NASDAQ$HOOD

Robinhood Markets Inc. · Q3 2022 earnings

Q3 2022 earnings · · Investor relations

Briefing

Robinhood achieved adjusted EBITDA profitability and increased total net revenues in the third quarter.

Robinhood's Q3 2022 earnings report showed a sequential increase in total net revenues, driven by growth in options and net interest revenue, and a reduction in operating expenses. The company achieved adjusted EBITDA profitability ahead of schedule, while net loss improved significantly.

  • Total net revenues increased 14% sequentially to $361 million.
  • Options revenue increased 10% sequentially to $124 million.
  • Net interest revenue increased 73% sequentially to $128 million.
  • Adjusted EBITDA was positive $47 million, a sequential improvement of $127 million.

Headline financials

Total Revenue

$361M

Previous: $365M-1.1%
EPS (adj)

-$0.20

Previous: -$2.02+90.1%
Net Deposits

$2.7B

No prior period
ARPU

$63.00

No prior period
Free Cash Flow

-$175M

Previous: -$1.32B+86.7%
Net Income

-$175M

Previous: -$1.32B+86.7%
Operating Income

-$174M

Previous: -$1.34B+87.0%
Gross Profit

$361M

Previous: $365M-1.1%
Cash & Equivalents

$6.2B

Previous: $6.17B+0.5%
Total Assets

$24.6B

Previous: $19.3B+27.4%
Stock-Based Comp

$110M

Previous: $1.24B-91.1%

Revenue & EPS history

Robinhood · Revenue · Quarterly

$361M

Q3 2022-1.1%vs Q3 2021
Beat estimate in 6 of 15 quarters(40%)
ActualEstimate

Revenue by segment

Robinhood · $153M total across 2 segments · Q3 2022

  • Net interest
    $128M
  • Other revenue
    $25M

Forward guidance

Robinhood expects GAAP total operating expenses for full-year 2022 to be in the range of $2.34 billion to $2.40 billion, representing a decrease of approximately 31% to 32% from the prior year.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q3 2022

Historical avgQ3 2022

-1.4%

Avg return

Earnings day

-2.8%

Avg return

5 days after

+1.9%

Avg return

30 days after

36%

9 / 25 earnings

Positive

+14.1%

Q4 2024

Best reaction

-16.2%

Q3 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.3%-6.7%+14.9%
Q4 2025+0.0%-26.9%-20.8%
Q3 2025-8.8%-7.4%-7.4%
Q2 2025-2.9%-0.6%-2.0%
Q1 2025-5.1%-0.9%+34.7%
Q4 2024+14.1%+2.3%-9.7%
Q3 2024-16.2%-13.2%+33.9%
Q2 2024+3.0%+7.7%+10.1%
Q1 2024-3.8%-6.1%+23.3%
Q4 2023+11.4%-4.1%+50.6%
Q3 2023-12.8%-14.2%+19.7%
Q2 2023-10.3%-11.9%-13.7%
Q1 2023+5.9%-5.0%+3.3%
Q4 2022-4.5%+5.8%-5.2%
Q3 2022+3.4%+0.9%-16.2%
Q2 2022+14.0%+15.0%+6.5%
Q1 2021-10.5%-23.2%-13.6%
Q1 2022+3.1%+6.2%+9.1%
Q4 2019+6.9%+8.4%+14.1%
Q4 2021+2.6%+18.0%-6.4%
Q3 2020-1.7%+4.4%-21.3%
Q3 2021-9.2%-10.4%-28.3%
Q2 2020-4.2%-3.0%-9.2%
Q2 2021-4.2%-3.0%-9.2%
Q4 2020-4.2%-3.0%-9.2%
Q3 2019
Q2 2019
Q1 2019

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