Robinhood ( HOOD ) reported a 339% year-over-year increase in third-quarter crypto trading revenue on Wednesday, extending momentum from earlier this year as the trading app leans deeper into digital assets and global markets.
The company handled $80 billion in crypto trading volume during the quarter, and posted $268 million in crypto-related revenue, up from $61 million in the same quarter last year. Adjusted earnings per share (EPS) came in at $0.61 versus Street estimates of $0.53; total net sales reached $1.27 billion against forecasts of $1.21 billion.
Shares fell 2% in after-hours trading, but remain higher by about 260% year-to-date.
“Q3 was another strong quarter of profitable growth, and we continued to diversify our business by adding two additional lines of business – Prediction Markets and Bitstamp – which generate approximately $100 million or more in annual revenue,” said CFO Jason Warnick. “And Q4 is off to a strong start in October with record monthly trading volumes across equities, options, prediction markets and futures, and new highs for margin balances.”
The company now has a market cap of $126 billion, putting it above rivals like Coinbase (COIN), which reported strong earnings last week.
The strong results follow a series of moves to deepen Robinhood’s crypto footprint. Earlier this year, the firm acquired Bitstamp, expanding its regulatory presence and user base in more than 50 countries.
