Robinhood Beats Expectations as Prediction Markets Offset Crypto Weakness

Robinhood reported better-than-expected Q2 results, with revenue and EPS beating expectations. The company's non-crypto trading volumes reached record levels, offsetting a decline in crypto activity. Net Deposits and Gold subscribers continued to grow, reaching $21.7 billion and 4.8 million respectively.

While the company's crypto transaction revenue fell 38% year over year to $100 million, its equities, options, and prediction markets collectively offset this decline. Event-contract revenue increased more than tenfold to $156 million, exceeding crypto revenue for the first time.

Raise the stakes further, Robinhood now has 13 business lines generating at least $100 million in annualized revenue. The company's lower expense outlook for 2026 reflects improvements in development and operational efficiency, which are expected to fund new businesses.