Robinhood Reports Second Quarter Earnings
On Wednesday, U.S. brokerage Robinhood announced its second quarter financial results, revealing a 32% year-over-year increase in cryptocurrency trading volume, reaching $28 billion; related revenue from cryptocurrency trading surged by 98%, amounting to $160 million.
During this quarter, Robinhood further intensified its long-term commitment to its cryptocurrency business. Robinhood’s Chairman and CEO Vlad Tenev stated:
Robinhood’s diluted earnings per share for the second quarter were $0.42, double that of the same period last year. Quarterly revenue grew by 45%, reaching $989 million. According to MarketWatch data, both figures exceeded market expectations.
In this quarter, Robinhood acquired the Canadian cryptocurrency platform WonderFi for a cash transaction of $179 million, expanding its cryptocurrency operations in Canada. Additionally, the company completed the previously announced $200 million acquisition of the Bitstamp exchange. Robinhood noted that Bitstamp’s nominal cryptocurrency trading volume post-acquisition was $7 billion.
On June 30, this commission-free brokerage launched tokenized stock and cryptocurrency perpetual futures products in the EU market and opened staking services for Ethereum and Solana in the U.S. Robinhood also revealed that it is developing a Layer 2 blockchain based on Arbitrum. At that time, Tenev stated that the “stock tokens” introduced by OpenAI and SpaceX are actually derivatives rather than stocks, addressing external concerns.
Mizuho Securities analysts wrote in a report to clients:
At the close on Wednesday, Robinhood’s stock price (ticker symbol: HOOD) rose by 2.69%, closing at $106.1. Another notable exchange, Coinbase, will release its second quarter earnings report on Thursday during Eastern Time, with analysts estimating its revenue to be $1.59 billion and earnings per share to be $1.25.
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