Key Highlights
Robinhood reported a 47% year-over-year drop in crypto revenue to $134 million in Q1 2026, contributing to a miss on Wall Street's revenue estimate.
A 320% surge in event contracts revenue to $147 million, driven by 8.8 billion prediction market contracts traded, partially offset the decline.
Robinhood shares fell 8% in after-hours trading following the earnings release.
Robinhood's Q1 2026 crypto revenue fell 47% year-over-year to $134 million, down from $252 million in the same period a year earlier, as softer retail crypto trading activity weighed on the company's top line. Total revenue of $1.07 billion fell short of the $1.14 billion Wall Street consensus, sending shares down 8% in after-hours trading.
The shortfall was partially cushioned by event contracts, where revenue surged 320% year-over-year to $147 million. Users traded a record 8.8 billion prediction market contracts during the quarter, reflecting the rapid growth of Robinhood's event betting product since its U.S. launch.
Adjusted EPS of $0.38 missed the $0.39 consensus estimate by a narrow margin. Total revenue still grew 15% year-over-year, though the composition of that growth, moving away from crypto and toward event contracts, raised questions about the durability of the shift.
Robinhood's crypto revenue trajectory has tracked closely with overall retail market sentiment. The Q1 decline follows a period of broad crypto market weakness, with the total market cap falling roughly 20% over the quarter, a dynamic that similarly hit competitors with large retail crypto exposure.
The company did not issue formal guidance for Q2.
