Copyright Benzinga
Trading platform company Robinhood Markets (NASDAQ:HOOD) reported third-quarter financial results on Wednesday after market close. • Get the complete HOOD stock picture here. Here are the key highlights. Q3 Results: Robinhood reported third-quarter revenue of $1.27 billion, up 100% year-over-year. The total revenue beat a Street consensus estimate of $1.19 billion, according to data from Benzinga Pro. This also marked a company quarterly record for revenue. Transaction-based revenue was $730 million for the quarter, up 129% year-over-year. Here are the transaction-based revenue segments and their growth: Cryptocurrencies Revenue: $268 million, up over 300% year-over-year Options Revenue: $304 million, up 50% year-over-year Equities Revenue: $86 million, up 132% year-over-year The company reported quarterly earnings per share of 61 cents per share, beating a Street consensus estimate of 48 cents per share. Net deposits were $20 billion in the quarter, a new record. The company said its Robinhood Gold Subscribers hit a record 3.9 million in the quarter. Funded Customers hit 26.8 million at the end of the quarter, up 10% year-over-year, with 27.9 million Investment Accounts, up 11% year-over-year. The company's average revenue per user grew by 82% year-over-year to $191 in the quarter. Robinhood now has 11 business lines that generate $100 million or more in annualized revenues. "Our team's relentless product velocity drove record business results in Q3 and we're not slowing down — Prediction Markets are growing rapidly, Robinhood Banking is starting to roll out, and Robinhood Ventures is coming," Robinhood CEO Vlad Tenev said. Robinhood Chief Financial Officer Jason Warnick said the third quarter "was another strong quarter of profitable growth" and showed the company's diversification efforts with Prediction Markets and Bitstamp each generating $100 million or more in annualized revenues. The company said Event Contracts Traded as part of the Prediction Markets more than doubled from the second quarter to 2.3 billion in the quarter. Event Contracts traded in October totaled 2.5 billion contracts, more than the entirety of the third quarter. Read Also: Robinhood Q3 Preview: Diversification Efforts Could Lead To Record Revenue What's Next: The company expects its full-year adjusted operating expenses and share-based compensation to be $2.28 billion. "Q4 is off to a strong start in October, with record monthly trading volumes across equities, options, prediction markets, and future, and new highs for margin balances," Warnick said. Warnick announced he will retire from the company next year, transitioning from CFO in the first quarter to a strategic advisor through Sept. 1, 2026. Robinhood finance veteran Shiv Verma was named as the company's next CFO. HOOD Price Action: Robinhood stock is down 0.95% to $141.61 in after-hours trading on Wednesday versus a 52-week trading range of $26.74 to $153.86. Read Next: Taylor Swift, Elon Musk, Donald Trump, MrBeast — Robinhood Just Made Their Mojo Tradable Photo: Shutterstock
