Robinhood attributed part of the earnings impact to USD 67 million in unrealised losses, associated with the valuation of Robinhood Ventures Fund I
Robinhood Markets reported record quarterly revenue of USD 1.42 billion for the third quarter of 2026, as rising trading activity, stronger subscription income and expanding financial services helped the retail brokerage navigate a slowdown in cryptocurrency trading.
The company’s total net revenue increased 12% year-on-year for the three months ended September 30, while transaction-based revenue climbed 19% to USD 867 million.
Growth in options, equities, and event contracts offset a 55% decline in cryptocurrency revenue, highlighting a shift in the sources of income supporting the platform.
Net income, however, fell 14% to USD 476 million, while diluted earnings per share declined 16% to USD 0.51.
Robinhood attributed part of the earnings impact to USD 67 million in unrealised losses, primarily associated with the mark-to-market valuation of Robinhood Ventures Fund I.
Adjusted net income, a new non-GAAP measure introduced this quarter, declined 3% to USD 550 million. Adjusted earnings per share fell 3% to USD 0.60.
“Customers are trusting us with more of their assets as we deliver on our product roadmap, leading to our highest quarter ever for revenues,” said Shiv Verma, Chief Financial Officer of Robinhood.
“We also added a new business cylinder with over USD 100 million in annualized revenues this quarter as Rothera scaled rapidly. And we’re entering Q4 with strong momentum, as October net deposits have already topped USD 13 billion month-to-date, including USD 6 billion from the Dell family’s contribution to Trump Accounts,” he added further.
Robinhood’s transaction-based revenue increased to USD 867 million, supported by stronger activity across several trading categories.
Options revenue rose 31% year-on-year to USD 399 million, while equities revenue increased 41% to USD 121 million.
Revenue from event contracts reached USD 173 million, more than six times the level recorded a year earlier.
Cryptocurrency revenue moved in the opposite direction, falling 55% to USD 120 million.
The decline reflected weaker activity in a segment that has historically contributed significantly to Robinhood’s trading income.
The company’s operating data showed that equity notional trading volumes climbed 53% year-on-year to a record USD 992 billion.
Options contracts traded increased 48% to a record 905 million, while event contracts traded rose more than sevenfold to 16.4 billion.
Crypto notional trading volumes fell 38% to USD 50 billion. Trading volumes on the Robinhood app declined 48% to USD 21 billion, while those on Bitstamp dropped 28% to USD 29 billion.
The contrasting results underline Robinhood’s efforts to diversify its trading business beyond digital assets.
Stronger activity in equities, options, and prediction markets helped cushion the effect of weaker cryptocurrency trading.
Rothera, which the company highlighted as a new business line, had processed more than 6.4 billion contracts since launch.
Robinhood also said approximately 200,000 customers had opened Agentic Trading Accounts, generating more than USD 1.6 billion in notional trading volume.
Robinhood’s customer base and assets continued to expand during the quarter, providing a larger foundation for its trading, investment, and subscription businesses.
Total platform assets increased 19% year-on-year to USD 396 billion, supported by continued net deposits and higher equity valuations.
Lower cryptocurrency valuations partly offset those gains.
Net deposits reached USD 15.7 billion during the quarter, equivalent to an annualised growth rate of 17% relative to platform assets at the end of the second quarter.
Over the preceding 12 months, net deposits totalled USD 71 billion, representing a 21% growth rate relative to platform assets at the end of the third quarter of 2025.
Funded customers increased by 1.9 million, or 7%, year on year, to 28.7 million. Investment accounts rose by 2.5 million, or 9%, to 30.4 million.
Average revenue per user increased by 5% to USD 200, indicating higher revenue generation per customer despite weakness in cryptocurrency trading.
Robinhood Gold subscribers grew 34% year-on-year to a record 5.2 million.
The company said gold adoption reached 18% across its customer base and approximately 40% among new customers.
These figures point to the growing importance of subscription products as Robinhood seeks to deepen customer relationships and reduce its dependence on transaction-driven income.
Robinhood is also expanding into services that encourage customers to keep more of their financial assets on its platform.
The company’s Gold Card reached 1.3 million customers, generating more than USD 19 billion in total annualised payment volume during the third quarter.
Robinhood Banking attracted deposits of nearly USD 5 billion from more than 350,000 funded customers.
Approximately 40% of customers had signed up for direct deposit, according to the company.
Its Robinhood Strategies investment service reached 350,000 funded customers, with assets under management exceeding USD 2 billion during the quarter.
Trust Accounts held more than USD 300 million in assets, with an average account size above USD 400,000.
Retirement assets under custody increased by 51% year-on-year, reaching a record USD 36.6 billion.
The margin book rose 59% to USD 22.1 billion, while cash and deposits increased 43% to a record USD 20.4 billion.
Cash sweep balances, however, declined 9% to USD 32.3 billion.
Robinhood also reported higher operating expenses as it invested in growth. Total operating expenses increased 16% year-on-year to USD 739 million, reflecting higher provisions for credit losses as the credit card loan book expanded, costs associated with Trump Accounts and Rothera, and additional marketing expenditures.
Adjusted operating expenses and share-based compensation rose 8% to USD 664 million. Adjusted EBITDA increased 9% to USD 808 million.
Cash and cash equivalents stood at USD 5.8 billion at the end of the quarter, compared with USD 4.3 billion a year earlier.
Robinhood’s expansion also includes products aimed at younger customers and new international markets.
Trump Accounts reached another milestone after the US Treasury launched automatic enrolment, establishing accounts for nearly 70 million children nationwide, according to Robinhood.
The company said 25 million children had USD 250 invested through a USD 6.25 billion pledge from Susan and Michael Dell.
Robinhood also identified Trump Account service revenue as a key contributor to the 61% year-on-year increase in other revenue, which reached USD 142 million.
Internationally, Robinhood launched cryptocurrency trading in the United Kingdom and announced that it had received authorization from the Dubai Financial Services Authority to launch in the region.
The authorisation covers trading and custody across all 10 asset classes approved by the regulator, including equities, cryptocurrencies, exchange-traded funds, and investment tokens.
Robinhood plans to begin rolling out its product suite in the region in 2027.
Its blockchain initiative, Robinhood Chain, also recorded more than USD 80 billion in decentralised exchange volume and over USD 50 million in chain fees during its first quarter on mainnet.
The company said the network ranked among the top five chains by revenue and volume.
