Robinhood Markets, Inc.

Thank you to everyone for joining Robinhood's Q1 2026 earnings call, whether you're tuning into the live stream or here with us in person. With us today are Chairman and CEO Vlad Tenev, CFO Shiv Verma, and VP of Corporate Finance and Investor Relations Chris Cagle. Vlad and Shiv will offer opening remarks and then open the call to Q&A. During the Q&A portion of the call, we will answer questions from the audience, which includes institutional research analysts, finance content creators who may hold an ownership position in Robinhood, and both institutional and retail shareholders. As a reminder, today's call will contain forward-looking statements. Actual results could differ materially from our current expectations, and we may not provide updates unless legally required. Potential risk factors that could cause differences, including regulatory developments that we continue to monitor and with that please welcome Vlad and Shiv

All right, all right. How's everyone doing? I've been told that this may be the first ever outdoor earnings call in history. Can you believe that? Very cool. Shiv, they told us before we went public that earnings calls aren't going to be very much fun, that they're going to be a chore, that actually being public wouldn't be very much fun. And I think... Part of what we're trying to do is improve the branding of being a public company. I think that's going to be pretty important. The branding of it has been very negative. And maybe that's contributing to companies staying private longer and longer and retail shareholders being left out of all those potential returns. So yeah, hopefully you guys find this informative and also entertaining. And we can shift the perception of what it means to be a public company slowly but surely. So we're back at our HQ in Menlo Park with a growing audience of in-person folks, shareholders and analysts. So thank you all for being here. Before I get into the meat of it, of Q1, I want to highlight a historic milestone in our mission to democratize finance for all, Trump accounts. We announced a few weeks ago that Robinhood will be the broker and sole initial trustee for the Trump accounts. under the direction of the US Department of the Treasury. And over 5.5 million American children are already signed up, and over 60 million 6-0 are eligible. So these children will now experience the power of equity ownership in the US stock market, which we believe is the greatest engine of wealth creation in human history. It's an incredible honor to be trusted by the United States Department of Treasury and to partner with BNY, America's oldest bank, which was appointed as financial agent to manage the program. And by developing and managing the new Trump accounts app, we're getting Robinhood technology in front of the next generation of investors, 60 million of them. This is also a new way to extend Robin Hood's mission beyond just retail and institutional to helping governments and building a public sector business, which we actually see as a big opportunity and we can really help there. Now our hope and aspiration is that this should be the best technology product that the government has ever built or been associated with. So we're really excited about this. Now let's get to Q1. So as a reminder, we're focused on a three-part strategy. Number one in active traders, number one in wallet share for the next generation, and of course our long-term mark, number one global financial ecosystem. So active traders, if you're an active trader, we want you to feel like you're at a disadvantage trading anywhere besides Robinhood. So using another brokerage or another financial platform, that should be an irresponsible and irrational decision. That's the goal. So a few things to highlight there. As we continue shipping great products for our customers, in Q1, we saw record levels across prediction markets, futures, index options, shorting, and margin. So our active traders were very active. We saw double-digit year-over-year growth in equity and option volumes as well. So that's been great to see now looking at prediction markets specifically We're really spending time getting ready for the q2 launch of our JV with Susquehanna. This is our exchange Roth era and That's coming later this quarter. So very excited about that. Now today, Robinhood is the largest retail brokerage firm in prediction markets. And we've been one of the first to adopt the new asset class. Susquehanna is one of the largest market makers. And in the past, up until now, we've been relying on third party exchanges. With the launch of Rothera, this vertical integration gives us a couple of things. It really gives us end-to-end control of the customer experience, including product selection and pricing. So we'll have more control over what products and what pricing we can offer to customers, which I think is going to be very, very nice. Moving on, Robinhood Social, strong engagement. We've rolled out Robinhood Social to the first 10,000 customers. And what we're hearing is they absolutely love verified profiles. They love verified returns and trades. So if you remember, the value prop for Robinhood Social, as opposed to other social media platforms or places where you can chat about your finances, is you have a guarantee that customers have actual skin in the game with real positions and real returns. And it seems like that's proving out. People love that. And we're working to add new requested features on a weekly basis. So these are things like live stock charts, expanded personal profiles, tools to find other traders. And we're also bringing popular creators on the platform. And there's really been strong demand from creators to participate in this network. Second, wallet share. We are building our customer's financial super app. We can see that this is starting to resonate with customers. Across retirement, gold credit card, strategies, and banking, customers added 500,000 funded accounts in Q1 and more than 1.5 million in the past year. And so we're really continuing to broaden the offering beyond just brokerage. I'd give a special highlight to Robinhood Banking. So Robinhood Banking grew 5x since the last earnings. It's rapidly become a leading premium digital banking offering. And I think it's really one of a kind in that category. Over $2 billion in net deposits, over 125,000 funded customers, and I think most interestingly, a 40% direct deposit rate. Okay, so that's a 40% direct deposit attach rate, which tells us This isn't just an add-on to your brokerage account for keeping your extra cash. People are thinking about this as a primary bank account. So I think that gets me very excited. I know Shiv as well. Gold card. OK, gold credit cards have also surpassed 800,000 customers with annualized purchase volume, APV, of $15 billion. So this is a heavy purchasing card already. The credit performance continues to be strong, and we're on track to surpass 1 million cards and 100 million ARR this year, and well before the end of the year as well. Demand for the new Platinum card, which if you guys saw the Take Flight event, I mean, it was very popular. The card is, I believe, the heaviest credit card on the market. So demand for it has exceeded our expectations. We look forward to rolling out in the coming months. And we're responding to initial feedback. So the great thing about this team, they iterate, and I think you're gonna see a better product than what was even unveiled. So that's very exciting. Moving on to our third and long-term mark, global financial ecosystem. We're making progress as we expand to different markets around the world. International is picking up, and we approach 1 million funded customers. We plan to launch crypto in Canada around mid-year. Remember, this is via our WonderFi acquisition from last year. And we have received in-principle approval from regulators in Singapore to offer a comprehensive suite of brokerage services there. So that's a big deal. Bitstamp continues to win institutional customers, gaining market share. And we're enhancing the offering. In particular, there's been a lot of interest in institutional lending. So you're going to see us digging in and doing more there. Across the entirety of the business, we're really turbocharging Robinhood with AI as well. And if you think about the impact of AI on our business, it's actually three different things. So first, we're aggressively leveraging AI to drive efficiency and productivity internally. We've been doing this for a long time, and Shiv will talk a little bit more about the wins we've been seeing there. The second thing, We've been and we continue to give customers access to the highest quality AI power tools. So Robinhood Cortex, which we unveiled about a year ago, used by nearly one million customers so far. So this is like AI intelligence throughout the Robinhood app. You can see it in the stock digests and you can now see it in Cortex Assistant, which is our AI assistant within the product. So now that's rolled out actually to all gold customers. And so we're putting the financial intelligence coupled with our market data in your pocket. Customers are using it to do portfolio and P&L analysis. They're using it for stock research and stock screening. And you should expect to see it get better and better. I think we really love what we're seeing there. And we're also, you could tell last December, there was a step change in the agentic capabilities in these AI models. Of course, we're working to bring the frontier capabilities into your product. And we've been spending a lot of time chiseling what an agentic product could look like. So stay tuned there. And third, and this is an interesting one, AI is affecting the markets and investors. So one of the things that we've been spending a lot of time on is empowering customers to participate in the economic value and the upside created by these AI companies. Now the unfortunate thing has been a lot of them are still private. In some cases, staying private, valuations of hundreds of billions. But Robinhood Ventures was built to solve this. And Robinhood Ventures' first fund, RVI, had its IPO in March. We have a great portfolio of late-stage frontier companies, and we just added OpenAI last week. Uh, which was awesome. Now we're also hearing from customers that they want access to emerging AI companies at an even earlier stage. And we've already begun building the initial portfolio for our next fund RVI. So the second, uh, RBI. we're excited to share more soon. But I think part of this is just building the capability now that we've proven out that private markets democratization is a real thing, making it a bigger thing. The aspiration is that if you're a founder, retail should be part of the initial seed capital for your company. And I think once we succeed in this, we could actually move the needle on entrepreneurship in this country and make it so that This is better for entrepreneurs. They can access retail and get even more capital. So taking all this together, the relentless product velocity has driven another quarter of strong business results. Total net revenues grew 15% year over year to 1.1 billion. Net deposits were 18 billion, which is another quarter of 20% plus annualized net deposit growth. and our third highest ever. Gold subscribers, 36% year-over-year growth to a record 4.3 million, and that's 16% attach rate relative to the total customer base. and 40% of new customers in Q1. So we're seeing customers adopting gold very quickly, and that gets us very energized. Now looking ahead, we've got some great new products to share. So as I mentioned earlier, we've been working hard on extending agentic capabilities into Robinhood Cortex and your Robinhood experience. So you should see some exciting products coming in late May, so that's next month. Plus, we've got a crypto event coming up as well. That's going to be early July in the United Kingdom. We'll be holding, so that's two things coming up very shortly. We're also holding our annual hood summit for active traders in the fall. And, you know, I've been reviewing what's on deck for that one. And I think you'll really like that. So why don't I turn it over to Shiv now to discuss our financials, and then we'll circle back for the Q&A.

All right.