IRPresswire

NEWS PROVIDED BY

Tips for Traders

August 8, 2024

Robinhood Markets, Inc. (“Robinhood”) (NASDAQ: HOOD) today announced financial results for the second quarter of 2024, which ended June 30, 2024.

“This quarter, we kept up the pace with rapid product launches and a relentless drive to provide top value for our customers,” said Vlad Tenev, CEO and Co-Founder of Robinhood. “With Robinhood Gold reaching 2 million subscribers, we’re witnessing the flywheel accelerate.”

“I’m encouraged by the progress we’re making as a business,” said Jason Warnick, Chief Financial Officer of Robinhood. “In Q2, we set new quarterly records for revenues and earnings per share as we continue to focus on delivering another year of profitable growth.”

Second Quarter Results:

Total net revenues increased 40% year-over-year to $682 million.

Transaction-based revenues increased 69% year-over-year to $327 million, primarily driven by options revenue of $182 million, up 43%, cryptocurrencies revenue of $81 million, up 161%, and equities revenue of $40 million, up 60%.

Net interest revenues increased 22% year-over-year to $285 million, driven by growth in interest-earning assets, increased securities lending activity, and higher short-term interest rates.

Other revenues increased 19% year-over-year to $70 million, primarily due to increased Gold subscription revenues.

Net income increased year-over-year to $188 million, or diluted earnings per share (EPS) of $0.21, compared to $25 million, or diluted EPS of $0.03, in Q2 2023.

Total operating expenses increased 6% year-over-year to $493 million, primarily due to increased marketing and growth investments.

Adjusted Operating Expenses (non-GAAP) increased 14% year-over-year to $407 million.

Share-Based Compensation (SBC) decreased 21% year-over-year to $86 million.

Adjusted EBITDA (non-GAAP) increased 99% year-over-year to $301 million.

Funded Customers increased by 1.0 million year-over-year to 24.2 million.

Investment Accounts increased by 1.4 million year-over-year to 24.8 million.

Assets Under Custody (AUC) increased 57% year-over-year to $139.7 billion, driven by continued Net Deposits and higher equity and cryptocurrency valuations.

Net Deposits were $13.2 billion, an annualized growth rate of 41% relative to AUC at the end of Q1 2024. Over the past twelve months, Net Deposits were $33.0 billion, a growth rate of 37% relative to AUC at the end of Q2 2023.

Average Revenue Per User (ARPU) increased by 35% year-over-year to $113.

Gold Subscribers increased by 750 thousand, or 61%, year-over-year to 2.0 million.

Cash and cash equivalents totaled $4.5 billion compared with $5.8 billion at the end of Q2 2023.

Highlights

Robinhood accelerates product roadmap while driving strong business results and delivering increased value to customers

Robinhood Gold reaches record 2 million subscribers – More than 8 percent of Funded Customers are now Gold Subscribers.

1% bonus drives over $3 billion in asset transfers – From April 30, 2024 to June 28, 2024 customers responded to Robinhood’s 1 percent transfer bonus by bringing over $3 billion, averaging approximately $130 thousand per customer.

Strategic acquisitions advance roadmap – In June, Robinhood entered into an agreement to acquire Bitstamp, Ltd., a globally-scaled crypto exchange, with over 50 active licenses and registrations internationally and customers across the EU, UK, US and Asia. In addition, Robinhood acquired Pluto Capital Inc., an artificial intelligence (AI) powered investment research platform in July.

Delivering even more for advanced investors – In May, Robinhood launched industry leading margin rates, ranging from 5.7 to 6.75 percent. Margin balances grew by over 20 percent in Q2, reaching a two-year high of $5.0 billion.

Returning value to shareholders – In May, Robinhood’s Board of Directors authorized a $1 billion share repurchase program, which we began executing in July 2024. Management currently expects to execute this program over a two to three year period.

Bringing customers together for Hood Summit 2024 – Robinhood announced it will be hosting its first-ever customer-focused conference, happening October 16-18, 2024. Attendees will join Robinhood executives and other industry leaders to hear about the latest in trading technology, investing and finance culture.

Additional Q2 2024 Operating Data

Retirement AUC totaled $8.7 billion compared with $0.8 billion at the end of Q2 2023.

Cash Sweep increased 76% year-over-year to $20.9 billion.

Margin Book increased 52% year-over-year to $5.0 billion.

Equity Notional Trading Volumes increased 57% year-over-year to $243.6 billion.

Options Contracts Traded increased 38% year-over-year to 389.7 million.

Crypto Notional Trading Volumes increased 137% year-over-year to $21.5 billion.

Monthly Active Users (MAU) increased 9% year-over-year to 11.8 million.

Webcast and Conference Call Information

Robinhood will host a conference call to discuss its results at 2 p.m. PT / 5 p.m. ET today, August 7, 2024. The live webcast of Robinhood’s earnings conference call can be accessed at investors.robinhood.com, along with the earnings press release and accompanying slide presentation.

Following the call, a replay and transcript will also be available at the same website.

Financial Outlook

Our 2024 expense plan includes growth investments in new products, features, and international expansion while also getting more efficient in our existing businesses. Our outlook for both GAAP total operating expenses and Non-GAAP combined Adjusted Operating Expenses and SBC for full-year 2024 is unchanged at $1.85 billion to $1.95 billion.

Actual results might differ materially from our outlook due to several factors, including the rate of growth in Funded Customers and our effectiveness to cross-sell products which affects variable marketing costs, the degree to which we are successful in managing credit losses and preventing fraud, and our ability to manage web-hosting expenses efficiently, among other factors. The above expense outlook does not include potential significant regulatory matters or other significant expenses (such as impairments, restructuring charges, and business acquisition- or disposition-related expenses) that may arise or accruals we may determine in the future are required, as we are unable to accurately predict the size or timing of such matters, expenses or accruals at this time. See “Non-GAAP Financial Measures” for more information on Adjusted Operating Expenses and SBC, including significant items that we believe are not indicative of our ongoing expenses that would be adjusted out of total operating expenses (GAAP) to get to Adjusted Operating Expenses and SBC (non-GAAP) should they occur.

Tips for Traders

Tips for Traders

email us here

Disclaimer

DISCLAIMERS – THIS IS A PAID ADVERTISEMENT.
This is a brand owned and operated by IRP Holdings Corporation dba IRPub.com. For the purposes of this campaign it has been licensed for use by a Third Party, CALIBRE MINING CORP, for the sole purpose of hosting the prior- approved content contained herein by which we have been paid to feature. Any wording found on this website / media webpage or disclaimer referencing to “I” or “we” or “our” or “IRPub” refers to IRP Holdings Corporation. This website/media webpage is a paid advertisement, not a recommendation nor an offer to buy or sell securities. Our business model is to be financially compensated to market and promote public companies. By reading our website / media webpage you agree to the terms of our disclaimer, which are subject to change at any time. We are not registered or licensed in any jurisdiction whatsoever to provide investing advice or anything of an advisory or consultancy nature and are therefore are unqualified to give investment recommendations. Always do your own research and consult with a licensed investment professional before investing. This communication is never to be used as the basis for making investment decisions and is for entertainment purposes only. At most, this communication should serve only as a starting point to do your own research and consult with a licensed professional regarding the companies profiled and discussed. Conduct your own research. Companies with low price per share are speculative and carry a high degree of risk, so only invest what you can afford to lose. By using our service you agree not to hold our site, its editor’s, owners, or staff liable for any damages, financial or otherwise, that may occur due to any action you may take based on the information contained within our website / media webpage.

IRP Holdings Corporation dba IRPub has received One Hundred Thousand Dollars paid by CALIBRE MINING CORP for brand awareness, marketing distribution and investor education marketing for a period of 90 Days. IR Pub has not received any shares nor owns any shares of CALIBRE MINING CORP For a full disclaimer | disclosure please click here: http://irpub.com/Disclaimers _Disclosures.php This communication is a paid advertisement and is not a recommendation to buy or sell securities. IRP Holdings Corporation dba IRPub, and its owners, managers, employees, and assigns (collectively “the Company”) has been paid by the profiled company or a third party to disseminate this communication. In this case the Company has been paid by CALIBRE MINING CORP, One Hundred Thousand US dollars for marketing services for a period of 90 days. To conduct investor relations advertising, marketing and publicly disseminate information not limited to our Websites, Email, SMS, Push Notifications, Influencers, Social Media Postings, Ticker Tags, Press Releases, Online Interviews, Podcasts, Videos, Audio Ads, Banner Ads, Native Ads, Responsive Ads. This compensation is a major conflict with our ability to be unbiased, more specifically: This communication is for entertainment purposes only. Never invest purely based on our communication. Gains mentioned in this article, in our newsletter and on our website may be based on end-of-day or intraday data. We have been compensated by CALIBRE MINING CORP to conduct investor awareness advertising and marketing. Therefore, this communication should be viewed as a commercial advertisement only. The information is collected from public sources, such as the profiled company’s website and press releases, but is not researched or verified in any way whatsoever to ensure the publicly available information is correct. Furthermore, IRPub often employs independent contractor writers who may make errors when researching information and preparing these communications regarding profiled companies. Independent writers’ works are double-checked and verified before publication, and approved by the company that is featured herein, but it is certainly possible for errors or omissions to take place during editing of independent contractor writer’s communications regarding the profiled company(s). You should assume all information in all of our communications is incorrect until you personally verify the information, and again are encouraged to never invest based on the information contained in our written communications. The information in our disclaimers is subject to change at any time without notice. We have not thoroughly investigated the background of CALIBRE MINING CORP. The third party, profiled company, or their affiliates may liquidate shares of the profiled company at or near the time you receive this communication, which has the potential to hurt share prices. Frequently companies profiled in our alerts experience a large increase in volume and share price during the course of investor awareness marketing, which often end as soon as the investor awareness marketing ceases. We do not guarantee the timeliness, accuracy, or completeness of the information on our site or in our newsletters. The information in our communications and on our website is believed to be accurate and correct, but has not been independently verified and is not guaranteed to be correct. The information is collected from public sources, such as the profiled company’s website and press releases, but is not researched or verified in any way whatsoever to ensure the publicly available information is correct. NOT AN INVESTMENT ADVISOR. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. ALWAYS DO YOUR OWN RESEARCH and consult with a licensed investment professional before making an investment. This communication should not be used as a basis for making any investment. INDEMNIFICATION/RELEASE OF LIABILITY. By reading this communication, you agree to the terms of this disclaimer, including, but not limited to: releasing the Company, its affiliates, assigns and successors from any and all liability, damages, and injury from the information contained in this communication. You further warrant that you are solely responsible for any financial outcome that may come from your investment decisions. RISK OF INVESTING. Investing is inherently risky. While a potential for rewards exists, by investing, you are putting yourself at risk. You must be aware of the risks and be willing to accept them in order to invest in any type of security. Don’t trade with money you can’t afford to lose. This is neither a solicitation nor an offer to Buy/Sell securities. No representation is being made that any account will or is likely to achieve profits or losses similar to those discussed on this web site.We do not advise any reader to take any specific action. Losses can be larger than expected if the company experiences any problems with liquidity or wide spreads. Our website / media webpage are for entertainment purposes only. Never invest purely based on our featured profiles on Companies. Gains mentioned in our website / media webpage may be based on end-of-day or intraday data. This publication and their owners and affiliates may hold positions in the securities mentioned in our alerts, which we may sell at any time without notice to our subscribers, which may have a negative impact on share prices. The past performance of any trading system or methodology is not necessarily indicative of future results. All trades, patterns, charts, systems, etc., discussed in this message and the product materials are for illustrative purposes only and not to be construed as specific advisory recommendations. All ideas and material presented are entirely those of the author and do not necessarily reflect those of the publisher.

PAID ADVERTISEMENT
This communication is an advertisement. The Publisher is a brand name of IRP Holdings Corporation dba IRPub and MediaPub Holdings, its owners, directors, officers, employees, affiliates, agents and assigns (collectively the “Publisher”) is often paid by one or more of the profiled companies or a third party to disseminate these types of communications. In this case, the Publisher has been compensated by CALIBRE MINING CORP. to conduct public investor awareness, distribution and investor education marketing for a period of 90 days. CALIBRE MINING CORP. has paid the Publisher the equivalent of One Hundred Thousand USD to produce and disseminate this and other similar articles and certain related banner advertisements. This compensation should be viewed as a major conflict with the Publisher’s ability to provide unbiased information or opinion.

CHANGES IN SHARE TRADING AND PRICE
Readers should beware that third parties, profiled companies, and/or their affiliates may liquidate shares of the profiled companies at any time, including at or near the time you receive this communication, which has the potential to adversely affect share prices. Frequently companies profiled in our articles experience a large increase in share trading volume and share price during the course of investor awareness marketing, which often ends as soon as the investor awareness marketing ceases. The investor awareness marketing may be as brief as one day, after which a large decrease in share trading volume and share price may likely occur.

NO OFFER TO SELL OR BUY SECURITIES
This communication is not, and should not be construed to be, an offer to sell or a solicitation of an offer to buy any security.

INFORMATION
Neither this communication nor the Publisher purport to provide a complete analysis of any company or its financial position. This communication is based on information generally available to the public and on an interview conducted with the company’s CEO, and does not contain any material, non public information. The information on which it is based is believed to be reliable. Nevertheless, the Publisher does not guarantee the accuracy or completeness of the information. Further, the information in this communication is not updated after publication and may become inaccurate or outdated. No reliance should be placed on the price or statistics information and no responsibility or liability is accepted for any error or inaccuracy. Any statements made should not be taken as an endorsement of analyst views. You can email contact to [email protected] and phone inquiries to 386.868.0444.

NO FINANCIAL ADVICE
The Publisher is not, and does not purport to be, a broker-dealer or registered investment adviser or a financial adviser. The Publisher has no access to non-public information about publicly traded companies. The information provided is general and impersonal, and is not tailored to any particular individual’s financial situation or investment objective(s) and this communication is not, and should not be construed to be, personalized investment advice directed to or appropriate for any particular investor or a personal recommendation to deal or invest in any particular company or product. Any investment should be made only after consulting a professional investment advisor and only after reviewing the financial statements and other pertinent corporate information about the company. Further, readers are advised to read and carefully consider the Risk Factors identified and discussed in the advertised company’s SEC, SEDAR and/or other government filings. Investing in securities, particularly microcap securities, is speculative and carries a high degree of risk. Past performance does not guarantee future results.

FORWARD LOOKING STATEMENTS
This communication contains forward-looking statements, including statements regarding expected continual growth of the featured companies and/or industry. Statements in this communication that look forward in time, which include everything other than historical information, are based on assumptions and estimates by our content providers and involve risks and uncertainties that may affect the profiled company’s actual results of operations. These statements involve known and unknown risks, uncertainties and other important factors that could cause the actual results and performance to differ materially from any future results or performance expressed or implied in the forward-looking statements. These risks, uncertainties and other factors include, among others: the success of the profiled company’s operations; the size and growth of the market for the company’s products and services; the company’s ability to fund its capital requirements in the near term and long term; pricing pressures; changes in business strategy, practices or customer relationships; general worldwide economic and business conditions; currency exchange and interest rate fluctuations; government, statutory, regulatory or administrative initiatives affecting the company’s business.

INDEMNIFICATION/RELEASE OF LIABILITY
By reading this communication, you acknowledge that you have read and understand this disclaimer in full, and agree and accept that the Publisher provides no warranty in respect of the communication or the profiled company and accepts no liability whatsoever. You acknowledge and accept this disclaimer and that, to the greatest extent permitted under applicable law, you release and hold harmless the Publisher from any and all liability, damages, injury and adverse consequences arising from your use of this communication. You further agree that you are solely responsible for any financial outcome related to or arising from your investment decisions.

TERMS OF USE AND DISCLAIMER
By reading this communication, you acknowledge that you have read and understand this disclaimer in full, and agree and accept that the Publisher provides no warranty in respect of the communication or the profiled company and accepts no liability whatsoever. You acknowledge and accept this disclaimer and that, to the greatest extent permitted under applicable law, you release and hold harmless the Publisher from any and all liability, damages, injury and adverse consequences arising from your use of this communication. You further agree that you are solely responsible for any financial outcome related to or arising from your investment decisions.

INTELLECTUAL PROPERTY
All trademarks used in this communication are the property of their respective trademark holders. Other than this brand, the Publisher is not affiliated, connected, or associated with, and the communication is not sponsored, approved, or originated by, the trademark holders unless otherwise stated. No claim is made by the Publisher to any rights in any third-party trademarks other than this brand.

AUTHORS PARTNER CONTENT
All of the content found on this page was authored by our 3rd party affiliate partner. This brand, IRP Holdings Corporation dba IRPub, and our affiliates are not responsible for the content or accuracy of this article.

DISCLOSURE OF HOLDINGS
This brand, IRP Holdings Corporation dba IRPub, DO NOT hold any position in the stock(s) and/or financial instrument(s) mentioned in the above piece. We have been paid to produce this piece by the Company or companies mentioned above.​