Charles Schwab (NYSE:SCHW) Misses Q4 2025 Revenue Estimates Despite 18.9% YoY Growth

Charles Schwab (NYSE:SCHW) reported Q4 2025 revenue of $6.34 billion, a 18.9% increase year on year, but fell short of analysts’ expectations. The company’s non-GAAP earnings per share of $1.39 matched consensus estimates. The stock declined 1.2% to $98.77 in after-hours trading following the release. Over the past five years, Schwab has achieved a 15.4% compounded annual revenue growth rate, outperforming the financial sector average. However, its two-year annualized revenue growth has slowed to 12.7%, reflecting recent headwinds from shifting interest rates and market volatility. Despite the miss, underlying demand remains strong, with recurring business fundamentals intact. Management noted that prior quarters excluded outliers driven by non-recurring investment gains or losses. The company continues to benefit from its long-standing position as a low-cost brokerage and wealth management provider, with a loyal client base and expanding advisory services.