Robinhood Markets, Inc. Reports November 2024 Operating Data

Rhea-AI Summary

Robinhood Markets (HOOD) reported strong operational growth in November 2024. Funded Customers reached 24.8 million, increasing by 420,000 from October and 1.5 million year-over-year. Assets Under Custody (AUC) grew to $195 billion, up 22% monthly and 106% annually. Net Deposits hit $5.6 billion, showing a 42% annualized growth rate.

Trading volumes showed significant increases: Equity trading reached $147.1 billion (+16% MoM), while Crypto trading volumes surged to $35.2 billion (+500% MoM). Margin balances grew to $6.8 billion (+10% MoM), and Cash Sweep balances increased to $26.5 billion (+4% MoM). Securities Lending Revenue reached $23 million, up 21% from October.

Positive

• Assets Under Custody (AUC) doubled YoY to $195 billion
• Net Deposits reached $5.6 billion, showing 42% annualized growth
• Crypto trading volumes increased over 500% MoM to $35.2 billion
• Securities Lending Revenue grew 109% YoY to $23 million
• Margin balances doubled YoY to $6.8 billion
• Funded Customers increased by 420,000 MoM to 24.8 million

Negative

• Options Contracts Traded decreased 2% MoM to 155.5 million

Insights

Financial Analyst

The November operating data reveals remarkable growth across key metrics for Robinhood. $5.6 billion in net deposits and a 42% annualized growth rate demonstrate strong customer engagement. Most notably, crypto trading volumes surged by over 500% month-over-month to $35.2 billion, likely driven by recent crypto market rallies. Assets Under Custody jumped 22% to $195 billion, while margin balances increased 10% to $6.8 billion, indicating growing investor confidence and platform engagement. The 178% year-over-year increase in equity trading volumes to $147.1 billion suggests Robinhood is successfully capturing market share in traditional securities trading.

Market Research Analyst

Robinhood's customer growth remains strong with 420,000 new funded accounts in November, bringing the total to 24.8 million. The substantial increase in crypto trading activity, combined with robust equity trading volumes, indicates a shift in retail investor behavior toward more active trading. The 74% year-over-year growth in cash sweep balances to $26.5 billion suggests effective customer fund retention. Securities lending revenue jumped 109% year-over-year, providing a growing stream of passive income. These metrics point to improving monetization of the user base and diversification of revenue streams beyond traditional trading commissions.

MENLO PARK, Calif., Dec. 11, 2024 (GLOBE NEWSWIRE) -- Robinhood Markets, Inc. (“Robinhood”) (NASDAQ: HOOD) today reported select monthly operating data for November 2024:

• Funded Customers at the end of November were 24.8 million (up approximately 420 thousand from October 2024, up approximately 1.5 million year-over-year).
  
• Assets Under Custody (AUC) at the end of November were $195 billion (up 22% from October 2024, up 106% year-over-year). Net Deposits were $5.6 billion in November, translating to a 42% annualized growth rate relative to October 2024 AUC. Over the last twelve months, Net Deposits were $47.4 billion, translating to an annual growth rate of 50% relative to November 2023 AUC.
  
• Equity Notional Trading Volumes were $147.1 billion (up 16% from October 2024, up 178% year-over-year). Options Contracts Traded were 155.5 million (down 2% from October 2024, up 63% year-over-year). Crypto Notional Trading Volumes were $35.2 billion (up over 500% from October 2024, up over 700% year-over-year).
  
• Margin balances at the end of November were $6.8 billion (up 10% from the end of October 2024, up 100% year-over-year).
  
• Total Cash Sweep balances at the end of November were $26.5 billion (up 4% from the end of October 2024, up 74% year-over-year).
  
• Total Securities Lending Revenue in November was $23 million (up 21% from October 2024, up 109% year-over-year).
  
  

	November 2024	October 2024	M/M Change	November 2023	Y/Y Change
(M - in millions, B - in billions)
Funded Customer Growth (M)
Funded Customers	24.8	24.4	+2%	23.3	+6%
Assets Under Custody (AUC) ($B)
Total AUC	$194.6	$159.7	+22%	$94.4	+106%
Net Deposits	$5.6	$5.2	NM	$1.4	NM
Trading
Trading Days (Equities and Options)	20	23	(13%)	21	(5%)
Total Trading Volumes
Equity ($B)	$147.1	$126.4	+16%	$52.9	+178%
Options Contracts (M)	155.5	158.0	(2%)	95.3	+63%
Crypto ($B)	$35.2	$5.6	+529%	$4.0	+780%
Daily Average Revenue Trades (DARTs) (M)
Equity	2.5	2.0	+25%	1.4	+79%
Options	1.0	0.9	+11%	0.6	+67%
Crypto	1.0	0.2	+400%	0.2	+400%
Customer Margin and Cash Sweep ($B)
Margin Book	$6.8	$6.2	+10%	$3.4	+100%
Total Cash Sweep	$26.5	$25.5	+4%	$15.2	+74%
Gold Cash Sweep	$25.7	$24.8	+4%	$14.5	+77%
Non-Gold Cash Sweep	$0.8	$0.7	+14%	$0.7	+14%
Total Securities Lending Revenue ($M)	$23	$19	+21%	$11	+109%

For definitions and additional information regarding these metrics, please refer to Robinhood’s full monthly metrics release, 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, Inc. (NASDAQ: HOOD) transformed financial services by introducing commission-free stock trading and democratizing access to the markets for millions of investors. Today, Robinhood lets you trade stocks, options, commodity interests, and crypto, invest for retirement, and earn with Robinhood Gold. Headquartered in Menlo Park, California, Robinhood puts customers in the driver's seat, delivering unprecedented value and products intentionally designed for a new generation of investors. Additional information about Robinhood can be found at www.robinhood.com.

Robinhood uses the “Overview” tab of its Investor Relations website (accessible at investors.robinhood.com/overview) and its Newsroom (accessible at newsroom.aboutrobinhood.com), as means of disclosing information to the public in a broad, non-exclusionary manner for purposes of the U.S. Securities and Exchange Commission's (“SEC”) 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. All other names are trademarks and/or registered trademarks of their respective owners.

Contacts

Investor Relations

ir@robinhood.com

Media

press@robinhood.com

FAQ

What was Robinhood's (HOOD) Assets Under Custody in November 2024?

Robinhood's Assets Under Custody (AUC) reached $195 billion in November 2024, representing a 22% increase from October 2024 and a 106% increase year-over-year.

How much did HOOD's crypto trading volumes grow in November 2024?

Robinhood's crypto trading volumes increased over 500% from October 2024 to $35.2 billion, representing a more than 700% increase year-over-year.

What was Robinhood's (HOOD) customer growth in November 2024?

Robinhood added approximately 420,000 funded customers in November 2024, reaching a total of 24.8 million, which represents an increase of 1.5 million customers year-over-year.

How much did HOOD's Securities Lending Revenue grow in November 2024?

Robinhood's Securities Lending Revenue reached $23 million in November 2024, up 21% from October 2024 and up 109% year-over-year.

What were HOOD's Net Deposits in November 2024?

Robinhood's Net Deposits were $5.6 billion in November 2024, showing a 42% annualized growth rate relative to October 2024 AUC.