Robinhood (HOOD) on Wednesday reported a 339% year-over-year improve in third-quarter crypto buying and selling income, constructing on momentum from earlier this yr because the buying and selling app leans deeper into digital belongings and world markets.
The corporate processed $80 billion in crypto buying and selling quantity in the course of the quarter, with crypto-related income of $268 million, up from $61 million in the identical interval final yr. Adjusted earnings per share (EPS) was $0.61, in comparison with the consensus estimate of $0.53. Complete web income got here in at $1.27 billion, in comparison with expectations of $1.21 billion.
The inventory worth fell 2% in after-hours buying and selling, however stays up about 260% year-to-date.
“The third quarter was one other sturdy quarter of worthwhile development. We proceed to diversify our enterprise and add two extra enterprise strains, Prediction Markets and Bitstamp, producing roughly $100 million or extra in annual income,” stated CFO Jason Wernick. “And the fourth quarter in October received off to a powerful begin, with document month-to-month buying and selling volumes throughout shares, choices, prediction markets and futures, and document margin balances.”
The corporate now has a market capitalization of $126 billion, surpassing rivals resembling Coinbase (COIN), which reported sturdy outcomes final week.
This sturdy efficiency follows a sequence of strikes to deepen Robinhood's concentrate on cryptocurrencies. Earlier this yr, the corporate acquired Bitstamp, increasing its regulatory presence and person base in additional than 50 international locations.
