Robinhood Markets, Inc.

Previous wording

Data as of and for the three months ended March 31, 2024 and 2025 has been derived from our unaudited condensed consolidated financial statements appearing at the beginning of this Quarterly Report. Results for any interim period should not be construed as an inference of what our results would be for any full fiscal year or future period.

Current wording

Data as of and for the three and six months ended June 30, 2024 and 2025 has been derived from our unaudited condensed consolidated financial statements appearing at the beginning of this Quarterly Report. Results for any interim period should not be construed as an inference of what our results would be for any full fiscal year or future period.

Previous wording

•Funded Customers: We define a Funded Customer as a unique person who has at least one account with a Robinhood entity and, within the past 45 calendar days (a) had an account balance that was greater than zero (excluding amounts that are deposited into a Funded Customer account by the Company with no action taken by the unique person) or (b) completed a transaction using any such account. Individuals who share a funded joint investing account (which launched in July 2024) are each considered to be a Funded Customer. Individuals who are customers of RIAs that use the TradePMR platform are also considered Funded Customers as of the end of the period.

Current wording

•Funded Customers: We define a Funded Customer as a unique person who has at least one account with a Robinhood entity and, within the past 45 calendar days (a) had an account balance that was greater than zero (excluding amounts that are deposited into a Funded Customer account by the Company with no action taken by the unique person) or (b) completed a transaction using any such account. Individuals who share a funded joint investing account (which launched in July 2024) are each considered to be a Funded Customer. Starting in Q1 2025, individuals who are customers of RIAs that use the TradePMR platform, and, starting in June 2025, customers of Bitstamp, are also considered Funded Customers.

Previous wording

•Total Platform Assets: We define Total Platform Assets as the sum of the fair value of all equities, options, cryptocurrency, futures (including options on futures, swaps, and event contracts), cash held by users in their accounts, net of receivables from users (previously reported as Assets Under Custody), and any such assets managed by RIAs using TradePMR’s platform that are not custodied by Robinhood, as of a stated date or period end on a trade date basis. Net Deposits and net market gains (losses) drive the change in Total Platform Assets in any given period.

Current wording

•Total Platform Assets: We define Total Platform Assets as the sum of the fair value of all equities, options, cryptocurrency, futures (including options on futures, swaps, and event contracts), cash held by users in their accounts, net of receivables from users (previously reported as Assets Under Custody), and any such assets managed by RIAs using TradePMR’s platform that are not custodied by Robinhood, as of a stated date or period end on a trade date basis. Net Deposits and net market gains (losses) drive the change in Total Platform Assets in any given period. Starting in June 2025, the fair value of all cryptocurrency includes cryptocurrency on Bitstamp.

Previous wording

•Net Deposits: We define Net Deposits as all cash deposits and asset transfers from customers, as well as dividends, interest, and cash or assets earned in connection with Company promotions (such as account transfer and retirement match incentives and free stock bonuses) received by customers, net of reversals, customer cash withdrawals, margin interest, Robinhood Gold subscription fees, and assets transferred off of our platforms for a stated period. Prior to the second quarter of 2024, Net Deposits did not include inflows from cash or assets earned in connection with Company promotions, although we have not restated amounts in prior periods as the impact to those figures was immaterial.

Current wording

•Net Deposits: We define Net Deposits as all cash deposits and asset transfers from customers, as well as dividends, interest, and cash or assets earned in connection with Company promotions (such as account transfer and retirement match incentives, free stock bonuses, and lending and staking rewards by Bitstamp) received by customers, net of reversals, customer cash withdrawals, margin interest, Robinhood Gold subscription fees, and assets transferred off of our platforms for a stated period. Starting in June 2025, Net Deposits include results from Bitstamp. Due to data limitations, we have not included TradePMR client figures in our Net Depositskey performance metric.

Previous wording

•Investment Accounts: We define an Investment Account as a funded individual brokerage account, a funded joint investing account, a funded individual retirement account (“IRA”), or an account with an RIA using TradePMR’s platform. As of March 31, 2025, a Funded Customer can have up to five Investment Accounts - individual brokerage account, joint investing account (which launched in July 2024), traditional IRA, Roth IRA, and RIA custody account using TradePMR's platform.

Current wording

•Investment Accounts: We define an Investment Account as a funded individual brokerage account, a funded joint investing account, a funded individual retirement account (“IRA”), or an account with an RIA using TradePMR’s platform. As of June 30, 2025, a Funded Customer can have up to five Investment Accounts - individual brokerage account, joint investing account (which launched in July 2024), traditional IRA, Roth IRA, and RIA custody account using TradePMR’s platform. Does not include Bitstamp as such accounts are not brokerage or other Investment Accounts.

Previous wording

•Notional Trading Volume: We define Notional Trading Volume for any specified asset class as the aggregate dollar value (purchase price or sale price as applicable) of trades executed in that asset class over a specified period of time.

Current wording

•Notional Trading Volume: We define Notional Trading Volume for any specified asset class as the aggregate dollar value (purchase price or sale price as applicable) of trades executed in that asset class on our platforms over a specified period of time. Robinhood App Crypto Notional Trading Volume represents the dollar value of executed trades on the Robinhood platform over a specified period of time. Starting in June 2025, Bitstamp Exchange Crypto Notional Trading Volume represents the dollar value of executed trades on the Bitstamp platform over a specified period of time. For example, each $1 of transaction value executed between a buyer and seller is counted as $1 of transaction value in the relevant period, rather than $2 if counted for each of the buyer and seller.

Previous wording

•total net revenues increased 50% to $927 million compared to $618 million;

Current wording

•total net revenues increased 45% to $989 million compared to $682 million;

Previous wording

•total operating expenses increased 21% to $557 million compared to $460 million;

Current wording

•total operating expenses increased 12% to $550 million compared to $493 million;

Previous wording

•Adjusted EBITDA (non-GAAP) increased 90% to $470 million compared to$247 million;

Current wording

•Adjusted EBITDA (non-GAAP) increased 82% to $549 million compared to$301 million;

Previous wording

•Funded Customers increased by 1.9 million, or 8%, to 25.8 million compared to 23.9 million, and Investment Accounts increased by 2.6 million, or 11%, to 27.0 million compared to 24.4 million;

Current wording

•Funded Customers increased by 2.3 million, or 10%, to 26.5 million compared to 24.2 million, and Investment Accounts increased by 2.6 million, or 10%, to 27.4 million compared to 24.8 million;

Previous wording

•Total Platform Assets increased 70% to $220.6 billion compared to $129.6 billion, primarily driven by continued Net Deposits and the acquisition of TradePMR.

Current wording

•Total Platform Assets increased 99% to $278.6 billion compared to $139.7 billion, driven by continued Net Deposits, acquired assets, and higher equity and cryptocurrency valuations;

Previous wording

•Net Deposits were $18.0 billion, which translates to an annualized growth rate of 37% relative to Total Platform Assets at the end of the fourth quarter of 2024, compared to $11.2 billion, which translates to an annualized growth rate of 44% relative to Total Platform Assets at the end of the fourth quarter of 2023. Over the past twelve months, Net Deposits were $57.3 billion, a growth rate of 44% relative to Total Platform Assets at the end of the first quarter of 2024.

Current wording

•Net Deposits were $13.8 billion, which translates to an annualized growth rate of 25% relative to Total Platform Assets at the end of the first quarter of 2025, compared to $13.2 billion, which translates to an annualized growth rate of 41% relative to Total Platform Assets at the end of the first quarter of 2024. Over the past twelve months, Net Deposits were $57.9 billion, a growth rate of 41% relative to Total Platform Assets at the end of the second quarter of 2024;

Previous wording

(i) Acquired customers and acquired assets relate to those obtained from the acquisition of TradePMR in February 2025.

Current wording

(i) Acquired customers and acquired assets relate to those obtained from the acquisition of Bitstamp in June 2025.

Previous wording

Comparison of the Three Months Ended March 31, 2024 and 2025

Current wording

Comparison of the Three and Six Months Ended June 30, 2024 and 2025

Previous wording

Options revenues increased due to a 46% increase in Options Contracts Traded and a 25% increase in the number of users placing option trades. In addition, we experienced higher option rebate rates due to the mix of ticker symbols traded as different ticker symbols pay different rebate rates. The increase was partially offset by $26 million of incentives paid to our customers.

Current wording

Options revenues increased primarily driven by 9% and 11% increases in Options Contracts Traded per trader and 17% and 19% increases in the number of users placing option trades. In addition, we experienced higher option rebate rates due to the mix of ticker symbols traded as different ticker symbols pay different rebate rates. The increase was partially offset by $26 million and $48 million of incentives paid to our customers.

Previous wording

Cryptocurrencies revenues increased as a result of a higher rebate rate from crypto market makers (a rebate increase was effective in May 2024). Additionally, cryptocurrencies revenue increased as a result of a 45% increase in the number of users placing cryptocurrency trades, partially offset by a 14% decrease in the average Notional Trading Volume traded per trader and $21 million of incentives paid to our customers.

Current wording

Cryptocurrencies revenues increased primarily driven by a 38% and 40% increase in the number of users placing cryptocurrency trades. Additionally, cryptocurrencies revenues increased as a result of a higher rebate rate from crypto market makers. Cryptocurrencies revenues was partially offset by $8 million and $20 million of incentives paid to our customers.

Previous wording

Equities revenues increased primarily driven by a 56% increase in the average Notional Trading Volume traded per trader and a 17% increase in the number of users placing equity trades. The increase was partially offset by lower equity rebate rates due to the mix of ticker symbols traded as different ticker symbols pay different rebate rates.

Current wording

Equities revenues increased primarily driven by a 83% and 70% increase in the average Notional Trading Volume traded per trader and a 13% and 14% increase in the number of users placing equity trades. The increase was partially offset by lower equity rebate rates due to the mix of ticker symbols traded as different ticker symbols pay different rebate rates.

Previous wording

Net interest revenues increased by $36 million, primarily driven by growth in most of our interest-earning asset balances and securities lending activities. The increase was partially offset by a decrease in interest on corporate cash and investments driven by lower cash and deposits balances and a lower short-term interest rate environment. We anticipate any potential future rate cuts by the Federal Reserve will negatively impact our net interest revenues and adversely affect our customers’ returns on cash deposits.

Current wording

Net interest revenues increased by $72 million and $108 million for the three and six months ended June 30, 2025, primarily driven by growth in our interest-earning asset balances and securities lending activities. The increase was partially offset by a decrease in interest revenue on corporate cash and investments driven by lower cash and cash equivalents balances and a lower short-term interest rate environment. We anticipate any potential future rate cuts by the Federal Reserve will negatively impact our net interest revenues and adversely affect our customers’ returns on cash deposits.

Previous wording

(2)Credit card, net consists of i) an off-balance sheet amount representing customer principal amounts funded by Coastal Bank under the Program Agreement. Under the Program Agreement, Robinhood Credit collects interest from customers that carry a balance and pays interest on the amount funded by Coastal Bank, with the difference between those amounts resulting in net interest revenue and ii) an on-balance sheet amount representing purchased credit card receivables by the Credit Card Funding Trust. Robinhood Credit collects interest from customers that carry balances and pays interest on the amount funded through the Credit Card Funding Trust, with the difference in those amounts resulting in net interest revenues. As of March 31, 2025, the off-balance sheet amount funded under the Program agreement was$206 million and the on-balance sheet amount was$223 million. Refer to Note 10 - Financing Activities and Off-Balance Sheet Risk to our unaudited condensed consolidated financial statements in this Quarterly Report for more information.

Current wording

(2)Credit card, net consists of i) an off-balance sheet amount representing customer principal amounts funded by Coastal Bank under the Program Agreement. Under the Program Agreement, Robinhood Credit collects interest from customers that carry a balance and pays interest on the amount funded by Coastal Bank, with the difference between those amounts resulting in net interest revenue and ii) an on-balance sheet amount representing purchased credit card receivables by the Credit Card Funding Trust. Robinhood Credit collects interest from customers that carry balances and pays interest on the amount funded through the Credit Card Funding Trust, with the difference in those amounts resulting in net interest revenues. As of June 30, 2025, the off-balance sheet amount funded under the Program agreement was $202 million and the on-balance sheet amount was $360 million. Refer to Note 10 - Financing Activities and Off-Balance Sheet Risk to our unaudited condensed consolidated financial statements in this Quarterly Report for more information.

Previous wording

(5) Includes interest expenses related to our revolving credit facilities; interest expense related to the Credit Card Funding Trust is included in the credit card, net interest yield calculation. Refer to Note 10 - Financing Activities and Off-Balance Sheet Risk to our unaudited condensed consolidated financial statements in this Quarterly Report for more information.

Current wording

(5)Includes interest expenses related to our revolving credit facilities; interest expense related to the Credit Card Funding Trust is included in the credit card, net interest yield calculation. Refer to Note 10 - Financing Activities and Off-Balance Sheet Risk to our unaudited condensed consolidated financial statements in this Quarterly Report for more information.

Previous wording

Other revenues increased $19 million primarily driven by an increase in Robinhood Gold subscription revenues of $15 million due to an increase in Robinhood Gold Subscribers.

Current wording

Other revenues increased $23 million and $42 million for the three and six months ended June 30, 2025 primarily driven by an increase in Robinhood Gold subscription revenues of $18 million and $33 million due to an increase in Robinhood Gold Subscribers.

Previous wording

Brokerage and transaction costs increased by $15 million primarily driven by a $7 million increase in other brokerage and transactions costs related to credit card network fees and a $6 million increase in instant withdrawals expense as a result of higher customer activities.

Current wording

Brokerage and transaction costs increased by $8 million and $23 million for the three and six months ended June 30, 2025. For the six months ended June 30, 2025, brokerage and transaction costs included an $8 million increase in other brokerage and transactions costs primarily related to credit card network fees and a $6 million increase in instant withdrawals expense as a result of higher customer activities. Employee compensation, benefits, and overhead expenses increased $4 million for both the three and six months ended June 30, 2025 due to increased average headcount to continue to support our brokerage business. Additionally, market data expenses increased $2 million and $4 million for the three and six months ended June 30, 2025 primarily due to higher trading volumes.

Previous wording

Operations costs increased by $3 million with no material changes to note.

Current wording

Operations costs increased by $1 million and $4 million for the three and six months ended June 30, 2025, with no material changes to note.

Previous wording

Provision for credit losses costs increased by $8 million primarily due to a$5 million increase in brokerage related expenses primarily as a result of fraudulent activities. Credit card related provision for credit losses increased$3 million primarily due to higher balances in purchased credit card receivables.

Current wording

Provision for credit losses costs increased by$10 million and$18 million for the three and six months ended June 30, 2025, primarily due to increases of$5 million and $10 million in brokerage related expenses primarily due to an increase in customer fraud and abuse. Credit card related provision for credit card losses increased by $5 million and $8 million primarily due to higher balances in purchased credit card receivables.

Previous wording

Marketing costs increased by $38 million primarily due to higher expenses in digital marketing of $25 million and brand marketing of $5 million, as we increased our investments in paid marketing channels and other marketing initiatives to promote our brand, products, and services.

Current wording

Marketing costs increased by $35 millionand$73 millionfor the three and six months ended June 30, 2025 primarily due to higher expenses in digital marketing of$10 million and$35 million and brand marketing of$13 million and$18 million, as we increased our investments in paid marketing channels and other marketing initiatives to promote our brand, products, and services. Other marketing costs increased$6 millionand$10 million primarily due to expenses related to our Robinhood Gold card and keynote events.

Previous wording

General and administrative costs increased $15 million primarily due to anincrease of $12 million in SBC expenses due to a reversal of $11 million of previously recognized expenses in the prior year as a result of the resignation of our co-founder and former Chief Creative Officer. Additionally, other professional fees increased by $5 million primarily due to costs incurred in connection with the TradePMR acquisition. These increases were partially offset by a decrease of$7 million inlegal expenses associated with certain historical regulatory matters.

Current wording

General and administrative costs decreased $2 millionfor the three months ended June 30, 2025 and increased by$13 million for the six months ended June 30, 2025. The increase for the six months ended June 30, 2025 was primarily due to an increase of$16 million in SBC expenses primarily due to a reversal of$11 million of previously recognized expenses in the prior year as a result of the resignation of our co-founder and former Chief Creative Officer, and an increase of$9 million in other professional fees primarily due to costs incurred in connection with the TradePMR and Bitstamp acquisitions. Additionally, employee compensation, benefits, and overhead expenses increased$7 million and$8 million for the three and six months ended June 30, 2025 driven by increased average headcount. These increases were partially offset by decreases of$14 million and$21 million of legal expenses associated with certain historical matters for the three and six months ended June 30, 2025.

Previous wording

Provision for income taxes increased by $30 million for the three months ended March 31, 2025 primarily due to the valuation allowance release on the U.S. federal and certain state deferred tax assets in the fourth quarter of 2024 and the growth of the business.

Current wording

Provision for income taxes increased by $53 million and $83 million for the three and six months ended June 30, 2025 primarily due the valuation allowance release of the U.S. federal and certain state deferred tax assets in the fourth quarter of 2024 and the growth of the business.

Previous wording

As of March 31, 2025, we had cash and cash equivalents of $4.42 billion and held-to-maturity investments of $192 million. Refer to Note 7 - Investments and Fair Value Measurement, to our unaudited condensed consolidated financial statements in this Quarterly Report for further information.

Current wording

As of June 30, 2025, we had cash and cash equivalents of $4.16 billion and held-to-maturity investments of $134 million. Refer to Note 7 - Investments and Fair Value Measurement, to our unaudited condensed consolidated financial statements in this Quarterly Report for further information.

Previous wording

As of March 31, 2025, we had committed revolving credit facilities with a total borrowing capacity of up to $3.65 billion and a borrowing capacity for our Credit Card Funding Trust of up to $400 million. Refer to Note 10 - Financing Activities and Off-Balance Sheet Risk to our unaudited condensed consolidated financial statements in this Quarterly Report for further information.

Current wording

As of June 30, 2025, we had committed revolving credit facilities with a total borrowing capacity of up to $3.775 billion and a borrowing capacity for our Credit Card Funding Trust of up to $400 million. Refer to Note 10 - Financing Activities and Off-Balance Sheet Risk to our unaudited condensed consolidated financial statements in this Quarterly Report for further information.

Previous wording

Our FCM subsidiary, Robinhood Derivatives, LLC (“RHD”), is subject to CFTC Regulation 1.17, administered by the CFTC and the NFA, which requires the maintenance of minimum net capital, as defined by CFTC Regulation 1.17. Net capital and the related net capital requirements may fluctuate on a daily basis.

Current wording

Our Futures Commission Merchant (“FCM”) subsidiary, RHD, is subject to CFTC Regulation 1.17, administered by the CFTC and the NFA, which requires the maintenance of minimum net capital, as defined by CFTC Regulation 1.17. Net capital and the related net capital requirements may fluctuate on a daily basis.

Previous wording

The table below summarizes the net capital, capital requirements, and excess net capital of RHS, RHF, TradePMR, and RHD as of periods presented:

Current wording

The table below summarizes the net capital, capital requirements, and excess net capital of RHS, RHF, RHD, and TradePMR as of periods presented:

Previous wording

Net cash provided by operating activities increased $1.27 billion compared to the prior period primarily due to:

Current wording

Net cash provided by operating activities increased $4.72 billion compared to the prior period primarily due to:

Previous wording

•an increase of $179 million in net income;

Current wording

•an increase of $377 million in net income;

Previous wording

•an increase of $397 million due to maturities of U.S. treasury securities segregated under federal and other regulations compared to a decrease of $692 million in the prior year due to cash used to purchase U.S. treasury securities segregated under federal and other regulations;

Current wording

•an increase of $199 million due to maturities of U.S. treasury securities segregated under federal and other regulations compared to a decrease of $547 million in the prior year due to cash used to purchase U.S. treasury securities segregated under federal and other regulations; and

Previous wording

Net cash provided by investing activities increased $56 million compared to the prior period primarily due to:

Current wording

Net cash provided by investing activities increased $900 million compared to the prior period primarily due to:

Previous wording

•an increase of $500 million of cash provided by collections of purchased credit card receivables;

Current wording

•an increase of $1.30 billion of cash provided by collections of purchased credit card receivables;

Previous wording

•an increase of $171 million driven by no purchases of held-to-maturity investments during the period;

Current wording

•an increase of $302 million driven by no purchases of held-to-maturity investments during the period;

Previous wording

•a decrease of $520 million due to cash used for purchases of credit card receivables; and

Current wording

•a decrease of $1.46 billion due to cash used for purchases of credit card receivables; and

Previous wording

Net cash used in financing activities increased $387 million compared to the prior period primarily due to:

Current wording

Net cash used in financing activities increase $631 million compared to the prior period primarily due to:

Previous wording

•an increase of $322 million of cash used for share repurchases; and

Current wording

•an increase of $446 million of cash used for share repurchases; and