Robinhood (Hood) has breached analyst estimates strengthened in the first quarter of 2025, reporting adjusted earnings per share at $0.33 at $0.33.
The popular trading platform reported $927 million in total revenues that fell from $1 billion in the fourth quarter, but fell below street expectations. Crypto revenue was $252 million, up 100% from the previous year.
Transaction-based revenues fell 13%, down 13%, from $672 million in the fourth quarter.
The company saw an explosion in the fourth quarter, partly thanks to a surge in crypto trading amidst a sense of well-being caused by US President Donald Trump's presidential victory. However, following Trump's inauguration, the bubbles of the crypto and traditional market quickly reversed.
The company added $500 million to its existing $1 billion stock repurchase program. To date, Hood has repurchased $667 million and has left an additional $833 million permit.
While Robinhood's monthly crypto volume has historically been highly correlated with Coinbase (Coin) retail volume, Barclays analyst Benjamin Buddish believes that Coin saw a low drop in trading volume in the first quarter.
Coinbase reported revenue on May 8, and according to analysts at Factset, the exchange is expected to have dropped in exchange volumes from $439 billion to $439 billion, but revenue is expected to drop slightly from $2.27 billion in the last quarter.
Food stocks fell 2.2% due to out-of-hours behavior.
