E*Trade Financial Corporation (NDAQ:ETFC) announced that its quarterly net income jumped 37% to a record $176.7 million in an
8K filing with the SEC today. The news comes after many other players in the brokerage industry have experienced similar successes, along with widespread gains in the overall financial industry. The company also reported revenues of $627 million with a profit margin of 43% - in line with last year. Chief Operating Office Jarrett Lilien commented on the results, saying that "all parts of the model performed well, with organic customer growth, more assets and cash coming in and more trading". The company said that it wants to attract more mass-affluent customers and expand internationally, opening the door to possible M&A activity. While the company's current forecasts of $1.65 to $1.80 are based on purely organic growth, they did not discount the possibility of utilizing acquisitions to reach its targets more quickly.
E*Trade Financial Corporation's principal activities are to
provide differentiated trading, investing, banking and lending
products, primarily through the Internet and other electronic media. It
operates in two segments: The Brokerage segment provides services
including automated order placement, execution of market and limit
equity orders. It also includes access to nearly 5,000 non-proprietary
and proprietary mutual funds; futures; bond trading and proprietary
bond funds. It provides individual retirement accounts; college savings
plan products; real-time market commentary and stock option plan
administration products and services. The Banking segment provides
consumer banking products and services. The lending services include
first and second mortgage, refinance of existing mortgage and home
equity loan.
Related CompaniesTD Ameritrade Holding Corp. (AMTD)Empire Financial Holding Company (EFH)TradeStation Group, Inc. (TRAD)