Trading platform Robinhood Markets Inc (NASDAQ:HOOD) reported third-quarter financial results Tuesday after market close.
Here are the key highlights.
Robinhood Q3 Financials
Robinhood reported third-quarter revenue of $1.424 billion, up 12% year-over-year. The revenue total beat a Street consensus estimate of $1.422 billion, according to data from Benzinga Pro. The total was a company quarterly record.
Of the revenue total, transaction-based revenue was $867 million and up 19% year-over-year, made up of the following:
- Event contracts: $173 million, up over 6x (event contracts were a record 16.4 billion in the quarter)
- Options: $399 million, +31% year-over-year
- Equities: $121 million, +41% year-over-year
- Cryptocurrencies: $120 million, -55% year-over-year
Other revenue totaled $142 million in the quarter, up 61% year-over-year. The company said this was primarily driven by Trump Account service revenues and increased revenues from Robinhood Gold subscriptions.
Robinhood ended the quarter with a record 5.2 million Robinhood Gold subscribers.
The company reported adjusted earnings of 60 cents per share, beating a Street consensus estimate of 56 cents per share.
“Our vision is to make everyone an owner, because broad ownership is essential to a free, stable, and prosperous society,” Robinhood CEO Vlad Tenev said.
Here are other company highlights for the quarter:
- Net Deposits: $16 billion
- Funded customers: 28.7 million, up 1.9 million
- Average revenue per user +5% to $200
What’s Next for Robinhood
Among the highlights from the company in the quarter are 14 business lines now at $100 million or more in annualized revenue, an item that will help with future growth.
“Customers are trusting us with more of their assets as we deliver on our product roadmap, leading to our highest quarter ever for revenues,” Robinhood Chief Financial Officer Shiv Verma said.
Verma said the company is entering the fourth quarter with “strong momentum,” highlighting October net deposits that have topped $13 billion month-to-date, including $6 billion from the Dell family’s contribution to Trump Accounts.
Robinhood lowered the top end of its 2026 outlook for adjusted operating expenses and share-based compensation to a range of $2.675 billion to $2.75 billion, down from a prior range of $2.675 billion to $2.775 billion.
The change reflects efficiency gains across the company.
Robinhood Stock Price Action
Robinhood stock is down 3.8% to $90.95 in after-hours trading Tuesday versus a 52-week trading range of $63.52 to $150.47.
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