Robinhood’s Crypto Revenue Declined 24% to $39M in Q4
Online trading brokerage Robinhood (HOOD) reported $39 million in crypto trading revenue in the fourth quarter, down 24% from $51 million in the third quarter.
The company also said its board had authorized the company to pursue purchasing all or most of the 55 million shares that a holding company for former FTX execs Sam Bankman-Fried and Gary Wang bought in May 2022, and canceled nearly $500 million of its share-based compensation.
The company noted that its Robinhood crypto wallet was rolled out to more than one million waitlisted users in 2022 after a beta version of its Polygon-based Web3 wallet was released in September.
Overall for the fourth quarter, Robinhood posted an adjusted loss of 19 cents a share, ahead of the consensus analyst estimate of a loss of 15 cents a share, according to FactSet, on revenues of $380 million, below the analyst estimate of $396 million.
Shares of Robinhood were up about 3% to $10.80 in after-hours trading on Wednesday. Shares are up about 30% year to date but down 21% over the last year.
Robinhood is scheduled to hold a call with analysts at 5 p.m. ET.