Robinhood slides 4% despite earnings beat as crypto revenue cools
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- Robinhood beat Q2 estimates with adjusted EPS of $0.62 (vs. $0.43 consensus) and record revenue of $1.31 billion (vs. $1.29 billion), up 32% year-over-year.
- HOOD shares fell about 4% in extended trading despite the beat, extending a 3.1% decline from Wednesday's regular session.
- Crypto revenue fell 38% year-over-year to $100 million from $160 million, while options, equities, and prediction markets activity strengthened to lift overall transaction revenue.
- The company launched Robinhood Chain, a blockchain network supporting tokenized U.S. stocks for eligible European customers — GameStop, Nvidia, and SpaceX are already among the most actively traded tokenized real-world assets, with hundreds of millions in daily decentralized-exchange volume.
- Robinhood introduced Agentic Trading, a set of AI tools letting customers connect third-party AI assistants to brokerage accounts under user-defined limits, separate trading accounts, and manual approval.
- The print serves as an early read for Coinbase's Q2 earnings Thursday, since both firms are heavily exposed to retail trading and crypto market sentiment.
- CEO Vlad Tenev framed the quarter around 'product velocity,' citing Robinhood Chain, Robinhood Ventures, and 'Trump Accounts' in his statement.
Why it matters: Retail crypto trading cooled enough that a record $1.31 billion quarter and surging options and prediction-markets activity couldn't offset a 38% drop in crypto revenue. With Coinbase reporting Thursday on a comparable retail-driven model, Robinhood's crypto line is now the consensus preview tape for the entire retail-crypto complex — not the headline beat.
