Trading platform Robinhood has still managed to beat Wall Street estimates as its first-quarter revenues fell and its crypto trading volume cooled from a record high in Q4.<\/p>\n
Robinhood\u2019s Q1 results shared<\/a> on April 30 show revenues fell 8.6% from the previous quarter to $927 million, topping Zacks analyst estimates<\/a> by 3.16%.<\/p>\n The company\u2019s crypto revenue plummeted nearly 30% quarter-on-quarter to $252 million from the firm\u2019s record-setting Q4 2024.<\/a>\u00a0\u00a0<\/p>\n The drop could be partly attributed to the Trump administration\u2019s tariffs,<\/a> which triggered an 18% fall in the crypto market cap over the quarter.<\/p>\n Crypto trading volume on Robinhood also fell 35% over Q1 compared to the fourth quarter of 2024, which the firm attributed to a 10% drop in customer trades placed and a 27% fall in average notional volume per trade.<\/p>\n Robinhood CEO Vladimir Tenev said<\/a> on an earnings call that crypto trading volumes would continue to fluctuate but the firm is more focused on capturing as much market share as possible.<\/p>\n Despite the fall from last quarter, Robinhood\u2019s crypto revenue<\/a> rose 100% from the same quarter a year ago, while trading volumes jumped 28% over the same period.<\/p>\n Robinhood\u2019s quarterly revenues by segment since Q1 2023. Source: <\/em>Robinhood<\/em><\/a><\/p>\n The firm also added $500 million to its now $1.5 billion buyback authorization program,<\/a> aimed at boosting shareholder value and confidence in the firm\u2019s financial health. The company has bought back $667 million worth of shares so far.<\/p>\n Shares in Robinhood (HOOD) rose 1.51% in after-hours trading on April 30 to $49.85 since the firm disclosed its Q1 results, Google Finance data<\/a> shows.\u00a0<\/p>\n Tenev said Robinhood\u2019s $200 million acquisition of Bitstamp crypto exchange<\/a> is still looking likely to receive regulatory approval in the middle of 2025, which would enable it to serve institutional investors in the US.<\/p>\n Regulatory pressure also eased for Robinhood in Q1 after the Securities and Exchange Commission closed its investigation<\/a> into the firm\u2019s crypto business on Feb. 21.<\/p>\n Tenev said Robinhood is still exploring integrating crypto tokenization <\/a>into the company\u2019s services.<\/p>\n Tokenizing private equities is a \u201chuge unlock\u201d for both individuals and companies that can solve a lot of problems in secondary market transactions, he said.<\/p>\nCrypto tokenization remains a key focus for Robinhood<\/h2>\n