Robinhood (HOOD) Q1 FY26 earnings call: guidance and Q&A

What is the current status of the dividend tracker previously announced?

The dividend tracker is in the works and will launch this year. The delay was due to an enhancement to pay out dividends an average of 17 days earlier than other brokerages, which is launching this month. The team will then focus on making the world's best dividend tracker.

“So the short answer to your question is it's in the works, and we're going to be launching it this year. So on track for that. The reason it hasn't been launched already is that as we sat down with our team to think about what we could be doing even more for our dividend hounds, one thing came up. So a lot of them had this complaint that some of the other brokerages pay out their dividends in the morning, but we do it in the evening. So why can't we pay out the dividends a little bit earlier, match everyone else.”

asked by Unknown Shareholder · answered by Vladimir Tenev

Beyond Trump Accounts, what are other sources of customer growth Robinhood is investing in?

Robinhood is focusing on simplifying onboarding, improving product discovery, and leveraging marketing activities with high ROI. The company aims to make the top of the funnel easier to navigate, especially given its expanded product suite, and deliver value to customers more quickly.

“I mean I think that there's a lot that we could be doing both on the product side, just making onboarding simpler, getting customers to see the value easier, right? And I think a lot of those surfaces since we've, in the past few years, turned our attention more to deepening relationships with customers, getting higher-value customers to get more value. We've been spending a little bit less attention and focus on how to make the top of funnel simpler and easier to get through.”

asked by Alexander Markgraff · answered by Vladimir Tenev

How healthy is the customer base given market volatility, and what are the trends in April across different asset classes?

Customers remain resilient, with $18 billion in net deposits in Q1 despite macro challenges. Robinhood's diversified products (Banking, credit card, Strategies) and active trader tools (index options, shorting) contribute to engagement. In April, equities and options volumes are strong, prediction markets are on track for $3 billion, and retirement assets crossed $30 billion, indicating continued customer engagement.

“So our North Star KPI is just net deposits. Like that is our customer is healthy, they're trusting us, $18 billion in Q1 despite was a really tough macro backdrop. If you recall, the start of the year, there was a government shutdown, a software sell-off and then a global conflict. Despite all of that, our customers remain resilient.”

asked by Daniel Fannon · answered by Shiv Verma

What are the implications of the Pattern Day Trader rule elimination for Robinhood and its customers, both near and long term?

The elimination of the PDT rule is 'fantastic' as it removes an outdated restriction that disproportionately affected Robinhood's new customers. It prevents customers from being flagged and forced to switch brokerages. This change, along with accreditation rules, is seen as progress in decoupling sophistication from account balance, and Robinhood is ready to implement the new logic.

“I mean, this rule -- so for those of you that aren't familiar, probably most are, but pattern day trading rules prevent day trading effectively for customers that have under $25,000 in their account. So when I say vestigial and kind of outdated, it's this old notion that the amount of money you have in your account or your account balance dictates how sophisticated or knowledgeable you are, right?”

asked by Devin Ryan · answered by Vladimir Tenev

How meaningful could the windfall from securities lending become, especially with more clients opting into fully paid sec lending, and what are the take rate dynamics for Q2?

Securities lending revenue is influenced by special rebates, which were lower due to reduced volatility and IPOs. However, 25% of customers and 50% of assets have opted into the fully paid program, indicating healthy adoption. Take rates are an output metric; lower rates indicate more active traders using tiered pricing, which is a positive. Crypto take rates were 7 bps lower and options $0.03 lower in April, but are starting to rebound.

“So right now, it's about 25% of customers have opted into fully paid and about 50% of assets. So really healthy adoption, but we also have a long way to go. It's hard to predict what's going to happen on the special rebates rate later in the year. But right now, it's at a low. And if the market comes back or if you see IPOs come back, you could see a rebound there.”

asked by Steven Chubak · answered by Shiv Verma

Can you provide modeling help regarding margin funding, especially with moving bank sweep cash to brokerage cash?

In Q1, Robinhood moved over $6 billion of off-balance sheet sweep cash to free credit balances on the balance sheet to fund the margin book. This was an accounting change with no customer impact, offering the same 3.35% rate. This $6 billion will have a smaller take rate, similar to sweep rates. This balance is expected to remain roughly at this level, representing about 25% of free credit balances.

“So on the margin book funding, what you'll notice in Q1 is we moved over $6 billion of cash that was off balance sheet and that was in the sweep program on to free credit balances on to balance sheet to help fund the margin book. No impact to customers. They get the exact same rate, 3.35%, one of the best in the industry.”

asked by Benjamin Budish · answered by Shiv Verma

What is the timeline and strategy for rolling out AI-powered financial advisors?

AI-powered financial advisors can mean advice on investments (like robo-advisors or trading recommendations) or managing overall finances (banking, budgeting, estate planning). Robinhood Strategies serves the former, and agentic AI will enhance its capabilities. For comprehensive financial management, Robinhood is working on digital self-serve solutions and ran a successful pilot for concierge services including estate planning and taxes. The strategy is to make individual capabilities available first, then stitch them together.

“I think it's the best like deposit money and we invest it for your product out there today under the fiduciary standard. We actually published some returns and historical performance a couple of weeks ago, which looked really good. Now the other thing people mean when they say financial advice is I want help just managing my entire spectrum of financial things, right?”

asked by Craig Siegenthaler · answered by Vladimir Tenev

How has the rollout of crypto perpetual futures in Europe gone, and what are the hurdles to offering them in the U.S.?

Perpetual futures in Europe, offered via Bitstamp, have seen healthy growth and continuous product improvement. Robinhood is 'doubling down' on this product. For the U.S., rule changes are needed to offer true perpetual contracts, as current offerings are long-expiry traditional futures. Robinhood is engaging with regulators and has the capability to roll out the product in the U.S. if regulations ease, as it's attractive for active traders.

“Yes, absolutely. The perpetuals product, I'm glad you asked about it because in Shiv's answer to the last question, I was going to butt in and say perpetuals overseas have been doing really, really well. And of course, we've listed those on Bitstamp our exchange and are making them available to EU customers. And we're seeing healthy growth. The product keeps getting better and better.”

asked by Patrick Moley · answered by Vladimir Tenev