Interactive Brokers reported $1.9bn in Q2 2025 net revenue as margin loans rose 67% and client assets reached $930.3bn. FM Intelligence found that balance-sheet expansion, rather than higher rates, drove growth.
Interactive Brokers Reports Second-Quarter Net Revenue of $1.9 Billion
Interactive Brokers Group generated net revenue of $1.9 billion in the second quarter of 2025, an increase of 28% year on year. While most market reports focused on the headline growth figure, an in-depth analysis published by FM Intelligence examined the composition of that growth. According to the source material, the analysis concluded that the expansion was a balance-sheet-driven story rather than an interest-rate-driven one.
The analysis traced the underlying sources of Interactive Brokers’ business activity over the previous ten quarters, covering key indicators including client margin loans, client account numbers, client assets and net interest income.
(Source: FM Intelligence,Interactive Brokers Quarterly Business Analysis; publication date not stated in the source material; quarterly results composition section.)
Margin Loans and Client Base Expand Simultaneously
Year-on-Year Growth in Key Metrics
By the end of June 2025, Interactive Brokers had recorded significant growth across several client metrics:
Client margin loans reached $108.5 billion, representing year-on-year growth of 67%;
The number of client accounts increased to 5.19 million, up 34% year on year;
Client assets reached $930.3 billion, an increase of 40% year on year;
Average borrowing per account rose by approximately 24% to around $20,900;
Margin loans were equivalent to 11.7% of client assets, the highest level recorded during the period covered by the analysis.
From a structural perspective, the 67% growth in margin loans significantly exceeded the 34% increase in account numbers and the 40% rise in client assets, indicating that greater use of leverage was an important feature of the expansion.
| Metric | Value | Year-on-Year Change | Details |
|---|---|---|---|
| Net revenue | $1.9 billion | +28% | Second quarter of 2025 |
| Client margin loans | $108.5 billion | +67% | As at the end of June |
| Net interest income | $1.06 billion | +23% | Net interest margin fell to 1.93% |
| 2026 net interest income forecast | $3.95 billion to $4.3 billion | Base case of approximately $4.15 billion | FM Intelligence scenario estimate |
Net Interest Margin Declines for a Sixth Consecutive Quarter
In the second quarter of 2025, Interactive Brokers’ net interest income increased by 23% to $1.06 billion, although its net interest margin fell from 2.07% to 1.93%, marking a sixth consecutive quarter of year-on-year decline. The decrease reflected a reduction in the yield on margin loans to 4.10%. FM Intelligence therefore concluded that growth in net interest income resulted from a larger balance sheet rather than higher interest rates. According to the source material, FinanceMagnates.com had previously reported separately on Interactive Brokers’ overall financial results.
FM Intelligence’s 2026 Scenario Estimates
Based on the interest-rate sensitivity data disclosed by Interactive Brokers — under which each 0.25-percentage-point movement in US interest rates changes annual net interest income by approximately $82 million — FM Intelligence estimated several scenarios for net interest income in 2026:
Base-case scenario: approximately $4.15 billion;
Optimistic scenario: approximately $4.3 billion;
Pessimistic scenario: approximately $3.95 billion.
The outcome under each scenario depends on the path of interest rates and the rate of growth in client balances. According to the source material, market expectations had shifted from interest-rate cuts throughout much of 2025 towards unchanged rates or modest increases. All of these figures are estimates produced by FM Intelligence and do not constitute official financial guidance from Interactive Brokers.
Retail Business Expansion and the Digital Asset Outlook
The expansion of the retail business also extended beyond equities. Paul Howard, Senior Director at digital asset liquidity provider Wincent, said Interactive Brokers’ results confirmed that retail trading remained active across equities, commodities and derivatives, while artificial intelligence-driven tools were reducing the barriers preventing investors from participating in more complex products. He expected digital assets to play a more significant role during the second half of 2025 as investors rotated into markets that had underperformed earlier in the year.
Howard said this expectation extended beyond the performance shown by recent data. According to the source material, FinanceMagnates.com had previously reported a rebound in retail order flow during June 2025, although cryptocurrencies had lagged behind the broader recovery.
(Source: comments from Paul Howard, Senior Director at Wincent, as cited in the FM Intelligence analysis and related FinanceMagnates.com reporting; publication date not stated in the source material; digital asset outlook section.)
FM Intelligence published the full analysis, charts and scenario tables through its DataLab portal. The material traces the sources of business activity over the previous ten quarters and presents scenario estimates for net interest income in 2026 for further review by industry professionals.
