Robinhood, a leading financial services company, has reported a significant improvement in its financial performance for the year ended December 31, 2023. The company's total net revenues surged by 37% to $1.87 billion from $1.36 billion in the previous year. Despite this revenue growth, Robinhood incurred a net loss of $0.54 billion, which is an improvement from the $1.03 billion net loss reported in the prior year. The net loss per share also improved to -$0.61 from -$1.17. Operating expenses saw a marginal increase of 1% to $2.40 billion. The company's Adjusted EBITDA turned positive at $536 million, a significant recovery from the negative $94 million in the previous year. Robinhood's customer base grew modestly with Funded Customers increasing by 2% to 23.4 million. Assets Under Custody (AUC) experienced a substantial rise...Show More

Robinhood, a leading financial services company, has reported a significant improvement in its financial performance for the year ended December 31, 2023. The company's total net revenues surged by 37% to $1.87 billion from $1.36 billion in the previous year. Despite this revenue growth, Robinhood incurred a net loss of $0.54 billion, which is an improvement from the $1.03 billion net loss reported in the prior year. The net loss per share also improved to -$0.61 from -$1.17. Operating expenses saw a marginal increase of 1% to $2.40 billion. The company's Adjusted EBITDA turned positive at $536 million, a significant recovery from the negative $94 million in the previous year. Robinhood's customer base grew modestly with Funded Customers increasing by 2% to 23.4 million. Assets Under Custody (AUC) experienced a substantial rise of 65% to $102.6 billion. Net Deposits totaled $17.1 billion, reflecting a growth rate of 27% relative to AUC at the end of the fourth quarter of 2022. Average Revenue Per User (ARPU) increased by 33% to $80, while Monthly Active Users (MAU) decreased by 4% to 10.9 million in December 2023. In terms of business development, Robinhood has not declared or paid cash dividends, intending to retain all available funds for the development and expansion of its business. The company did not sell any unregistered securities during the year. Robinhood's stock performance has been compared to the KBW NASDAQ Financial Technology Index and the Standard & Poor’s 500 Index, with the assumption of a $100 investment at the commencement of trading on the Nasdaq Global Select Market. Looking ahead, Robinhood plans to continue investing in new ways to serve its customers, potentially seeking strategic acquisitions to leverage existing capabilities and further build its business. The company's liquidity needs are primarily to support and invest in its core business, including capital requirements imposed by regulators and for general capital needs. Robinhood believes its primary sources of liquidity will be adequate to meet its current liquidity needs for the next 12 months.