Robinhood Reports 45% Revenue Growth to $989 Million, Achieves 105% Increase in Net Income

Robinhood Markets, Inc. reported significant financial growth in its latest quarterly results, with total net revenues reaching $989 million for the three months ended June 30, 2025, a 45% increase from $682 million in the same period last year. The company also achieved a net income of $386 million, up 105% from $188 million, resulting in a diluted earnings per share (EPS) of $0.42, compared to $0.21 in the prior year. This growth was driven by a substantial rise in transaction-based revenues, which increased to $539 million from $327 million, primarily due to higher trading volumes in options and cryptocurrencies.

In addition to revenue growth, Robinhood's operational metrics showed positive trends. The number of funded customers rose by 10% to 26.5 million, while investment accounts increased by 10% to 27.4 million. Total platform assets nearly doubled, reaching $278.6 billion, up from $139.7 billion, largely due to net deposits of $13.8 billion and higher valuations in equities and cryptocurrencies. The average revenue per user (ARPU) also improved, increasing 34% to $151.

Strategically, Robinhood has been active in expanding its service offerings and geographic reach. The company completed the acquisition of Bitstamp, a global cryptocurrency exchange, in June 2025, which is expected to enhance its market presence in Europe and Asia. Additionally, Robinhood acquired TradePMR, a custodial and portfolio management platform for registered investment advisors, in February 2025. These acquisitions are part of Robinhood's strategy to diversify its services and enhance its product offerings.

The company also reported an increase in operating expenses, which rose 12% to $550 million, driven by higher marketing and technology development costs. Despite this increase, the company managed to maintain a strong adjusted EBITDA of $549 million, an 82% increase from the previous year. Robinhood's cash flow from operating activities saw a significant turnaround, with a net cash inflow of $4.15 billion compared to an outflow of $569 million in the prior year, reflecting improved operational efficiency and profitability.

Looking ahead, Robinhood remains optimistic about its growth trajectory, citing its strong liquidity position with $4.16 billion in cash and cash equivalents as of June 30, 2025. The company plans to continue investing in its platform and expanding its product offerings, including the pending acquisition of WonderFi Technologies, which is expected to close in the second half of 2025. Robinhood's management believes that these strategic initiatives will further enhance its competitive position in the financial services market.