Robinhood Markets, Inc.
HOOD · Nasdaq
Next quarter
Reports Nov 4, 2026.
Consensus is $0.52 EPS for Sep 2026 across 8 estimates, ranging $0.43 to $0.57.
HOOD Jun 2026
- 40.91%
- -3.61%
- $0.44
- $0.62
- —
- $1.31B
Reported results
- $1.31B
- $561.00M
- $0.62
Highlights
- Record quarter: Net revenue rose 32% year over year and 23% sequentially to $1.31 billion, while diluted EPS was $0.62 versus $0.44 consensus, a 40.91% beat.
- Profitability: Net income attributable to Robinhood increased 45% year over year to $561 million from $386 million, and Adjusted EBITDA rose 35% to $741 million, with a 57% margin.
- Trading revenue: Transaction-based revenue climbed 44% to $776 million, led by event contracts revenue of $156 million, up more than 10 times, options revenue of $342 million, up 29%, and equities revenue of $129 million, up 95%.
- Trading activity: Equity notional volume reached $956 billion, up 85% year over year; options contracts rose 50% to 774 million; and event contracts increased more than 10 times to 13.6 billion.
- Asset gathering: Net deposits reached a record $21.7 billion, equivalent to a 28% annualized growth rate, lifting Total Platform Assets 32% year over year to $368.7 billion.
- Monetisation: Robinhood Gold subscribers rose 39% to 4.8 million, up 500,000 sequentially, while ARPU increased 24% to $187.
- Crypto mix pressure: Cryptocurrency revenue fell 38% to $100 million and app crypto volume declined 35% to $18 billion, partially offset by $22 billion of Bitstamp volume.
- One-time gains and costs: Net income included $129 million of gains primarily tied to RVI deconsolidation, including $0.14 of EPS; operating expenses rose 33% to $734 million and included $23 million of restructuring charges.
- Capital and outlook: Robinhood issued $2.2 billion of zero-coupon convertible notes, repurchased $414 million of stock in the quarter, and lowered its 2026 Adjusted Operating Expenses and SBC outlook to $2.675-$2.775 billion from $2.7-$2.825 billion.
Analysis
Robinhood delivered a strong second quarter, with revenue of $1.31 billion up 32% year over year and 23% from $1.07 billion in the first quarter. Diluted EPS of $0.62 compared with $0.42 a year ago and $0.38 in Q1, beating the $0.44 consensus estimate by 40.91%. Net income attributable to Robinhood rose 45% year over year to $561 million from $386 million and 60% sequentially from $350 million. Adjusted EBITDA increased 35% year over year to $741 million, although GAAP results benefited from $129 million of gains primarily related to the deconsolidation of Robinhood Ventures Fund I.
The print was defined by accelerating trading activity, unusually strong deposit growth and continued product expansion. Transaction-based revenue grew 44% to $776 million as event contracts became a material contributor, while options and equities also posted substantial gains; crypto revenue declined 38% as app volumes and rebate rates weakened. Net deposits of $21.7 billion pushed platform assets to $368.7 billion, and Gold subscriptions reached 4.8 million. Robinhood also highlighted its 13 business lines with at least $100 million of annualized revenue. The company is funding that expansion with a $2.2 billion convertible offering and $414 million of quarterly buybacks, while lowering its full-year adjusted expense outlook despite costs from Rothera and WonderFi.
Revenue and earnings
Robinhood’s operating momentum produced a record revenue quarter, but the reported earnings growth also included non-operating items. Total net revenue rose 32% year over year to $1.308 billion, with transaction-based revenue up 44% to $776 million, net interest revenue up 9% to $389 million and other revenue up 54% to $143 million. Revenue increased 23% sequentially from $1.067 billion.
- Earnings: Net income attributable to Robinhood was $561 million, up 45% from $386 million a year ago and 60% from $350 million in Q1. Diluted EPS was $0.62 versus $0.42 a year ago and $0.38 sequentially.
- Expectation: EPS exceeded the $0.44 consensus estimate by 40.91%; no revenue consensus was provided in the supplied material.
- Adjusted profitability: Adjusted EBITDA increased 35% year over year to $741 million from $549 million, producing a 57% margin versus 56% a year ago and 50% in Q1.
- Quality of earnings: Net income included $129 million of gains primarily related to RVI deconsolidation, equivalent to $0.14 of diluted EPS. Other income was $135 million, compared with $3 million a year ago.
Trading monetisation
The quarter’s largest operating driver was a broad-based increase in trading activity, with event contracts moving from an early-stage product to a significant revenue stream. Equity and options engagement also reached records, while crypto remained a drag on the mix.
- Event contracts: Revenue was $156 million versus $10 million a year ago, while contracts traded rose more than 10 times to 13.6 billion. Rothera, a CFTC-licensed exchange and clearinghouse operated through Robinhood’s joint venture with Susquehanna International Group, launched in June.
- Equities and options: Equities revenue increased 95% to $129 million and equity notional volume rose 85% to $956 billion. Options revenue grew 29% to $342 million, with contracts traded up 50% to 774 million.
- Crypto: Cryptocurrency revenue declined 38% to $100 million. Robinhood app crypto volume fell 35% to $18 billion, although total crypto volume including Bitstamp was $40 billion.
- Product extension: Robinhood Legend crossed $100 million of annualized revenue roughly 18 months after launch, and nearly 100,000 customers had opened Agentic Trading accounts with more than $100 million of assets under custody.
Deposits and Gold
Customer asset gathering remained a central strength, supporting both platform scale and higher-value product adoption. Net deposits accelerated even as customer growth was more moderate, indicating deeper funding among the existing base.
- Deposits: Net deposits were $21.7 billion, representing a 28% annualized growth rate against Q1 platform assets; trailing-12-month net deposits were $75.7 billion, equal to a 27% growth rate against Q2 2025 assets.
- Platform assets: Total Platform Assets rose 32% year over year to $368.7 billion. Equities increased 66% to $265.5 billion and RIA assets rose 17% to $50.0 billion, while cryptocurrency assets declined 36% to $26.3 billion.
- Customer base: Funded Customers increased 7% to 28.4 million and Investment Accounts rose 9% to 29.9 million. New funded customers rose 50% to 0.9 million in the quarter, while churned customers fell 20% to 0.4 million.
- Gold: Subscribers reached a record 4.8 million, up 39% year over year and 500,000 sequentially. Adoption reached 17%, with approximately 40% of new funded customers signing up in Q2; ARPU increased 24% to $187.
Product and global expansion
Robinhood continued to broaden beyond its core brokerage, using new products and acquisitions to build a more diversified financial platform. Several of these initiatives are already reaching meaningful scale, although their contribution to the quarter is not separately quantified.
- Credit card: The Robinhood Gold Card exceeded 1 million customers and $17 billion of annualized purchase volume, taking the Credit Card business above $100 million of annualized revenue. The Platinum Card also began rolling out.
- Trump Accounts: The program launched on July 4 and had more than 7 million sign-ups and nearly $1.5 billion deposited by the time of the release.
- Financial products: Robinhood Banking had more than $3 billion of deposits from over 240,000 funded customers. Robinhood Strategies exceeded 300,000 funded customers and nearly $2 billion of assets under management, while TradePMR’s Advisor Network reached $50 billion of assets under management.
- International and on-chain: International funded customers surpassed 1 million after the WonderFi acquisition in Canada. Robinhood announced its Chain public mainnet, Stock Tokens in more than 120 countries, Robinhood Earn, EU perpetual futures and plans for UK crypto offerings.
Costs and capital
Robinhood is continuing to invest aggressively while attempting to keep the expense base disciplined. The June workforce reduction involved approximately 10% of full-time employees, but the quarter still reflected restructuring and investment costs tied to new businesses.
- Expenses: GAAP operating expenses rose 33% year over year to $734 million, or 56% of revenue, versus $550 million and 56% a year ago. The quarter included $23 million of restructuring charges, while share-based compensation increased to $105 million from $78 million.
- Credit costs: Provision for credit losses doubled year over year to $56 million, including $44 million related to purchased credit card receivables. Credit card loans increased to $1.46 billion from $1.04 billion at year-end 2025.
- Funding: Robinhood issued $2.2 billion of 0.00% convertible senior notes due 2029, with an initial conversion price of approximately $174.42 per share. Cash and cash equivalents ended at $5.4 billion, up from $4.2 billion a year earlier.
- Buybacks and outlook: The company repurchased $414 million of Class A stock in Q2, including $290 million alongside the convertible issuance. The 2026 Adjusted Operating Expenses and SBC outlook was lowered to $2.675-$2.775 billion from $2.7-$2.825 billion, although the range excludes potential credit losses, regulatory matters, pending acquisitions and other significant items.
