HOOD — Robinhood Markets, Inc.

Robinhood Q2 2026 Earnings Call Summary

1. Key Financial Results and Metrics

• Revenue: Record revenue of $1.3 billion, up 32% year-over-year.
• Net Deposits: Record net deposits of $22 billion, representing a 28% annualized growth rate.
• Adjusted EBITDA: $741 million, a 35% increase year-over-year, with a margin of 57%.
• Earnings Per Share (EPS): 62 cents, up 48% year-over-year.
• Gold Subscribers: Reached 4.8 million, with a 17% attach rate relative to net funded accounts.
• Total Platform Assets: Increased to record levels, with total assets now at approximately $400 billion.

2. Strategic Updates and Business Highlights

• Product Launches: Continued focus on three strategic initiatives:
  1. Leading in active trading.
  2. Expanding wallet offerings, including the launch of Trump accounts for children.
  3. Building a global financial ecosystem, including the acquisition of WonderFi and the launch of Robinhood Chain.
• AgenTic Trading: Launched a new feature allowing customers to create AI agents for trading equities, options, and crypto.
• International Expansion: Closed the acquisition of WonderFi in Canada and received a capital market services license in Singapore.
• Banking Growth: Over 3 billion in banking deposits and 1 million Gold Card holders, driving significant annualized purchase volume.

3. Forward Guidance and Outlook

• Expense Management: Adjusted operating expenses guidance lowered to a range of $2.675 billion to $2.775 billion for 2026, reflecting disciplined cost management while supporting growth initiatives.
• Continued Growth: July average daily volumes are tracking similarly to Q2, with net deposits expected to reach around $4 billion.
• Long-Term Vision: Focus on maximizing earnings per share and free cash flow, with a roadmap aimed at significant growth over the next decade.

4. Bad News, Challenges, or Points of Concern

• Market Volatility: Potential challenges from macroeconomic conditions affecting customer behavior and trading volumes.
• Competition: Growing competitive pressures from other platforms offering similar products, particularly in the DeFi space and multi-asset trading.
• Regulatory Risks: Ongoing monitoring of regulatory developments, including the Clarity Act, which could impact operations and product offerings.
• Customer Engagement: While engagement is strong, there are concerns about sustaining growth in net deposits and adapting to changing market conditions.

5. Notable Q&A Insights

• Customer Acquisition: The company is focusing on improving onboarding processes and leveraging new products to drive customer growth.
• PDT Rule Impact: The removal of the pattern day trading rule has positively impacted customer engagement, particularly among those with smaller balances.
• AgenTic Trading: The feature is expected to drive additional trading volumes, with plans to expand its capabilities.
• Rothera and Prediction Markets: There is a commitment to increasing the flow of prediction market trades through Rothera, while also exploring partnerships with other exchanges.
• International Expansion: Plans to launch more comprehensive offerings in Singapore and other regions, aiming to replicate the success seen in the U.S. market.

Overall, Robinhood reported strong financial performance in Q2 2026, driven by significant growth in revenue, deposits, and user engagement, while also highlighting ongoing strategic initiatives and future growth opportunities amidst competitive and regulatory challenges.