UPDATE 1-Interactive Brokers Q4 profit misses estimates
* Q4 earnings misses analysts' view
* Net revenue marginally above analyst's view
* Interest income fell 66 percent
Jan 22 (Reuters) - Derivatives trader Interactive Brokers Group Inc's (IBKR.O) quarterly profit rose 7 percent, but missed analysts' estimates as net interest income fell 66 percent.
"High market volumes and volatility again demonstrated the benefits of our automated trading system and integrated real time risk management," Chief Executive Thomas Peterffy said in a statement.
Net revenue from the company's market making business rose 11 percent to $308.8 million, while net revenue from its electronic brokerage business was nearly flat at $118.7 million.
Interactive Brokers is trying to position itself as a broker and increase its market share in the brokerage business.
The company gets about 72 percent of its revenue from its market maker division, while the brokerage segment currently contributes about 27 percent to net revenue.
Net income for the fourth quarter was $20.3 million, or 49 cents a share, compared with $18.9 million, or 46 cents a share in the year ago period.
Analysts expected earnings of 52 cents a share, excluding items, according to Reuters Estimates.
Total net revenue was $429.3 million, marginally below analysts' estimate of $428.0 million.
Interest income for the quarter was $63.4 million.
Shares of the company closed at $18.39 on Nasdaq Wednesday. (Reporting by Sweta Singh in Bangalore; Editing by Anil D'Silva)
