Online broker TD Ameritrade's 4Q profit more than doubles

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OMAHA, Neb. (AP) - Online brokerage TD Ameritrade Holding Corp. more than doubled its fiscal fourth-quarter profit thanks to brisk trading and last year's acquisition of rival Scottrade continuing to pay off.

The Omaha, Nebraska-based company said it earned $454 million, or 80 cents per share, in the quarter. That's up from $211 million, or 39 cents per share, a year ago.

When one-time costs are removed from this year's results, TD Ameritrade said it earned 92 cents per share. The analysts surveyed by Zacks Investment Research expected earnings of 88 cents per share.

TD Ameritrade's revenue jumped 42 percent to $1.4 billion in the quarter. The four analysts surveyed by Zacks expected $1.39 billion.

In addition to the Scottrade acquisition, TD Ameritrade Chief Financial Officer Steve Boyle said the brokerage also benefited during the fiscal year from three interest rate increases and the corporate tax cuts Congress approved.

TD Ameritrade handled an average of 795,104 trades per day during the quarter, up from 528,741 trades per day last year. The brokerage's asset-based revenue grew to $890 million from last year's $632 million.

Looking ahead to next year, TD Ameritrade expects revenue of $5.75 billion and operating expenses between $2.9 billion and $3 billion in fiscal 2019.

Analysts surveyed by FactSet were forecasting 2019 revenue of $5.87 billion on average.

TD Ameritrade shares have decreased slightly more than 2 percent since the beginning of the year. They dipped 62 cents, or 1.2 percent, to $49.25 in after-market trading following the release of the earnings report.

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Elements of this story were generated by Automated Insights (http://automatedinsights.com/ap) using data from Zacks Investment Research. Access a Zacks stock report on AMTD at https://www.zacks.com/ap/AMTD

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