Robinhood Markets smashed its previous records with $1.31 billion in revenue for the second quarter, marking a 32% jump year-over-year. The company's net income climbed 48% to $573 million, boosted by a $129 million gain from the deconsolidation of Robinhood Ventures Fund I. Diluted earnings per share reached $0.62, including a $0.14 bump from these one-off gains.
The most striking growth came from event contracts, a segment that exploded over tenfold to $156 million. These contracts surged past cryptocurrency revenues, reflecting a strategic shift as crypto transaction income tumbled 38% to $100 million despite $40 billion in quarterly trading volume. Robinhood’s crypto volume is now split between $18 billion on its primary app and $22 billion through its Bitstamp acquisition.
Transaction-based revenue overall rose 44% to $776 million, with options revenue climbing 29% to $342 million and equities nearly doubling to $129 million. Net interest revenue also grew 9% to $389 million, supported partly by increases from subscription-based services and the Trump Account. Robinhood’s joint venture Rothera, a CFTC-licensed exchange launched with Susquehanna in June, processed over 3.5 billion contracts, underlining growing institutional activity.
Chief Financial Officer Shiv Verma summed up the quarter as the “business firing on all cylinders,” highlighting solid diversification amid shrinking crypto trading. The company is also exploring partnerships to expand its prediction-market offerings as competition heats up.
Shares responded mildly to the report, reflecting measured investor confidence amid a transforming revenue mix.
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