Original Title: "Q2 Net Profit of $386 Million, Robinhood Makes a Killing This Time with 'Coining'"

Original Author: ChandlerZ, Foresight News

On July 30, the U.S. financial technology platform Robinhood released its 2025 second-quarter financial report, continuing its strong growth momentum across the board, especially with impressive performance in the cryptocurrency field.

The company's total net revenue reached $9.89 billion, a 45% year-over-year increase, with a net profit of $386 million, a 105% increase from the same period last year. Diluted earnings per share rose from $0.21 in the same period last year to $0.42, doubling. This quarter, Robinhood delivered a solid performance in revenue, profit, and user growth.

Strong Quarterly Financial Performance, Continued Platform Engagement

The number of active funded accounts on the platform reached 25.5 million, an increase of 2.3 million year-over-year, with a total of 27.4 million investment accounts. Accompanying the increase in user numbers is a significant expansion of platform assets. As of the end of June 2025, Robinhood's platform total assets under custody reached $279 billion, nearly doubling year-over-year. This growth is mainly driven by customers' ongoing net deposits and the overall market valuation recovery.

User engagement also showed a positive trend. Average revenue per user (ARPU) was $151, a 34% year-over-year increase. In terms of net deposits, the company recorded $13.8 billion this quarter, totaling $57.9 billion over the past twelve months, a 41% year-over-year increase. This data reflects strengthened customer stickiness and fund retention capabilities. The number of Robinhood Gold subscription service users reached 3.5 million, with a 76% year-over-year growth rate. The Gold service uses a membership-based pricing model, charging $5 per month, with annualized subscription revenue reaching $176 million, providing a stable source of cash flow.

In terms of trading activity, options contract volume reached 515 million contracts, and nominal stock trading volume was $5.17 trillion, both reaching historic highs. Robinhood continues to enhance support for active trading users, including product iterations such as charting tools, simulated profit displays, options analysis modules, to further attract a group of high-frequency trading users.

The Crypto Business is Booming, with Bitstamp Merger Contributing Increment

The most notable sector this quarter came from Robinhood's crypto asset business. The company revealed that cryptocurrency trading revenue was $160 million, a 98% increase from the same period last year. The nominal cryptocurrency trading volume within the Robinhood App was $28 billion, a 32% year-on-year increase. Furthermore, the acquisition of Bitstamp, completed in June, brought $70 billion in trading volume, first consolidated into the report. By this calculation, Robinhood's total cryptocurrency trading volume for the entire quarter reached $350 billion, making it the fastest-growing sector in the trading business.

The Bitstamp merger not only expanded the trading volume but, more importantly, it brought institutional trading channels and global regulatory qualifications to Robinhood. Bitstamp holds over 50 global crypto licenses, with 90% of its trading volume coming from institutional users, charging an average of 5 basis points per transaction, becoming a key part of Robinhood's emerging revenue.

In addition to Bitstamp, Robinhood also plans to complete the acquisition of the Canadian platform WonderFi, with the transaction expected to close in the second half of 2025. Through this acquisition, the company will expand its digital asset service capabilities in Canada and further enter markets outside North America.

On the product front, Robinhood continues to iterate in the crypto sector. In the second quarter of 2025, the company expanded its service coverage to 30 European countries, far exceeding the four countries in the same period last year. Robinhood also launched "Stock Tokens," allowing users to trade tokenized versions of over 200 U.S. stocks and ETFs in Europe. In the U.S. market, the company has launched staking services for ETH and SOL and plans to introduce crypto perpetual contracts.

The company is also developing Robinhood Chain, a foundational technology platform that will support future on-chain transactions and asset management. These initiatives not only expand Robinhood's technological capabilities in the digital asset field but also strengthen its compliance coverage and product diversity in multiple jurisdictions.

Business Boundaries Expansion, Financial Service Forms Increasingly Diversified

In addition to the trading and crypto businesses, Robinhood is gradually laying out a product system with account management and wealth tools at its core. In the second quarter of 2025, Robinhood Retirement account assets reached $19 billion, a 118% year-on-year increase. The growth of these long-term funds enhances platform asset stability and user lifetime value.

The Robinhood Strategies launched earlier this year are also starting to scale. This digital asset allocation service currently manages assets exceeding $500 million, serving over 100,000 users, and has initially established a passive-managed user asset pool. The company is also gradually rolling out the Robinhood Gold Card credit card, with 300,000 customers having activated the card by the end of this quarter, linking their trading accounts to spending scenarios to increase user funds on the platform.

In terms of revenue structure, the company's second-quarter total operating expenses were $550 million, a 12% year-over-year increase. Adjusted operating expenses were $444 million, with growth controlled within 9%. The company updated its full-year operating expense expectation in the financial report, taking into account the Bitstamp acquisition, and now expects full-year adjusted operating expenses and stock-based compensation costs to be between $21.5 billion and $22.5 billion, slightly higher than the initial target set at the beginning of the year.

As of the end of the quarter, Robinhood holds $4.2 billion in cash and cash equivalents, providing a solid financial foundation for future business expansion and buyback plans. In terms of shareholder returns, the company has repurchased $703 million of common stock in the past 12 months and has stated it will continue to execute the remaining authorization, with the buyback pace being flexibly adjusted based on market conditions.

Future Roadmap

Robinhood outlined its future development direction in the financial report, divided into three core areas: deepening trading tools, expanding customer assets, and expanding into international markets.

On the trading tools front, Robinhood will continue to iterate features around active traders. The Robinhood Legend will introduce new features such as a prediction market module, simulated earnings tool, cross-product chart analysis, etc., to strengthen technical support for high-frequency users. The Cortex intelligent analysis system will also be launched in more scenarios to assist users in making more detailed investment decisions.

In terms of the account system and fund coverage, Robinhood plans to launch Robinhood Banking in the fall of 2025, integrating checking, savings, and wealth management to build a closed asset custody and payment platform. The company will also expand the issuance of the Robinhood Gold Card and link it to the trading reward system to enhance user stickiness.

International business is a key expansion focus for the company in 2025. Robinhood has fully entered 30 European countries and launched localized trading services in the UK. The company plans to enter the Asia-Pacific markets in the coming quarters, having already initiated financial licensing applications in multiple regions.

On the crypto front, the company will continue to expand its product boundaries, launch crypto perpetual contracts in the European market, and drive the development of the Robinhood Chain to build on-chain infrastructure tailored to its own services. Following the integration of the Bitstamp and WonderFi exchanges, the company will have both institutional and retail crypto capabilities in Europe and the US simultaneously, providing a foundation for a globalized business model.

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