Robinhood Q2: Double Beat, Crypto Revenue Nearly Doubles

Core Insights - Robinhood reported second-quarter revenue of $989 million, a 45% increase year-over-year, surpassing the consensus estimate of $898.95 million [1] - The company achieved earnings per share of 42 cents, exceeding the consensus estimate of 29 cents per share [1] Financial Performance - Transaction-based revenue rose 65% year-over-year to $539 million [1] - Options revenue was $265 million, up 46% year-over-year [7] - Cryptocurrencies revenue reached $160 million, a 98% increase year-over-year [7] - Equities revenue totaled $66 million, reflecting a 65% year-over-year growth [7] Customer Metrics - Robinhood ended the quarter with 26.5 million funded customers, a 10% increase year-over-year [2] - Investment accounts grew by 10% year-over-year to 27.4 million [2] - The company reported total platform assets of $279 billion, up 99% year-over-year [2] - Net deposits for the quarter were $13.8 billion [2] - The number of Robinhood Gold subscribers reached a record 3.5 million [2] Strategic Developments - The acquisition of Bitstamp was completed on June 30, with trading volumes reaching $7 billion post-acquisition [3] - Robinhood app's crypto notional trading volumes hit $28 billion in the quarter, a 32% year-over-year increase [3] - The company anticipates closing its acquisition of WonderFi in the second half of the fiscal year [5] Future Outlook - July saw strong customer activity with net deposits around $6 billion and robust trading across categories [5] - Full-year adjusted operating expenses and share-based compensation are expected to be between $2.15 billion and $2.25 billion, an increase from the previous estimate [6] Stock Performance - Robinhood's stock price increased by 1% to $107.01, within a 52-week trading range of $13.98 to $113.44 [6]