Robinhood’s (HOOD) shares popped more than 12% in premarket trading Wednesday after the stock trading platform reported better-than-expected FQ4 earnings and revenue.
The firm posted earnings per share (EPS) of $0.03, versus the loss per share of $0.01 that analysts expected. Revenue came in at $471 million, also above the consensus estimates of $456.33 million.
Robinhood’s transaction-based revenue rose by 7.5% year-over-year to $200 million, exceeding the estimated $191.2 million. Crypto-related revenue reached $43 million, beating the $37 million forecast.
The company also reported 10.9 million monthly active users for the quarter, slightly above the anticipated 10.83 million.
For fiscal 2024, Robinhood (NASDAQ:HOOD) anticipates total operating expenses to be between $1.85 billion and $1.95 billion, compared to analysts’ expectations of $1.95 billion.
“Mgmt. guided to 2024 combined adj. opex to be in the $1.85-1.95B range (+5% y/y) containing $85M of SBC per quarter,” BofA analysts said in a note.
“Given recent positive signs of managements seriousness around cost discipline including multiple headcount reductions on top of their $485M Founders Award cancellation, we view their targets as highly attainable,” they commented.