Robinhood (HOOD) Sees Record Revenues and Subscriber Growth in Q2 2024

Robinhood Markets, Inc. (NASDAQ: HOOD) has launched its monetary outcomes for the second quarter of 2024, marking a interval of serious development and record-breaking efficiency. The corporate reported report revenues of $682 million, a 40% year-over-year improve, and internet revenue of $188 million, translating to a GAAP diluted EPS of $0.21, up from $0.03 in Q2 2023, in accordance with GlobeNewswire.

Monetary Highlights

Robinhood’s Q2 2024 monetary outcomes replicate strong development throughout a number of key metrics:

• Complete internet revenues elevated by 40% year-over-year to $682 million.
• Transaction-based revenues surged by 69% year-over-year to $327 million, with choices income at $182 million (up 43%), cryptocurrencies income at $81 million (up 161%), and equities income at $40 million (up 60%).
• Internet curiosity revenues rose by 22% year-over-year to $285 million, pushed by development in interest-earning belongings and elevated securities lending exercise.
• Different revenues grew by 19% year-over-year to $70 million, primarily attributable to elevated Gold subscription revenues.
• Internet revenue reached $188 million, a big improve from $25 million in Q2 2023.
• Complete working bills elevated by 6% year-over-year to $493 million, primarily attributable to greater advertising and development investments.
• Adjusted EBITDA (non-GAAP) almost doubled, rising by 99% year-over-year to $301 million.

Buyer Progress and Engagement

The corporate’s consumer base additionally noticed substantial development:

• Funded Prospects elevated by 1 million year-over-year to 24.2 million.
• Funding Accounts rose by 1.4 million year-over-year to 24.8 million.
• Belongings Below Custody (AUC) grew by 57% year-over-year to $139.7 billion, pushed by continued Internet Deposits and better fairness and cryptocurrency valuations.
• Internet Deposits have been $13.2 billion, representing an annualized development charge of 41% relative to AUC on the finish of Q1 2024.
• Common Income Per Person (ARPU) elevated by 35% year-over-year to $113.
• Gold Subscribers surged by 61% year-over-year to 2 million.

Strategic Initiatives and Product Growth

Robinhood has been lively in increasing its product choices and strategic acquisitions:

• Robinhood Gold achieved a milestone of two million subscribers, accounting for over 8% of Funded Prospects.
• 1% Switch Bonus drove over $3 billion in asset transfers from April 30 to June 28, 2024.
• Acquisitions: Robinhood agreed to amass Bitstamp, Ltd., a globally-scaled crypto change, and Pluto Capital Inc., an AI-powered funding analysis platform.
• Margin Charges: In Might, Robinhood launched industry-leading margin charges, leading to a 20% development in margin balances, which reached $5 billion.
• Share Repurchase Program: The Board of Administrators approved a $1 billion share repurchase program, anticipated to be executed over two to a few years.

Future Outlook

Trying forward, Robinhood’s 2024 expense plan consists of development investments in new merchandise, options, and worldwide growth. The corporate maintains its outlook for GAAP whole working bills and Non-GAAP mixed Adjusted Working Bills and SBC for full-year 2024 at $1.85 billion to $1.95 billion.

Robinhood’s speedy development and strategic initiatives underscore its dedication to enhancing buyer worth and increasing its market presence.

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