Robinhood Q3 2025: Record Revenue, Crypto Surge, and Strategic Growth
Key Points
- Robinhood reported record Q3 2025 revenue of nearly $1.3 billion, doubling year-over-year and surpassing analyst expectations.
- Cryptocurrency transaction revenue surged over 300% year-over-year to $268 million, contributing significantly to overall growth.
- The company expanded its product offerings with strong growth in prediction markets, Robinhood Gold subscriptions, and international funded accounts.
- CFO Jason Warnick announced retirement, with Shiv Verma named as successor, as Robinhood continues to focus on profitable growth and product innovation.
Robust Financial Performance and Revenue Growth
In the third quarter of 2025, Robinhood Markets Inc. delivered exceptional financial results, reporting revenue of approximately $1.27 to $1.3 billion, representing a 100% increase compared to the same period in 2024. This revenue figure exceeded Wall Street expectations, with analysts forecasting around $1.2 billion. Earnings per share (EPS) reached $0.61, more than tripling from the prior year and surpassing consensus estimates of $0.53. Net income for the quarter rose 271% year-over-year to $556 million. The company’s operating margin improved significantly to nearly 50%, up from 23.7% a year earlier, reflecting strong operating leverage. Year-to-date through Q3, Robinhood’s revenue increased 65%, and EPS grew 150%, underscoring sustained momentum. The company also reported record net deposits exceeding $20 billion in Q3 alone, surpassing the full-year 2024 record of $50 billion with one quarter remaining. Funded customers grew by 2.5 million year-over-year to 26.8 million, and investment accounts rose to 27.9 million. These metrics highlight Robinhood’s expanding user base and deepening engagement across its platform.
Cryptocurrency Revenue Surge and Product Diversification
A key driver of Robinhood’s Q3 growth was a remarkable rebound in cryptocurrency trading, with crypto-related revenue soaring over 300% year-over-year to $268 million. This marked a significant recovery from prior quarters, with crypto revenue reported at $160 million in Q2 and $252 million in Q1 2025. Transaction-based revenues overall increased 129% to $730 million, supported by gains in crypto, options ($304 million), and equities ($86 million). The company’s crypto operations remain registered with the U.S. Securities and Exchange Commission (SEC) and comply with custody and anti-money laundering regulations. Robinhood also reported approximately $1 billion in crypto assets staked by customers at the end of Q3, reflecting growing adoption of staking services that allow users to earn rewards on locked digital assets. Additionally, Robinhood’s smart exchange routing feature has attracted higher trading volumes from active users, particularly prosumer traders, by offering more personalized pricing and improved execution. This innovation is helping Robinhood capture a larger share of sophisticated traders who demand advanced trading capabilities.
Expansion of Prediction Markets and International Growth
Robinhood’s prediction markets, launched about a year ago, have experienced explosive growth, doubling volume every quarter to reach 2.3 billion contracts in Q3 2025. October alone saw 2.5 billion contracts traded, exceeding the entire Q3 volume. The platform now offers over 1,000 live contracts across diverse categories including sports, economics, politics, culture, and technology. Prediction markets surpassed $100 million in annualized revenue within a year of launch and are tracking toward a $300 million run rate based on October volumes. This product is viewed as a new asset class with significant potential, enabling customers to price risk on a wide range of events. Internationally, Robinhood reported nearly 700,000 funded accounts, including those from its Bitstamp acquisition, which saw volumes grow over 60% sequentially in Q3 and now generates over $100 million in annualized revenue. The company is actively expanding in the UK, EU, and other markets, with tokenized stock offerings available in 30 countries in Europe. Robinhood aims for over half of its revenue to come from international and institutional sources within ten years, reflecting a long-term global growth strategy.
Product Innovation, Banking Rollout, and Leadership Transition
Robinhood continues to innovate and diversify its product suite to enhance customer engagement and wallet share. The Robinhood Gold subscription service reached a record 3.9 million subscribers, up more than 75% year-over-year, accounting for over 14% of total accounts and nearly 40% of new customers in Q3. The Robinhood Gold Card has over 500,000 cardholders with $8 billion in annual spend, a fivefold increase since the start of 2025. Robinhood Banking has begun an early customer rollout, with positive initial feedback on features such as direct deposit and interest-earning checking accounts. The company plans to accelerate the banking rollout, governed by customer feedback. Additionally, Robinhood Ventures is preparing to launch a fund aimed at providing retail investors access to private companies, including non-accredited investors, addressing a significant market gap. Tokenization efforts continue to expand, with over 400 public company stock tokens available in the EU and plans for secondary trading and DeFi integration. On the leadership front, CFO Jason Warnick announced his retirement effective in Q1 2026, transitioning to an advisory role through September 2026. Shiv Verma, a seven-year Robinhood veteran currently serving as SVP of Finance and Strategy, will succeed Warnick as CFO. Management emphasized a continued focus on profitable growth, capital discipline, and delivering high-velocity product innovation.
Strategic Outlook and Market Position
CEO Vlad Tenev outlined a vision for Robinhood to become the number one global financial ecosystem, targeting a balanced revenue mix with over half derived from international and institutional customers within a decade. The company aims to deepen wallet share by offering a comprehensive financial super app that integrates trading, banking, prediction markets, tokenization, and private market access. Robinhood is leveraging its scale and multi-asset platform to attract active traders and new customers alike, emphasizing a family-oriented product experience that supports multiple account types and financial needs. The firm is also investing in platform resiliency, learning from recent third-party outages to enhance system robustness. Despite strong growth, Robinhood remains cautious about capital allocation decisions, such as whether to hold Bitcoin on its corporate treasury, weighing alignment with the crypto community against capital use efficiency. The company’s diversified revenue streams now include eleven distinct business lines generating over $100 million in annualized revenue, underscoring its broadening market footprint and resilience amid evolving market conditions.
Key Takeaways
- Robinhood’s Q3 2025 results demonstrate strong revenue growth driven by crypto trading, prediction markets, and expanding product adoption.
- The company is advancing its global expansion and product innovation, including banking services, tokenization, and private market access.
- Leadership transition is underway with Shiv Verma set to become CFO, supporting continued focus on profitable growth and capital discipline.
References
- 1. https://finance.yahoo.com/news/robinhood-markets-inc-hood-q3-051209320.html
- 2. https://finance.yahoo.com/news/robinhood-markets-inc-hood-q3-051209320.html
- 3. https://www.benzinga.com/crypto/cryptocurrency/25/11/48677062/robinhood-ceo-vlad-tenev-on-making-a-michael-saylor-like-move-on-bitcoin-still-thinking-abo
- 4. https://tradingeconomics.com/hood:us:eps
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