Robinhood's net revenue hit $1.31bn in Q2 2026, up 32 per cent year-on-year, as options and event-contract trading eclipsed crypto and pushed profit sharply higher. The company reported the results on 29 July 2026 after a surge in event contracts, options and equities trading and a rise in customer deposits. Diluted earnings per share were $0.62, net income $573m and adjusted EBITDA $741m. Management narrowed its 2026 expense outlook but gave no full-year revenue guidance.
$1.31 billion was powered by a 44 per cent jump in transaction-based revenue to roughly $776 million, management said, a shift that reshaped the quarter's income mix. Event contract revenue rose to about $156 million, more than ten times the level from the prior-year quarter. Options revenue reached $342 million, up 29 per cent, while equities revenue nearly doubled to about $129 million.
Cryptocurrency trading, by contrast, slid. Crypto revenue fell 38 per cent year-on-year to roughly $100 million, making prediction-market and event-contract receipts larger than the crypto business for the quarter. Robinhood has been pushing into prediction markets and event contracts as part of a deliberate product diversification strategy.
The quarter also showed tangible customer and flow growth. Net deposits hit about $22 billion, funded customers rose to 28.4 million and Robinhood Gold subscriptions reached a record 4.8 million.
Total platform assets climbed roughly 32 per cent to $369 billion. Trading volumes surged as well: equity notional trading volumes climbed about 85 per cent to $956 billion for the quarter, while options contracts traded rose about 50 per cent to 774 million contracts.
Those flows helped convert revenue into profit. Diluted earnings per share rose 48 per cent year-on-year to $0.62, net income reached $573 million and adjusted EBITDA was $741 million.
Management said accelerating margins reflected that higher-fee transaction activity was outpacing expense growth.
CEO Vlad Tenev framed the performance as the payoff from product diversification, while CFO Shiv Verma pointed to record volumes and new business lines as the primary drivers. The company has moved beyond the old retail brokerage model by opening new revenue channels that now cross material thresholds, management said.
A structural change underpinned much of the shift. Robinhood launched Rothera, its CFTC-licensed exchange and clearing operation, in early June 2026 and has been directing growing event-contract flow to that venue. Management argued that controlling both the exchange and clearing layers lets the firm retain a larger share of economics that third-party partners previously captured, and to offer lower per-contract fees while keeping more revenue per trade.
Corporate milestones in the quarter included the Robinhood Chain mainnet going live and completion of the WonderFi acquisition, steps management described as part of a broader diversification effort. Those moves, combined with Rothera, explain why prediction markets and event contracts eclipsed crypto receipts this quarter.
Investors were cautious. Shares slipped in after-hours trading after the release as market participants focused on the crypto revenue slump and on management's cautious posture toward costs. Robinhood narrowed its full-year 2026 outlook for adjusted operating expenses plus share-based compensation to a range of $2.675 billion to $2.775 billion, a tightening management said reflected efficiency gains even as some savings will be reinvested into new ventures. The company didn't give explicit full-year revenue guidance.
The results show a company whose revenues are increasingly sourced from newer products and from capture of exchange economics rather than from the more volatile crypto business. That transition has produced meaningful profit growth this quarter, but it leaves investors sensitive to the interplay between reinvestment and cost discipline as Robinhood builds out its own infrastructure.
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The immediate milepost after the results is whether that narrowed expense range holds: management set full-year adjusted operating expenses plus share-based compensation at $2.675bn-$2.775bn for 2026.
This article was created with AI assistance.
