An online trading platform has recently disclosed its financial performance for the second quarter of 2025, marking its initial reporting period as a public company after going public in May.
During this quarter, total revenue and income for the platform saw a significant decline, dropping 44% from $3.755 billion in the first quarter to $2.094 billion. This steep fall has raised questions regarding the platform’s performance, particularly considering its separation of revenue streams into distinct categories for various asset types, which complicates the evaluation of its financial health. After adjusting for the ‘Revenue from cryptoassets’ and ‘Cost of revenue from cryptoassets’ to present a clearer picture of its net revenue, the platform revealed that adjusted revenues totaled $217 million in the second quarter, reflecting a 4% decrease from $227 million in the preceding quarter and significantly lower than $262 million in the final quarter of 2024.
The situation on the profit side was equally concerning, as net income plummeted by 50%, finishing at $30 million compared to $60 million in the previous quarter. This dip marks the least profitable quarter for the firm since 2023. Despite the downturn in revenues and profits, the total number of funded accounts rose to 3.63 million by the end of the second quarter, up from 3.58 million in the prior quarter. Moreover, assets under administration surged 18%, growing to $17.5 billion from $14.8 billion, driven in part by favorable market conditions in both stock and cryptocurrency valuations.
As for the company’s shares, they closed at $55.30, hovering near the lowest levels since the public listing. Following an initial surge to a high of $79.96 shortly after the IPO, the share price has since decreased by over 30%, settling just above the IPO price of $52.
In a statement, the leadership expressed pride in the accomplishments and performance of the team, noting several enhancements in product offerings and geographical expansion. They highlighted new initiatives such as 24/5 trading for U.S. equities, the introduction of long-term portfolios in collaboration with a financial partner, and the rollout of savings products in France, all while strengthening their presence in Asia with a new hub in Singapore. They emphasized their ongoing commitment to simplifying the investment process and enhancing accessibility for their global customer base.
Looking forward, the management team remains optimistic about future developments. They aim to pursue advancements in technology, particularly in areas like tokenization and AI, which they believe hold the potential to revolutionize how retail investors engage with the markets and unlock further growth opportunities. The team is committed to executing their strategic vision while driving sustainable value for users and investors alike.
Overall, the second quarter results reflect significant challenges in revenue and profits, but also indicate resilience through expanded client accounts and asset management growth, alongside strategic advancements aimed at future profitability.