By Davit Kirakosyan
Robinhood (NASDAQ:HOOD) shares gained more than 6% after-hours following the company’s reported Q4 results, with EPS of ($0.11) coming in better than the consensus estimate of ($0.15).
Revenue grew 5% quarter-over-quarter to $380 million, primarily driven by higher net interest revenues. This compares to the consensus estimate of $394.33M.
Transaction-Based Revenues were $186M, down 11% sequentially, with Option revenues of $124M (flat), Crypto revenues of $39M (down 24%), and Equities revenues of $21M (down 32%).
Net interest revenue increased 30% sequentially to $167M, driven by higher short-term interest rates and growth in interest-earning assets.
Q4 Monthly Active Users (MAU) declined to 11.4M from 12.2M in the previous quarter as customers continue to navigate the volatile macro environment.
Robinhood co-founders Vlad Tenev and Baiju Bhatt said they canceled nearly $500M of their share-based compensation to ensure the company has as many resources as possible to deliver value to customers and shareholders.
For fiscal 2023, the company expects GAAP total operating expenses to be in the range of $2.375 billion to $2.515B. Total operating expenses prior to share-based compensation are expected in the range of $1.420-$1.480B.