Press release·07/30/2026 10:11:11

Overview

Robinhood was founded on the belief that everyone should have access to the financial system. The company’s mission is to democratize finance for all by using technology to provide simple and convenient investing platforms. Over the past decade, Robinhood has disrupted the industry by offering commission-free stock trading with no account minimums, which has since been adopted by the rest of the industry. In recent years, Robinhood has continued to expand its product offerings and services to cater to more seasoned investors, with the goal of making investing culturally relevant and empowering customers to take greater control of their finances.

Financial Results and Performance

For the three months ended June 30, 2026, Robinhood reported strong financial results compared to the same period in 2025:

• Total net revenues increased 32% to $1,308 million
• Net income attributable to Robinhood increased 45% to $561 million
• Diluted EPS increased 48% to $0.62
• Total operating expenses increased 33% to $734 million
• Adjusted EBITDA (non-GAAP) increased 35% to $741 million
• Funded Customers increased 7% to 28.4 million and Investment Accounts increased 9% to 29.9 million
• Total Platform Assets increased 32% to $368.7 billion, driven by Net Deposits and higher equity valuations, partially offset by lower cryptocurrency valuations
• Net Deposits grew 28% on an annualized basis to $21.7 billion
• ARPU increased 24% to $187
• Robinhood Gold Subscribers increased 39% to 4.84 million

The strong financial performance was driven by growth across Robinhood’s key business segments, including options, event contracts, and equities. However, cryptocurrency revenues declined due to lower rebate rates and decreased trading activity. Net interest revenues also increased, primarily due to higher margin interest and credit card interest, partially offset by lower securities lending income.

Recent Developments

In June 2026, Robinhood announced a 10% reduction in its workforce as part of efforts to maintain a high-performance culture, accelerate product velocity, and remain lean and disciplined.

Key Performance Metrics

Robinhood tracks several key performance metrics to assess the health of its business:

Metric	Q2 2025	Q2 2026	% Change
Funded Customers (millions)	26.5	28.4	7%
Total Platform Assets (billions)	$278.6	$368.7	32%
Net Deposits (billions)	$13.8	$21.7	N/M
Annualized Growth Rate with respect to Net Deposits	25%	28%	N/M
ARPU	$151	$187	24%
Robinhood Gold Subscribers (millions)	3.48	4.84	39%

The growth in Funded Customers, Total Platform Assets, and Net Deposits demonstrates Robinhood’s ability to attract and retain customers, as well as the increasing engagement of its user base. The rise in ARPU and Robinhood Gold Subscribers indicates that the company is successfully monetizing its customer relationships and expanding its premium subscription offerings.

Non-GAAP Financial Measures

Robinhood uses Adjusted EBITDA, a non-GAAP financial measure, to evaluate the performance of its business. Adjusted EBITDA is defined as net income attributable to Robinhood, excluding net income (loss) attributable to non-controlling interests, interest expenses related to debt obligations, provision for income taxes, depreciation and amortization, stock-based compensation, significant legal and tax settlements and reserves, and other significant gains, losses, and expenses.

The company believes Adjusted EBITDA provides useful information to investors and others in understanding and evaluating its results of operations, as well as a useful measure for period-to-period comparisons. Adjusted EBITDA increased 35% to $741 million for the three months ended June 30, 2026, compared to $549 million in the same period in 2025.

Results of Operations

Revenues:

• Transaction-based revenues increased 44% to $776 million, driven by growth in options, event contracts, and equities, partially offset by a decline in cryptocurrencies.
• Net interest revenues increased 9% to $389 million, primarily due to higher margin interest and credit card interest, partially offset by lower securities lending income.
• Other revenues increased 54% to $143 million, primarily due to growth in Robinhood Gold subscription revenues and proxy revenues.

Operating Expenses:

• Brokerage and transaction costs increased 29% to $62 million, primarily due to higher market data expenses and employee compensation.
• Technology and development costs increased 20% to $256 million, driven by higher employee compensation and software/tools expenses.
• Operations costs increased 97% to $57 million, primarily due to higher customer experience costs and employee compensation.
• Provision for credit losses doubled to $56 million, mainly due to increased credit card-related provision.
• Marketing costs increased 5% to $104 million, with higher expenses for new product offerings offset by lower brand marketing.
• General and administrative costs increased 51% to $199 million, primarily due to higher employee compensation, legal expenses, and other professional fees.

Other Income, Net:

• Other income, net increased significantly to $135 million, driven by a $106 million gain from the deconsolidation of RVI and a $23 million gain from equity securities.

Provision for Income Taxes:

• The provision for income taxes increased 143% to $136 million, primarily due to the growth of the business and a decrease in excess tax benefits from stock-based compensation.

Liquidity and Capital Resources

As of June 30, 2026, Robinhood had $5.4 billion in cash and cash equivalents, as well as $155 million in stablecoin. The company also had $4.875 billion in committed revolving credit facilities and $1.55 billion in borrowing capacity for its Credit Card Funding Trust.

In June 2026, Robinhood sold a portion of its ownership interest in RVI, generating $22 million in cash proceeds.

Robinhood’s broker-dealer and FCM subsidiaries are subject to regulatory capital requirements, which they were in compliance with as of June 30, 2026.

Cash Flows

Robinhood’s cash flows for the six months ended June 30, 2026 were as follows:

• Operating activities provided $2.8 billion in cash, primarily due to increases in securities loaned, payable to users, and net income, partially offset by increases in securities borrowed and receivables from users.
• Investing activities used $1.1 billion in cash, mainly due to purchases of non-marketable securities, cash derecognized upon deconsolidation of RVI, and increased purchases of credit card receivables.
• Financing activities provided $2.1 billion in cash, primarily from proceeds from the issuance of convertible senior notes and the Credit Card Funding Trust, as well as decreased cash paid for taxes related to net share settlement of equity awards.

Outlook

Robinhood’s strong financial performance and continued growth in key metrics suggest the company is well-positioned to maintain its momentum. The company’s focus on expanding its product offerings, diversifying its revenue streams, and enhancing the customer experience appear to be paying off.

However, the company faces some potential headwinds, including the impact of any future interest rate cuts on its net interest revenues, as well as the ongoing regulatory and competitive landscape. Additionally, the recent workforce reduction indicates Robinhood is taking steps to streamline its operations and maintain a disciplined approach to growth.

Overall, Robinhood’s financial results demonstrate its ability to execute on its mission of democratizing finance for all. The company’s innovative platforms, growing customer base, and diversified revenue streams position it well for continued success in the years ahead.