TD Ameritrade (AMTD) on Tuesday said its third-quarter net income dropped to $113.96 million versus $179.44 million in the second quarter, or $0.20 earnings per share versus EPS of $0.31 in the prior quarter.
Analysts surveyed by Thomson Reuters had expected EPS of $0.23 for the quarter ended Sept. 30.
The Omaha, Neb.-based holding corporation, which is 45% owned by Canada's Toronto-Dominion Bank, said in its Q3 2010 earnings release that it maintained industry-leading daily average revenue trades and grew interest-rate-sensitive assets to a record $66 billion despite a continued challenging economic environment.
Transaction-based revenues dropped substantially in the quarter, to $250.02 million of commissions and transaction fees compared to $333.08 million in the second quarter ended June 30. For the fiscal year, transaction-based revenues stood at $1.19 billion on Sept. 30, 2010 versus $1.25 billion on Sept. 30, 2009.
However, total asset-based revenues for the full fiscal year were up, at $1.23 billion versus $1.10 billion a year ago. For the quarter-on-quarter results, those revenues were down slightly, at $324.08 million at Sept. 30 versus $324.65 million at June 30.
Net revenues were down sequentially to $608.84 million at Sept. 30 versus $691.80 million at June 30. Net profits also were down to $113.96 million versus $179.44 million.
Taking the long view, TD Ameritrade President and CEO Fred Tomczyk said he was proud of how the company has executed business over the last two years.