Robin Defeat Wall Street expectations in the second quarter of Wednesday to extend a warm winning streak The best performing large U.S. technology stocks this year.
This is what Robinhood compares to Wall Street estimates, according to analysts surveyed by LSEG:
- Earnings per share: 42 cents, estimated at 31 cents
- income: $989 million, estimated $908 million
Revenue rose 45% year-on-year to $989 million, while net income more than doubled to $386 million, a 105% increase from the same period last year.
The number of clients with funds increased by 2.3 million to 26.5 million, with a maximum estimated at 26.1 million. Investment accounts also grew 10% year-on-year to 27.4 million.
Total platform assets nearly doubled, up 99% from the same period last year to $279 billion, driven by strong net deposits, acquisitions, and higher equity and cryptocurrency valuations, the release said.
Robinhood is closing the gap Common cases As it goes beyond retail transactions, it enters full wealth management. The company has been actively offering deposit competitions to attract customers from Fidelity and Schwab, while the assets managed grow with the acquisition of its deals.
Total operating expenses increased by 12% to $550 million. Adjusted operating expenses and share-based compensation rose 6% to $522 million on a non-GAAP basis, reflecting expenses related to the Bitstamp acquisition.
Transaction-based revenue is representative of trading activity, with revenue of $539 million, both ahead of StreetAccount’s $517 million estimate. Option trading contributed $265 million, surpassing the $250 million estimate, while crypto stocks and stock revenues were slightly lower than forecasts, suggesting a tendency toward higher profitable derivatives trading.
Cryptocurrency trading is based on an estimated estimated price of $160 million, estimated at $168 million, and the stock has also missed the street stock estimate, estimated at $66 million and estimated at $69 million.
Net interest income was $357 million, surpassing expectations of $306 million. Adjusted EBITDA jumped 82% to $549 million, well above the $448 million estimate.
Average revenue per user increased by 34% year-on-year to $151, with a maximum revenue of $142.
Robinhood Gold subscribers provide customers with higher cash volumes, larger instant deposits and enhanced research tools, adding 1.5 million, up 76% to 3.5 million users.
“We’ve made a lot of progress in the more passive long-term sector,” CFO Jason Warnick told CNBC. “At the end of the second quarter, we had $19 billion in retirement accounts, and we’ve already exceeded $20 billion. One million clients have retirement accounts, and we think there are more clients that can get more clients to build retirement accounts and start more complex benefits early.”
The stock has risen more than 180% year to date after growing 192% in 2024 – over 400% in the past 12 months, the stock has surpassed other large U.S. stocks and pushed its market cap to a staggering distance of $100 billion.
Despite its rapid rise, Robinhood is excluded from the S&P 500 last month – This move surprised some investors, especially as competitor fintech Added block.
Investors have been paying close attention to the latest information about Robinhood’s expansion to crypto infrastructure and token finance, especially after launching Synthetic inventory tokens For OpenAi and SpaceX. Assets traded in Europe through Robinhood’s crypto platform, providing users with indirect contact with assets through dedicated vehicles, but immediately raised objections.
Openai publicly denied the product, warning users that tokens are Not Openai equity and issuance without company approval. Robinhood defended the promotion, calling it a way to expand access to pre-IPO markets and said the plan is being developed to withstand regulatory scrutiny.
Robinhood will hold a earnings call with analysts at 5 p.m. ET.
