NASDAQ$HOOD
Robinhood Markets Inc. · Q4 2021 earnings
Q4 2021 earnings · · Investor relations
Briefing
Robinhood's Q4 earnings were released, showing a revenue increase but a net loss compared to the previous year.
Robinhood's Q4 2021 earnings revealed a 14% increase in total net revenues to $363 million compared to Q4 2020. However, the company reported a net loss of $423 million, or $0.49 per diluted share, a significant downturn from the net income of $13 million, or $0.02 per diluted share, in the same quarter of the previous year.
- Total net revenues increased by 14% to $363 million compared to Q4 2020.
- Transaction-based revenues increased by 12% to $264 million compared to Q4 2020.
- Net loss was $423 million, or $0.49 per diluted share, compared to a net income of $13 million, or $0.02 per diluted share, in Q4 2020.
- Monthly Active Users (MAU) increased 48% to 17.3 million in December 2021 compared to December 2020.
Headline financials
Revenue & EPS history
Robinhood · Revenue · Quarterly
$363M
Revenue by segment
Robinhood · $98.8M total across 2 segments · Q4 2021
- Net interest$63.4M—64.1%
- Other revenue$35.4M—35.9%
Forward guidance
For the first quarter of 2022, Robinhood anticipates that total net revenues will be less than $340 million, which assumes some incremental improvement in trading volumes versus what we have seen so far.
Tailwinds
- Incremental improvement in trading volumes is anticipated.
- Focus on long-term investing with tax-advantaged retirement accounts rolling out mid-year.
- Investment in spending and savings products to help customers build a portfolio.
- Introduction of instant debit card deposits and withdrawals in the coming months.
- Plans to start opening its crypto platform up to customers internationally in 2022.
Headwinds
- Total net revenues are expected to be less than $340 million.
- Implies a year-over-year revenue decline of 35% compared to Q1 2021.
- Total net revenues are highly sensitive to various factors including new funded accounts and trading volumes.
- Actual results for total net revenues might differ materially from the outlook.
- Total operating expenses, excluding share-based compensation, are expected to increase 15-20% year-over-year.
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 20 quarterly earnings reports · overlaid with Q4 2021
-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
| Quarter | Report date | Reaction (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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