Robinhood Markets, Inc. Revenue in 2024

Robinhood Markets, Inc. reported $3.0B in revenue for fiscal year 2024. This represents a growth of 59.7% compared to the 2023 figure of $1.9B.

Net income of $1.3 billion on $2.97 billion in revenue in 2024 — a margin of roughly 24 percent — is the financial statement that proves Robinhood's business model works at scale. Revenue of $1.35 billion in 2022 growing to $2.97 billion in 2024 is a 120 percent increase over two years, driven by rising interest rates expanding the Net Interest Income opportunity and by user base growth continuing past the GameStop volatility. The NII segment is the most structurally interesting financial story: $1.33 billion generated by the spread between what Robinhood earns on $85 billion in uninvested cash (5.0 percent) and what it pays users (0.5 to 3.5 percent). That 450-basis-point spread exists because most users keep cash in their accounts without actively sweeping it to higher-yield alternatives. The segment's performance is directly tied to the federal funds rate — if rates fall significantly, NII compresses regardless of customer base growth. The PFOF segment — $1.2 billion in transaction-based revenue in 2024 — functions as a volume business. Processing over $400 billion in annualized trading volume at 10 to 15 cents per share in rebates from market makers produces economics that scale with trading activity rather than with account balances. The proprietary smart order routing algorithms that achieve rebate rates 15 percent above industry average are the technical differentiation that makes PFOF more valuable at Robinhood than at competitors routing the same order flow. Customer acquisition cost under $40 — compared to Charles Schwab's $200-plus — reflects the virality of the referral-driven growth model and the relatively young demographic of the Robinhood user base, who are more likely to recruit friends through social sharing than older investors using traditional brokerages.