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Mar 31, 2024

Robinhood Q1 2024 Earnings Report

Reported record revenues and EPS, driven by strong growth in transaction-based revenue and net interest revenue.

Key Takeaways

Robinhood reported a strong first quarter in 2024, with record revenues of $618 million, up 40% year-over-year, and a record GAAP diluted EPS of $0.18. The company saw growth in transaction-based revenues, net interest revenues, and other revenues. Net deposits reached a record $11.2 billion, and Gold subscribers hit a new high of 1.7 million.

Total net revenues increased 40% year-over-year to $618 million.

Net income increased year-over-year to $157 million, with diluted EPS of $0.18.

Net Deposits were $11.2 billion, representing an annualized growth rate of 44%.

Gold Subscribers increased by 42% year-over-year to 1.7 million.

Total Revenue
$624M
Previous year: $441M
+41.5%
EPS
$0.18
Previous year: -$0.57
-131.6%
MAU
13.7M
Previous year: 11.8M
+16.1%
ARPU
$104
Previous year: $77
+35.1%
Gross Profit
$479M
Previous year: $399M
+20.1%
Cash and Equivalents
$4.72B
Previous year: $5.46B
-13.6%
Free Cash Flow
-$809M
Total Assets
$46.1B
Previous year: $27.8B
+65.9%

Robinhood

Robinhood

Robinhood Revenue by Segment

Forward Guidance

Robinhood expects GAAP total operating expenses and Non-GAAP combined Adjusted Operating Expenses and SBC for full-year 2024 to be in the range of $1.85 billion to $1.95 billion.

Positive Outlook

  • Growth investments in new products and features.
  • International expansion.
  • Focus on efficiency in existing businesses.
  • Driving profitable growth in 2024.
  • Strong start to Q2 with high net deposits and Gold subscriber growth in April.

Challenges Ahead

  • Actual results might differ materially from outlook.
  • Rate of growth in Funded Customers affects variable marketing costs.
  • Effectiveness in managing credit losses and preventing fraud.
  • Ability to manage web-hosting expenses efficiently.
  • Potential significant regulatory matters or other significant expenses.

Revenue & Expenses

Visualization of income flow from segment revenue to net income