2.7 billion, bringing year-to-date capital return across all forms to $8.5 billion. This opportunistic return of excess capital complements our strong business momentum as we continue to prioritize capital flexibility." CFO Mike Verdeschi

3Q25 Client and Business Highlights

Total client assets increased 17% year-over-year to a record $11.59 trillion
Core net new assets of $137.5 billion brings year-to-date asset gathering to $355.5 billion – up 41% year-over-year
New brokerage account openings exceeded 1 million for the 4th consecutive quarter, pushing active brokerage accounts and total client accounts to 38.0 million and 45.7 million, respectively
Managed Investing Solutions net inflows grew 40% versus 3Q24
Margin balances ended the quarter at $97.2 billion – up 16% versus year-end 2024
Daily average trading volume was 7.4 million – up 30% versus 3Q24
Charles Schwab named one of the most trusted financial services companies by Investor's Business Daily ⁽³⁾
Charles Schwab recognized by Kiplinger as #1 in education and service for 2025 ⁽⁴⁾

	Three Months Ended September 30,						%		Nine Months Ended September 30,						%
Financial Highlights		2025			2024		Change			2025			2024		Change

Net revenues (in millions)	$	6,135		$	4,847		27	%	$	17,585		$	14,277		23	%
Net income (in millions)
GAAP	$	2,358		$	1,408		67	%	$	6,393		$	4,102		56	%
Adjusted	$	2,456		$	1,525		61	%	$	6,686		$	4,459		50	%
Diluted earnings per common share
GAAP	$	1.26		$	.71		77	%	$	3.33		$	2.05		62	%
Adjusted	$	1.31		$	.77		70	%	$	3.49		$	2.25		55	%
Pre-tax profit margin
GAAP		49.2	%		38.0	%				47.1	%		37.7	%
Adjusted		51.3	%		41.2	%				49.3	%		41.0	%
Return on average common stockholders' equity (annualized)		21	%		14	%				20	%		14	%
Return on tangible common equity (annualized)		38	%		31	%				37	%		33	%

Note:

Items labeled "adjusted" are non-GAAP financial measures; further details are included on pages 10-12 of this release. All per-share results are rounded to the nearest cent, based on weighted-average diluted common shares outstanding.

3Q25 Financial Commentary

Quarterly net revenues grew year-over-year by 27% to a record $6.1 billion
Net interest margin expanded sequentially by 21 basis points to 2.86% due to the further reduction of higher cost liabilities, strong securities lending activity, and clients' increased utilization of our lending solutions
Client transactional sweep cash balances ended September at $425.6 billion, an increase of $13.5 billion versus the prior quarter-end, reflecting organic growth, client net buying activity, and seasonality
Bank Supplemental Funding ⁽²⁾ declined by $12.9 billion to end the quarter at $14.8 billion
Asset management and administration fees increased by 13% year-over-year to $1.7 billion, powered by the firm's organic growth, equity market appreciation, and investors' utilization of our wealth and asset management solutions
Trading revenue increased 25% versus 3Q24 due to robust volumes and stronger client interest in derivatives
GAAP expenses for the quarter increased 4% year-over-year; excluding third quarter amortization of acquired intangibles of $127 million, adjusted total expenses⁽¹⁾were up 5% relative to 3Q24
Capital ratios across the firm remained strong – including preliminary consolidated Tier 1 Leverage and adjusted Tier 1 Leverage⁽¹⁾ equaling 9.7% and 7.3%, respectively
Repurchased 28.9 million shares of our common stock for $2.7 billion during the quarter

⁽¹⁾		Further details on non-GAAP financial measures and a reconciliation of such measures to GAAP reported results are included on pages 10-12 of this release.
⁽²⁾		Bank Supplemental Funding includes repurchase agreements at the banks, Schwab Bank Certificates of Deposit (CDs), and Federal Home Loan Bank balances.
⁽³⁾		The IBD Most Trusted Financial Companies award was given to Charles Schwab on September 12, 2025, and is licensed for a 15-month timeframe. The criteria, evaluation, and ranking were determined by Investor's Business Daily in conjunction with its research partner, TechnoMetrica Market Intelligence. Schwab paid a licensing fee to York Graphic Services, LLC. for use of the award and logos.
⁽⁴⁾		The Kiplinger Best Online Brokers and Trading Platforms for 2025 survey was published by Kiplinger on September 9, 2025, and is for a 12-month timeframe. The criteria, evaluation, and ranking were determined Kiplinger. For more information on methodology, visit https://www.kiplinger.com/investing/wealth-management/online-brokers/605136/the-best-online-brokers-and-trading-platforms. Schwab paid a licensing fee to Adcetera, for the use of the accolade and corresponding logos through October 15, 2026.

Fall Business Update

The company will host its Fall Business Update for institutional investors this morning from 7:30 a.m. - 8:30 a.m. CT, 8:30 a.m. - 9:30 a.m. ET.

Registration for this Update webcast is accessible at https://www.aboutschwab.com/schwabevents.

Forward-Looking Statements

This press release contains forward-looking statements relating to client adoption of wealth solutions, and the company's organic growth, capital ratios and return of capital. These forward-looking statements reflect management's expectations as of the date hereof. Achievement of these expectations and objectives is subject to risks and uncertainties that could cause actual results to differ materially from the expressed expectations. Important factors that may cause such differences are described in the company's most recent reports on Form 10-K and Form 10-Q, which have been filed with the Securities and Exchange Commission and are available on the company's website (https://www.aboutschwab.com/financial-reports) and on the Securities and Exchange Commission's website (https://www.sec.gov). The company makes no commitment to update any forward-looking statements.

About Charles Schwab

The Charles Schwab Corporation (NYSE:SCHW) is a leading provider of financial services, with 38.0 million active brokerage accounts, 5.6 million workplace plan participant accounts, 2.2 million banking accounts, and $11.59 trillion in client assets. Through its operating subsidiaries, the company provides a full range of wealth management, securities brokerage, banking, asset management, custody, and financial advisory services to individual investors and independent investment advisors. Its broker-dealer subsidiary, Charles Schwab & Co., Inc. (member SIPC, https://www.sipc.org), and its affiliates offer a complete range of investment services and products including an extensive selection of mutual funds; financial planning and investment advice; retirement plan and equity compensation plan services; referrals to independent, fee-based investment advisors; and custodial, operational and trading support for independent, fee-based investment advisors through Schwab Advisor Services™. Its primary banking subsidiary, Charles Schwab Bank, SSB (member FDIC and an Equal Housing Lender), provides banking and lending services and products. More information is available at https://www.aboutschwab.com.

THE CHARLES SCHWAB CORPORATION Consolidated Statements of Income (In millions, except per share amounts) (Unaudited)

	Three Months Ended September 30,						Nine Months Ended September 30,
		2025			2024			2025			2024
Net Revenues
Interest revenue	$	3,956		$	3,928		$	11,500		$	11,686
Interest expense		(906	)		(1,706	)		(2,922	)		(5,073	)
Net interest revenue		3,050			2,222			8,578			6,613
Asset management and administration fees		1,673			1,476			4,773			4,207
Trading revenue		995			797			2,855			2,391
Bank deposit account fees		247			152			739			488
Other		170			200			640			578
Total net revenues		6,135			4,847			17,585			14,277
Expenses Excluding Interest
Compensation and benefits		1,653			1,522			4,861			4,510
Professional services		293			256			853			756
Occupancy and equipment		280			271			824			784
Advertising and market development		101			101			305			296
Communications		149			147			478			460
Depreciation and amortization		212			231			644			692
Amortization of acquired intangible assets		127			130			385			389
Regulatory fees and assessments		59			88			225			309
Other		240			259			731			694
Total expenses excluding interest		3,114			3,005			9,306			8,890
Income before taxes on income		3,021			1,842			8,279			5,387
Taxes on income		663			434			1,886			1,285
Net Income		2,358			1,408			6,393			4,102
Preferred stock dividends and other		81			109			343			341
Net Income Available to Common Stockholders	$	2,277		$	1,299		$	6,050		$	3,761
Weighted-Average Common Shares Outstanding:
Basic		1,806			1,829			1,815			1,827
Diluted		1,811			1,834			1,820			1,833
Earnings Per Common Shares Outstanding:
Basic	$	1.26		$	.71		$	3.33		$	2.06
Diluted	$	1.26		$	.71		$	3.33		$	2.05

THE CHARLES SCHWAB CORPORATION
Financial and Operating Highlights
(Unaudited)
	Q3-25 % change				2025										2024
	vs.		vs.			Third			Second			First				Fourth			Third
(In millions, except per share amounts and as noted)	Q3-24		Q2-25			Quarter			Quarter			Quarter				Quarter			Quarter
Net Revenues
Net interest revenue	37	%	8	%		$	3,050		$	2,822		$	2,706			$	2,531		$	2,222
Asset management and administration fees	13	%	7	%			1,673			1,570			1,530				1,509			1,476
Trading revenue	25	%	5	%			995			952			908				873			797
Bank deposit account fees	63	%	—				247			247			245				241			152
Other	(15	)%	(35	)%			170			260			210				175			200
Total net revenues	27	%	5	%			6,135			5,851			5,599				5,329			4,847
Expenses Excluding Interest
Compensation and benefits	9	%	8	%			1,653			1,536			1,672				1,533			1,522
Professional services	14	%	1	%			293			291			269				297			256
Occupancy and equipment	3	%	4	%			280			270			274				276			271
Advertising and market development	—		(6	)%			101			108			96				101			101
Communications	1	%	(15	)%			149			176			153				131			147
Depreciation and amortization	(8	)%	(1	)%			212			215			217				224			231
Amortization of acquired intangible assets	(2	)%	(1	)%			127			128			130				130			130
Regulatory fees and assessments	(33	)%	(23	)%			59			77			89				89			88
Other	(7	)%	(3	)%			240			247			244				243			259
Total expenses excluding interest	4	%	2	%			3,114			3,048			3,144				3,024			3,005
Income before taxes on income	64	%	8	%			3,021			2,803			2,455				2,305			1,842
Taxes on income	53	%	(2	)%			663			677			546				465			434
Net Income	67	%	11	%			2,358			2,126			1,909				1,840			1,408
Preferred stock dividends and other	(26	)%	(46	)%			81			149			113				123			109
Net Income Available to Common Stockholders	75	%	15	%		$	2,277		$	1,977		$	1,796			$	1,717		$	1,299
Earnings per common share:
Basic	77	%	16	%		$	1.26		$	1.09		$	.99			$	.94		$	.71
Diluted	77	%	17	%		$	1.26		$	1.08		$	.99			$	.94		$	.71
Dividends declared per common share	8	%	—			$	.27		$	.27		$	.27			$	.25		$	.25
Weighted-average common shares outstanding:
Basic	(1	)%	(1	)%			1,806			1,817			1,817				1,831			1,829
Diluted	(1	)%	(1	)%			1,811			1,822			1,822				1,836			1,834
Performance Measures
Pre-tax profit margin							49.2	%		47.9	%		43.8	%			43.3	%		38.0	%
Return on average common stockholders' equity (annualized) ⁽¹⁾							21	%		19	%		18	%			18	%		14	%
Financial Condition (at quarter end, in billions)
Cash and cash equivalents	(12	)%	(5	)%		$	30.6		$	32.2		$	35.0			$	42.1		$	34.9
Cash and investments segregated	42	%	5	%			47.8			45.6			38.4				38.2			33.7
Receivables from brokers, dealers, and clearing organizations	38	%	9	%			4.7			4.3			2.9				2.4			3.4
Receivables from brokerage clients — net	27	%	13	%			93.8			82.8			84.4				85.4			74.0
Available for sale securities	(31	)%	(8	)%			62.3			67.6			74.8				83.0			90.0
Held to maturity securities	(9	)%	(2	)%			136.7			139.7			143.8				146.5			149.9
Bank loans — net	24	%	6	%			53.6			50.4			47.1				45.2			43.3
Total assets	—		1	%			465.3			458.9			462.9				479.8			466.1
Bank deposits	(3	)%	3	%			239.1			233.1			246.2				259.1			246.5
Payables to brokers, dealers, and clearing organizations ⁽²⁾	37	%	20	%			22.4			18.6			15.7				13.3			16.4
Payables to brokerage clients	29	%	5	%			115.4			109.4			100.6				101.6			89.2
Accrued expenses and other liabilities ⁽²⁾	2	%	6	%			11.4			10.8			11.0				12.3			11.2
Other short-term borrowings	(39	)%	(24	)%			6.5			8.5			6.9				6.0			10.6
Federal Home Loan Bank borrowings	(96	)%	(90	)%			0.9			9.0			11.5				16.7			22.6
Long-term debt	(10	)%	—				20.2			20.2			21.5				22.4			22.4
Total liabilities	(1	)%	2	%			415.9			409.5			413.4				431.5			418.8
Stockholders' equity	5	%	—				49.4			49.5			49.5				48.4			47.2
Total liabilities and stockholders' equity	—		1	%			465.3			458.9			462.9				479.8			466.1
Other
Full-time equivalent employees (at quarter end, in thousands)	2	%	—				32.7			32.6			32.1				32.1			32.1
Capital expenditures — purchases of equipment, office facilities, and property, net (in millions)	13	%	12	%		$	152		$	136		$	156			$	258		$	135
Expenses excluding interest as a percentage of average client assets (annualized)							0.11	%		0.12	%		0.12	%			0.12	%		0.12	%
Clients' Daily Average Trades (DATs) (in thousands)	30	%	(2	)%			7,421			7,571			7,391				6,312			5,697
Number of Trading Days	—		2	%			63.5			62.0			60.0				63.0			63.5
Revenue Per Trade ⁽³⁾	(4	)%	4	%		$	2.11		$	2.03		$	2.05			$	2.20		$	2.20

⁽¹⁾		Return on average common stockholders' equity is calculated using net income available to common stockholders divided by average common stockholders' equity.
⁽²⁾		Beginning in the fourth quarter of 2024, payables to brokers, dealers, and clearing organizations are presented separately from accrued expenses and other liabilities. Prior period amounts have been reclassified to reflect this change. Payables to brokers, dealers, and clearing organizations include securities loaned.
⁽³⁾		Revenue per trade is calculated as trading revenue divided by the product of DATs multiplied by the number of trading days.

THE CHARLES SCHWAB CORPORATION Net Interest Revenue Information (In millions, except ratios or as noted) (Unaudited)

	Three Months Ended September 30,												Nine Months Ended September 30,
	2025						2024						2025						2024
	Average Balance		Interest Revenue/ Expense		Average Yield/ Rate		Average Balance		Interest Revenue/ Expense		Average Yield/ Rate		Average Balance		Interest Revenue/ Expense		Average Yield/ Rate		Average Balance		Interest Revenue/ Expense		Average Yield/ Rate
Interest-earning assets
Cash and cash equivalents	$	24,298	$	264	4.26	%	$	27,623	$	369	5.24	%	$	27,571	$	897	4.29	%	$	30,128	$	1,205	5.26	%
Cash and investments segregated		46,046		494	4.20	%		26,220		345	5.15	%		44,104		1,412	4.22	%		25,744		1,014	5.18	%
Receivables from brokerage clients		90,121		1,490	6.47	%		73,102		1,431	7.66	%		84,317		4,204	6.57	%		68,557		4,042	7.75	%
Available for sale securities ⁽¹⁾		69,794		360	2.05	%		98,645		531	2.14	%		77,324		1,198	2.06	%		104,830		1,680	2.13	%
Held to maturity securities ⁽¹⁾		137,672		587	1.70	%		151,004		650	1.71	%		141,032		1,811	1.71	%		154,231		1,998	1.72	%
Bank loans		51,849		557	4.27	%		42,653		484	4.52	%		48,882		1,568	4.28	%		41,585		1,384	4.44	%
Total interest-earning assets		419,780		3,752	3.52	%		419,247		3,810	3.58	%		423,230		11,090	3.47	%		425,075		11,323	3.52	%
Securities lending revenue				183						87						339						258
Other interest revenue				21						31						71						105
Total interest-earning assets	$	419,780	$	3,956	3.71	%	$	419,247	$	3,928	3.69	%	$	423,230	$	11,500	3.60	%	$	425,075	$	11,686	3.63	%
Funding sources
Bank deposits	$	229,281	$	248	0.43	%	$	248,405	$	841	1.35	%	$	237,488

Schwab Reports Record Revenue and Earnings