Robinhood Markets (NASDAQ:HOOD) reported fourth-quarter financial results Wednesday after market close.
Here are the key highlights.
What Happened: Robinhood reported fourth-quarter revenue of $1.01 billion, up 115% year-over-year and a new company record. The revenue figure beat a Street consensus estimate of $944.62 million according to data from Benzinga Pro.
The company reported record quarterly earnings per share of $1.01, beating a Street consensus estimate of 43 cents per share.
Transaction-based revenue was $672 million in the fourth quarter, up over 200% year-over-year. This total came from the following:
Robinhood net deposits hit a record $16 billion in the fourth quarter.
Crypto notional volumes were up more than 400% year-over-year in the fourth quarter, reaching $71 billion.
The company said its Robinhood Gold subscribers were up 86% year-over-year to a record 2.6 million members in the fourth quarter.
Adjusted EBITDA was up 300% year-over-year in the fourth quarter to a record $613 million.
"We hit the gas on product development in 2024 with a new platform for active traders, Gold Card launch, an expanded UK and EU product suite, and much more," Robinhood CEO Vlad Tenev said.
Robinhood chief financial officer Jason Warnick said the fourth quarter was full of broken records with "new highs for Assets Under Custody, Net Deposits, Gold Subscribers, Revenues, Net Income, Adjusted EBITDA and EPS."
The company ended the quarter with 25.2 million funded customers, up 8% year-over-year and 26.2 million investment accounts, up 10% year-over-year.
For the full fiscal year, Robinhood had revenue of $2.95 billion, up 58% year-over-year. The company had full-year earnings per share of $1.56, up from a loss of 61 cents per share in 2023.
Read Also: Robinhood Q4 Earnings Preview: Can Company Rebound From Q3 Miss? Key Items To Watch
What's Next: The company said it is not providing guidance for 2025 total operating expenses. The company's guidance for adjusted operating expenses and SBC is $2.0 billion to $2.1 billion for fiscal 2025.
Robinhood's 2025 expense plan includes growth investments in new products, international expansion and increasing efficiency. The adjusted operating expenses does not include costs related to acquisition of TradePMR or Bitstamp. The company said it expects the acquisition of Bitstamp to close in the first half of 2025.
"We see a huge opportunity ahead of us as we work toward enabling anyone, anywhere, to buy, sell, or hold any financial asset and conduct any financial transaction through Robinhood," Tenev said.
Warnick said Robinhood is entering 2025 "with strong momentum" and is focused on another year "of profitable growth."
HOOD Price Action: Robinhood stock is up 6% to $59.49 in after-hours trading Wednesday versus a 52-week trading range of $11.43 to 57.27.
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