Robinhood Markets (HOOD) HOOD Q3 Financial Results Summary
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Robinhood (HOOD) Q3 2025 Financial Results Summary
Robinhood Markets, Inc. (“Robinhood”) (NASDAQ: HOOD) announced its financial results for the third quarter of 2025 on November 5, 2025. The report highlights significant growth across various metrics, reaffirming the company’s strong momentum and expanding business lines.
Key Financial Highlights
- Total Net Revenues:
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Increased by 100% year-over-year to $1.27 billion.
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Revenue Breakdown:
- Transaction-based revenues rose by 129% year-over-year to $730 million:
- Cryptocurrencies generated $268 million (up over 300%).
- Options revenue was $304 million (up 50%).
- Equities revenue increased to $86 million (up 132%).
- Net interest revenues increased by 66% year-over-year to $456 million.
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Other revenues grew by 100% year-over-year to $88 million, mainly due to increased Robinhood Gold subscribers.
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Net Income:
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Grew by 271% year-over-year to $556 million.
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Diluted Earnings Per Share (EPS):
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Increased by 259% year-over-year to $0.61.
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Operating Expenses:
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Increased by 31% year-over-year to $639 million, primarily fueled by marketing and growth investments.
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Adjusted Operating Expenses (non-GAAP):
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Increased by 29% year-over-year to $613 million.
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Adjusted EBITDA (non-GAAP):
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Rose by 177% year-over-year to $742 million.
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Customer Growth:
- Funded Customers increased by 2.5 million (up 10%) year-over-year to a total of 26.8 million.
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Investment Accounts increased by 2.8 million (up 11%) year-over-year to 27.9 million.
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Total Platform Assets:
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Increased by 119% year-over-year to $333 billion.
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Net Deposits:
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Recorded at $20.4 billion, with a 29% annualized growth rate compared to Q2 2025.
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Robinhood Gold Subscribers:
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Increased by 1.7 million (up 77%) year-over-year to 3.9 million.
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Average Revenue Per User (ARPU):
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Increased by 82% year-over-year to $191.
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Cash and Cash Equivalents:
- Totaled $4.3 billion, down from $4.6 billion last year.
Share Repurchase Program
- Share Repurchases:
- In Q3 2025, Robinhood repurchased 1 million shares of Class A common stock for $107 million at an average price of $104.95 per share.
- Since initiating the program in Q3 2024, total repurchases amount to $810 million, which represents 22 million shares.
Additional Insights
- Robust Trading Activity:
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October 2025 showed record trading volumes across various platforms, with significant increases in margin balances.
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International Expansion:
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The company has nearly 700 thousand Funded Customers across the UK and EU.
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Prediction Markets and New Ventures:
- Newly added business lines in Prediction Markets and Bitstamp are generating substantial revenue, contributing to Robinhood’s growth trajectory.
Conclusion
Robinhood’s Q3 2025 results reflect remarkable growth across key financial metrics and the successful expansion of its business lines. The company is not only increasing revenues but also scaling its customer base and delivering significant shareholder value through an active share repurchase program. The company’s focus on innovation and product development appears to set a solid foundation for future growth.
| Revenues: | Three Months Ended | YOY% Change | Three Months Ended | QOQ% Change |
|---|---|---|---|---|
| September 30, 2024 | June 30, 2025 | |||
| Transaction revenues | $319 | 129% | $539 | 35% |
| Net interest revenues | $274 | 66% | $357 | 28% |
| Other revenues | $44 | 100% | $93 | -5% |
| Total net revenues | $637 | 100% | $989 | 29% |
| Operating expenses(1)… | ||||
| Brokerage and transaction | $39 | 44% | $48 | 17% |
| Technology and development | $205 | 16% | $214 | 11% |
| Operations | $27 | 22% | $29 | 14% |
| Provision for credit losses | $23 | 13% | $28 | -7% |
| Marketing | $59 | 73% | $99 | 3% |
| General and administrative | $133 | 39% | $132 | 40% |
| Total operating expenses | $486 | 31% | $550 | 16% |
| Other income (loss), net | $2 | NM | $3 | NM |
| Income before income taxes | $153 | 314% | $442 | 43% |
| Provision for income taxes | $3 | NM | $56 | 39% |
| Net income | $150 | 271% | $386 | 44% |
| Net income attributable to common stockholders | ||||
| Basic | $150 | $386 | ||
| Diluted | $150 | $386 | ||
| Net income per share attributable to common stockholders | ||||
| Basic | $0.17 | $0.44 | ||
| Diluted | $0.17 | $0.42 | ||
| Weighted-average shares used to compute net income per share attributable to common stockholders | ||||
| Basic | 884,108,545 | 882,149,402 | ||
| Diluted | 905,544,750 | 909,127,658 |
| Assets | December 31, 2024 | September 30, 2025 |
|---|---|---|
| Current assets: | ||
| Cash and cash equivalents | $4,332 | $4,331 |
| Cash, cash equivalents, and securities segregated under federal and other regulations | $4,724 | $8,443 |
| Receivables from brokers, dealers, and clearing organizations | $471 | $482 |
| Receivables from users, net | $8,239 | $14,390 |
| Securities borrowed | $3,236 | $6,607 |
| Deposits with clearing organizations | $489 | $1,440 |
| User-held fractional shares | $2,530 | $3,618 |
| Held-to-maturity investments | $398 | $53 |
| Prepaid expenses | $75 | $128 |
| Deferred customer match incentives | $100 | $161 |
| Other current assets | $509 | $326 |
| Total current assets | $25,103 | $39,979 |
| Property, software, and equipment, net | $139 | $150 |
| Goodwill | $179 | $386 |
| Intangible assets, net | $38 | $172 |
| Non-current deferred customer match incentives | $195 | $360 |
| Other non-current assets | $533 | $405 |
| Total assets | $26,187 | $41,452 |
| Liabilities and stockholders’ equity | ||
| Current liabilities: | ||
| Accounts payable and accrued expenses | $397 | $399 |
| Payables to users | $7,448 | $12,317 |
| Securities loaned | $7,463 | $15,666 |
| Fractional shares repurchase obligation | $2,530 | $3,618 |
| Other current liabilities | $266 | $762 |
| Total current liabilities | $18,104 | $32,762 |
| Other non-current liabilities | $111 | $123 |
| Total liabilities | $18,215 | $32,885 |
| Commitments and contingencies | ||
| Stockholders’ equity: | ||
| Preferred stock, $0.0001 par value. | $— | $— |
| Class A common stock, $0.0001 par value. | $— | $— |
| Class B common stock, $0.0001 par value. | $— | $— |
| Class C common stock, $0.0001 par value. | $— | $— |
| Additional paid-in capital | $12,008 | $11,317 |
| Accumulated other comprehensive income (loss) | $-1 | $7 |
| Accumulated deficit | $-4,035 | $-2,757 |
| Total stockholders’ equity | $7,972 | $8,567 |
| Total liabilities and stockholders’ equity | $26,187 | $41,452 |