Robinhood Markets, Inc. Reports February 2023 Operating Data

Rhea-AI Summary

Robinhood Markets (HOOD) reported its operating metrics for February 2023, revealing a net cumulative funded accounts (NCFA) of 23.1 million, a slight increase of 50,000 from January. Monthly active users (MAU) remained stable at 12.0 million, yet this reflects a 28% decline year-over-year. Assets under custody (AUC) were stable at $74.7 billion, while net deposits rose to $1.5 billion, marking a 25% annualized growth. Trading volumes increased for equities ($57.3 billion, up 25%) and options (89.4 million contracts, up 8%), but dropped for cryptocurrencies ($3.5 billion, down 7%). Margin balances increased to $3.3 billion, and cash sweep balances grew to $8.0 billion.

Positive

• Net Cumulative Funded Accounts (NCFA) increased to 23.1 million.
• Net Deposits grew by 25% annualized to $1.5 billion.
• Equities trading volumes rose to $57.3 billion, up 25% month-over-month.
• Options volume increased to 89.4 million contracts, up 8%.

Negative

• Monthly Active Users (MAU) did not change, reflecting a 28% decrease year-over-year.
• Assets Under Custody (AUC) decreased by 14% from February 2022.
• Cryptocurrency trading volumes fell by 7% month-over-month and 52% year-over-year.

MENLO PARK, Calif., March 13, 2023 (GLOBE NEWSWIRE) -- Robinhood Markets, Inc. (“Robinhood”) (NASDAQ: HOOD) today reported selected monthly operating data for February 2023:

• Net Cumulative Funded Accounts (NCFA) at the end of February were 23.1 million, up approximately 50 thousand from January 2023⁽¹⁾. Monthly Active Users (MAU) at the end of February were 12.0 million, in line with January 2023.
  
• Assets Under Custody (AUC) at the end of February were $74.7 billion, in line with the end of January 2023. Net Deposits were $1.5 billion in February, translating to a 25% annualized growth rate relative to January 2023 AUC. Over the last twelve months, Net Deposits were $16.9 billion, translating to an annual growth rate of 19% relative to February 2022 AUC.
  
• Notional Trading Volumes - which are the primary driver of transaction revenues - were higher in February for equities and options, and lower for crypto from January 2023. Equities were $57.3 billion (up 25%), Option contracts were 89.4 million (up 8%), and Cryptocurrencies were $3.5 billion (down 7%).
  
• Margin Balances at the end of February were $3.3 billion, up $0.3 billion from the end of January 2023.
  
• Cash Sweep Balances at the end of February were $8.0 billion, up $0.9 billion from the end of January 2023. Of the $8.0 billion, $7.1 billion were in Gold accounts, which were up $1.1 billion from the end of January 2023.
  

Robinhood	February 2023	January 2023	Change M/M	February 2022	Change Y/Y
(M - in millions, B - in billions)
User Growth (M)
Net Cumulative Funded Accounts (NCFA)	23.1	23.0	0%	22.8	1%
Engagement (M)
Monthly Active Users (MAU)	12.0	12.0	0%	16.7	-28%
Assets Under Custody (AUC) ($B)
Total AUC	$74.7	$74.7	0%	$86.9	-14%
Net Deposits	$1.5	$1.4	N/M	$1.6	N/M
Trading
Trading Days (equities and options)	19	20	-5%	19	0%
Total Trading Volumes
Equity ($B)	$57.3	$46.0	25%	$56.9	1%
Options contracts (M)	89.4	82.9	8%	$72.3	24%
Crypto ($B)	$3.5	$3.7	-7%	$7.2	-52%
Daily Average Revenue Trades (DARTs) (M)
Equity DARTs	1.6	1.5	9%	1.7	-6%
Option DARTs	0.7	0.6	17%	0.7	-1%
Crypto DARTs	0.2	0.3	-1%	0.3	-23%
Customer Margin and Cash Sweep Balances ($B)
Margin Book	$3.3	$3.0	8%	$5.3	-39%
Cash Sweep	$8.0	$7.1	13%	$2.1	283%

(1) Net Cumulative Funded Accounts (NCFAs) only includes unique users and does not reflect existing customers opening multiple accounts.

For definitions and additional information regarding these metrics, please refer to Robinhood’s full monthly metrics update, which is available on investors.robinhood.com.

The information in this release is unaudited and the information for the months in the most recent fiscal quarter is preliminary, based on Robinhood’s estimates, and subject to completion of financial closing procedures. Final results for the most recent fiscal quarter, as reported in Robinhood’s quarterly and annual filings with the U.S. Securities and Exchange Commission (“SEC”), might vary from the information in this release.

About Robinhood

Robinhood Markets is on a mission to democratize finance for all. With Robinhood, people can invest with no account minimums through Robinhood Financial LLC, buy and sell crypto through Robinhood Crypto, LLC, spend, save, and earn rewards through Robinhood Money, LLC, and learn about investing through easy-to understand educational content.

Robinhood uses the “Overview” tab of its Investor Relations website (accessible at investors.robinhood.com/overview) and its blog, Under the Hood (accessible at blog.robinhood.com), as means of disclosing information to the public for purposes of the SEC’s Regulation Fair Disclosure (Reg. FD). Investors should routinely monitor those web pages, in addition to Robinhood’s press releases, SEC filings, and public conference calls and webcasts, as information posted on them could be deemed to be material information.

"Robinhood" and the Robinhood feather logo are registered trademarks of Robinhood Markets, Inc.

Contacts

Investor Relations

ir@robinhood.com

Media

press@robinhood.com

FAQ

What are Robinhood's latest NCFA numbers for February 2023?

Robinhood reported a net cumulative funded accounts (NCFA) of 23.1 million for February 2023, increasing by 50,000 from January.

How did Robinhood's monthly active users (MAU) perform in February 2023?

Robinhood's monthly active users (MAU) remained at 12.0 million in February 2023, reflecting a 28% decline from the previous year.

What were Robinhood's asset under custody (AUC) figures for February 2023?

As of February 2023, Robinhood's assets under custody (AUC) were stable at $74.7 billion.

What was the trading volume for equities at Robinhood in February 2023?

Equities trading volumes reached $57.3 billion in February 2023, an increase of 25% from January.

What was the net deposit amount for Robinhood in February 2023?

Robinhood reported net deposits of $1.5 billion in February 2023, translating to a 25% annualized growth rate.