Robinhood Markets Inc. (HOOD) reported first-quarter adjusted earnings of $0.42 per share Tuesday after the close, comfortably ahead of the $0.36 consensus, as the brokerage continued to extend its retail-trading franchise. Net revenue grew 28% year-on-year to $814 million, with crypto trading revenue surging 58% to $312 million — the standout of the quarter and the second-largest revenue contributor after equity-trading.
Monthly active users climbed to 27.4 million, a fresh record and up 19% year-on-year. Funded customers reached 25.2 million, with average revenue per user (ARPU) rising 12% to $129. Net deposits totaled $14.8 billion in Q1, including $4.4 billion of new IRA inflows on the back of the company's 1% match incentive that runs through 2026. Total platform assets crossed $200 billion for the first time, reaching $209 billion at quarter-end.
Crypto Franchise Build-Out
Crypto notional volume reached $52.4 billion in Q1, up 71% year-on-year, with bitcoin and ethereum collectively accounting for 64% of trading. The launch of U.S. crypto perpetual futures on Robinhood Derivatives, ramping in March, contributed roughly $48 million of incremental revenue. CEO Vlad Tenev highlighted the early traction of the firm's Bitstamp acquisition (closed January 2026), which added 600,000 international crypto customers and 24/7 European staking capabilities.
Equity options volume remained strong, with 372 million contracts traded versus 304 million in Q1 2025. Equity trading revenue grew 24% to $216 million. The firm's Robinhood Gold subscription product passed 4.2 million paid subscribers, generating $148 million of annualized recurring revenue. Net interest revenue from cash sweep, margin lending, and securities lending climbed 19% to $314 million.
Stock Reaction and Setup
Robinhood shares jumped 11% in extended trade Tuesday and added 4.2% in Wednesday's pre-market session to $61.40, a fresh post-IPO high. Year-to-date, HOOD is up 38%, outpacing Coinbase (COIN