Robinhood completed 2024 on a excessive be aware, because of its $1 billion progress within the fourth quarter, which exceeded analysts’ estimates. The corporate’s fourth-quarter income hit $1.01 billion, beating analysts’ estimates of $940.8 million. Additionally, Robinhood’s crypto buying and selling quantity surged by 700%, banking $358 million.
As Bloomberg and different media retailers reported, the favored brokerage was buoyed by curiosity within the crypto market in the course of the US election cycle. The corporate’s fourth-quarter income was $1.01 billion, beating analysts’ estimates of $940.8 million.
Robinhood Benefitted From Surge In Crypto Buying and selling In This autumn
In keeping with a Bloomberg report, Robinhood noticed a surge in crypto buying and selling within the fourth quarter of 2024. The corporate’s crypto buying and selling quantity elevated by 700%, reflecting a complete income of $358 million.
Robinhood’s spectacular fourth-quarter efficiency compensated for its poor third-quarter efficiency with $14.4 billion in revenues, an enormous drop from the primary quarter’s $36 billion.
The corporate benefited from elevated buying and selling exercise within the final quarter of the yr, fueled by enthusiasm over the outcomes of the US elections. This was additionally the time when Bitcoin surged previous the $100k mark.
📢 Robinhood Soars 15% After Blowing Previous This autumn Revenue Estimates 🚀📊
🔹 This autumn income surpasses $1B for the primary time in firm historical past 💰
🔹 Transaction-based income up 236% YoY to $672M, fueled by buying and selling frenzy 📈
🔹 Crypto buying and selling income surges 700% as Bitcoin nears $100K… pic.twitter.com/VFhqMJTmZ7— AFV GLOBAL (@afvglobal) February 13, 2025
Robinhood Expands Cryptocurrency Choices
Robinhood expanded its cryptocurrency choices by including seven new tokens for its US clients to handle the rising market calls for. It additionally launched its ETH staking providers for patrons primarily based within the European Union.
The favored brokerage additionally expanded its providers in Spain, complying with the most recent EU’s MiCa rules. Robinhood now boasts cryptocurrency buying and selling staking and helps viral digital property just like the TRUMP coin.
In keeping with CEO Vlad Tenev, the corporate centered on its product improvement in 2024. In an announcement, Tenev shared that it discovered a possibility and now presents its clients a safe strategy to commerce or maintain digital property.
BTCUSD buying and selling at $96,811 on the day by day chart: TradingView.com
A Streak Of Worthwhile Quarters
Robinhood continues to develop its profitability, extending its streak to a fifth quarter of web constructive earnings. The corporate’s fourth-quarter outcomes beat final yr’s web earnings at $0.03 per share. Additionally, Robinhood’s diluted earnings per share elevated to $1.01, reflecting sturdy monetary efficiency.
The brokerage ends the yr with $193 billion in whole property beneath custody (AUC), an 88% enhance from final yr. Robinhood’s progress in whole property was supported by elevated valuations in digital property and equities, together with the rising web deposits from clients.
Additionally, the corporate’s fairness buying and selling worth surged to $423 billion within the quarter, a 154% enhance from final yr. The reported enhance in earnings makes Robinhood one of many best-performing retail buying and selling platforms for the quarter.
Featured picture from Gemini Imagen, chart from TradingView