Robinhood Markets, Inc.

Previous wording

Data as of and for the three months ended March 31, 2025 and 2026 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, 2025 and 2026 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

•total net revenues increased 15% to $1,067 million compared to $927 million;

Current wording

•total net revenues increased 32% to $1,308 million compared to $989 million;

Previous wording

•net income attributable to Robinhood increased 4% to $350 million, compared to $336 million;

Current wording

•net income attributable to Robinhood increased 45% to $561 million, compared to $386 million;

Previous wording

•total operating expenses increased 18% to $656 million compared to $557 million;

Current wording

•total operating expenses increased 33% to $734 million compared to $550 million;

Previous wording

•Adjusted EBITDA (non-GAAP)increased 14% to $534 million compared to$470 million;

Current wording

•Adjusted EBITDA (non-GAAP)increased 35% to $741 million compared to$549 million;

Previous wording

•Funded Customers increased by 1.7 million, or 6%, to 27.4 million compared to 25.8 million, and Investment Accounts increased by 2.1 million, or 8%, to 29.1 million compared to 27.0 million;

Current wording

•Funded Customers increased by 1.9 million, or 7%, to 28.4 million compared to 26.5 million, and Investment Accounts increased by 2.5 million, or 9%, to 29.9 million compared to 27.4 million;

Previous wording

•Total Platform Assets increased 39% to $307.3 billion compared to $220.6 billion, driven by continued Net Deposits, higher equity valuations, and acquired assets;

Current wording

•Total Platform Assets increased 32% to $368.7 billion compared to $278.6 billion, primarily driven by continued Net Deposits and higher equity valuations, partially offset by lower cryptocurrency valuations;

Previous wording

•Net Deposits were $17.7 billion, which translates to an annualized growth rate of 22% relative to Total Platform Assets at the end of the fourth quarter of 2025, compared to $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. Over the past twelve months, Net Deposits were $67.8 billion, a growth rate of 31% relative to Total Platform Assets at the end of the first quarter of 2025;

Current wording

•Net Deposits were $21.7 billion, which translates to an annualized growth rate of 28% relative to Total Platform Assets at the end of the first quarter of 2026, compared to $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. Over the past twelve months, Net Deposits were $75.7 billion, a growth rate of 27% relative to Total Platform Assets at the end of the second quarter of 2025;

Previous wording

We collect and analyze operating and financial data to evaluate the health of our business, allocate our resources and assess our performance. In addition to total net revenues, net income, and other results under GAAP, we utilize non-GAAP calculations of Adjusted EBITDA. Adjusted EBITDA is defined as net income attributable to Robinhood, excluding (i) net income (loss) attributable to non-controlling interests, (ii) interest expenses related to credit facilities, (iii) provision for (benefit from) income taxes, (iv) depreciation and amortization, (v) SBC, (vi) significant legal and tax settlements and reserves, and (vii) other significant gains, losses, and expenses (such as impairments, restructuring charges, and business acquisition- or disposition-related expenses) that we believe are not indicative of our ongoing results. This non-GAAP financial information is presented for supplemental informational purposes only, should not be considered in isolation or as a substitute for, or superior to, financial information presented in accordance with GAAP, and may be different from similarly titled non-GAAP measures used by other companies.

Current wording

We collect and analyze operating and financial data to evaluate the health of our business, allocate our resources and assess our performance. In addition to total net revenues, net income, and other results under GAAP, we utilize non-GAAP calculations of Adjusted EBITDA. Adjusted EBITDA is defined as net income attributable to Robinhood, excluding (i) net income (loss) attributable to non-controlling interests, (ii) interest expenses related to debt obligations, (iii) provision for (benefit from) income taxes, (iv) depreciation and amortization, (v) SBC, (vi) significant legal and tax settlements and reserves, and (vii) other significant gains, losses, and expenses (such as impairments, restructuring charges, and business acquisition-, or disposition-related expenses) that we believe are not indicative of our ongoing results. This non-GAAP financial information is presented for supplemental informational purposes only, should not be considered in isolation or as a substitute for, or superior to, financial information presented in accordance with GAAP, and may be different from similarly titled non-GAAP measures used by other companies.

Previous wording

Comparison of the Three Months Ended March 31, 2025 and 2026

Current wording

Comparison of the Three and Six Months Ended June 30, 2025 and 2026

Previous wording

Transaction-based revenues increased by $40 million, primarily driven by increases of $101 million in event contracts, $26 million in equities, and $20 million in options, partially offset by a decrease of $118 million in cryptocurrencies.

Current wording

Transaction-based revenues increased by $237 million and $277 million, for the three and six months ended June 30, 2026, primarily driven by increases of $146 million and $247 million in event contracts, $77 million and $97 million in options, and $63 million and $89 million in equities, partially offset by decreases of $60 million and $178 million in cryptocurrencies.

Previous wording

Options revenues increased due to a 20% increase in Options Contracts Traded per trader. The increase was partially offset by lower option rebate rates due to the mix of ticker symbols traded as different ticker symbols pay different rebate rates. In addition, the increase was partially offset by a $6 million increase of certain incentives paid to our customers.

Current wording

Options revenues increased due to a 43% and 32% increase in Options Contracts Traded per trader. The increase was partially offset by lower option rebate rates due to the mix of ticker symbols traded as different ticker symbols pay different rebate rates.

Previous wording

Event contracts revenues increased primarily due to an acceleration in our prediction markets business, reflecting higher trading activity compared to Q1 2025 when the offering was still in its early stage. The increase was partially offset by a $6 million increase of certain match incentives paid to our customers.

Current wording

Event contracts revenues increased primarily due to an acceleration in our prediction markets business, reflecting higher trading activity compared to the same period in 2025 when the offering was still in its early stage.

Previous wording

Cryptocurrencies revenues decreased primarily due to lower cryptocurrency rebate rates from crypto market makers, a 32% decrease in the number of users placing cryptocurrency trades, and a 22% decrease in the average Notional Trading Volume traded per trader, partially offset by cryptocurrencies revenues benefiting from our acquisition of Bitstamp. In addition, the decrease was partially offset by a $6 million decrease of certain incentives paid to our customers.

Current wording

Cryptocurrencies revenues decreased primarily due to lower cryptocurrency rebate rates from crypto market makers, a 16% and 24% decrease in the number of users placing cryptocurrency trades, and a 20% and 21% decrease in the average Notional Trading Volume traded per trader, partially offset by cryptocurrencies revenues benefiting from our acquisition of Bitstamp.

Previous wording

Equities revenues increased as a result of a 45% increase in the average Notional Trading Volume traded per trader and a 2% 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. The increase was partially offsetby a$4 million increase of certain match incentives paid to our customers.

Current wording

Equities revenues increased primarily due to a 56% and 51% increase in the average Notional Trading Volume traded per trader and a 13% and 6% increase in the number of users placing equity trades. Additionally, equities revenues increased as a result of higher 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 $69 million, primarily driven by higher margin interest and net credit card interest, due to increased margin borrowers and the growth in our credit card business. The increase was partially offset by a decrease in interest revenue from securities lending activities, driven by lower collateral balances and higher stock loan interest expense as stock loan balances grew, as well as a decrease in interest revenue on corporate cash and investments driven by 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 $32 million and $101 million for the three and six months ended June 30, 2026, primarily driven by higher margin interest and net credit card interest, due to increased margin borrowers and the growth in our credit card business, as well as higher accretion income on investments. The increase was partially offset by a decrease in interest revenue from securities lending activities driven by a relatively unfavorable average rate on higher stock loan balances, as well as a decrease in interest revenue on Cash Sweep, corporate cash and investments driven by 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 Trust. Robinhood Credit collects interest from customers that carry balances and pays interest on the amount funded through the Trust, with the difference in those amounts resulting in net interest revenues. As of March 31, 2026, the off-balance sheet amount funded under the Program agreement was $216 million and the on-balance sheet amount was $916 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 Trust. Robinhood Credit collects interest from customers that carry balances and pays interest on the amount funded through the Trust, with the difference in those amounts resulting in net interest revenues. As of June 30, 2026, the off-balance sheet amount funded under the Program agreement was $214 million and the on-balance sheet amount was $1,243 million. Refer to Note 11 - 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 $31 million, primarily driven by an increase in Robinhood Gold subscription revenues due to growth in Robinhood Gold Subscribers, revenues earned from coin listings, and revenues derived from acquired businesses.

Current wording

Other revenues increased $50 million and $81 million for the three and six months ended June 30, 2026, primarily driven by increases in Robinhood Gold subscription revenues due to growth in Robinhood Gold Subscribers, service revenues earned from Trump Accounts, and revenues earned from coin listings.

Previous wording

Brokerage and transaction costs increased by $10 million for the three months ended March 31, 2026, primarily due to a $4 million increase in employee compensation, benefits, and overhead expenses due to increased average headcount to continue to support the growth and expansion of our business and a $4 million increase in other brokerage and transactions costs primarily related to credit card processing fees.

Current wording

Brokerage and transaction costs increased by $14 million and $24 million for the three and six months ended June 30, 2026, primarily due to a $5 million and $7 million increase in market data expense driven by an increase in customer volume. In addition, employee compensation, benefits, and overhead expenses increased $2 million and $6 million due to the growth and expansion of our business. Other brokerage and transactions costs increased $3 million and $7 million primarily related to increases in credit card processing fees.

Previous wording

Technology and development costs increased by $27 million for the three months ended March 31, 2026, primarily due to $13 million in software and tool expenses driven by the integration of acquired businesses and continued growth of our business. Additionally employee compensation, benefits, and overhead expenses increased $8 million due to increased average headcount to support the expansion into new products.

Current wording

Technology and development costs increased by $42 million and $69 million for the three and six months ended June 30, 2026, primarily due to a $30 million and $38 million increase in employee compensation, benefits, and overhead expenses driven by recent acquisitions and the launch of new products. Additionally, software and tools expenses increased by $12 million and $25 million driven by continued growth of our business and the integration of acquired businesses.

Previous wording

Operations costs increased by $7 million for the three months ended March 31, 2026, primarily due to a $4 million increase in employee compensation, benefits, and overhead driven by increased average headcount to support the expansion of our business. Additionally, customer experience and other operations expense increased driven by the increase in the size of our customer base.

Current wording

Operations costs increased by $28 million and $35 million for the three and six months ended June 30, 2026, primarily due to a $13 million and $14 million increase in customer experience costs to support Trump Accounts. Employee compensation, benefits, and overhead increased by $11 million and $15 million driven by the increased growth and expansion of our business. Additionally, other operations expense increased by $4 million and $6 million driven by the increase in transaction volume.

Previous wording

Provision for credit losses costs increased by$12 million for the three months ended March 31, 2026, primarily driven by an $18 million increase in credit card related provision for credit losses mainly due to higher balances in purchased credit card receivables, partially offset by adecrease in brokerage related losses of $6 million due to decreased fraud activity.

Current wording

Provision for credit losses increased by$28 million and$40 million for the three and six months ended June 30, 2026, primarily due to a $32 million and $50 million increase in credit card-related provision for credit losses driven by higher balances of purchased credit card receivables consistent with the growth of our credit card business, partially offset by a decrease in reserve rates, benefitting from improved recovery rates. In addition, brokerage related provision for credit losses decreased by $4 million and $10 million due to decreased fraud activity.

Previous wording

Marketing costs increased by $2 millionfor the three months ended March 31, 2026 primarily due to an increase in marketing expenses related to our credit card offerings.

Current wording

Marketing costs increased by $5 million and$7 millionfor the three and six months ended June 30, 2026 primarily due to an increase in marketing expenses related to our prediction markets and credit card offerings, offset by an decrease in brand marketing expenses due to lower campaign spend compared to the same periods in 2025.

Previous wording

General and administrative costs increased by $41 million for the three months ended March 31, 2026 primarily due to a$29 million increase in employee compensation, benefits, and overhead expenses driven by increased SBC related to the deemed modification of awards in connection with the CFO transition and increased average headcount to support the expansion of our business. Additionally, legal expenses increased$9 million for the three months ended March 31, 2026 in relation to new product offerings and reserves for legal matters.

Current wording

General and administrative costs increased by $67 million and $108 million for the three and six months ended June 30, 2026 primarily due to a$29 million and$58 million increase in employee compensation, benefits, and overhead expenses driven by increased SBC related to the modification of executive awards related to senior leadership transitions and the growth and expansion of our business. Additionally, other general and administrative expenses increased$22 million and$25 million and legal expenses increased$7 million and$16 million for the three and six months ended June 30, 2026 in relation to new product offerings and reserves for legal matters.

Previous wording

Provision for income taxes increased by $30 million for the three months ended March 31, 2026 primarily due to the growth of the business and decrease in excess tax benefits from SBC.

Current wording

Provision for income taxes increased by $80 million and $110 million for the three and six months ended June 30, 2026 primarily due to the growth of the business and decrease in excess tax benefits from SBC.

Previous wording

As of March 31, 2026, we had cash and cash equivalents of $5.0 billion and stablecoin of $153 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, 2026, we had cash and cash equivalents of $5.4 billion and stablecoin of $155 million. Refer to Note 8 - 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, 2026, we had committed revolving credit facilities with a total borrowing capacity of up to $4.875 billion and a borrowing capacity for the Trust of up to $1.250 billion. 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, 2026, we had committed revolving credit facilities with a total borrowing capacity of up to $4.875 billion and a borrowing capacity for the Trust of up to $1.550 billion. Refer to Note 11 - Financing Activities and Off-Balance Sheet Risk to our unaudited condensed consolidated financial statements in this Quarterly Report for further information.

Previous wording

There have been no material changes to our critical accounting estimates during the three months ended March 31, 2026, as compared to those disclosed in “Management’s Discussion and Analysis of Financial Condition and Results of Operations — Critical Accounting Estimates” in our 2025 Form 10-K.

Current wording

There have been no material changes to our critical accounting estimates during the six months ended June 30, 2026, as compared to those disclosed in “Management’s Discussion and Analysis of Financial Condition and Results of Operations — Critical Accounting Estimates” in our 2025 Form 10-K.