(Robinhood) Robinhood Markets Inc.’s shares fell more than 10% on Wednesday to trade at around its July $38 IPO price after its crypto revenue fell 78% to $51 million in the third quarter from the second.
The company reported a $365 million revenue in the third quarter, up 35% from the prior year but missed an expected $431.38 million. The revenue in the nine months to September was $1.452 billion, up 126% year over year.
Equities trading volume fell to $50 million in the third quarter from the prior year.
The company reported a slight decline of funded trading accounts from the last quarter, which hit 22.4 million in the third quarter. The funded accounts rose by 96.5% from the prior year.
Robinhood’s net loss widened to $1.32 billion, or $2.06 per diluted share, compared to a loss of only $11 million, or $0.05 per share in the prior year.
The company projects its fourth quarter revenue not to exceed $325 million, while FY21 revenue is expected at below $1.8 billion impacted by seasonal headwinds and a slump in retail trading activity.
HOOD: NASDAQ is down -10.74% on premarket.
