Delaware
|
001-33440
|
30-0390693
|
(State or Other Jurisdiction of Incorporation)
|
(Commission File Number)
|
(I.R.S. Employer Identification Number)
|
o |
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
|
o |
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
|
o |
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
|
o |
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
|
(d)
|
Exhibits.
|
99.1
|
Press Release dated July 21, 2011.
|
INTERACTIVE BROKERS GROUP, INC.
|
||
By:
|
/s/ Paul J. Brody
|
|
Name:
|
Paul J. Brody
|
|
Title:
|
Chief Financial Officer, Treasurer and Secretary
|
99.1
|
Press Release dated July 21, 2011.
|
·
|
50% pretax profit margin for this quarter.
|
·
|
52% Electronic Brokerage pretax margin for this quarter.
|
·
|
47% Market Making pretax profit margin for this quarter.
|
·
|
Customer equity increased 57% from the year-ago quarter to $25.7 billion and customer accounts increased 21%.
|
·
|
Cleared DARTs decreased 2% from the year-ago quarter to 378,000.
|
·
|
Electronic Brokerage pretax income increased 23% from the year-ago quarter.
|
·
|
Market Making pretax income increased to $59 million from $4 million in the year-ago quarter.
|
(1)
|
Daily average revenue trades (DARTs) are based on customer orders.
|
(2)
|
Accounting Standards Update 2011-05, Comprehensive Income.
|
TRADE VOLUMES:
|
|||||||||
(in 000's, except %)
|
Brokerage
|
||||||||
Market
|
Brokerage
|
Non
|
Avg. Trades
|
||||||
Making
|
%
|
Cleared
|
%
|
Cleared
|
%
|
Total
|
%
|
per U.S.
|
|
Period
|
Trades
|
Change
|
Trades
|
Change
|
Trades
|
Change
|
Trades
|
Change
|
Trading Day
|
2006
|
66,043
|
51,238
|
12,828
|
130,109
|
518
|
||||
2007
|
99,086
|
50%
|
72,931
|
42%
|
16,638
|
30%
|
188,655
|
45%
|
752
|
2008
|
101,672
|
3%
|
120,195
|
65%
|
16,966
|
2%
|
238,833
|
27%
|
944
|
2009
|
93,550
|
-8%
|
127,338
|
6%
|
13,636
|
-20%
|
234,524
|
-2%
|
934
|
2010
|
75,169
|
-20%
|
133,658
|
5%
|
18,732
|
37%
|
227,559
|
-3%
|
905
|
2Q2010
|
20,358
|
37,404
|
4,777
|
62,539
|
993
|
||||
2Q2011
|
14,419
|
-29%
|
37,112
|
-1%
|
4,024
|
-16%
|
55,555
|
-11%
|
882
|
CONTRACT AND SHARE VOLUMES:
|
|||||||
(in 000's, except %)
|
|||||||
TOTAL
|
Options
|
%
|
Futures*
|
%
|
Stocks
|
%
|
|
Period
|
(contracts)
|
Change
|
(contracts)
|
Change
|
(shares)
|
Change
|
|
2006
|
563,623
|
62,419
|
34,493,410
|
||||
2007
|
673,144
|
19%
|
83,134
|
33%
|
47,324,798
|
37%
|
|
2008
|
757,732
|
13%
|
108,984
|
31%
|
55,845,428
|
18%
|
|
2009
|
643,380
|
-15%
|
82,345
|
-24%
|
75,449,891
|
35%
|
|
2010
|
678,856
|
6%
|
96,193
|
17%
|
84,469,874
|
12%
|
|
2Q2010
|
191,064
|
27,362
|
22,790,303
|
||||
2Q2011
|
162,737
|
-15%
|
24,013
|
-12%
|
19,091,293
|
-16%
|
|
MARKET MAKING
|
Options
|
%
|
Futures*
|
%
|
Stocks
|
%
|
|
Period
|
(contracts)
|
Change
|
(contracts)
|
Change
|
(shares)
|
Change
|
|
2006
|
371,929
|
14,818
|
21,180,377
|
||||
2007
|
447,905
|
20%
|
14,520
|
-2%
|
24,558,314
|
16%
|
|
2008 **
|
514,629
|
15%
|
21,544
|
48%
|
26,008,433
|
6%
|
|
2009 **
|
428,810
|
-17%
|
15,122
|
-30%
|
26,205,229
|
1%
|
|
2010 **
|
435,184
|
1%
|
15,371
|
2%
|
19,165,000
|
-27%
|
|
2Q2010 **
|
122,364
|
4,411
|
5,469,349
|
||||
2Q2011 **
|
98,168
|
-20%
|
3,585
|
-19%
|
2,546,066
|
-53%
|
|
BROKERAGE TOTAL
|
Options
|
%
|
Futures*
|
%
|
Stocks
|
%
|
|
Period
|
(contracts)
|
Change
|
(contracts)
|
Change
|
(shares)
|
Change
|
|
2006
|
191,694
|
47,601
|
13,313,033
|
||||
2007
|
225,239
|
17%
|
68,614
|
44%
|
22,766,484
|
71%
|
|
2008
|
243,103
|
8%
|
87,440
|
27%
|
29,836,995
|
31%
|
|
2009
|
214,570
|
-12%
|
67,223
|
-23%
|
49,244,662
|
65%
|
|
2010
|
243,672
|
14%
|
80,822
|
20%
|
65,304,874
|
33%
|
|
2Q2010
|
68,700
|
22,951
|
17,320,954
|
||||
2Q2011
|
64,569
|
-6%
|
20,428
|
-11%
|
16,545,227
|
-4%
|
* Includes options on futures
|
** In Brazil, an equity option contract typically represents 1 share of the underlying stock; however, the typical minimum trading quantity is 100 contracts. To make a fair comparison to volume at other exchanges, we have adopted a policy of reporting Brazilian equity options contracts divided by their trading quantity of 100.
|
|
BROKERAGE CLEARED
|
Options
|
%
|
Futures*
|
%
|
Stocks
|
%
|
|
Period
|
(contracts)
|
Change
|
(contracts)
|
Change
|
(shares)
|
Change
|
|
2006
|
32,384
|
45,351
|
12,492,870
|
||||
2007
|
51,586
|
59%
|
66,278
|
46%
|
20,353,584
|
63%
|
|
2008
|
77,207
|
50%
|
85,599
|
29%
|
26,334,752
|
29%
|
|
2009
|
93,868
|
22%
|
66,241
|
-23%
|
46,627,344
|
77%
|
|
2010
|
103,054
|
10%
|
79,144
|
19%
|
62,077,741
|
33%
|
|
2Q2010
|
29,491
|
22,463
|
16,487,944
|
||||
2Q2011
|
35,277
|
20%
|
20,090
|
-11%
|
15,972,585
|
-3%
|
|
* Includes options on futures
|
BROKERAGE STATISTICS
|
|||
(in 000's, except % and where noted)
|
|||
2Q2011
|
2Q2010
|
% Change
|
|
Total Accounts
|
176
|
146
|
21%
|
Customer Equity (in billions) *
|
$25.7
|
$16.4
|
57%
|
Cleared DARTs
|
378
|
385
|
-2%
|
Total Customer DARTs
|
408
|
422
|
-3%
|
(in $'s, except DART per account)
|
|||
Commission per DART
|
$4.33
|
$4.24
|
2%
|
DART per Avg. Account (Annualized)
|
554
|
677
|
-18%
|
Net Revenue per Avg. Account (Annualized)
|
$3,809
|
$3,801
|
0%
|
* Excludes non-customers
|
Three Months
|
Six Months
|
||||||||
Ended June 30,
|
Ended June 30,
|
||||||||
2011
|
2010
|
2011
|
2010
|
||||||
(in millions) | |||||||||
Market Making
|
Net revenues
|
$125.8
|
$81.7
|
$328.1
|
$164.5
|
||||
Non-interest expenses
|
66.5
|
77.8
|
134.2
|
155.1
|
|||||
Income before income taxes
|
$59.3
|
$3.9
|
$193.9
|
$9.4
|
|||||
Pre-tax profit margin
|
47
|
% |
5
|
% |
59
|
% |
6
|
% | |
Electronic Brokerage
|
Net revenues
|
$169.7
|
$144.6
|
$333.4
|
$271.8
|
||||
Non-interest expenses
|
80.7
|
72.3
|
154.3
|
135.1
|
|||||
Income before income taxes
|
$89.0
|
$72.3
|
$179.1
|
$136.7
|
|||||
Pre-tax profit margin
|
52
|
% |
50
|
% |
54
|
% |
50
|
% | |
Corporate*
|
Net revenues
|
$1.4
|
($0.2
|
) |
$3.3
|
$0.4
|
|||
Non-interest expenses
|
0.6
|
3.9
|
5.2
|
9.5
|
|||||
Income before income taxes
|
$0.8
|
($4.1
|
) |
($1.9
|
) |
($9.1
|
) | ||
Total
|
Net revenues
|
$296.9
|
$226.1
|
$664.8
|
$436.7
|
||||
Non-interest expenses
|
147.8
|
154.0
|
293.7
|
299.7
|
|||||
Income before income taxes
|
$149.1
|
$72.1
|
$371.1
|
$137.0
|
|||||
Pre-tax profit margin
|
50
|
% |
32
|
% |
56
|
% |
31
|
% | |
* Corporate includes corporate related activities as well as inter-segment eliminations.
|
Three Months
|
Six Months
|
|||||||||
Ended June 30,
|
Ended June 30,
|
|||||||||
2011
|
2010
|
2011
|
2010
|
|||||||
(in millions, except share and per share data)
|
||||||||||
Revenues:
|
||||||||||
Trading gains
|
$120.6
|
$77.6
|
$320.9
|
$158.2
|
||||||
Commissions and execution fees
|
106.5
|
107.6
|
215.7
|
199.3
|
||||||
Interest income
|
79.3
|
41.0
|
138.0
|
77.6
|
||||||
Other income
|
15.0
|
17.7
|
32.4
|
34.5
|
||||||
Total revenues
|
321.4
|
243.9
|
707.0
|
469.6
|
||||||
Interest expense
|
24.5
|
17.8
|
42.2
|
32.9
|
||||||
Total net revenues
|
296.9
|
226.1
|
664.8
|
436.7
|
||||||
Non-interest expenses:
|
||||||||||
Execution and clearing
|
66.1
|
75.5
|
132.3
|
145.2
|
||||||
Employee compensation and benefits
|
52.6
|
49.5
|
105.0
|
100.0
|
||||||
Occupancy, depreciation and amortization
|
9.1
|
9.2
|
18.3
|
18.4
|
||||||
Communications
|
6.6
|
6.3
|
12.1
|
11.7
|
||||||
General and administrative
|
13.4
|
13.5
|
26.0
|
24.4
|
||||||
Total non-interest expenses
|
147.8
|
154.0
|
293.7
|
299.7
|
||||||
Income before income taxes
|
149.1
|
72.1
|
371.1
|
137.0
|
||||||
Income tax expense
|
12.5
|
7.4
|
31.2
|
12.6
|
||||||
Net income
|
136.6
|
64.7
|
339.9
|
124.4
|
||||||
Net income attributable to non-controlling interests
|
127.1
|
60.9
|
314.1
|
116.7
|
||||||
Net income available for common shareholders
|
$9.5
|
$3.8
|
$25.8
|
$7.7
|
||||||
Earnings per share
|
||||||||||
Basic
|
$0.22
|
$0.09
|
$0.61
|
$0.18
|
||||||
Diluted
|
$0.22
|
$0.09
|
$0.60
|
$0.18
|
||||||
Weighted average common shares outstanding
|
||||||||||
Basic
|
43,018,095
|
41,802,541
|
42,627,045
|
41,511,328
|
||||||
Diluted
|
43,470,928
|
42,441,995
|
43,133,155
|
42,206,384
|
||||||
Comprehensive income:
|
||||||||||
Net income available for common stockholders
|
$9.5
|
$3.8
|
$25.8
|
$7.7
|
||||||
Other comprehensive income:
|
||||||||||
Cumulative translation adjustment, before income taxes
|
6.1
|
(5.8
|
) |
8.1
|
(8.0
|
) | ||||
Income taxes related to items of other comprehensive income
|
2.2
|
(2.2
|
) |
3.0
|
(3.0
|
) | ||||
Other comprehensive income, net of tax
|
3.9
|
(3.6
|
) |
5.1
|
(5.0
|
) | ||||
Comprehensive income available for common stockholders
|
$13.4
|
$0.2
|
$30.9
|
$2.7
|
||||||
Comprehensive income attributable to non-controlling interests:
|
||||||||||
Net income attributable to non-controlling interests
|
$127.1
|
$60.9
|
$314.1
|
$116.7
|
||||||
Other comprehensive income (loss) - cumulative translation adjustment
|
50.1
|
(49.4
|
) |
66.7
|
(68.1
|
) | ||||
Comprehensive income attributable to non-controlling interests
|
$177.2
|
$11.5
|
$380.8
|
$48.6
|
June 30, 2011
|
December 31, 2010
|
|||
(in millions)
|
||||
Assets
|
||||
Cash and cash equivalents
|
$1,422.9
|
$1,354.2
|
||
Cash and securities - segregated for regulatory purposes
|
8,807.9
|
7,888.1
|
||
Securities purchased under agreements to resell
|
304.3
|
336.3
|
||
Securities borrowed
|
3,215.6
|
3,292.3
|
||
Trading assets, at fair value
|
6,103.5
|
7,422.4
|
||
Receivables from customers, net of allowance
|
9,320.0
|
6,973.0
|
||
Receivables from brokers, dealers and clearing organizations
|
947.4
|
732.9
|
||
Other assets
|
518.7
|
499.6
|
||
Total assets
|
$30,640.3
|
$28,498.8
|
||
Liabilities and equity
|
||||
Liabilities
|
||||
Trading liabilities - financial instruments sold but not yet purchased, at fair value
|
$4,940.0
|
$6,125.2
|
||
Securities loaned
|
1,757.5
|
1,659.6
|
||
Short-term borrowings
|
43.0
|
187.4
|
||
Other payables:
|
||||
Customers
|
18,158.9
|
15,060.5
|
||
Brokers, dealers and clearing organizations
|
283.4
|
248.7
|
||
Other payables
|
693.7
|
702.3
|
||
19,136.0
|
16,011.5
|
|||
Senior notes payable and senior secured credit facility
|
178.3
|
294.6
|
||
Equity
|
||||
Stockholders' equity
|
530.6
|
487.8
|
||
Non-controlling interests
|
4,054.9
|
3,732.7
|
||
Total equity
|
4,585.5
|
4,220.5
|
||
Total liabilities and equity
|
$30,640.3
|
$28,498.8
|
||
Three months ended
|
Six months ended
|
||||||||
June 30,
|
June 30,
|
||||||||
2011
|
2010
|
2011
|
2010
|
||||||
(in millions, except share and per share data) | |||||||||
Net income available for common stockholders |
$9.5
|
$3.8
|
$25.8
|
$7.7
|
|||||
Other comprehensive income: | |||||||||
Cumulative translation adjustment, before income taxes
|
6.1
|
(5.8
|
) |
8.1
|
(8.0
|
) | |||
Income taxes related to items of other comprehensive income
|
2.2
|
(2.2
|
) |
3.0
|
(3.0
|
) | |||
Other comprehensive income, net of tax |
3.9
|
(3.6
|
) |
5.1
|
(5.0
|
) | |||
Comprehensive income available for common stockholders |
$13.4
|
$0.2
|
$30.9
|
$2.7
|
|||||
Comprehensive income per share:
|
|||||||||
Basic
|
$0.311
|
$0.004
|
$0.725
|
$0.064
|
|||||
Diluted
|
$0.308
|
$0.004
|
$0.717
|
$0.063
|
|||||
Weighted average common shares outstanding:
|
|||||||||
Basic
|
43,018,095
|
41,802,541
|
42,627,045
|
41,511,328
|
|||||
Diluted
|
43,470,928
|
42,441,995
|
43,133,155
|
42,206,384
|