Shares of Robinhood rose in extended trading Wednesday afternoon after the retail brokerage announced stronger-than-expected first-quarter results.
Robinhood reported net income of $157 million, or 18 cents per share, for the first quarter. That is a positive swing from the same period last year, when the company had a net loss of $511 million, or 57 cents per share.
Here is how Robinhood’s results compared to Wall Street estimates, according to analysts surveyed by LSEG:
- Earnings per share: 18 cents vs. 6 cents expected
- Revenue: $618 million vs. $549 million expected
The company said the earnings per share and revenue numbers were both records for the firm. The stock jumped more than 5% in after-hours trading.
Robinhood surged in popularity during the Covid-19 pandemic in 2020 and 2021, but has since seen user activity and revenue that mirrors action in the broader market. Stocks and cryptocurrencies rose during the first quarter, which likely helped the company’s results.
Source: CNBC
