Robinhood Markets, Inc. · NASDAQ:HOOD
Robinhood Markets — Q1 2025 Earnings Presentation
47 slides from Robinhood Markets's earnings presentation, Apr 30, 2025
Slide 1: Robinhood Markets, Inc. Earnings Presentation First Quarter 2025
Robinhood Markets, Inc. Earnings Presentation First Quarter 2025 April 30, 2025 ‧•‧‧••‧•••••••‧•‧••‧ investors.robinhood.com
Slide 2: Disclaimers
Robinhood Earnings Presentation Q1 2025 Disclaimers This Presentation Relates to Robinhood’s Broader Earnings Announcement Disclosures This presentation accompanies the first quarter 2025 earnings announcement webcast of Robinhood Markets, Inc. (including its consolidated subsidiaries, “we,” “Robinh
Slide 3: Q1 2025 Business Results Highlights
Robinhood Earnings Presentation Q1 2025 Q1 2025 Business Results Highlights Funded Customers +1.9M +620k Robinhood Gold Subscribers +1.5M +550k in millions year-over-year sequential in millions year-over-year sequential Robinhood Gold Subscribers Robinhood Gold Adoption Rate¹ 25.8 25.2 3.19 2.64 24.
Slide 4: Q1 2025 Financial Results Highlights
Robinhood Earnings Presentation Q1 2025 Q1 2025 Financial Results Highlights Total Net Revenues +50% (9%) Adjusted Operating Expenses +16% +7% in millions year-over-year sequential in millions year-over-year sequential $1,014 $460 $407 $431 $927 $398 $397 $682 $637 $618 $3.3B over the last twelve mo
Slide 5: Our product velocity remained robust in Q1
Robinhood Earnings Presentation Q1 2025 Our product velocity remained robust in Q1 Brokerage Crypto Money Corporate Event ‧•‧‧••‧•••••••‧•‧••‧ (1) Lowest margin rates among leading brokerages is based on published rates for Interactive Brokers, Charles Schwab, and E*Trade (Morgan Stanley) as of A
Slide 6: 2025 Roadmap
Robinhood Earnings Presentation Q1 2025 2025 Roadmap Active Traders Wallet Share for Next Generation Global Financial Ecosystem • Robinhood Legend enhancements • Robinhood Gold Card expansion • Additional Crypto selection & Products capabilities • Futures rollout • Robinhood Strategies rollout • Cry
Slide 7: Funded Customers increased by 1.9 million year-over-year to a record 25.8 million in Q1
Robinhood Earnings Presentation Q1 2025 Funded Customers increased by 1.9 million year-over-year to a record 25.8 million in Q1 In millions Year-over-year change +1.9M Sequential change +620k As of Q1 2025, we had 27.0M Investment Accounts, up 2.6M year-over-year. 27.0 26.2 Investment Accounts 24.8
Slide 8: Total Platform Assets increased 70% year-over-year to $221 billion in Q1
Robinhood Earnings Presentation Q1 2025 Total Platform Assets increased 70% year-over-year to $221 billion in Q1, primarily due to continued Net Deposits and the acquisition of TradePMR In billions Year-over- Sequential year change change $221 +70% +14% $193 $41 NA NA $25 $140 $152 $25 +22% —% $130
Slide 9: Robinhood Retirement AUC grew to more than $14 billion in Q1
Robinhood Earnings Presentation Q1 2025 Robinhood Retirement AUC1 grew to more than $14 billion in Q1 Robinhood Retirement Accounts Robinhood Retirement AUC Robinhood Retirement AUC per Account2 End of period, in thousands End of period, in billions End of period, in thousands Over 3x $14.4 Over 2x
Slide 10: We continue to add value to Robinhood Gold
Robinhood Earnings Presentation Q1 2025 We continue to add value to Robinhood Gold, and Q1 2025 Robinhood Gold Subscribers represented over 12% of Funded Customers Robinhood Gold Subscribers receive meaningful value for $5 Robinhood Gold Subscribers per month1 In millions 4% APY on uninvested cash R
Slide 11: Net Deposits were a record $18 billion in Q1
Robinhood Earnings Presentation Q1 2025 Net Deposits were a record $18 billion in Q1, translating to a 37% annualized growth rate, and were $57 billion over the last twelve months, translating to a 44% growth rate In billions Last twelve months Net Deposits $57.3 Last twelve months growth rate 44% $
Slide 12: Average cumulative Net Deposits tend to grow over time across cohorts
Robinhood Earnings Presentation Q1 2025 Average cumulative Net Deposits1 tend to grow over time across our Funded Customer Cohorts2, and recent cohorts' initial Net Deposits are larger $10,000 $8,000 $6,000 $4,000 ‧•‧‧••‧•••••••‧•‧••‧ $2,000 $— 0 4 8 12 16 Quarters Customer Cohort Key 2021 2022 2
Slide 13: Q1 trading volumes increased double digits year-over-year
Robinhood Earnings Presentation Q1 2025 Q1 trading volumes increased double digits year-over-year as we've continued to gain market share Equity Notional Volumes Options Contracts Traded Crypto Notional Volumes In $ billions In millions of contracts In $ billions Up 84% Y/Y and down 2% Q/Q Up 46% Y/
Slide 14: Total net revenues up 50% year-over-year to $927 million, ARPU $145
Robinhood Earnings Presentation Q1 2025 Total net revenues in Q1 were up 50% year-over-year to $927 million, and ARPU was $145 In millions, except for ARPU $164 $145 Year-over- Sequential $1,014 year change change $113 Average Revenue per User (ARPU) $104 $105 $46 $927 +50% (9%) $54 +54% +17% $84 $8
Slide 15: Transaction-based revenues were up 77% year-over-year to $583 million
Robinhood Earnings Presentation Q1 2025 Transaction-based revenues were up 77% year-over-year to $583 million in Q1 In millions $672 Year-over- year change Sequential change $31 $583 +77% (13%) $35 +250% +13% $10 $358 $252 +100% (30%) $9 $329 $327 $319 $10 $11 $11 ‧•‧‧••‧•••••••‧•‧••‧ $24 $19 $81
Slide 16: Net interest revenues were up 14% year-over-year to $290 million
Robinhood Earnings Presentation Q1 2025 Net interest revenues were up 14% year-over-year to $290 million in Q1 In millions Year-over-year change +14% Sequential change (2%) $8 $10 $6 $4 $4 $6 $285 $296 $290 $5 $274 Credit card, net $251 $254 $34 $19 $26 $23 Securities lending, net $234 $17 $236 $15
Slide 17: Adjusted Operating Expenses increased 16% year-over-year to $460 million
Robinhood Earnings Presentation Q1 2025 Adjusted Operating Expenses increased 16% year-over-year to $460 million in Q1 In millions Year-over-year change +16% Sequential change +7% $460 $407 $431 $398 $397 $19 $352 $357 $353 $364 $16 $18 $23 $109 $6 $14 $97 $9 $14 $106 $106 $98 $108 $110 $100 $107 $1
Slide 18: Diluted share count down 0.5% year-over-year; expected to decrease ~1% in 2025
Robinhood Earnings Presentation Q1 2025 Diluted share count was down 0.5% year-over-year in Q1, and we now anticipate diluted share count will decrease by around 1% in 2025 Basic and Diluted Share Count Share-Based Compensation Expense in millions in millions Year-over- $86 year change $79 $77 924 9
Slide 19: Updating 2025 outlook for Adjusted Operating Expenses and SBC
Robinhood Earnings Presentation Q1 2025 We are updating our 2025 outlook for Adjusted Operating Expenses and SBC to include the acquisition of TradePMR in Q1 2025 In billions • We built a 2025 expense plan to drive another year of profitable growth, including: +$85M for ◦ Investing for growth across
Slide 20: GAAP net income increased 114% year-over-year to $336 million
Robinhood Earnings Presentation Q1 2025 GAAP net income increased 114% year-over-year to $336 million in Q1, and diluted EPS increased 106% to $0.37 In millions, except for EPS Year-over-year change +$179 Sequential change ($580) Q4 2024 Tax Benefit and Regulatory Accrual Reversal $916 Q4 2024 Net I
Slide 21: Adjusted EBITDA increased 90% year-over-year to $470 million
Robinhood Earnings Presentation Q1 2025 Adjusted EBITDA increased 90% year-over-year to $470 million in Q1, and has grown to $1.7 billion over the last twelve months In millions Year-over-year change +$223 Sequential change ($143) $613 $470 $301 $268 ‧•‧‧••‧•••••••‧•‧••‧ $247 $115 $151 $137 $133
Slide 22: Rule of 40 results demonstrate the power of our business model
Robinhood Earnings Presentation Q1 2025 Rule of 401 results demonstrate the power of our business model 111% 106% 75% 69% 71% 48% 51% 33% 37% ‧•‧‧••‧•••••••‧•‧••‧ 39% 40% 58% 60% 36% 34% 36% Q1'24 LTM Q2'24 LTM Q3'24 LTM Q4'24 LTM Q1'25 LTM Y/Y Change in Total Net Revenues Adjusted EBITDA Margin
Slide 23: Over $4.5B in corporate cash, investments, and stablecoin
Robinhood Earnings Presentation Q1 2025 With over $4.5B in corporate cash, investments, and stablecoin1, we are well positioned to continue deploying capital In billions Year-over-year change ($0.7) Sequential change ($0.5) • Our balance sheet remains strong with over $4.5 billion of corporate cash,
Slide 24: We returned $322 million to shareholders through repurchases
Robinhood Earnings Presentation Q1 2025 We returned $322 million to shareholders by repurchasing ~7 million of our shares1 in Q1, and we increased our share repurchase program from $1 billion to $1.5 billion Share Repurchases In millions As of 4/25/2025 $322 • In Q3 2024, we began returning capital
Slide 25: Appendix
Appendix ‧•‧‧••‧•••••••‧•‧••‧ 25
Slide 26: March 2025 Monthly Metrics
Robinhood Earnings Presentation Q1 2025 March 2025 Monthly Metrics1 2024 2025 Change Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar M/M Y/Y Funded Customer Growth (M) Funded Customers 23.6 23.9 24.0 24.1 24.2 24.2 24.3 24.3 24.4 24.8 25.2 25.5 25.6 25.8 1% 8% Asset Growth ($B) Total Platfor
Slide 27: March 2025 Monthly Metrics Dashboard
Robinhood Earnings Presentation Q1 2025 March 2025 Monthly Metrics1 Dashboard ‧•‧‧••‧•••••••‧•‧••‧ (1) March 2025 Monthly Metrics include TradePMR Funded Customers of ~50K, Total Platform Assets of ~$41B, and Non-Gold Cash Sweep of ~$1.2B. investors.robinhood.com 27
Slide 28: March 2025 Monthly Metrics Dashboard (Continued)
Robinhood Earnings Presentation Q1 2025 March 2025 Monthly Metrics1 Dashboard (Continued) ‧•‧‧••‧•••••••‧•‧••‧ (1) March 2025 Monthly Metrics include TradePMR Margin Book of ~$70M. investors.robinhood.com 28
Slide 29: Changes in Funded Customers and Total Platform Assets
Robinhood Earnings Presentation Q1 2025 Changes in Funded Customers and Total Platform Assets Funded Customers In millions Q1'23 Q2'23 Q3'23 Q4'23 Q1'24 Q2'24 Q3'24 Q4'24 Q1'25 Beginning Funded Customers 23.0 23.1 23.2 23.3 23.4 23.9 24.2 24.3 25.2 New Customers 0.3 0.2 0.3 0.3 0.5 0.5 0.4 0.8 0.7 R
Slide 30: Net Cash Held by Users Reconciliation
Robinhood Earnings Presentation Q1 2025 Net Cash Held by Users Reconciliation In billions Q1'23 Q2'23 Q3'23 Q4'23 Q1'24 Q2'24 Q3'24 Q4'24 Q1'25 Gold Cash Sweep $8.0 $11.1 $12.9 $15.7 $18.2 $20.3 $23.9 $25.4 $26.4 Non-Gold Cash Sweep (excluding TradePMR)1 0.9 0.8 0.7 0.7 0.8 0.6 0.6 0.7 0.6 Total Cas
Slide 31: Trading Volumes for Q1 2025
Robinhood Earnings Presentation Q1 2025 Trading Volumes for Q1 2025 Equity Notional Volumes Options Contracts Traded Crypto Notional Volumes Up 84% Y/Y and down 2% Q/Q, driven by: Up 46% Y/Y and up 5% Q/Q, driven by: Up 28% Y/Y and down 35% Q/Q, driven by: Customers placing trades Customers placing
Slide 32: Monthly Active Users increased by 0.7 million year-over-year to 14.4 million
Robinhood Earnings Presentation Q1 2025 Monthly Active Users (MAU) increased by 0.7 million year-over-year to 14.4 million in Q1 In millions Year-over-year change +0.7 Sequential change (0.5) 14.9 14.4 13.7 11.8 11.0 ‧•‧‧••‧•••••••‧•‧••‧ Q1'24 Q2'24 Q3'24 Q4'24 Q1'25 investors.robinhood.com 32
Slide 33: Annualized revenue per employee was $1.5 million in Q1
Robinhood Earnings Presentation Q1 2025 Annualized revenue per employee was $1.5 million in Q1, up 38% year-over-year Year-over-year Sequential Q1'24 Q2'24 Q3'24 Q4'24 Q1'25 change change End of period Employee Count1 2,228 2,277 2,287 2,298 2,492 +12% +8% Total Net Revenues (in millions) $618 $6
Slide 34: Contra revenues associated with customer matches
Robinhood Earnings Presentation Q1 2025 In Q1 2025, we recorded $46 million of contra revenues associated with matches on customer transfers and deposits and allocated them on a proportional basis Customer Match Contra Revenue Allocation in millions Customer Match Amortization Detail Q2'24 Q3'24 Q4'
Slide 35: Net interest revenues were $290 million in Q1
Robinhood Earnings Presentation Q1 2025 Net interest revenues were $290 million in Q1, up 14% year-over-year In millions Year-over- Sequential Q1'23 Q2'23 Q3'23 Q4'23 Q1'24 Q2'24 Q3'24 Q4'24 Q1'25 year change change Interest on corporate cash and investments1 $68 $74 $75 $71 $70 $66 $67 $53 $49 (30%
Slide 36: Total interest earning assets grew to ~$47B in Q1
Robinhood Earnings Presentation Q1 2025 Total interest earning assets grew to ~$47B in Q1, and average yield decreased by 15 bps sequentially In millions, except for annualized yields Interest expenses (1) Cash Sweep (2) Total interest- Securities lending, Total net interest Margin Book Cash and dep
Slide 37: Interest Earning Assets grew 40% year-over-year to $47 billion
Robinhood Earnings Presentation Q1 2025 In Q1, Interest Earning Assets grew 40% year-over-year to $47 billion $0.4 Year-over- Sequential In billions $0.4 year change change $0.3 $47 +40% +6% $0.2 $44 $0.2 $41 $8.8 +100% —% $0.2 $36 $5.5 $7.9 +115% +11% $0.2 $0.2 $34 $30 $4.1 $5.0 $9.9 $9.7 (6%) (2%)
Slide 38: Total securities lending revenue increased 69% year-over-year
Robinhood Earnings Presentation Q1 2025 Total securities lending revenue increased by 69% year-over-year to a record $71 million in Q1, and fully paid securities lending was 39% of total securities lending In millions, unless specified Year-over- Sequential Q1'24 Q2'24 Q3'24 Q4'24 Q1'25 Total securi
Slide 39: Fully diluted shares decreased by 3% year-over-year
Robinhood Earnings Presentation Q1 2025 Fully diluted shares decreased by 3% year-over-year as we continue to closely manage share-based compensation Price per Class A Share (End of period) $20.13 $22.71 $23.42 $37.26 $41.62 March 31, 2025 In millions, except prices and percentages March 31, 2024 Ju
Slide 40: Adjusted Operating Expenses and SBC Reconciliation
Robinhood Earnings Presentation Q1 2025 Adjusted Operating Expenses and SBC Reconciliation In millions Q1'23 Q2'23 Q3'23 Q4'23 Q1'24 Q2'24 Q3'24 Q4'24 Q1'25 Total operating expenses (GAAP) $950 $466 $540 $445 $460 $493 $486 $458 $557 Less: SBC SBC Excluding 2021 Founders Award Cancellation 113 109 8
Slide 41: Adjusted Operating Expenses Reconciliation
Robinhood Earnings Presentation Q1 2025 Adjusted Operating Expenses Reconciliation In millions Operating expenses (GAAP) Q1'23 Q2'23 Q3'23 Q4'23 Q1'24 Q2'24 Q3'24 Q4'24 Q1'25 Brokerage and transaction $36 $39 $39 $32 $35 $40 $39 $50 $50 Technology and development 199 207 202 197 196 209 205 208 214
Slide 42: Adjusted Operating Expenses and SBC Reconciliation
Robinhood Earnings Presentation Q1 2025 Adjusted Operating Expenses and SBC Reconciliation In millions 2023 2024 Total operating expenses (GAAP) $2,401 $1,897 Less: SBC SBC Excluding 2021 Founders Award Cancellation 386 304 2021 Founders Award Cancellation 485 — Less: Significant legal and tax settl
Slide 43: Adjusted EBITDA and Adjusted EBITDA Margin Reconciliations
Robinhood Earnings Presentation Q1 2025 Adjusted EBITDA and Adjusted EBITDA Margin Reconciliations In millions Q1'23 Q2'23 Q3'23 Q4'23 Q1'24 Q2'24 Q3'24 Q4'24 Q1'25 Net income (loss) ($511) $25 ($85) $30 $157 $188 $150 $916 $336 Net margin1 (116%) 5% (18%) 6% 25% 28% 24% 90% 36% Add: Interest expens
Slide 44: Q4 2024 Net Income and EPS Prior to Tax Benefit Reconciliations
Robinhood Earnings Presentation Q1 2025 Q4 2024 Net Income Prior to Tax Benefit and Regulatory Accrual Reversal and Q4 2024 EPS Prior to Tax Benefit and Regulatory Accrual Reversal Reconciliations Q4 2024 Net Income Prior to Tax Benefit and Regulatory Accrual Reversal In millions Q3'24 Q4'24 Q1'25 N
Slide 45: Incremental Net Income and Incremental Adjusted EBITDA Margins
Robinhood Earnings Presentation Q1 2025 Incremental Net Income and Incremental Adjusted EBITDA Margins In millions Q1'24 Q2'24 Q3'24 Q4'24 Q1'25 Year-over-year change in total net revenues +$177 +$196 +$170 +$543 +$309 Year-over-year change in net income +$668 +$163 +$235 +$886 +$179 Incremental
Slide 46: Definitions
Robinhood Earnings Presentation Q1 2025 Definitions Key Performance Metrics Options Contracts Traded Our acquisition of TradePMR closed in February 2025. As a result, we are now reporting Total Platform Assets which includes our previously reported Assets Under Custody key performance We define Opti
Slide 47: Definitions (Continued)
Robinhood Earnings Presentation Q1 2025 Definitions (Continued) Non-GAAP Financial Measures SBC excluding the 2021 Founders Award Cancellation We collect and analyze operating and financial data to evaluate the health of our business, allocate our resources and assess our performance. In addition to