eToro Aktienkurs
Vergleich mit Peer Group
📊 Peer Group
📈 Was ist das?
Die Peer Group sind die Unternehmen mit dem ähnlichsten Geschäftsmodell. Sie dienen als Vergleichsmaßstab, um eine Aktie einzuordnen.
🧮 Wie wird sie ausgewählt?
Nach Ähnlichkeit des Geschäftsmodells, also Unternehmen aus derselben Branche, mit vergleichbaren Produkten und einer ähnlichen Kundengruppe. Nur so vergleichst du Äpfel mit Äpfeln.
🏛️ Wofür ist sie wichtig?
Ob eine Aktie günstig oder teuer ist, lässt sich am ehesten im Vergleich beurteilen. Ein KGV von 18 oder ein EV/FCF von 20 wirkt je nach Maßstab günstig oder teuer. Die Peer Group liefert dabei den treffsichersten Maßstab: Unternehmen mit ähnlichem Geschäftsmodell, die denselben Bedingungen unterliegen.
🎯 Was bedeutet das für Anleger?
Liegt eine Kennzahl unter dem Peer-Durchschnitt, ist die Aktie relativ günstiger bewertet, über dem Durchschnitt entsprechend teurer. Ein Abschlag zur Peer Group kann eine Chance sein, aber auch einen Grund haben (zum Beispiel geringeres Wachstum). Der Vergleich ist ein Startpunkt, kein Urteil.
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📘 Marktkapitalisierung
📈 Was ist das?
Die Marktkapitalisierung zeigt, wie viel ein Unternehmen laut Börse aktuell wert ist.
🧮 Wie wird es berechnet?
🏛️ Wofür ist es wichtig?
Sie hilft Unternehmen in Größenklassen (Large, Mid, Small Cap) einzuordnen und gibt Hinweise auf Marktmacht und Stabilität.
🧮 Berechnung
🎯 Was bedeutet das für Anleger?
- Große Unternehmen gelten als stabiler, zahlen oft Dividenden, wachsen aber langsamer.
- Kleine Firmen können stärker wachsen, sind aber schwankungsanfälliger.
- Die Marktkapitalisierung ist ein guter Indikator für Unternehmensgröße, aber kein Maß für Unter- oder Überbewertung.
📘 Enterprise Value (Unternehmenswert)
📈 Was ist das?
Der Enterprise Value (EV) zeigt, was ein Unternehmen tatsächlich kostet, wenn man es komplett übernehmen würde – inklusive Schulden und abzüglich Cash.
🧮 Wie wird es berechnet?
(= Marktkapitalisierung + Nettoverschuldung)
🏛️ Wofür ist es wichtig?
Der EV ist eine realistischere Bewertungsbasis als die Marktkapitalisierung, da er die Kapitalstruktur berücksichtigt. Er ist Grundlage für Kennzahlen wie EV/FCF oder EV/Sales.
🧮 Berechnung
🎯 Was bedeutet das für Anleger?
- Der Enterprise Value zeigt, was ein Unternehmen tatsächlich wert ist – unabhängig davon, wie es finanziert ist.
- Er ist besonders wichtig für professionelle Investoren, da er eine objektivere Grundlage für Bewertungsvergleiche bietet als die Marktkapitalisierung allein.
- Ein Unternehmen mit hoher Verschuldung erscheint im EV teurer, eines mit viel Cash günstiger – auch wenn sie an der Börse gleich viel wert sind.
📘 Nettoverschuldung
📈 Was ist das?
Die Nettoverschuldung zeigt, wie viele Schulden nach Abzug des verfügbaren Cashs tatsächlich verbleiben.
🧮 Wie wird es berechnet?
🏛️ Wofür ist es wichtig?
Sie zeigt, wie stark ein Unternehmen von Fremdkapital abhängig ist – und wie gut es in der Lage ist, seine Schulden kurzfristig zu bedienen.
🧮 Berechnung
🎯 Was bedeutet das für Anleger?
- Eine niedrige oder negative Nettoverschuldung bedeutet hohe finanzielle Stabilität.
- Unternehmen mit viel Cash und geringer Verschuldung sind besser gerüstet für Krisen.
- Eine hohe Nettoverschuldung erhöht das Risiko – besonders bei steigenden Zinsen oder konjunkturellen Schwächen.
📘 Cash
📈 Was ist das?
Der Cashbestand zeigt, wie viele liquide Mittel einem Unternehmen sofort zur Verfügung stehen.
🧮 Wie wird es berechnet?
🏛️ Wofür ist es wichtig?
Er gibt Auskunft über die finanzielle Flexibilität: Ein hoher Cashbestand ermöglicht Investitionen, Rückkäufe oder Krisenresistenz.
🧮 Berechnung
🎯 Was bedeutet das für Anleger?
- Ein hoher Cashbestand zeigt finanzielle Stärke und Handlungsspielraum.
- Cash kann für Investitionen, Schuldentilgung oder Aktienrückkäufe genutzt werden.
- Allerdings: Zu viel ungenutztes Kapital kann auch auf mangelnde Investitionsideen hinweisen.
📘 Anzahl ausstehender Aktien
📈 Was ist das?
Die Anzahl ausstehender Aktien gibt an, wie viele Aktien eines Unternehmens aktuell im Umlauf sind und von Investoren gehalten werden.
🧮 Wie wird es berechnet?
🏛️ Wofür ist es wichtig?
Sie ist die Grundlage für viele Kennzahlen wie Gewinn je Aktie (EPS), Marktkapitalisierung oder KGV.
🧮 Berechnung
🎯 Was bedeutet das für Anleger?
- Je weniger Aktien im Umlauf sind, desto höher fällt z. B. der Gewinn je Aktie aus – wichtig für Bewertung und Dividendenrendite.
- Aktienrückkäufe verringern die Anzahl ausstehender Aktien – und steigern den Wert je Aktie.
- Kapitalerhöhungen haben den gegenteiligen Effekt: mehr Aktien → Verwässerung der bestehenden Anteile.
📘 Kurs-Gewinn-Verhältnis (KGV)
📈 Was ist das?
Das KGV zeigt, wie oft der Gewinn pro Aktie im aktuellen Aktienkurs enthalten ist – also wie „teuer“ eine Aktie im Verhältnis zum Gewinn ist.
🧮 Wie wird es berechnet?
🏛️ Wofür ist es wichtig?
Das KGV gehört zu den bekanntesten Bewertungskennzahlen. Es hilft Anlegern einzuschätzen, ob eine Aktie im Vergleich zu ihrem Gewinn eher günstig oder teuer erscheint.
🧮 Berechnung
📊 KGV (TTM) = bezogen auf den Gewinn der letzten 12 Monate (Trailing Twelve Months):🎯 Was bedeutet das für Anleger?
- Ein niedriges KGV kann auf eine günstige Bewertung hindeuten – oder auf Probleme im Geschäftsmodell.
- Ein hohes KGV kann Wachstumserwartungen widerspiegeln – oder eine überbewertete Aktie.
📘 Kurs-Umsatz-Verhältnis (KUV)
📈 Was ist das?
Das KUV zeigt, wie viel Anleger für 1 € Umsatz eines Unternehmens zahlen – unabhängig vom Gewinn.
🧮 Wie wird es berechnet?
🏛️ Wofür ist es wichtig?
Das KUV ist besonders bei wachstumsstarken oder noch nicht profitablen Unternehmen hilfreich. Es zeigt, wie hoch der Umsatz an der Börse bewertet wird.
🧮 Berechnung
Marktkapitalisierung = 2,27 Mrd. $ | Umsatz (TTM) = 12,02 Mrd. $
Marktkapitalisierung = 2,27 Mrd. $ | Umsatz erwartet = 942,43 Mio. $
🎯 Was bedeutet das für Anleger?
- Ein niedriges KUV kann auf Unterbewertung hindeuten – oder auf schwache Margen.
- Ein hohes KUV kann hohe Erwartungen widerspiegeln – oder übermäßigen Optimismus.
- Besonders sinnvoll bei Wachstumsunternehmen, bei denen der Gewinn oder Free Cashflow (noch) keine Aussagekraft hat.
📘 Unternehmenswert zu Umsatz (EV/Sales)
📈 Was ist das?
EV/Sales zeigt, wie viel Anleger für 1 € Umsatz eines Unternehmens zahlen, wenn man auch Schulden und Cash berücksichtigt – es ist eine kapitalstrukturbereinigte Version des KUV.
🧮 Wie wird es berechnet?
🏛️ Wofür ist es wichtig?
Diese Kennzahl eignet sich besonders für den Vergleich von Unternehmen mit unterschiedlicher Verschuldung – sie zeigt, wie teuer ein Unternehmen tatsächlich im Verhältnis zum Umsatz ist.
🧮 Berechnung
Enterprise Value = 1,10 Mrd. $ | Umsatz (TTM) = 12,02 Mrd. $
Enterprise Value = 1,10 Mrd. $ | Umsatz erwartet = 942,43 Mio. $
🎯 Was bedeutet das für Anleger?
- EV/Sales ist neutral gegenüber der Kapitalstruktur und eignet sich gut für Unternehmensvergleiche.
- Ein niedriges Verhältnis kann auf eine günstig bewertete Aktie hindeuten – ein hohes Verhältnis auf hohe Erwartungen oder Überbewertung.
- Besonders nützlich bei wachstumsstarken, noch nicht profitablen Firmen.
📘 Unternehmenswert zu Free Cashflow (EV/FCF)
📈 Was ist das?
EV/FCF zeigt, wie viele Jahre es dauern würde, bis ein Unternehmen seinen Unternehmenswert durch freien Cashflow „zurückverdient”.
🧮 Wie wird es berechnet?
🏛️ Wofür ist es wichtig?
Diese Kennzahl hilft, Unternehmen auf Basis ihrer tatsächlichen Cash-Erträge zu bewerten – unabhängig von Bilanzierungsregeln oder buchhalterischem Gewinn.
🧮 Berechnung
🎯 Was bedeutet das für Anleger?
- Ein niedriges EV/FCF deutet auf eine günstige Bewertung bei starker Cashgenerierung hin.
- Ein hohes EV/FCF kann entweder auf Optimismus oder auf temporär schwachen Cashflow hindeuten.
- Besonders hilfreich bei reifen, profitablen Unternehmen mit stabilen Cashflows.
📘 Kurs-Buchwert-Verhältnis (KBV)
📈 Was ist das?
Das KBV zeigt, wie hoch der Marktwert eines Unternehmens im Verhältnis zu seinem bilanziellen Eigenkapital ist.
🧮 Wie wird es berechnet?
🏛️ Wofür ist es wichtig?
Das KBV ist besonders bei Substanzwerten (z. B. Banken, Industrie) relevant. Es hilft Anlegern zu erkennen, ob ein Unternehmen unter oder über seinem buchhalterischen Vermögen bewertet ist.
🧮 Berechnung
🎯 Was bedeutet das für Anleger?
- Ein KBV unter 1 kann auf Unterbewertung oder schwache Rentabilität hindeuten.
- Ein KBV über 1 zeigt, dass der Markt dem Unternehmen Mehrwert über den Buchwert hinaus zuschreibt (z. B. Marken, Patente, Wachstum).
- Das KBV eignet sich besonders gut für Unternehmen mit stabilen, materiellen Vermögenswerten.
📘 Eigenkapitalquote
📈 Was ist das?
Die Eigenkapitalquote zeigt, wie hoch der Anteil des Eigenkapitals an der Bilanzsumme eines Unternehmens ist – also wie stark es sich aus eigenen Mitteln finanziert.
🧮 Wie wird es berechnet?
🏛️ Wofür ist es wichtig?
Eine hohe Eigenkapitalquote steht für finanzielle Stabilität, Krisenfestigkeit und gute Bonität. Sie ist besonders relevant bei der Beurteilung der Verschuldung.
🧮 Berechnung
🎯 Was bedeutet das für Anleger?
- Eine hohe Eigenkapitalquote signalisiert finanzielle Stabilität – besonders in Krisenzeiten.
- Ein niedriger Wert kann auf ein höheres Risiko oder eine aggressive Verschuldung hinweisen.
- Wichtig: Die Eigenkapitalquote sollte immer gemeinsam mit der Eigenkapitalrendite betrachtet werden. Nur so lässt sich beurteilen, ob ein Unternehmen nicht nur solide, sondern auch effizient wirtschaftet.
📘 Eigenkapitalrendite (ROE)
📈 Was ist das?
Die Eigenkapitalrendite zeigt, wie effizient ein Unternehmen mit dem Kapital seiner Aktionäre arbeitet – also wie viel Gewinn es pro Euro Eigenkapital erwirtschaftet.
🧮 Wie wird es berechnet?
🏛️ Wofür ist es wichtig?
Die Eigenkapitalrendite ist eine zentrale Rentabilitätskennzahl. Sie hilft Anlegern zu erkennen, ob das Unternehmen eine attraktive Verzinsung auf das eingesetzte Eigenkapital erwirtschaftet.
🧮 Berechnung
🎯 Was bedeutet das für Anleger?
- Eine hohe Eigenkapitalrendite spricht für ein starkes, effizientes Geschäftsmodell.
- Besonders interessant ist sie bei kapitalintensiven Firmen oder solchen mit hoher Eigenkapitalquote.
- Wichtig: Ein sehr hoher ROE kann auch auf hohe Schulden hinweisen – daher sollte sie immer im Kontext mit der Eigenkapitalquote betrachtet werden.
📘 Return on Capital Employed (ROCE)
📈 Was ist das?
ROCE misst die Gesamtrentabilität eines Unternehmens – also wie effizient es das eingesetzte Kapital (Eigen- und Fremdkapital) zur Gewinnerzielung nutzt.
🧮 Wie wird es berechnet?
Das eingesetzte Kapital ist das gesamte betriebsnotwendige Kapital, unabhängig von der Finanzierungsquelle.
🏛️ Wofür ist es wichtig?
ROCE eignet sich besonders gut für den Vergleich unterschiedlich finanzierter Unternehmen. Es zeigt, wie effektiv ein Unternehmen Kapital investiert – unabhängig von der Kapitalstruktur.
🧮 Berechnung
🎯 Was bedeutet das für Anleger?
- Ein hoher ROCE zeigt, dass ein Unternehmen sein Kapital effizient einsetzt – unabhängig davon, ob es durch Eigen- oder Fremdkapital finanziert ist.
- Je höher der ROCE im Vergleich zu ähnlichen Unternehmen, desto mehr Wert schafft das Unternehmen mit seinem investierten Kapital.
- Besonders wichtig ist der ROCE bei Firmen mit hohen Investitionen – z. B. in Industrie, Energie oder Infrastruktur.
📘 Return on Invested Capital (ROIC)
📈 Was ist das?
ROIC zeigt, wie effizient ein Unternehmen das Kapital investiert, das langfristig im operativen Geschäft gebunden ist – unabhängig davon, ob es aus Eigen- oder Fremdkapital stammt.
🧮 Wie wird es berechnet?
- NOPAT = „Net Operating Profit After Taxes“
- Investiertes Kapital = operatives Vermögen abzüglich nicht-verzinster Schulden
🏛️ Wofür ist es wichtig?
ROIC ist eine der präzisesten Kennzahlen zur Bewertung der Kapitalrendite – besonders im Vergleich zur Eigenkapitalrendite, weil es Verzerrungen durch Schulden vermeidet. Er zeigt, ob ein Unternehmen Mehrwert für alle Kapitalgeber schafft.
🧮 Berechnung
🎯 Was bedeutet das für Anleger?
- Ein hoher ROIC zeigt, wie gut ein Unternehmen mit dem tatsächlich investierten (betriebsnotwendigen) Kapital wirtschaftet.
- Im Unterschied zu ROCE wird nur Kapital betrachtet, das wirklich zur Finanzierung operativer Aktivitäten dient – und verzinst werden muss.
- Besonders hilfreich, um die Kapitalrendite von Unternehmen mit viel „überschüssigem“ Kapital oder zinsfreien Verbindlichkeiten realistisch zu vergleichen.
📘 Verschuldungsgrad (Leverage Ratio)
📈 Was ist das?
Der Verschuldungsgrad zeigt, wie stark ein Unternehmen durch verzinsliche Schulden (z. B. Kredite und Anleihen) im Verhältnis zum Eigenkapital finanziert ist.
🧮 Wie wird es berechnet?
🏛️ Wofür ist es wichtig?
Die Kennzahl hilft, das finanzielle Risiko und die Abhängigkeit von Fremdkapital zu beurteilen. Ein hoher Verschuldungsgrad kann die Eigenkapitalrendite steigern – birgt aber auch erhöhte Risiken bei Zinsanstiegen oder Liquiditätsengpässen.
🧮 Berechnung
🎯 Was bedeutet das für Anleger?
- Ein niedriger Verschuldungsgrad steht für finanzielle Stabilität und Unabhängigkeit.
- Ein hoher Wert kann auf erhöhte Risiken hinweisen – insbesondere bei schwankenden Zinsen oder konjunkturellen Schwächen.
- Wichtig: Immer im Kontext zur Branche und Kapitalintensität bewerten.
📘 Umsatz
📈 Was ist das?
Der Umsatz zeigt, wie viel ein Unternehmen insgesamt mit seinen Produkten und Dienstleistungen verdient – also den Bruttoerlös vor Abzug von Kosten.
🧮 Wie wird es berechnet?
🏛️ Wofür ist es wichtig?
Der Umsatz ist eine der zentralen Kennzahlen zur Einschätzung der Unternehmensgröße, Marktstellung und Wachstumskraft.
🧮 Berechnung
🎯 Was bedeutet das für Anleger?
- Ein wachsender Umsatz zeigt eine steigende Nachfrage und kann ein guter Frühindikator für Gewinnsteigerungen sein.
- Vergleiche von aktuellem und erwartetem Umsatz geben Hinweise auf das Marktumfeld und Analystenerwartungen.
- Wichtig: Starker Umsatz allein genügt nicht – auch Margen und Profitabilität zählen.
📘 EBITDA
📈 Was ist das?
EBITDA steht für „Earnings Before Interest, Taxes, Depreciation and Amortization“ – also Gewinn vor Zinsen, Steuern und Abschreibungen. Es zeigt das operative Ergebnis eines Unternehmens, bereinigt um bilanztechnische und finanzierungsbedingte Effekte.
🧮 Wie wird es berechnet?
🏛️ Wofür ist es wichtig?
EBITDA ist eine verbreitete Kennzahl zur Beurteilung der operativen Leistungsfähigkeit – insbesondere bei kapitalintensiven Unternehmen oder im internationalen Vergleich.
🧮 Berechnung
🎯 Was bedeutet das für Anleger?
- Ein hohes oder wachsendes EBITDA spricht für starke operative Erträge – unabhängig von Bilanzierung oder Steuerlast.
- EBITDA ist besonders nützlich, um Unternehmen branchenübergreifend zu vergleichen.
- Wichtig: EBITDA ist keine offizielle Gewinnkennzahl – Abschreibungen und Finanzierungskosten werden ausgeklammert.
📘 EBIT
📈 Was ist das?
EBIT steht für „Earnings Before Interest and Taxes“ – also Gewinn vor Zinsen und Steuern. Es zeigt das operative Ergebnis eines Unternehmens nach Abschreibungen, aber vor Finanzierungs- und Steueraufwand.
🧮 Wie wird es berechnet?
🏛️ Wofür ist es wichtig?
EBIT ist eine zentrale Kennzahl zur Beurteilung der Profitabilität aus dem Kerngeschäft – unabhängig von Kapitalstruktur oder Steuersystem.
🧮 Berechnung
🎯 Was bedeutet das für Anleger?
- Ein hohes EBIT deutet auf ein profitables Kerngeschäft hin – vor Zinslasten oder steuerlichen Effekten.
- Es erlaubt objektivere Vergleiche zwischen Unternehmen mit unterschiedlicher Finanzierung.
- Im Vergleich mit EBITDA zeigt EBIT bereits den Einfluss von Abschreibungen auf das operative Ergebnis.
📘 Nettogewinn
📈 Was ist das?
Der Nettogewinn ist der verbleibende Jahresüberschuss (oder -fehlbetrag) eines Unternehmens – nach Abzug aller Kosten, Steuern, Zinsen und Abschreibungen
🧮 Wie wird es berechnet?
🏛️ Wofür ist es wichtig?
Der Nettogewinn ist die zentrale Erfolgskennzahl – er zeigt, wie profitabel ein Unternehmen nach allen Kosten tatsächlich arbeitet.
🧮 Berechnung
🎯 Was bedeutet das für Anleger?
- Ein steigender Nettogewinn zeigt, dass das Unternehmen effizient wirtschaftet – trotz aller Kosten.
- Die Entwicklung des Gewinns beeinflusst z. B. direkt das KGV und weitere Kennzahlen.
- Im Zeitverlauf lässt sich ablesen, wie stabil und profitabel ein Geschäftsmodell wirklich ist.
📘 Free Cashflow (FCF)
📈 Was ist das?
Der Free Cashflow gibt Aufschluss über die echte finanzielle Stärke eines Unternehmens – unabhängig von Bilanzierungsregeln. Er zeigt, wie viel Spielraum für Dividenden, Aktienrückkäufe oder Schuldenabbau besteht.
🧮 Wie wird es berechnet?
🏛️ Wofür ist es wichtig?
FCF reflects a company’s real financial strength – regardless of accounting profits. It shows how much flexibility a company has for dividends, share buybacks, or debt reduction.
🧮 Berechnung
🎯 Was bedeutet das für Anleger?
- Ein hoher Free Cashflow bedeutet, dass ein Unternehmen echte Finanzkraft besitzt – unabhängig vom bilanzierten Gewinn.
- Er ist oft die solideste Grundlage für nachhaltige Dividenden und Aktienrückkäufe.
- Sinkender FCF kann ein Warnsignal sein – auch wenn der Gewinn stabil aussieht.
📘 Umsatzwachstum
📈 Was ist das?
Das Umsatzwachstum zeigt, wie stark sich die Erlöse eines Unternehmens im Vergleich zum Vorjahr verändert haben – tatsächlich (TTM) und auf Prognosebasis (erwartet).
🧮 Wie wird es berechnet?
Erwartet = (Umsatz erwartet ÷ Umsatz Vorjahr − 1) × 100
Erwartetes Wachstum basiert auf Analystenschätzungen für das laufende Geschäftsjahr.
🏛️ Wofür ist es wichtig?
Ein wachsender Umsatz ist ein zentrales Signal für steigende Nachfrage, Geschäftsausweitung und Marktanteilsgewinne – besonders bei Wachstumsunternehmen.
🧮 Berechnung
🎯 Was bedeutet das für Anleger?
- Wachstum ist der Motor langfristiger Wertsteigerung – besonders bei Technologie- und Wachstumsaktien.
- Wichtig ist nicht nur das aktuelle Wachstum, sondern auch dessen Nachhaltigkeit.
- Prognosen zeigen, ob Analysten weiteres Potenzial erwarten – oder eine Verlangsamung.
📘 EBITDA-Wachstum
📈 Was ist das?
Das EBITDA-Wachstum zeigt, wie stark das operative Ergebnis eines Unternehmens vor Zinsen, Steuern und Abschreibungen im Vergleich zum Vorjahr gestiegen oder gesunken ist.
🧮 Wie wird es berechnet?
Erwartet = (erwartetes EBITDA ÷ EBITDA Vorjahr − 1) × 100
Erwartetes Wachstum basiert auf Analystenschätzungen für das laufende Geschäftsjahr.
🏛️ Wofür ist es wichtig?
Ein steigendes EBITDA ist ein Zeichen für verbesserte operative Ertragskraft – unabhängig von Finanzierungsstruktur oder Abschreibungen.
🧮 Berechnung
🎯 Was bedeutet das für Anleger?
- Starkes EBITDA-Wachstum signalisiert operative Effizienz und Skalierung – besonders relevant in Wachstumsphasen.
- EBITDA-Wachstum ist ein Frühindikator für Margen- und Gewinnentwicklung – sollte aber stets im Zusammenhang mit Umsatz und EBIT betrachtet werden.
📘 EBIT Wachstum
📈 Was ist das?
Das EBIT-Wachstum zeigt, wie stark das operative Ergebnis eines Unternehmens (nach Abschreibungen, aber vor Zinsen und Steuern) im Vergleich zum Vorjahr gewachsen ist.
🧮 Wie wird es berechnet?
Erwartet = (erwartetes EBIT ÷ EBIT Vorjahr − 1) × 100
Erwartetes Wachstum basiert auf Analystenschätzungen für das laufende Geschäftsjahr.
🏛️ Wofür ist es wichtig?
Das EBIT-Wachstum ist ein direkter Indikator für die wirtschaftliche Entwicklung des operativen Geschäfts – unter Berücksichtigung der Kapitalintensität (Abschreibungen).
🧮 Berechnung
🎯 Was bedeutet das für Anleger?
- Steigendes EBIT signalisiert wachsende operative Rentabilität – auch unter Berücksichtigung von Abschreibungen.
- Das EBIT-Wachstum ist ein wichtiges Maß zur Beurteilung von Geschäftsmodellen mit hohen Investitionskosten.
- Im Zusammenspiel mit Umsatz- und EBITDA-Wachstum ergibt sich ein umfassendes Bild zur operativen Entwicklung.
📘 Nettogewinn-Wachstum
📈 Was ist das?
Das Nettogewinn-Wachstum zeigt, wie stark der Jahresüberschuss eines Unternehmens gegenüber dem Vorjahr gestiegen oder gesunken ist – sowohl tatsächlich (TTM) als auch auf Basis von Prognosen (erwartet).
🧮 Wie wird es berechnet?
Erwartet = (erwarteter Nettogewinn ÷ Nettogewinn Vorjahr − 1) × 100
Der erwartete Wert basiert auf Analystenschätzungen für das laufende Geschäftsjahr.
🏛️ Wofür ist es wichtig?
Der Gewinn ist die entscheidende Ergebnisgröße für ein Unternehmen. Ein wachsender Nettogewinn deutet auf steigende Effizienz, stabile Kostenkontrolle und nachhaltige Ertragskraft hin.
🧮 Berechnung
🎯 Was bedeutet das für Anleger?
- Wachsender Nettogewinn stärkt die Bewertung, Dividendenfähigkeit und Kursfantasie.
- Stagnierender oder rückläufiger Gewinn trotz Umsatzwachstum kann auf Margendruck hinweisen.
📘 Free Cashflow-Wachstum
📈 Was ist das?
Das Free-Cashflow-Wachstum zeigt, wie sich der freie Mittelzufluss eines Unternehmens im Vergleich zum Vorjahr verändert hat – also der Betrag, der nach allen operativen Ausgaben und Investitionen übrig bleibt.
🧮 Wie wird es berechnet?
🏛️ Wofür ist es wichtig?
Free Cashflow ist der echte, verfügbare Geldzufluss. Wachstum in diesem Bereich ist ein Zeichen für finanzielle Stärke und steigende Flexibilität bei Dividenden, Rückkäufen oder Investitionen.
🧮 Berechnung
🎯 Was bedeutet das für Anleger?
- Sinkender Free Cashflow kann auf steigende Investitionen, höhere Kosten oder stagnierende operative Erträge hindeuten.
- Besonders bei Dividendenwerten ist das FCF-Wachstum wichtig – denn Dividenden werden letztlich aus dem verfügbaren Cash gezahlt.
- Ein negativer Trend sollte genauer analysiert werden – er ist nicht zwangsläufig schlecht, aber potenziell ein Warnsignal.
📘 Bruttomarge
📈 Was ist das?
Die Bruttomarge zeigt, wie viel vom Umsatz nach Abzug der direkten Herstellungskosten (Material, Produktion) als Bruttogewinn übrig bleibt – also der „Rohgewinn“ eines Unternehmens.
🧮 Wie wird es berechnet?
Auch: Bruttomarge = Bruttogewinn ÷ Umsatz × 100
🏛️ Wofür ist es wichtig?
Die Bruttomarge gibt Aufschluss über die Profitabilität eines Produkts oder Geschäftsmodells vor Fixkosten, Steuern und Zinsen. Sie zeigt, wie effizient ein Unternehmen produzieren oder einkaufen kann.
🧮 Berechnung
🎯 Was bedeutet das für Anleger?
- Eine hohe Bruttomarge deutet auf starke Preissetzungsmacht und effiziente Herstellung hin.
- Sinkende Bruttomargen können auf Kostensteigerungen oder Preisdruck hindeuten.
- Besonders im Vergleich zu Wettbewerbern liefert die Bruttomarge wertvolle Einblicke in die Geschäftsqualität.
📘 EBITDA-Marge
📈 Was ist das?
Die EBITDA-Marge zeigt, wie viel vom Umsatz als operativer Gewinn vor Zinsen, Steuern und Abschreibungen (EBITDA) übrig bleibt. Sie misst die operative Effizienz – ohne Verzerrungen durch Finanzierung oder Buchwerte.
🧮 Wie wird es berechnet?
🏛️ Wofür ist es wichtig?
Die EBITDA-Marge hilft zu verstehen, wie viel operativer Gewinn ein Unternehmen aus jedem Euro Umsatz erzielt – unabhängig von Kapitalstruktur oder steuerlichem Umfeld.
🧮 Berechnung
🎯 Was bedeutet das für Anleger?
- Eine hohe EBITDA-Marge zeigt starke operative Ertragskraft – unabhängig von Bilanzierungseffekten.
- Die Marge ermöglicht gute Vergleiche zwischen Unternehmen und Branchen.
- Ein stabiler oder wachsender Wert kann auf effiziente Kostenkontrolle und Skalierbarkeit hindeuten.
📘 EBIT-Marge
📈 Was ist das?
Die EBIT-Marge zeigt, wie viel Prozent des Umsatzes als operativer Gewinn nach Abschreibungen, aber vor Zinsen und Steuern übrig bleiben.
🧮 Wie wird es berechnet?
🏛️ Wofür ist es wichtig?
Die EBIT-Marge misst die operative Ertragskraft eines Unternehmens unter Berücksichtigung der Kapitalintensität (z. B. Maschinen, Anlagen). Sie eignet sich gut zum Vergleich von Geschäftsmodellen mit unterschiedlich hohen Abschreibungen.
🧮 Berechnung
🎯 Was bedeutet das für Anleger?
- Eine hohe EBIT-Marge zeigt, dass ein Unternehmen auch nach Abschreibungen effizient arbeitet.
- Sie ist besonders relevant in kapitalintensiven Branchen.
- Langfristig stabile oder steigende Margen sind ein Zeichen wirtschaftlicher Stärke und Preissetzungsmacht.
📘 Nettomarge
📈 Was ist das?
Die Nettomarge zeigt, wie viel vom Umsatz am Ende als „Reingewinn“ übrig bleibt – also nach Abzug aller Kosten, Zinsen, Steuern und Abschreibungen.
🧮 Wie wird es berechnet?
🏛️ Wofür ist es wichtig?
Die Nettomarge gibt an, wie effizient ein Unternehmen über alle Stufen hinweg wirtschaftet. Sie zeigt, wie viel Gewinn tatsächlich je Euro Umsatz übrig bleibt.
🧮 Berechnung
🎯 Was bedeutet das für Anleger?
- Eine hohe Nettomarge zeigt, dass ein Unternehmen nicht nur operativ stark ist, sondern auch seine Finanzierung und Steuerbelastung im Griff hat.
- Vergleiche mit Wettbewerbern geben Einblicke in die wirtschaftliche Qualität.
- Sinkende Nettomargen trotz Umsatzwachstum können ein Warnsignal sein – etwa für steigende Kosten oder sinkende Effizienz.
📘 Free Cashflow Marge
📈 Was ist das?
Die Free-Cashflow-Marge zeigt, wie viel vom Umsatz nach Abzug aller operativen Ausgaben und Investitionen tatsächlich als freier Mittelzufluss übrig bleibt.
🧮 Wie wird es berechnet?
🏛️ Wofür ist es wichtig?
Diese Marge misst die echte Liquidität, die ein Unternehmen erwirtschaftet – unabhängig von Bilanzierungsregeln oder Abschreibungen. Sie ist besonders relevant für Dividenden, Rückkäufe und Investitionen.
🧮 Berechnung
🎯 Was bedeutet das für Anleger?
- Eine hohe Free-Cashflow-Marge zeigt, dass ein Unternehmen nachhaltig liquide Mittel erwirtschaftet.
- Sie ist ein starkes Signal für finanzielle Stabilität und Ausschüttungspotenzial.
- Wichtig ist der langfristige Trend – sinkende Werte können auf steigende Investitionen oder rückläufige operative Effizienz hindeuten.
📘 Ergebnis je Aktie (EPS)
📈 Was ist das?
Das Ergebnis je Aktie (EPS) zeigt, wie viel Gewinn auf eine einzelne Aktie entfällt – und ist eine der wichtigsten Kennzahlen zur Bewertung von Unternehmen.
🧮 Wie wird es berechnet?
Die verwässerte Aktienanzahl berücksichtigt auch potenzielle neue Aktien, etwa durch Optionen, Wandelanleihen oder andere Umtauschrechte.
🏛️ Wofür ist es wichtig?
EPS bildet die Basis für viele Bewertungskennzahlen wie KGV, PEG oder Payout Ratio. Es macht den Gewinn für Aktionäre vergleichbar – unabhängig von der Unternehmensgröße.
🧮 Berechnung
🎯 Was bedeutet das für Anleger?
- EPS hilft, die Profitabilität pro Aktie zu erfassen – und ist besonders wichtig im Zeitvergleich oder im Vergleich mit Analystenschätzungen.
- Steigendes EPS kann ein Zeichen für stabiles Wachstum oder Aktienrückkäufe sein.
- Wichtig: Verwende verwässertes EPS für realistische Bewertungen – besonders bei stark aktienbasierten Vergütungssystemen.
📘 Free Cashflow je Aktie (FCF je Aktie)
📈 Was ist das?
Der Free Cashflow je Aktie zeigt, wie viel freier Mittelzufluss einem Unternehmen pro Aktie zur Verfügung steht – nach Investitionen, aber vor Dividenden oder Schuldentilgung.
🧮 Wie wird es berechnet?
🏛️ Wofür ist es wichtig?
Der FCF je Aktie zeigt, wie viel liquide Mittel pro Aktie tatsächlich im Unternehmen verbleiben – wichtig für Dividenden, Aktienrückkäufe oder Schuldentilgung. Im Gegensatz zum Gewinn ist er schwerer manipulierbar und daher besonders aussagekräftig.
🧮 Berechnung
🎯 Was bedeutet das für Anleger?
- Ein hoher Free Cashflow je Aktie ist ein Zeichen für hohe finanzielle Flexibilität.
- Er zeigt, wie viel Kapital ein Unternehmen effektiv einsetzen oder ausschütten kann.
- Besonders relevant für dividendenstarke Unternehmen oder solche mit starker Kapitalrendite.
📘 Short Interest
📈 Was ist das?
Short Interest zeigt, wie viele Aktien eines Unternehmens aktuell leerverkauft wurden – also von Investoren geliehen und verkauft, in der Erwartung fallender Kurse.
🧮 Wie wird es berechnet?
Der Wert zeigt den Anteil der Aktien, der aktuell auf fallende Kurse spekuliert wird.
🏛️ Wofür ist es wichtig?
Short Interest dient als Stimmungsindikator: Ein hoher Wert deutet auf Skepsis oder negative Erwartungen gegenüber dem Unternehmen hin – kann aber auch zu einem „Short Squeeze“ führen, wenn der Kurs plötzlich steigt.
🧮 Berechnung
🎯 Was bedeutet das für Anleger?
- Ein niedriger Short Interest deutet auf Vertrauen in das Unternehmen hin.
- Ein hoher Wert kann ein Warnsignal sein – oder eine Chance, wenn sich die Stimmung dreht.
- Besonders spannend in volatilen Märkten oder vor wichtigen Quartalszahlen.
📘 Employees
📈 Was ist das?
Die Mitarbeiteranzahl zeigt, wie viele Personen ein Unternehmen weltweit beschäftigt – ein Indikator für Größe, Struktur und Geschäftsmodell.
🧮 Wie wird es berechnet?
🏛️ Wofür ist es wichtig?
Sie hilft bei der Einschätzung von Skaleneffekten, Effizienz und Personalkosten. Zusammen mit Umsatz und Gewinn lassen sich Kennzahlen wie Produktivität je Mitarbeiter ableiten.
🧮 Berechnung
🎯 Was bedeutet das für Anleger?
- Viele Mitarbeiter bedeuten große operative Komplexität – aber auch hohes Umsatzpotenzial.
- Produktivität je Mitarbeiter ist ein wichtiger Indikator für Effizienz.
- Besonders spannend bei stark wachsenden Tech- oder Industrieunternehmen.
📘 Umsatz je Mitarbeiter
📈 Was ist das?
Der Umsatz je Mitarbeiter zeigt, wie viel Erlös ein Unternehmen durchschnittlich pro Beschäftigtem erwirtschaftet – eine Kennzahl für Effizienz und Produktivität.
🧮 Wie wird es berechnet?
Die Mitarbeiterzahl stammt in der Regel aus dem letzten verfügbaren Jahresbericht.
🏛️ Wofür ist es wichtig?
Diese Kennzahl hilft, Geschäftsmodelle zu vergleichen – insbesondere zwischen arbeitsintensiven und technologiegetriebenen Unternehmen. Ein hoher Wert deutet auf Automatisierung, Effizienz oder hohen Wertschöpfungsanteil hin.
🧮 Berechnung
🎯 Was bedeutet das für Anleger?
- Ein hoher Umsatz je Mitarbeiter spricht für ein skalierbares und margenstarkes Geschäftsmodell.
- Ein niedriger Wert kann auf arbeitsintensive Prozesse oder geringere Wertschöpfung hinweisen.
- Besonders hilfreich beim Vergleich von Tech- vs. Industrieunternehmen.
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eToro — Q2 2026 Earnings Call
1. Management Discussion
Hi. My name is Daniel Amir, Head of Investor Relations. This webcast is being recorded and will be available for replay in the Investors section of etoro's website. Our earnings press release, investor presentation, and July monthly spreadsheet is now available on our website at investors.etoro.com.
Today, I'm joined by Yoni Assia, our CEO; and by Meron Shani, our CFO.
Following the prepared remarks, we will conduct a Q&A session and answer questions from both institutional research analysts and a selection of the most upvoted questions previously submitted by etoro's retail shareholders.
But before we begin, I want to note that today's discussion contains forward-looking statements, including statements about goals, business outlook, industry trends, market opportunities, expectations for future financial performance and similar items, all of which are subject to risks, uncertainties, and assumptions.
And you can find more information about these risks and uncertainties in the press release that we issued today and in the Risk Factors section at our filings at SEC.gov. Actual results may differ, and we take no obligation to revise or update any forward-looking statements.
Finally, during today's meeting, we will discuss non-GAAP financial measures. These non-GAAP financial measures are in addition to and not a substitute for or superior to measures of financial performance prepared in accordance with GAAP. Definitions and reconciliation of GAAP to non-GAAP measures is available in our press release, investor presentation, and on the SEC.gov website as applicable.
With that, I will pass the call to Yoni.
Thank you, Daniel, and thank you to everyone joining us today. Welcome to etoro's Second Quarter 2026 Earnings Call. After Meron and I conclude our prepared remarks, we'll open the call for your questions.
We delivered another strong quarter, demonstrating the strength of our diversified business model. One of etoro's key differentiators is our ability to perform across a wide range of market environments, and the second quarter was another example of that.
As investor activity shifted from commodities to equities, our platform continued to deliver strong results, underscoring the value of offering users access to multiple asset classes through a single platform.
Net contribution increased 9% year-over-year to $229 million and adjusted EBITDA grew 9% to $78 million. We also continue to see strong momentum across our key performance indicators as part of our growth strategy.
Funded accounts increased 18% year-over-year to 4.28 million, driven by marketing investment and improved user retention, while assets under administration grew 10% year-over-year to more than $19 billion, reflecting continued strong user inflows.
Today's announcement of our planned acquisition of TradeZero marks another important milestone for etoro. TradeZero has built a successful franchise with differentiated technology, a robust broker-dealer infrastructure, and a highly engaged trading community. This combination gives us a faster path to launching new products for U.S. users and strengthens our offering. I will provide additional details on the acquisition later in my remarks.
But perhaps the most important thing this quarter demonstrates is execution. Every few years, technology fundamentally changes the way people invest. Throughout our history, etoro has embraced those shifts, from social investing to crypto, and now to AI and on-chain finance.
Social investing made investing collaborative. Crypto introduced new financial infrastructure. Now AI is changing how people discover opportunities, analyze information, and make decisions. We don't see these as separate trends. We see them as the same evolution, and our edge has always been spotting these shifts early, simplifying them, and making them accessible to millions of users.
This quarter, we kept turning that into our products. Our new app reflects that strategy and our journey towards becoming a financial superapp. This isn't simply a redesign.
The app brings together AI personalization and a growing ecosystem of apps and agents. Through Tori, our AI agent, the platform delivers proactive insights, helping users better understand their portfolios, identify opportunities, and stay informed wherever they are.
Rather than waiting for users to search for information, the experience increasingly anticipates what matters to them and delivers relevant insights when they need them.
More broadly, we remain focused on 4 strategic pillars: trading, investing, wealth management, and neo-banking. Let me walk you through some of the highlights of the quarter.
Let's start with trading. As I mentioned earlier, the second quarter once again demonstrated the strength of our diversified multi-asset platform. Over the past 3 quarters, we've seen our users shift their activity across asset classes, from crypto to commodities and now to equities, highlighting the resilience of our business model and the value of offering investors access to a broad range of markets through a single platform.
We believe this highlights one of etoro's greatest competitive advantages. Regardless of where market opportunities emerge, our users can seamlessly move across asset classes within a single platform, driving higher engagement, long-term retention, and continued business performance.
We also launched etoro Edge, a new web platform designed for active traders, combining professional-grade trading tools with the intelligence of our AI ecosystem. As our users become more experienced, we continue to invest in products that support every stage of their investing journey, from first-time investors through to highly active traders.
We've also recently introduced the ability for users to increase their equity and crypto buying power directly from their etoro cash account, simplifying access to margin trading. Lastly, expanding access to differentiated investment opportunities remains a key strategic priority.
During the quarter, we enabled pre-IPO trading in SpaceX price and eligible customers to participate in the SpaceX offering, an example of our broader effort to increase access to IPOs and other investment opportunities, particularly for our European users.
Turning to investing. Investing is becoming increasingly personalized. For many years, the industry focused on giving people access to the markets. We believe the next phase is about giving investors access to more intelligent tools, helping them combine their own judgment with AI while always remaining in control of their decisions.
During the quarter, we continued to expand our investing ecosystem through the etoro App Store, which now includes more than 75 applications built by developers, partners, and Pro Investors. These give users new ways to discover ideas, analyze markets, and personalize how they invest on an open platform that will keep evolving.
We also launched Agent Portfolios, letting users connect AI agents to dedicated portfolios within their etoro account while keeping full control over their objectives, capital allocation, and risk parameters. Agent Portfolios don't replace the investor. They extend what the investor can do within boundaries they define. As part of this, we introduced agentic investing, enabling users to create and manage multiple agents through Tori.
Last month, we also introduced sub-accounts, giving investors the ability to organize their investments around different financial goals, whether it's saving for a child's education, buying a home or planning for retirement. Combined with Agent Portfolios and agentic investing, these capabilities provide investors with more personalized and flexible ways to invest while remaining firmly in control of their financial decisions.
Turning to wealth management. Helping people build long-term wealth remains central to our strategy. That's why we continue to expand the products that support users throughout their financial journey. Our savings offering has real momentum. This quarter, we saw 15x year-over-year growth in AUM, which reinforces the strength of our long-term saving proposition and our strategy of building a full wealth platform alongside our trading business.
Finally, in neo-banking, we continue to make it easier for users to move and manage their money across traditional and digital finance. We recently launched etoro Work, making it easier for employees to invest directly from every paycheck. Investing consistently over time is one of the most powerful ways to build wealth, and etoro Work brings that right into people's everyday financial lives.
Earlier this quarter, we also announced the acquisition of crypto wallet provider Zengo, strengthening our self-custody offering, making a strategic investment in Extended, an on-chain perpetual futures platform, and became a founding partner of OpenUSD. Reducing friction between traditional finance and digital assets is an important step towards making digital assets more accessible to a much broader audience.
We're also seeing strong momentum across etoro Money. The number of etoro Money cards issued across Europe increased by more than 30% quarter-over-quarter, reflecting growing engagement with our offering, an increasing role etoro plays in our users' everyday financial lives.
Taken together, these product innovations and partnerships reinforce our long-term strategy of connecting traditional finance with the on-chain economy while making it simpler for users to access digital assets, self-custody, and decentralized finance through the etoro ecosystem.
Finally, let me come back to TradeZero. Today, we announced our planned acquisition of TradeZero for up to $230 million in cash and stock. TradeZero is a highly complementary business that significantly strengthens our presence in the U.S., one of our most important growth markets, and opens access also to the Canadian market.
It brings an experienced U.S. management team and a highly engaged active trader community. TradeZero is also expected to bring differentiated capabilities, including 4 proprietary trading platform, advanced tools and features and robust broker-dealer infrastructure that further strengthens our platform. We see real opportunities here to accelerate innovation, enhance client experience, and broaden the products and services we offer across both platforms.
This is also anticipated to be a financially attractive transaction. TradeZero generated approximately $80 million in revenues in the last 12 months with more than 80% gross margins in Q2 2026.
That makes it an immediately complementary addition to our financial profile while strengthening our long-term growth prospects. We look forward to welcoming the TradeZero team to etoro following the close of the transaction in the first half of 2027.
To close, we're excited by our second quarter and by the momentum across the business through the first half. We remain focused on executing our long-term strategy, investing across AI, digital assets, wealth management and financial services while selectively expanding our footprint through initiatives like the acquisition of TradeZero.
Every few years, technology changes investing. Every time, etoro embraced it, from social investing to crypto, and now to AI and on-chain finance. Our focus hasn't changed, using technology to open the global markets and help millions of people become more confident and more successful investors. We're excited about what comes next and about turning this approach into products that create long-term value for our users and our shareholders.
With that, I will hand it over to Meron.
Thank you, Yoni. We delivered another solid quarter, demonstrating the resilience of our diversified multi-asset business model. Second quarter net contribution grew 9% year-over-year to $229 million, while adjusted EBITDA grew 9% year-over-year to $78 million. Our adjusted EBITDA margin was 34%, in line with the same period last year.
Our KPIs also remained strong during the second quarter, with assets under administration increasing 10% year-over-year to $19 billion and funded accounts growing 18% year-over-year to 4.28 million. This growth was driven by continued investment in user acquisition and retention.
Let's take a closer look at the second quarter financials by business line. Our net trading contribution from capital markets, equities, commodities and currencies, grew 25% year-over-year to $142 million. This was driven by increased user engagement, with many users moving from crypto into commodities into equities as market conditions evolved.
The number of trades increased 64% year-over-year, supported by strong activity in equities and continued engagement in copy trading. We're also encouraged by the continued high invested amounts on the platform.
As users broaden their investing activity beyond crypto and commodities into equities and other asset classes, they are investing more across the platform. This is exactly what we would expect from a diversified multi-asset offering and is an important driver of the long-term growth.
Net trading contribution from crypto was $11 million. The year-over-year decline primarily reflects lower trading activity and the continued shift of users towards equities. We have seen this cyclicality in the crypto market over the past 15 years. Crypto net contribution also includes a $2 million negative valuation impact relating to our corporate crypto holdings, resulting in a balance of $30 million at the end of Q2.
Net interest income contributed $49 million, up 7% year-over-year, which was largely driven by a 12% increase in higher interest-earning assets as a result of an increase in users' cash deposits and corporate cash.
etoro Money's contribution grew 44% year-over-year to $26 million, driven by 92% year-over-year increase in total money transfers as we continue to experience increased deposits and user activity.
Turning into expenses. Our adjusted OpEx for the quarter was $151 million, up 1% quarter-over-quarter. The results were driven by an $8 million increase in sales and marketing expense, reflecting our continued investment in customer acquisition.
This was largely offset by lower R&D and G&A expenses. Adjusted sales and marketing expense was $68 million, representing 29% of net contribution and in line with our strategic decision to accelerate funded accounts growth in 2026 I discussed earlier this year. Adjusted R&D expense was $33 million while adjusted G&A and operating expenses for the quarter were $51 million.
Our adjusted diluted EPS for the quarter was $0.68 compared to $0.56 in the second quarter of 2025.
Moving to our balance sheet. We ended the quarter with $1.2 billion in cash, cash equivalents and short-term investments and generated $39 million of cash from operating activities during the quarter. In accordance with our previously announced share purchase program, in the second quarter, we repurchased approximately 2.3 million shares for an aggregate amount of approximately $87 million.
As Yoni mentioned, today, we announced the acquisition of TradeZero for up to $231 million. In the last 12 months, TradeZero generated approximately $80 million in revenues with more than 80% gross margin.
We believe that the transaction is strategically compelling, financially attractive, and expected to be adjusted EPS-accretive to earnings in the first full year post-completion. We will provide additional details once the transaction closes as expected in the first half of 2027.
Now let me share a few comments on the third quarter trends. As part of our quarterly results today, we also released our July monthly KPIs.
Turning to our key metrics for July. Funded accounts grew 18% year-over-year to 4.32 million. Assets under administration totaled $18.5 billion, down 5% year-over-year as a result of the decline in crypto pricing.
On capital markets trading activity, the number of trades is flat year-over-year and consistent with seasonal patterns. With regards to adjusted OpEx, we expect Q3 to be slightly higher than Q2 due to continued investment in growth activities.
To summarize, we are pleased with our second quarter performance, and the announced acquisition of TradeZero. We continue to generate strong cash flow, invest with discipline, and allocate capital thoroughly while maintaining flexibility to pursue strategic opportunities such as TradeZero. We believe that we are well positioned to continue delivering sustainable, profitable growth and long-term shareholder value.
With that, Daniel, let's move to Q&A.
Thank you, Meron. The first question comes from our list of questions that have been pre-submitted by our retail investors. This question is for you, Yoni. etoro unveiled a brand refresh and product announcements in July. What are you most excited about from that event in July?
Well, I'm definitely most excited about our 2 significant product launches, the new etoro AI app, where we actually written from scratch the entire app of etoro, taking probably more than 500 man-years of work on the existing etoro app and rewriting everything with AI.
That puts the infrastructure not only for a much faster development process, but also a faster app with AI built in, where Tori, our AI agent, is front and center. The second part was the launch of Edge, a new professional trading platform that's meant for the most active traders on the etoro platform with charts and automated trading coming very soon into our now Pro trading platform.
[Operator Instructions] We have a question from the line of Dan Dolev with Mizuho.
2. Question Answer
Really, really strong results today. Congratulations, Yoni and Meron. I have 2 quick questions. One, we noticed that your account growth on a sequential basis and an year-over-year basis continues to accelerate. So can you tell us a little bit of the sustainability of this and what you're doing to get there? And then I have a quick follow-up.
Sure. So one of the great unlocks we've had in Q2 was driven by a very strong momentum in our savings offering in the U.K. and globally as well. And we do expect that to continue. So as we create more products, each product also gets its specific funnel.
So it's not only about increasing the marketing spend, it's about increasing the marketing spend and also scaling up the product offering of etoro to create more channels. We do believe that from a both product perspective and global perspective, with the acceleration now of the product road map with the 2 existing acquisitions that were completed in Q2 and now looking forward also to TradeZero, we'll be able to continue both product expansion and then adoption to all of the local markets, growth markets, and, therefore, continue to expand marketing moving forward.
Got it. And then my follow-up quickly is on TradeZero. Really nice to see the acquisition here in the U.S. Maybe can you tell us a little bit more of the strategic rationale? Like what incremental capabilities, products are you eyeing? What was the main decision-maker here?
So first of all, a great team that we've known for a while in TradeZero, great team based here in the U.S., in New York, a very big focus on scaling the capabilities of the etoro offering in the U.S. specifically, enabling a lot of the features that are very popular of etoro outside the U.S., here in the U.S., for example, leverage trading, margin trading as well as futures that's launched for TradeZero here in the U.S. and shorting capabilities, which are actually very unique to TradeZero's technology and patents.
So one is a focus on the U.S., bringing all of the global capabilities of etoro together with the self-clearing capabilities of TradeZero here to the U.S. to the etoro platform once we complete integration. And the second part, similar to our focus with the new Edge platform, which is meant for the more active trader segment, TradeZero shows great capabilities on building a community of more active traders that are always on their more desks of focus, and we believe that our combined now capabilities of both clearing, leverage trading, short on stocks as well as the professional trading platform will attract more sophisticated audience that can also, by the way, use then our APIs and AI to trade across asset classes and now very soon globally on the etoro platform.
Our next question comes from the line of Dan Fannon of Jefferies LLC.
So wanted to follow up on the outlook for Q3 and then maybe a little bit longer term on the spend. I assume some of the increased expenses you mentioned for 3Q reflects the acquisitions that closed in 2Q. So maybe if you could give us a little bit of revenue contribution from those transactions and then also unpack a bit of the increased spend as you think about the back half of the year.
Sure. Yes, I'll take it. So while we don't break the revenues from the new acquisitions, it's going to be in the crypto space, not a material number at this stage. We expect that to increase in the future also as crypto becomes on the other side of the cyclicality.
So that's on that, on the revenue side. On the cost side, it's no material amount. It's part of the growth that we expect in Q3, but the numbers there are not really material.
And so then the increase is mostly reflected around marketing in terms of the Q3?
It's a combined of marketing and it's combined with a slight increase in R&D as well.
Okay. Great. And then just as a follow-up, as you think about the environment today where obviously crypto has been under pressure, some of your other peers have seen a benefit of prediction markets picking up. I was hoping you could talk about your strategy for other products, particularly prediction, perpetuals, some of these other areas that are increasingly in focus as we think about retail participation.
Sure. So perpetual markets and futures is something that's embedded in the global etoro platform. Prediction markets was actually launched during Q2 as a first product on the Zengo noncustodial wallet.
So our global customers, where applicable, can actually trade prediction markets on Zengo. We are looking right now, especially with the acquisition of TradeZero, which already supports futures in the U.S., to launch prediction markets in the U.S. as we progress on the integration with TradeZero.
On perpetuals specifically, we're looking at launching first Europe now with TradeZero futures in the U.S., which basically is the same framework for perpetuals, both on TradFi, which is the core and the vast majority of the business, but also looking at DeFi opportunities in perpetuals, which is a small minority investment we did in a perpetual decentralized exchange as well.
Just as an example of how this connects, how the 2 worlds connect is, for example, in the SpaceX IPO, we actually launched a perpetual future trading the SpaceX price prior to the IPO. Then in the IPO, we distributed the IPO shares to retail demand in the U.K. And a day after, we started trading 24/7 SpaceX shares based also on perpetual futures prices.
Our next question comes from the line of Craig Siegenthaler with Bank of America.
My question is on your Agent Portfolios that you launched, I think, back in March. How has progress with your agentic trading progressed? Can you disclose client assets or number of accounts? And based on that first batch of accounts, how is monetization activity differed from your average account? I'm wondering if you're seeing higher trading velocity, lower cash sweep balances. And I just have one follow-up after that, too.
Sure. So first of all, we're very excited to see the early adoption of Agent Portfolios. We shared some data on social. It's not in front of me. I'll ask the team to see whether we can have an updated slide here soon.
But it's a relatively small amount of customers that are trading in very high volumes. So what we're seeing is more sophisticated users right now, and we're simplifying the product, actually launching today the ability to connect Claude Connector and official Grok Connector as well.
So when our customers today actually open Grok across the globe, and we actually provide a free Super Grok to our Pro Investors across the globe, so when they open their Grok, they can actually see an official Grok connector. You can actually click connect to your SSO to your etoro account and then create Agent Portfolios basically directly from Grok, from Claude, coming very soon to the rest of the models as well.
What we're seeing is more technical sophisticated users right now that have been early adopters to AI, building Agent Portfolios and building agentic trading strategies. Now we've been doing this for a while now.
Our long/short portfolios, our Alpha Portfolios in etoro, which have, by the way, been performing amazing over the past year on the etoro platform, are all based on agentic trading, on quantitative trading. What we're seeing in communities of active traders in etoro today is that they're starting to use AI to actively trade 24/7 in their accounts.
We also started seeing more activity of 24/7 and actually of over-the-weekend trading, both in commodities now and equities as well, and we expect that trend to continue to accelerate.
And then just for a follow-up there. Do you have any plans to launch internal native option that maybe you could charge for in addition to sort of the external options you have today? And can clients still connect via an API?
I think that's how it initially was. Or is there MCP connectivity too? And then based on your comments, is it semi or fully autonomous now? Is there a human sort of decision on that final trade? Or is it trading fully autonomous?
So we do have MCP trading enabled on etoro. So what I mentioned that actually launched yesterday is your ability to actually connect to the MCP of etoro. You can actually look at it at builders.etoro.com.
So a lot of people that are also building apps are building based on the MCPs and an official Grok and Claude connector. So you can actually click in Grok itself, say, connect to my etoro account, then go with your user name, password, if you're logged in, or if you're logged in, just connect and authorize basically Grok to trade in your account, then Grok can actually trade autonomously.
So you can actually create a scheduled task, an autonomous agent in Grok that looks at the market, that explores the market and automatically trades in your account. You can do it in Grok or Claude or you can do it with Tori, our own AI agent that's based on the frontier models of Grok right now.
So it is fully automated. Of course, the users can define their permissions of the MCP. So you can decide that the connector that you're connecting into etoro is, for example, only for read, or you can define for an AI agent specifically to only operate on a specific Agent Portfolio or sub-portfolio. So we've built it in a very, very flexible way where the users have basically the control to define how they want to operate with AI.
Regarding options trading, we haven't launched API trading yet for options. So we do have APIs for crypto trading, stock trading, leverage trading as well as commodities trading. Now actually, with the TradeZero acquisition, I've been actually trading options with my AI connected to TradeZero APIs. So we hope very soon to integrate that into our global offering as well.
Our next question comes from the line of James Yaro with Goldman Sachs.
I wanted to turn again to the TradeZero acquisition. Could you just update us on the broader U.S. growth strategy? And I guess, are you contemplating any additional acquisitions in the region? Or does this get you to what you think is critical mass?
So I think this is a great acquisition to have a significant team and business here in the U.S., and great infrastructure for us to be basically connected directly into the markets. In addition to that, we recently received our RIA license as well, which will enable us to also launch the Smart Portfolios.
I would say the core strategy is very consistent. First of all, make sure that we launch in the U.S. all of the products that we have overseas. Now with the TradeZero acquisition, that completes futures, so the ability to trade on commodities, currencies and indices, leveraged trading as well as short.
So a lot of the popular more active trader parts of the etoro platform globally will come into the U.S. with the RIA license, Smart Portfolios and copy trading. And what we're doing is bringing all of the successful products of etoro into the U.S. to increase basically the lifetime value, the product attachment in the U.S., and then start basically scaling marketing the same way that we do outside the U.S.
We are looking at additional opportunities, by the way, both in the U.S. and globally. I would say that the -- both our appetite for acquisition remains strong, and we continue to have great engagement from potential targets across the globe, including the U.S.
Just as a quick follow-up, any ability to provide any additional KPIs or metrics around the deal? I think the areas that I think we'd be interested in would be number of customers, the assets under the AUA base and, I guess, just some of the growth trends in those that we see over time, if you're able to.
Sure. What we've discussed is we'll do that closer to closing or post-closing as we look at consolidating, obviously, numbers and metrics of etoro and TradeZero.
Our next question comes from the line of Devin Ryan with Citizens Bank.
Question just on crypto and kind of the outlook there. Yoni, obviously, as you guys talked about, you have a long history with this asset class, longer than most. And as we look at kind of the recent results in July as well, obviously, a lot of pressure.
I think investors have been a little bit more negative on this element of the market. But as we think about recent pressure, kind of cyclical versus maybe some other kind of real speculative tail coming out of the market and maybe that kind of continues, it sounds like you're still pretty constructive on the intermediate term from a cyclical perspective.
So I'd just love to get some perspective around, like, what is underpinning that, Yoni? And then as you kind of map crypto out over the next years, how do you think it develops from maybe what was historically a really speculative market to one that's maybe more utility-driven?
Sure. So first, I remain very, very bullish and confident on the intersection combination between extremely large TAMs. One is younger, the rise of retail investors, younger audiences, Gen Y and now Gen Z coming into the markets with expectation over the next 20 years of more than $100 trillion moving to those younger generations.
And then on the back end, what we're seeing, which is the tokenization of real-world assets and moving finance on-chain, which is another at least $100 trillion move on the back end. So we're seeing 2 tectonic shifts in the entire financial services industry where we're really just in the infancy.
What we're seeing in 2026 is a lot of these things connect, our ability to tokenize assets on-chain, to be able to see SpaceX trading on-chain, SpaceX derivatives trading on-chain, SpaceX launching 24/7 in the first day of trading 24/7 unlocked in etoro globally, coming very soon, I believe, to perpetual futures market in the U.S.
So what we're seeing is a lot of those building blocks that people in crypto have been talking about since 2013 about the tokenization of real-world assets and writing about it happening right now in 2026. And again, with the U.S. administration being very bullish on moving finance on-chain.
So from a tech perspective and an industry perspective, I believe etoro is positioned in a very unique way that is the intersection of traditional finance or capital markets and digital asset markets.
On the other hand, you have prices, right? So prices of crypto markets and adoption of blockchain and crypto technology do not always go hand-to-hand. What we actually usually see is a lot of the innovation builds more in the bearish markets of the cycles.
I have to say this is our fourth cycle in etoro, from 2013, a peak in October to the drawdown of '14, from the '17 peak in October to the drawdown in '18, then '21, '22. The cycles look remarkably the same where you have the peak post halving, then you have a correction, then you have sort of a beginning of a new rally.
We remain very confident and bullish on future of Bitcoin as digital gold moving forward. I believe this cycle will eventually look like previous cycles in the past. And every cycle, we've seen also a lot of new innovation coming into the markets during those more, I'd say, crypto winter periods.
I appreciate all that color. And then as a follow-up, just want to maybe also thought exercise on kind of an IPO market reopening and implications on etoro. Obviously, SpaceX, you guys were involved there to a degree.
And so love to just think about if we're on the front end of a bigger IPO cycle, what did you learn from SpaceX around customer interest? And what did you see with customer trading around that event?
And then also other kind of ancillary revenue streams like securities lending, like how meaningful could that be for etoro if we go into, kind of, a lot of these IPOs over the next year actually do come? And then the other connected piece is I know TradeZero has really, as you mentioned, kind of patents around sec lending and that's a big part.
Did they participate at all in the SpaceX, kind of, activity? And is that an opportunity for etoro with TradeZero as well?
Sure. So first of all, the SpaceX IPO on its own was an amazing event, largest IPO ever. On etoro, we had over 200,000 customers that traded over $1.7 billion of volumes in SpaceX shares and derivatives.
We've seen, and again, connecting this to the opportunity, so first of all, big IPOs, so the same as in etoro, every time there's something interesting in the market, we're seeing significant interest around it, whether it was Dogecoin in 2021 with Elon Musk went on Saturday Night Live or SpaceX IPO in Q2, that was actually a significant driver of new funded accounts in Q2. So every large-scale IPO is driving both client activity and new funded accounts.
I think the unique part which we've learned with the SpaceX IPO is the fact that you can actually launch the IPO price prior to the IPO. That was a great product and innovative product that enabled us and our customers to basically speculate on the price of where the IPO is going to start.
And it was also our first retail distribution of an IPO in the U.K. We do expect that to, by the way, grow. So this was a very unique retail distribution where our retail clients received somewhere between 60% to 80% of the retail demand.
We hope to see that trend continues where more of the large companies actually allocate more to retail investors, obviously, keen to see how both hopefully Anthropic and OpenAI are rumored to IPO this year. And on smaller scale, of course, we've seen many more IPOs come to the market.
Each of those actually have a marketing campaign, and we're launching them on etoro, and we're working directly, of course, with issuers as well. So some of the IPOs like Lime and others were successful launches in the U.S., and we'll continue to invest to build that infrastructure for more offerings in etoro.
On TradeZero, just to note, still early days to talk about how, I'd say, IPO market plus sec lending works together hand-in-hand. Of course, more tech companies, more volatility in tech companies coming into the market means also more interest potentially both in lending and in short.
Our next question comes from the line of Chris Allen with KBW.
I was wondering if you could dig in a little bit just on the July trends, which I think is how your stock is reacting this morning. Maybe give us some color on ECC, the pullback in activity.
Is that just primarily driven in equities? And then I'd also love to hear just on interest-earning assets, the pullback there? And maybe color during the quarter, we saw the yield go up. Was that increased margin lending, that benefit there? Just how margin lending trending is going right now?
Sure. So I'll cover sort of more macro markets, product, and let Meron touch the numbers. Macro, what we've seen is 2 things in July. One is commodities was very, very active in Q4 and Q1.
I think we've seen commodities volatility generally go down, both on oil as well as precious metals. That lowered the number of active traders and trading activity in commodities Q2 versus Q1 and Q4.
In Q2, we've seen very significant activity with volatility and active trading across equities, actually mostly across stock trading in Q2, which was very active. I think July both had seasonality impact into it as well as a correction into the more popular stocks in etoro.
So what we see many times in stocks is when the markets correct down, customers basically take a bit of a breather and then start buying the [ dip ]. So I do believe we'll see more of that now that we're correcting back upwards after July's, sort of, semiconductor correction in the market.
And with that, I'll let Meron comment a bit about the numbers.
Sure. I'll just add on top of that, that we've already seen some improvements coming up in the first 10 days of August to date. So that's a good sign that July might have been the bottom, as Yoni mentioned before.
On your question on IEA, similar to the trend that Yoni mentioned, we've also seen customers scaling back some of their margin book. So we definitely hope that we'll see that coming up in the next few weeks as they return to the market.
But in general, also adding on top of what Yoni said, like we don't look at the business on a month-by-month basis. We look at the, like, the horizon, we look at a 12-month basis. You can see the numbers year-to-date or last 12 months, we've delivered significant growth in all different KPIs. So 1 month that we see that is coming every year is not something that concerns us on how we manage the business on a day-to-day basis.
I'll add on the margin one more thing is the launch of buying power. So we did launch the ability for customers to actually convert their cash equity positions into buying power to actually increase margin capabilities on etoro. We started launching this to the premium accounts on etoro as well as launching very soon crypto buying power.
So customers can actually bring in their crypto and crypto potentially exchanges that don't have diversification of assets, bring it into etoro, receive basically buying power to be able to then buy stocks and diversify their portfolio. So I do expect new product offers, both on buying power and on margin and with, by the way, the capabilities of bringing that also into the U.S. market with the completion of the acquisition of TradeZero, will over time increase our margin net open position and therefore, also IEA on etoro.
Our next question comes from the line of Brian Bedell with Deutsche Bank.
Maybe just -- good to see the RIA license in the U.S. And maybe, Yoni, if you could just comment on your expectation for that as an accelerant for Smart Portfolios. But maybe even more importantly, the launch of copy trading in the U.S.
To what extent -- I know copy trading is already existing in the U.S., but I believe the pro traders in the U.S., if I'm not mistaken, can't be compensated just yet because of that RIA license. So does this enable that? And then if not, then what other steps do you need to take to get to, like, a full-fledged copy trading platform in the U.S., both from investors being able to copy trade and pros being able to be compensated?
Sure. So RIA license does unlock in H2 our ability to launch Smart Portfolios, which, by the way, had an amazing momentum outside the U.S. during H1 with record of copy money in both the Smart Portfolios and to PIs. We continue to work on additional products which will enable U.S. customers to copy both in the U.S. customers and outside the U.S. customers and Smart Portfolios.
In relation to the Pro Investor program in the U.S., we do believe the ability of us integrating into the RIA platform and putting all of the required regulatory requirements from a technology and technical perspective will enable us over time to also offer compensation in the U.S. for RIAs.
I would say that it's really about building that marketplace, building both sort of the buyer demand and the sellers' demand of an RIA marketplace. We do believe, by the way, globally, that market of RIAs -- which, by the way, in different markets is called different names, has the same challenge, by the way, of the, sort of, traditional markets where you have younger audience who have very different expectations.
We see the same with RIAs and basically younger people looking at the etoro platform as an opportunity to become an RIA, to become a financial adviser in Europe as well and using etoro as their platform and their digital distribution channel to build basically their online presence, their own applications, bringing in their innovation.
We're seeing a lot of licensed activities of financial advisers right now outside the U.S. actually building apps on the etoro platform, and we believe that will translate into the RIA market over time here in the U.S. as well.
Yes. That's great. And then maybe that's a great segue to my second part of my question, which would be to what extent can copy trading be accelerated by AI usage? So in other words, can Pro Investors develop their own AI technology and, therefore, copy traders be able to leverage that expertise in AI trading from those Pro Investors? And then I guess, how would that also -- can that also be accelerated with the TradeZero acquisition?
That's a great question. One of the areas I'm most passionate about is quantitative trading and how you can unlock with AI the abilities of more sophisticated trading capabilities. So internally in etoro, as we launch our momentum strategies and long/short strategies outside the U.S., these all use AI to basically create hedge fund-like strategies, basically market-neutral strategies, alpha strategies.
We've been actually working with quant pro traders in etoro and building pods. We launched 5 pods. Each pod is actually somebody coming from finance and somebody coming from physics or computer sciences, and they've launched basically these new pods.
So it's somewhere in between a Smart Portfolio that we're developing and a popular investor that can be copied on etoro. We paired them up and gave them quantitative tools. And quantitative tools include quantitative skills that actually our team are building, quantitative data sets that our teams are building.
So basically, as many things in etoro where we're building our capabilities first, same way that we started trading Bitcoin in 2011, 2 years before we were actually launching it to customers, we've built a lot of expertise now in using AI for quantitative trading. We started opening this to our Pro Investors with actually having quant courses similar to the ways we actually promoted value investing to investors 4, 5 years ago.
Now we believe that the tools that our Pro Investors have, with AI Studio, with APIs, with MCPs connected to our APIs and, of course, the capabilities of AI to run through large data sets and large context and create trading strategies, significantly improve the abilities of our Pro Investors to actually create more sophisticated, more quantitative and, by the way, also more active trading strategies over time.
The TradeZero acquisition unlocks that for us in the U.S. with short and leverage trading alongside the RIA license. So from things I'm looking at internally, which is a lot of our Alpha Portfolios, both existing ones that launched, but even more exciting for me are the 21s that right now are in beta running on signals, we accelerated significantly our internal ability of our quant team to build those strategies, and we're building these tools and exposing them to our traders as well.
And again, a part of our focus on the more active trader segment and pro trader segment, I believe that's a very large untapped opportunity, both globally and here in the U.S.
Our last question comes from the line of Alex Kramm with UBS.
Just wanted to come back to TradeZero, a couple of specific ones. First, can you talk about roughly how much U.S. options is for these guys and how that changes or drives your U.S. options strategy in general? I think you're still pretty under-indexed there.
Yes. So they are trading in options in the U.S., I don't have in front of me exactly the data. And we have been integrating and working also with their options APIs. I do believe this will significantly enable us to grow our active trader segment here in the U.S., and active traders, of course, are trading also more complex products such as options and futures in the U.S.
So I firmly believe integrating TradeZero capabilities, both globally and specifically here in the U.S. in the core etoro platform and on the TradeZero platform, will enable us to scale significantly derivative trading and more complex products attachment here in the U.S.
Right. Good. And secondly, I know you said limited financial information so far, but maybe as you get closer, but just on the cost side, can you give us a rough idea about the fixed costs that they have and to what degree cost synergies are an opportunity here?
And if you don't want to give specifics, maybe just talk more holistically because previously, a lot of these deals were about taking out costs, but you're kind of earlier days in the U.S. So just wondering, is this -- is there even a cost opportunity? Or is this actually something where you're going to be growing the expenses significantly from here?
So again, I'll cover strategically. We bought a profitable company. I think this deal over time is going to be accretive. $80 million revenues. When we go from signing to closing, as I mentioned before, we, of course, will consolidate numbers and share more data.
We do not expect to grow expenses. I think we are looking at this opportunity as basically building a significant franchise here in the U.S. that also, by the way, is in the U.S. and in North America, in Canada, with capabilities of a global Pro offering as well.
Of course, as in any deal, we'll also explore over time cost synergies, but very much focused, first and foremost, on revenue synergies and scaling our business, both here in the U.S. and the pro trader segment globally. Anything to add?
We'll share more details post-closing about our expectation as well.
Thank you. I would now like to hand the call back over to Daniel Amir for closing remarks.
Great. Thank you for attending the earnings call today. We look forward to seeing you at one of our upcoming investor conferences that you can see on our events page during the quarter. And thank you, and have a great day.
This concludes today's conference. Thank you for your participation. You may now disconnect.
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eToro — Q2 2026 Earnings Call
eToro — Q2 2026 Earnings Call
Solides Q2 2026: Wachstum bei Net Contribution und EBITDA, Produktoffensive mit AI & App‑Relaunch sowie angekündigte Übernahme von TradeZero.
📊 Quartal auf einen Blick
- Net Contribution: $229 Mio (+9% YoY)
- Adjusted EBITDA: $78 Mio (+9% YoY)
- EBITDA‑Marge: 34% (in etwa stabil YoY)
- Funded Accounts: 4,28 Mio (+18% YoY)
- Assets under Administration: >$19 Mrd (+10% YoY)
- Cash: $1,2 Mrd; Buybacks: ~2,3 Mio Aktien für $87 Mio
🎯 Was das Management sagt
- Produktstrategie: Neuer App‑Relaunch mit AI‑Agent "Tori" und etoro App Store; Fokus auf Personalisierung und Agent‑Portfolios.
- Vier Säulen: Trading, Investing, Wealth Management, Neo‑Banking bleiben Kernprioritäten; Ausbau von etoro Money und Sparangeboten (15x AUM‑Wachstum im Sparprodukt).
- Akquisition: TradeZero angekündigt (bis $231 Mio) zur Beschleunigung US‑Expansion, Professionalisierung für aktive Trader (Leverage, Shorting, Futures, Optionen erwartbar).
🔭 Ausblick & Guidance
- Q3‑Trend: Adjusted OpEx leicht über Q2 erwartet, getrieben von Marketing und erhöhten R&D‑Investitionen.
- Juli KPIs: Funded Accounts 4,32 Mio (+18% YoY); AUA $18,5 Mrd (-5% YoY) wegen fallender Krypto‑Kurse.
- TradeZero‑Timing: Abschluss geplant H1 2027; Management erwartet, dass die Transaktion im ersten vollen Jahr nach Close Adjusted‑EPS‑akkrerierend ist.
❓ Fragen der Analysten
- TradeZero Details: Viele Fragen zu Kunden, AUA und Kosten‑/Synergieprofil; Management verweist auf detailliertere Offenlegung näher am Close.
- AI & Agent Portfolios: Nachfrage zu Monetarisierung, Autonomie (vollautomatisch möglich) und API/Connectoren; Management sieht frühe Adaption durch technisch versierte Nutzer.
- Krypto & Märkte: Analysten wollten Einschätzung zur Zyklik, zu Perpetuals/Prediction Markets und zur Wirkung großer IPOs (SpaceX trieb Q2‑Akquise und Volumen); Management bleibt konstruktiv, nennt aber keine kurzfristigen Preisprognosen.
⚡ Bottom Line
- Fazit: Operativ stabile Margen und KPI‑Momentum kombiniert mit einer produkt‑ und AI‑getriebenen Wachstumsstrategie; die TradeZero‑Akquisition zielt auf beschleunigte US‑Penetration und stärkere Pro‑Trader‑Erträge, aber Detailkennzahlen und Synergien bleiben bis zum Closing offen.
eToro — Special Call - eToro Group Ltd.
1. Management Discussion
Hi, everyone. Welcome to our event of unveiling a huge amount of work that our team has been working on for the past six months. It's amazing to see so many people, so many familiar faces eTorians from across the globe. Thank you, everyone, for coming here. Our Pro investors that have joined us here to showcase their apps upstairs after the speech. Our partners are here, everywhere from SpaceX AI to Alpine to many other partners or investors. And of course, thank you to my family joining me here as well. And also welcome to the audience on X on YouTube, on our live stream across the globe.
We've started eToro with a vision of opening the markets for everyone to trade and invest in a simple and transparent way. But always, there has been a gap between the people who really have access to everything in the market and those who don't. Initially, at eToro, it was really about lowering the friction, fractional shares in dollar amounts, enabling commission-free stock trading in U.S. shares, bringing crypto to retail and then bringing in a lot of the knowledge that we have in eToro through social, through connecting everybody in eToro to one another.
Today is really about how AI completely levels the playing field between retail investors and the most sophisticated investors across the globe. If I look at the past almost 20 years since me and my brother founded eToro, the first 10 years was really about lowering the barriers to entry. The next 10 years about how do we take all the knowledge of all of our investors trading in eToro and how do we create that knowledge to become collective intelligence of our customers so they can become better investors and increase their knowledge and their wealth on the eToro platform.
And now it's really becoming one with AI, which we'll show later on today. As we grew the company, we built more and more products across the financial super app spectrum. We have today 4 pillars of our product, trading to how our customers joined eToro originally to trade the markets, to trade stocks today from 26 different capital markets, now thousands of crypto assets, both on TradFi and on DeFi as well as derivatives across a variety of CFDs, futures, options where you can continuously and always see what are the best investors from all over the world are doing.
We've expanded and matured with our customers as, of course, we're all growing older, and enable them to invest to become smarter investors to compound their wealth on eToro. With CopyTrader looking at the top investors from all over the world to our Smart Portfolios to recurring investments. And we've taken that a step forward and have seen significant growth this year in our savings products. It's always one of my proudest moments when I meet people, whether it's our pro investors who are telling me that they made their first trade on eToro.
We just had a great event at Formula One with our partners here from Alpine. And I met two founders that have actually founded now companies that are potentially partners of eToro and they told me, Yoni, the first trade I ever did in crypto was on eToro. The other one told me, me, too, the first trade I ever did on eToro. And that makes me very proud because it means we brought them into the world of capital markets.
We created that spark of passion towards capital markets. And now in savings, it's also to make sure that you'll do your last trade on eToro as well that you'll manage your savings and your pension in eToro as you'll see later on open up your kids accounts on eToro, and look at how you manage across all of your wealth and financial products.
And we've expanded our partnership both in banking with creating a virtual IBAN for our customers to enable payments directly from eToro both in crypto as well as in Fiat and local currencies as well as the Visa debit card, which enables, again, our customers to keep all of their assets on eToro without the need to go back to their bank.
We've built eToro in a very unique way as a regulated company across the globe. We have 12 different offices across the globe. We speak in 24 different languages. And what connects our customers across the globe is their passion to the global markets to learn more and to become better investors and we've always worked with regulators across the globe to understand how new innovations bring more value to our customers from across the globe and the really unique part in eToro, which I'm super lucky to meet hundreds of our Pro investors across the globe is that core collective, that collective intelligence of extremely smart people, actually smarter than I am about the markets in many, many cases that have expertise in the market that have grown in eToro for years.
One of our top investors today was copied by about 30-plus thousand people and $250 million has a track record of 12 years in eToro. And we meet them once a year in our Pro Investor Summit. And it's really about how do we all learn from one another. And the initial part was how do we connect, how do we learn from each other. And that's when we created the first social investment platform now with 40 million registered users across the globe to enable people to connect and learn from one another.
We realize we can use technology not only to connect and learn from each other, but actually, just like I have succeeded in high school, actually copied the best. So we've created and patented CopyTrader, which has become a very unique product. We're the only company in the world today that enables you to actually copy a popular investor or a smart portfolio of fractional shares across 26 different markets, do everything in real time and actually manage multiple strategies across multiple smart people across the globe as well as our Chief Investment Officer.
And what we've been seeing over the past, I'd say, 2 years is now we can actually harness AI to actually become smarter as a collective. We provided about 9 months ago, our AI studio to our pro investors. They've created apps that, frankly, they were on stage presenting it, and I was in tears because I saw so much innovation that they've built that we would have never built in eToro on our own on our priorities. And that AI over time, has become smarter and smarter. It learns from every trade of every customer that trades on eToro, from the best customers in eToro to learn what success is to the worst customers of eToro to learn what failure is.
And that learning now is shared through our AI tools that we provide our customers, our apps and of course, Tori, our AI agents. The world is changing right now at the pace which I've never seen before, I'm sure everybody here is experiencing maybe almost the same. People are telling me, I'm losing a bit my communication skills because I've been talking to AI agents more than I've been talking to people in the past 6 months.
But there is no doubt that the world is changing right now, enabling retail investors, enabling people from across the globe access to intelligence that we've never had before.
I recently told my quant team as they're working on models and suddenly are doing 100 times a day backtest, which would have taken 6 months just 2 years ago, that -- 2 years ago, maybe there were 3 companies in the world that has that access to that amount of information, that amount of compute, that amount of intelligence. So everything is changing in a very rapid pace. And it's about AI powering our investors, powering our pro investors with tools we couldn't imagine 2 years ago. And it's the fact that finance is moving on chain and creating more opportunities, more products and actually moving the entire capital markets into 24/7 through tokenized equities and through DeFi technologies.
We've always looked at technology and how technology can empower our customers to become better investors. That was almost a mega -- okay, but what's really exciting, and I have to say I've been having more fun over the past years since we went public, than never before as CEO, is to see how easy it has become to build and how much faster we're building in eToro.
The pace of building and the pace of innovating and the pace of creating new products that we couldn't have done just a year ago and 2 years ago. And this is really an unlock just since roughly November last year, really showed us the capabilities of us delivering more products across our entire road map in all of the regions in 75 countries where we operate.
And what you'll see here today is a couple of those innovations that have been in the works. We actually rebuilt the entire eToro platform. We took 1 million lines of code of the existing eToro app and actually rewrote everything with AI, an app that has been basically built from the ground up with AI and that has been an amazing experience working with our solutions group, seeing how AI runs at such a pace that every month, everything changes, the tools change, how you write code change, how you look change.
So a new app, we're going to see a pro trader app on desktop which wasn't even on the road map and looks really awesome. We're going to see the Apple Watch app and many new apps that are coming into the app store. And with all of that change that we've realized, we're running at a pace that we couldn't have imagined just a year ago with AI, we realized we wanted to also refresh the eToro brand. We wanted to make sure that through the eToro builders, our API-first approach, our technology-based approach. We're refreshing our brand, and this is the new brand of eToro.
[Presentation]
And by the way, many of -- well, all the people you just saw in the video are actually pro investors here in the crowd, which, of course, you can meet and greet. Although I do admit, we just took silhouettes of them in the AI generated, the rest, but thank you all for signing the waivers to do this.
And this is how we're helping eventually our customers to become better investors and helping you to know better is by finding people who are passionate about capital markets who have been doing this myself since I was 13, so now 30-plus years, but many of our customers and many of eTorians have been passionate and touching capital markets for years from quantitative traders here in the crowd building quant apps on eToro to value investors, building research on eToro to people from across the globe from Australia to Singapore to U.K., to the European countries to the U.S. and Latin America that are bringing their knowledge into eToro for you to actually become a better investor and know better.
And I'm very happy now to introduce our product team Or Peled will now showcase the new app, our app store and [many more] feature. Thank you.
Thank you, Yoni. Everybody hearing me? Good. So hi, everybody. First of all, AI is indeed -- my name is Or. AI is indeed reshaping the industry and specifically reshaping eToro. And we are an AI first company. And being an AI first company really means that we weave in AI in everything that we do. Specifically, we have 4 different layers where we take into account where we do -- where we kind of think about AI and the first is the user experience. And the user experience has -- the user experience has Alpha Portfolios. Alpha Portfolios, which are smart portfolios, that is -- it's the easiest way for you to tap into investments in AI. It's essentially our proprietary data that is filled into a smart portfolio, a portfolio where you can invest in.
The second is Tori. And Tori is your AI financial agent, Yoni mentioned it as well. It's a very significant innovation because it's now smarter than most of the models, the frontier models today because it has a lot of context. So that's very significant. And specifically, Tori can also trade for you. And by trading, we actually go to the second layer of autonomous execution. Autonomous execution is powered by Agent Portfolios, which is another innovation that we recently launched and is incredibly significant.
And Tori can actually use it in order to trade.
Then we have the open ecosystem. And the open ecosystem specifically has the App Store, which is a great innovation as well, recent innovation with more than 60 apps and 1,500 submissions. It's a financial marketplace for you to be able to create and consume financial apps with no code, just text. It's really easy to create, and we have the builders portal and the MCP in order to help you do that exactly and specifically to kind of continue trading. And the last is the data foundation layer, which takes in almost 20 years of proprietary data of investing habits in order to make sure that you can kind of learn the markets trade better through the APIs and so on.
So I'm obviously not surprising anybody because this is why we're here. We're presenting today the new eToro app. Let's watch this video, and I'll tell you all about it.
[Presentation]
Okay. Exciting stuff, right? I'm very excited for this because this is such a great innovation, and you can all, by the way, download it right now in the app store, it's called eToro AI for you to test it out and see.
But today also marks a day where eToro is no longer just a broker. We're 3, 4, 5 steps into our vision of becoming an AI-powered financial super app. And it's just incredible because the new app is now built for faster execution, the insights you care about as well as the community you love all baked in. It's also built in for the new era with Agentic trading as a first-class citizen. And if this is not enough, we're also rolling out sub accounts to be able to create different portfolio strategy, multiple accounts, each of which has a portfolio for you to be able to trade.
You can trade yourself, you could trade via an agent or you can even open an account for your children, for your children to be able to kind of save up for a member of your family, really great stuff.
Now Tori is also much, much more smarter than it was before. It has all of the context, it knows everything about you. We revamped the entire thing from the ground up, really significant.
It also gets better every single day and it can also trade for you. Let's say, dive right in into the more kind of specifics. So no two investors are alike and we understand that. And we want to make sure that you're able to customize your experience. So this is exactly what we're launching. We're launching the advanced mode for you to be able to customize your experience. So the watch list, the portfolio and many places in the app will be dressed up according to how you want the app to look, feel and behave. So Tori, your financial agent, was built -- rebuilt from the ground up to feature an AI-first experience.
It features stronger capabilities, faster and laser sharp answers. It runs on Grok 4.3, but also has other frontier models inside to make sure that you get the best answer possible. It has live access to X, so you can analyze the market sentiment of X as well as the market sentiment of the eToro community.
It can serve as an investment opportunity. It can do so much more. It could even trade for you. You ask it to trade for you, you allocate an amount and you just go and obviously, everything is super transparent. It will say when it does what. Tori is now also proactive. Tori is now also super active. It will go -- first of all, it has -- it's front and center in the bottom left navigation of the app.
And let's just see it here. And it will glow shimmer when it has something to say about your portfolio. So for example, here, you can see that ARM trades are now accelerating, and you can decide you'd like to sell, hold, buy more. It's up to you. This will be presented inside the app throughout the experience on an asset page, on your portfolio, on your watch list, it could do quite a lot of stuff, and you will see it as you use the app. It's really collective intelligence at its best.
Tori will now extend itself also beyond eToro, beyond the app to the apps you love. It will be also available in WhatsApp and Telegram for you to be able to monitor the market for 24/7 to get the sentiment or specifically ask a question and specifically, here, you're going to even see that I ask it what's [stat] of my portfolio, what's going on with SpaceX, et cetera, and it can also trade for you directly through the apps you love.
Speaking of extending eToro outside of the app, we're also launching eToro on the Go, which is our new Apple Watch app. You can check your P&L, your positions. You can even speak to Tori directly through the watch. Really great stuff. Thank you. And if this is not enough, sub accounts are also being rolled out.
And we understand that you wear different hats in life, but also in the app. And we'd like to make sure that you have that exact thing inside eToro. So we're launching out -- we're launching subaccounts, which are tied to portfolios. Each portfolio is segregated from your main account. You can test a specific trading strategy that you'd like to trade outside of your main account. You can also have an agent trade on your behalf with full transparency. We'll be rolling that out as well. And you can also open an account for your children. So to save up for a member of your family.
I'm really excited about this because we will be rolling out significantly more capabilities as we go. And the entire app will be dressed up according to the specific account that you currently select and open.
Okay. So now I'm going to call to colleagues of mine, Joao Carlos as well as Filipe Sommer to present even more innovations. Really great stuff, guys.
Thank you, can you all hear me? $1 million, $2 million? Great. Okay. So hi, my name is Joao. I'm Director of Product here at eToro, and I'm very happy to share the stage with Filipe, who is a principal product engineer at eToro and also Mike Hasen.
Hi, everyone.
So thank you. We actually started on that side. We were eToro investors, and then we turn popular investors and then because we were always talking about finance and we share a love for investing and for building stuff, we actually built a start-up at the time called Bullsheet, which was acquired by eToro 4 years ago. And since then, we joined the product team, and we've been trying to close the gap between retail investors and professional investors. And the good news is that because of AI, this gap is getting closer and closer and shorter than ever. And so today, I want to talk to you about the future of investing.
So long are the days where you had to track all the news articles that come up or all the tweets from any celebrity that could influence the market. You now can deploy an agent for that or even analyst ratings. That's the same thing. You can also deploy an agent to track those things. And so this is really what we tried to do here. We tried to ease you into creating a trading strategy that can run autonomously 24/7 through our agents.
And so this sounds super complicated, but I'm going to show you that it's not really that complicated. So you just opened Tori and you say, okay, let's create my agent. And Tori starts analyzing your portfolio, your performance, knowing a little bit about you.
And from here, you just set your agent risk level you then allocate a budget to this specific agent. And then you can choose from multiple building blocks, and you can remove some others and even tune them. And once you're happy, you just say, okay, go, Tori, create my own agent.
And Tori will create the agent for you, and it's alive. And so what you see on this next slide is that's the -- Tori, can give you the control center for all the active agents that you have because you don't need to have just one, you can have multiple agents working on top of your portfolio. And with Tori, you can actually talk to the agents and ask to show recent trades to show the rationale behind the trades and all of this is transparent, okay? So you can see why a specific trade was opened, why no trade was opened on a specific day. All of this is under your control. And you can see all the reasoning that all the agents actually used to make this trade.
So okay. And so now -- let's take a step back and think of everything that we presented so far today. So we presented a new mobile app that will allow us to deploy agentic experiences faster than ever. We presented Tori who -- the proactive Tori, who can now push insights to you that you can only get on eToro, because these are insights that are based on almost 20 years of social data. And so you really have to be on eToro to know better. We also presented subaccounts. We presented the agents that you just saw, and we also presented a new app for the Apple Watch. And what all of these apps have in common is that they are here to try to give you an edge as an investor.
But there are also some other types of investors. Investors that stay in front of a monitor or multiple monitors the whole day, adding indicators to the chart, finding chart patterns, executing trades way more frequent than other traders. And for those, we wanted to build something specifically for them. And so we really wanted to give them an edge. And so this is why today, I am very happy to show you our newest product called eToro Edge. eToro Edge was built specifically for pro traders because we know that all the different traders have different setups, styles, tools that they like to use, they like to see different types of things in front of them. And we don't think you should adapt to our trading platform. We think that our trading platform should adapt to you.
And so what we really tried to give you is an empty canvas for you to build your ideal trading cockpit. And so I'm going to show you a little bit of how this works. You start from an empty canvas and you can add different widgets. So in this case, I'm going to add a watch list, and it's the same watch list that you have on your eToro accounts. And if you have multiple, you can switch. And as you see, I can resize the widgets. I can move them around. I can add other widgets.
So in this case, I'm going to add a chart, portfolio widgets, positions widget and also an order ticket and now what you see on the top left of the widgets is a little color, and this is basically the grouping of widgets because you can have widgets on multiple screens, okay? It doesn't even need to be on just a single screen. And if they are part of the same group, if I then change it on the watch list, all of these widgets will update to show information regarding that specific asset that I've seen.
So in this case, for example, you see the Bitcoin trades on the chart and also on the bottom. If I open a new Bitcoin position, you will see it appearing on the chart and on the positions widget. And this is just one example. You can do much more on edge. I invite you to try it out. It's actually live starting today on edge.etoro.com.
It's a desktop app but really try it out, there's lots of things that you can do. I just touch the surface edges much deeper than that. But I want to mention another feature of edge because I couldn't leave the stage without talking about AI again. And so for example, if you have your chart and you want to edit your chart with AI, you go into this interface where Tori is on the left side. And you can just say, okay, let me see a day trading view for my chart from this asset. And so Tori will think a little bit and apply all the indicators to the chart.
And if you close it, now you see all the indicators. These will be saved across sessions, you can really make it your own. So the most important thing to take from this is that every trader has their own style and edge is here to give you a canvas that you can use. And so that's it from my part.
And now I'll give the word to Filipe and also the clicker.
Thanks, Joao. Test, test. Cool. I think Joao spoiled a bit about the next part, but I -- basically, I want to present the eToro App Store and the builders portal. When I first started investing, I think like many of you here, I started with a lot of Excel sheets, a lot of dashboards to track my dividend payments and my positions. And so basically, we decided to build a tool to fix that, okay? And we want to make it much, much easier for everyone. My personal mission here at eToro is to make it easy for anyone regardless of being a programmer or a quant or just using AI no-code tools to make it much easier for you to build these types of tools, okay? And so that's the reason we built the builder's portal. And I think you will find it inevitable like we found that you -- others will have the same problems as you. You will want to share your apps with others, maybe even monetize it like we did back then. And that's the reason we built the eToro App Store, okay? It's our marketplace, so you can share your apps and monetize them with others.
I think as the number of apps grows and it is growing, and the community grows, I think it will benefit in general, all eToro investors. And speaking of solving problems, I want to give a few examples of apps that are already live in the App Store that we built. One of them, no bias is an app that I built actually. I sat at the table with my family at dinner and we were thinking how could we build a system where, let's say, for my younger sister, we could start investing while she's young so she can leverage the compounding over time. And that's exactly what we did. So together with AI, of course, and our new APIs and everything that we talked about today, I created the system in where you can just say, okay, I want to say for my child 1 or child 2, in my case, it's my little sister. Maybe in your case, it's a young child, you have at home. You want to dedicate, let's say, EUR 250 of a subaccount of your eToro account and as soon as you do so, you will see that it really opens a position based on our subaccount system.
And you can, for example, say, okay, I want to invest, let's say, an Apple or in an ETF and make it even a recurring investment every 30 days. so that over time or maybe when the child reaches 18, he can get ownership of the account and continue this investing journey with a compound effect. Here, you can see it opens transparently on eToro. So everything is connected.
Then we have other apps actually that I want to mention because I find them really cool. One of them is eToro Circles from a colleague of ours. I think all of you have this case where you have friends group where you want to decide, should I buy this, should I sell that? For example, maybe you want to discuss should I put my retirement account into the SpaceX IPO at 10x leverage. And before someone says, yes, maybe you want to hear a second or third opinion. And so this is what Circle solves.
You can converse with friends, you can share transparently your trades and your P&L with your friends and discuss investment strategies.
Then we have the Club benefits app, which is actually very helpful for days like today where I'm traveling, maybe I want a lounge at the airport, I want the rewards points.
Now you can, in eToro, with the Club benefits app. Of course, I forgot to play the video. And of course, even more complex stuff, we have AgentX, which is our -- maybe a way for you to tap into this world that Joao mentioned of the agent portfolios, you want to create an agent that will trade for you based on your risk appetite and your type of investments. And for example, we have another app called M77 Research which is also a different app. It's more research-focused actually from Mati, who's our colleague here, our Editor in Chief. I think he has 26 years of experience as an analyst and this is exactly the type of stuff we want people to be to bring their expertise and to grow eToro with their expertise. Thank you very much.
[Presentation]
So as I said before, it's just mind blowing and amazing for me to see people in eToro building in the pace that they're building today, people who historically weren't developers, weren't technical, are able now to bring in innovation to our customers, and it's amazing to see a lot of eToro Pro investors across the globe that are joining, building apps that bring value to them. They're building it to themselves. They're sharing it with others and they can actually monetize it. And we actually have 4 companies here that we acquired that started as Pro investors that build products on top of the eToro platform and our part now of the eToro family, which is truly amazing to see.
And I want to now touch about finance moving on-chain. We're seeing 2 transformations that over the next 15 years are going to shift north of $100 trillion. One is, of course, the transformation of wealth from older generation to younger generations. This is why we started eToro. We wanted to open the markets for younger generations to be able to access those markets and now as we're growing, we have more and more needs from eToro, from trading to investing, to savings, to banking.
In parallel to money shifting from older generations to younger generations. We're also seeing finance moving on-chain with a very high correlation by the way to everything we talked about in AI because when assets are digital assets. There are also AI-native assets. When you ask every AI, what does he want to trade and how does he want to trade. It actually wants to trade decentralized assets, it runs to trade, digital assets because it can do it without basically the need to rely on third parties that can connect directly to the blockchain.
Now for those who think, okay, this is mumbo-jumbo, blockchain, how does this eventually come into the hands of our investors? And the best example is actually the SpaceX IPO, the largest IPO in history. And for the first time, retail investors could actually trade the price of the IPO before the IPO on eToro. That price came from actually decentralized DeFi markets and then into the eToro platform. Then eToro, for the first time ever, actually participated in the IPO here in the U.K., distributing the IPO directly to our retail investors, waiting to see, by the way, funny enough, the exactly the same team in Goldman and the same trader in Goldman that opened the first trade of SpaceX IPO, which was exactly the same team that worked with us. So it's funny to see them. They copied the sneakers concept from us, which was fun.
And the minute it started trading. You saw basically the price of the SpaceX shares now trading on eToro at the first trade and those getting filled basically from their IPO, the highest, by the way, retail allocation and history as well how the price of the IPO expectation and the price of the actual share on eToro, converged immediately. Now those are all coming from innovation from DeFi markets, including the fact that it actually priced on a Friday, but the stock actually continued to trade over Saturday, on Sunday and is trading 24/7 now.
And why is that happening? That is happening because in crypto markets, they never sleep, they always operate 24/7. And what we're seeing now is that the financial markets, capital markets are actually copying the crypto markets bring the innovation from crypto markets into basically traditional markets, whether it's the ability to potentially lend your tokenized stocks, which you can actually tokenize and move to now your noncustodial wallet or whether it's to look at the prices of markets that didn't exist before in traditional markets.
And we're sitting in a very unique place between both of these $100 trillion transitions of the largest transformation of wealth in history to younger generations and the fact that younger generations want to be also digital asset native and to use technologies that don't exist yet in capital markets.
This is really the beginning. People ask me how have you been doing this for the past 20 years. And I always say it's just getting better and better. This is the fastest that we've ever run, and we expect to see more innovation coming across the globe to all of our customers in all of our regions. I see my kids here already like expecting me to open them the Kids account immediately after this.
And to wrap up quickly everything we presented today. We'll ask Tori to recap. We've refreshed our brand to represent our AI-first approach. We're launching today eToro AI across the globe rewritten 100% with AI, our app from scratch by the way, with AI, but also with a very, very talented team of developers who have been steering this AI. So thank you very much.
And it's really mind-blowing to see how fast smart people in eToro suddenly can drive with AI, how they're steering it to move faster and to move us faster as a company. We talked about Tori, the AI agent who gets smarter every day, it gets smarter because it has its own memory. It can read your portfolio, but it also has access to everyone's portfolio on eToro, and gradually building a hive mind of understanding everything that's happening in the eToro ecosystem and how it can help you become a better investor, and it's based on the Grok 4.3 model. But as soon as new models come in, which we're already testing. We'll be launching it for our customers as well.
Tori is extending itself beyond just the mobile app, into WhatsApp, into Telegram and into the Apple Watch as well. You'll be able to open subaccounts for your different strategies for your different agents for your different kids. You'll be able to use agentic trading, also agent wallets, so you can actually create now an agent wallet that actually owns crypto, where we can tell basically the agent to trade in cryptocurrencies in DeFi markets.
When somebody actually creates a DeFi app somewhere around the world, the minute it created that DeFi app, you can actually go to Tori and tell it go read the code and start trading in this new DeFi app through my DeFi Wallet and eToro doesn't need to do anything because AI knows how to read and integrate and engage with DeFi apps by its nature.
We showed a product that we didn't even expect to build this year, which is eToro Edge for Pro traders, and we've been getting amazing feedback from a lot of technical traders, and we expect to also build not only Tori for technical trading and technical indicators, but actually build strategic and algorithmic trading into eToro Edge.
We've showed the eToro app store and later on, you can go upstairs to see a lot of those apps showcased right here by the people who have been building the apps and the bridge between DeFi markets and TradFi markets between the crypto markets and capital markets with integration of our new acquisition of Zengo, our noncustodial wallet.
So a lot of innovation. And again, thank you very much for everybody joining us today here from live to everybody here in the room, and now you're welcome to meet colleagues, eTorians, app developers and see a lot of our products, including the new eToro app with a QR code here. Thank you very much, everyone.
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eToro — Special Call - eToro Group Ltd.
eToro präsentierte eine AI‑first Finanz‑Superapp: komplett neu gebautes App‑Ökosystem, handelnde KI‑Agenten (Tori), App Store und Pro‑Trader‑Tools.
Fokus lag auf Agentic Trading, Entwickler‑Ökosystem, On‑chain‑Integration und neuen Nutzer‑Features (Sub‑Accounts, Apple Watch, Edge‑Desktop).
🎯 Kernbotschaft
- Ziel: eToro positioniert sich als AI‑getriebene Finanz‑Superapp, die Retail‑ und Pro‑Investoren mit handelnden KI‑Agenten und einem offenen App‑Markt verbindet.
- Wertversprechen: Kollektive Daten + Frontier‑Modelle (u.a. Grok 4.3) sollen Nutzer schneller zu besseren Anlageentscheidungen bringen und neue Umsatzquellen (App Store, Agentic Fees) erschließen.
🚀 Strategische Highlights
- Tori‑Agenten: AI‑Agenten können Portfolios analysieren, proaktiv handeln und eigenständig Trades ausführen; transparente Kontroll‑ und Reporting‑Funktionen angekündigt.
- App Store & Builder: Marktplatz für Finanz‑Apps (60+ Apps, ~1.500 Einreichungen), No‑Code/Developer‑Tools und Monetarisierung für Pro‑Investoren und Drittanbieter.
- Produkt‑Portfolio: Vollständiger Neuaufbau der App (eToro AI), eToro Edge für Pro‑Trader (anpassbares Desktop‑Cockpit), Apple Watch‑App, Sub‑Accounts und DeFi/Wallet‑Integration (Zengo‑Akquise).
🔭 Neue Informationen
- Produktneuheit: Rebuild der Plattform 100% AI‑gestützt; Live‑Rollout von eToro AI, Agent Portfolios, Sub‑Accounts, Edge und Watch‑App.
- Kein Finanz‑Guidance: Es wurden keine neuen Umsatz‑ oder Profitprognosen präsentiert—das Event lieferte operativen Produkt‑Output, keine Zahlen‑Guidance.
⚡ Bottom Line
- Relevanz: Starke Produktoffensive kann Nutzer‑Engagement und neue Einnahmequellen stärken, erhöht aber auch Abhängigkeit von AI‑Leistung, regulatorischer Zustimmung und Technologierisikien.
eToro — Q1 2026 Earnings Call
1. Management Discussion
Hi. My name is Daniel Amir, Head of Investor Relations.
This webcast is being recorded and will be available for replay in the Investors section of eToro's website. Our earnings press release, investor presentation and April monthly spreadsheet is now available on our website at investors.etoro.com.
Today, I'm joined by Yoni Assia, our CEO; and by Meron Shani, our CFO. Following the prepared remarks, we will conduct a Q&A session and answer questions from both institutional research analysts and a selection of the most upvoted question previously submitted by eToro's retail shareholders.
But before we begin, I want to note that today's discussion contains forward-looking statements, including statements about goals, business outlook, industry trends, market opportunities, expectations for future financial performance and similar items, all of which are subject to risks, uncertainties and assumptions. And you can find more information about these risks and uncertainties in the press release that we issued today and in the Risk Factors section of our filings at sec.gov. Actual results may differ, and we take no obligation to revise or update any forward-looking statements.
Finally, during today's meeting, we will discuss non-GAAP financial measures. These non-GAAP financial measures are in addition to and not a substitute for or superior to measures of financial performance prepared in accordance with GAAP. Definitions and reconciliation of GAAP to non-GAAP measures is available in our press release, investor presentation and on the sec.gov website as applicable.
With that, I will pass the call to Yoni.
Thank you, Daniel, and thank you to everyone joining us today. Welcome to eToro's First Quarter 2026 Earnings Call. After Meron and I conclude our prepared remarks, we will open the call for questions.
This was a very strong quarter and a very strong start to 2026. Net contribution and adjusted EBITDA were both record as a public company. Net contribution increased by 19% year-over-year to $258 million, while adjusted EBITDA grew 35% to $109 million. This marks our fourth consecutive strong quarter since becoming a public listing.
Just as importantly, the quarter demonstrates the durability of our model and a confirmation of our strategy as trading continued to shift from crypto to commodities and our diversified offering kept users engaged. This highlights our ability to sell across market environments and is a core structure advantage.
We also saw meaningful acceleration across our key performance indicators. Funded accounts grew 12% year-over-year to over 4 million, representing our fastest organic growth in over a year, driven by increased strategic marketing investment and improved retention efforts. Momentum carried into April with funded accounts growing 13% year-over-year. Assets under administration reached $17 billion, up 15% year-over-year, driven by strong customer inflows.
We are a highly diversified global financial services company. We're building a global platform for investing built around the idea that everyone should have access to the world's financial markets in a simple and transparent way. Today, users can invest across almost every major asset classes from stocks, indices, commodities, currencies, crypto assets, tokenized assets and emerging market opportunities like prediction markets.
Innovation remains at the core of our strategy. We continue to expand our platform with new products and technologies, including AI-powered investing experiences, 24/7 trading capabilities and on-chain financial infrastructure while continue to strengthen our traditional investment offering. We believe these initiatives position us well to capture the long-term evolution of global investing and wealth creation.
Six months ago, we made AI a company-wide mandate across every function in eToro. We didn't just adopt tools. We rethought how we operate. Today, every function inside eToro, research, engineering, product development and marketing is supported by AI agents that operate against our infrastructure, continuously upgrade themselves as frontier models improve. The impact is significant.
We're already seeing significant productivity gains in engineering with more to come and similar acceleration is extending across the rest of the organization. Work that historically took quarters now ships in a fraction of the time. Capabilities that used to require deep technical expertise are become accessible across the business. We believe 2026 is the year of agents, and eToro is among the early adopters of this shift in our industry. This is an engine behind a significantly faster product road map.
As we deliver against our mission, we have remained focused on execute on our four strategic pillars, trading, investing, wealth management and neo banking. Allow me to share a few highlights across each of these areas.
In trading, we saw incredibly strong growth in commodities, which represented 60% of trading commission in the first quarter, with volumes increasing nearly fourfold year-over-year. This reflects both market conditions as well as the strength of our multi-asset model, which continues to drive cross-asset engagement.
Over the past six months, users who initially traded crypto or equities accounted for most of the commodities trading volume. That is the multi-asset model in action, and it is how we deepen user engagement over time. The strength and resilience of eToro's business model are anchored in our proven ability to sell across a diversified multi-asset platform, a pattern we've successfully executed through both crypto rallies and periods of elevated activity in traditional capital markets.
Our 24/5 trading offering launched last year and is being widely used and it underscores the global nature of our user base. This year, we took the next step. We rolled out 24/7 trading across multiple asset classes, eToro users can now trade select commodities, single stocks and indices around the clock with more to come. We see this as an evolution in capital markets. Traditional markets are starting to look like crypto markets and users want to trade on their own schedule.
We also continue to expand our offering. With the addition this quarter of Japanese equities, eToro users can now trade equities from 26 of the world's leading stock exchanges. In the U.S., we expanded our crypto offering with the launch of crypto trading for users in New York, the epicenter of the country's financial markets following the successful activation of our BitLicense and Money Transmitter License.
Turning to investing. Copy trading remains a core differentiator for eToro as we're the only company offering automated agentic trading. This quarter, Copy trading reached an all-time high, driven by rising demand to copy and Pro Investors were actively reacting to volatile market events. Copy trading is widely used by our users, reinforcing its role as a cornerstone of our social investing model.
As an AI-first company, AI-powered investing sits at the core center of our innovation strategy. We're entering a new era of investing where AI is reshaping how individuals access markets, make decisions and build wealth. At eToro, we see AI as a force that levels the playing field, giving every investor access to capabilities once reserved only for institutions.
Our vision is to equip each user with their own team of AI agents, tools that analyze the markets, generate insights and share personalized analysis while enabling them to build, share and scale strategies within a global collaborative investing ecosystem.
We're extending the same agent architecture we have built internally directly to our users by putting institutional-grade capabilities into the hands of every retail investor on eToro, designed to similarly integrate with the community they already trust to learn from and engage with.
Ultimately, AI is accelerating a long-term trend of making investing more accessible, more social and more personalized. The Internet democratized information, blockchain democratized value, AI is now democratizing financial expertise. And as finance and technology continue to converge, it is becoming the primary interface between users and the markets. AI will help millions of people participate in the markets with greater confidence, better tools and a stronger connection to both data and community.
The introduction of Agent Portfolios is also a meaningful step on that journey. Agent Portfolios let users allocate capital to AI-driven strategies inside a dedicated environment in the eToro account. Through Tori, our AI investing agent and conversational interface, users define the parameters and the AI agents run the portfolio. They get exposure to intelligent portfolio management in a controlled and transparent way while keeping full control over their broader investments.
As part of our AI efforts, we also recently expanded our partnership with SpaceX AI by embedding real-time X intelligence and market sentiment powered by the frontier Grok 4.2 model directly into the investment workflows of Tori. As more activity shifts toward automated AI-driven strategies, we expect increased engagement, trading activity and volume across the platform.
Building on this, we have launched the eToro App Store, a marketplace for trading and analytics applications directly within the eToro ecosystem. We have also introduced a builders portal, providing partners with access to APIs, tools and development resources. Some of the apps developed include AI trading -- an AI trading cockpit, a trading hub, a Bloomberg-style terminal for traders. Price point turns web page into trading signals, and POTUS turns politicians and influencer comments into trading signals.
Together with Agent Portfolios, the eToro App Store and our builders portal create a foundation for a new builders economy, enabling the creation and distribution of applications to millions of users, including no-code AI-powered tools. Developers, quantitative strategists and everyday users can now access, create, share and scale financial applications across our global platform.
Over time, we expect a broad set of applications to be built on top of eToro, further expanding the capabilities of our ecosystem and fostering a more engaged loyal user base.
In wealth management, the continued adoption of our Club subscription gave us the runway to introduce an upgraded plan, giving users access to first-class benefits of our premium tier for a monthly or annual recurring fee. More users can now get enhanced rewards, professional tools and premium experiences, which we believe drives deeper engagement and higher user satisfaction.
Our Cash ISA offering in the U.K. also had a record quarter. ISA AUA grew 15x compared to the same period last year with the underlying market opportunity exceeding $1 trillion. We're now using that playbook to push deeper into localized savings products across other key markets.
In neobanking, eToro Money delivered a record quarter. We continue to invest in localization and in regional expansion, enhancing the user experience and supporting long-term growth. We've seen strong adoption to the eToro Money card available today in Europe and the U.K., and we'll continue to expand the benefits associated with that card. In the first quarter, the number of cards issued more than doubled quarter-over-quarter.
Finally, last month, we announced the acquisition of Zengo, a leading self-custodial crypto wallet provider, marking an important step in advancing our long-term crypto strategy. At eToro, we have long believed that blockchain technology and digital assets will play a central role in the future of finance.
Crypto is revolutionary because it reduces friction in financial services, gives individuals and companies true ownership of their assets and expands access to a more inclusive global economy. As one of the first crypto companies to offer crypto back in 2013, we've been pioneers in the blockchain technology. Having experienced many crypto cycles, we believe that crypto downtimes are the time to build, and this acquisition reflects that long-term commitment and approach.
Zengo combines naturally with eToro. Our global multi-asset platform and distribution together with their secure self-custodial wallet technology gives users direct control over their digital assets while staying seamlessly connected to on-chain infrastructure. This transaction enhances our digital asset capabilities and accelerates our strategy to bridge traditional investing with decentralized finance, unlocking new opportunities across tokenized assets, prediction markets and perpetual futures.
Globally, we now offer over 200 crypto assets on eToro and access now to thousands of more on Zengo, including tokenized stocks. Importantly, our crypto efforts are not dependent on short-term market conditions. We are seeking to position eToro to lead the transition to an on-chain financial world.
To wrap up, we've delivered strong financial results, grown funded accounts ahead of the market and continue to drive product and innovation, particularly in AI. At the same time, we continue to thoughtfully pursue strategic initiatives, including expansion through acquisitions and our share repurchase program. Our focus remains firmly on creating long-term value, and we believe our strong start to the year reflects our unwavering commitment to that objective.
With that, I'll hand it over to Meron.
Thank you, Yoni.
As Yoni mentioned, we are very pleased with our first quarter results, which demonstrate our continued momentum as well as the durability of our diversified business model. First quarter net contribution grew 19% year-over-year to $258 million, and adjusted EBITDA grew 35% year-over-year to $109 million. In line with our focus on diversified profitable revenue growth, our adjusted EBITDA margin was 42% compared to 37% a year ago.
These very strong margin results were due to a higher net contribution in the quarter. Our KPIs reflect strong momentum in the first quarter with AUA increasing 15% year-over-year to $17 billion and funded accounts growing 12% year-over-year to $4.02 million. These positive trends continued into April, which I will discuss in more detail shortly. Growth was driven by strong user acquisition and retention, supported by continued investment in marketing initiatives.
Now let's take a closer look at our first quarter financials by business lines compared to a year ago. Our net revenue contribution from capital markets grew 71% year-over-year to a record $166 million, supported by increased engagement of our customers and crypto traders shifting to trading capital markets, with commodities being particularly strong.
As Yoni mentioned, in Q1, commodities accounted for 60% of our trading commissions. The 90% rise in the number of trades during the quarter was primarily driven by strong market activity in commodities and record inflows into copy trading as Pro Investors reacted to evolving market conditions in the first quarter. This performance reflects growing user engagement and the strength of our multi-asset business model.
Additionally, the growth of our business is reflected in the steady increase in total invested amount over time. This growth has been driven by the expansion of our capital markets business and the continued shift of crypto customers towards broader investment products amid crypto market cyclicality.
Net trading contribution from crypto was $13 million with a year-over-year decline driven primarily by lower trading activity and customers shifting to trade commodities. As we have seen in prior crypto cycles, these periods of volatility are expected, and our diversified business model has demonstrated resilience across market cycles. Our crypto net contribution includes a $5 million negative valuation impact of our corporate crypto holdings, resulting in a balance of $14 million at the end of the quarter.
Net interest income contributed $48 million, down 5% year-over-year, largely driven by a lower interest rate environment and user deleveraging amid market volatility. The decline was partially offset by a 13% increase in higher interest-earning assets as a result of an increase in user cash deposits, staking, and corporate cash.
eToro Money's contribution grew 32% year-over-year to a record $29 million, driven by a 70% year-over-year increase in total money transfers as we continue to experience increased deposits and user activity. In the first quarter, adjusted OpEx was $150 million, up 7% quarter-on-quarter, driven by a $12 million increase in customer acquisition costs.
Our adjusted selling and marketing expenses for the quarter was $58 million or 22% of net contribution. As discussed last quarter, given the strength of our cohort returns and our objective to accelerate growth in 2026, we plan to increase our sales and marketing investment from 21% last year, scaling gradually to 25% of net contribution this year.
Adjusted R&D, G&A, and operating expenses for the quarter were $38 million and $54 million, respectively. Our adjusted diluted EPS for the quarter was $0.91 compared to $0.77 in the first quarter of 2025.
Moving to our balance sheet. We ended the quarter with $1.3 billion in cash, cash equivalents, and short-term investments, and generated $104 million of cash from operating activities during the quarter. In the first quarter, we repurchased approximately 3.3 million shares with an aggregate of $103 million in accordance with our previously announced share repurchase program.
Now, let me share a few comments on the second quarter trends. As part of our quarterly results today, we also released our April monthly KPIs. April has continued on a positive trajectory with the business momentum carrying through from Q1. Our capital markets business followed the same year-over-year pattern as Q1, with significant growth in total trades led by equities and commodities, with a higher-than-average revenue per trade.
We have seen the multi-asset strength yet again when 40% of the customers who traded commodities in Q1 also traded stocks or crypto in April. In April, KPIs accelerated. AUA reached $18.7 billion, up 90% year-over-year, and funded accounts grew to $4.07 million, up 13% year-over-year. These KPIs reflect the strength of our multi-asset platform and a confirmation of our strategy, even against the backdrop of the current crypto market cycle.
To summarize, we are very pleased with our strong first-quarter performance and positive momentum year-to-date. We believe we are well-positioned to capture new opportunities, drive sustainable growth, and further strengthen eToro's leadership at the forefront of trading and investing while delivering meaningful value to shareholders.
With that, Daniel, let's move to Q&A.
Thank you, Meron. The first question comes from our list of questions that have been pre-submitted by our retail investors. This question is for Yoni.
Following Zengo's acquisition, can you elaborate on eToro's crypto strategy?
We've always been very big believers in crypto and blockchain and in Bitcoin, starting with launching Bitcoin back in 2013, while actually starting the company as a TradFi company. So, we were always a regulated financial institution, starting from our regulated activities and then adding to our brokerage activities, crypto over time, where we support now more than 200 crypto assets.
Over the last five years, roughly, we've seen an inflection in DeFi technologies and customers, mostly Gen-Zer's, so even younger audiences that are crypto native and are basically managing their entire financials on chain. Zengo accelerates our path to have a crypto native offering where our customers can hold their own crypto on-chain, transact with thousands of coins and hundreds of different blockchains, introducing products like on-chain swaps, yield, prediction markets, and perpetuals over time, and any other new innovation coming into the DeFi world. So Zengo accelerates our path into DeFi and on-chain capital.
Thank you, Yoni. So, we'll now open it up to questions from our institutional analysts. Operator, go ahead.
[Operator Instructions] Our first question comes from the line of Dan Fannon of Jefferies.
2. Question Answer
So, I wanted to just follow-up on the kind of current environment. So, the April update seeing still very good activity and the mix skewed more towards commodities. So can you maybe talk about the capture rates that you're seeing as well as we start 2Q, but also just the sustainability of the move to commodities versus crypto and whether you think or any stats that you could share around number of products being traded or thinking about the structural change towards commodities that might be more sustainable versus temporary?
Sure. So, as we've always said, there's always something interesting happening in the markets. During both Q4 and Q1, that's something interesting was really around first precious metals, then oil then going back to precious metals.
And the strength of the eToro platform has always been the ability to offer our customers a multi-asset offering where with a click of a button, they can shift between crypto commodities to stocks. Right now, we're seeing more volatility, all-time high in stocks, still heightened volatility in commodities.
So, as we look at the different markets, usually crypto is very directional. When crypto and we're starting to see that shift back up when crypto is going higher, especially when it reaches all-time high, we'll see record activities in crypto, and we've seen that historically in the last four waves of crypto.
Stocks, we actually see more heightened activity when the markets drop. So, when there is significant volatility, we see actually customers buying the deep consistently. We've seen it through tariffs. We've seen it through Q4. So, every time there is significant volatility downturn, we see increased customer activity and then they basically accumulate as markets go up and reach all-time high.
In commodities, it's really about volatility. The heightened volatility across different types of assets. By the way, we're seeing interesting things in food commodities now like corn and cacao. So, the heightened volatility impacts almost directly the same day, the increased activity of customers.
So, in relation to what should we expect in the rest of the quarter, it's really up to the markets. What we are seeing right now is again, increased volatility still in the commodities market and starting to see the rise of crypto, which we expect to see higher by the end of the year.
In relation to some of the numbers and KPIs that we shared on April, maybe Meron can add some more.
Sure. We also added some color about the fact that we expect our revenue per trade to be just slightly above the range, which is the $0.60 to $0.75 that we normally communicate to the market. So that continued the trend also from previous quarter.
In terms of the rest of the KPIs, we do see the strength. So, we do see the effectiveness of our business model where customers are trading and navigating from one asset to another. So, customers who traded commodities in Q1, we saw a lot of them already switching back to equities or to crypto as well.
That's helpful. And just as a follow-up, as you think about the account growth that's picked up a bit, any shift in geography or areas of contribution that maybe is a bit more outsized more recently than previous periods?
So, we haven't seen any significant growth in a specific region. We are spread all over the world, as you guys are aware, and our efforts are globally. But into the future, we do have some markets that we expect to grow faster, being Singapore, being U.S. and some other markets where we are trying to integrate as well.
Our next question comes from the line of Devin Ryan of Citizens Bank.
First one, just on the agentic portfolios and kind of the opportunity there. Obviously, investors are going to have more tools and access. Do you have any early evidence about how customers can perform the customer outcomes being better using these agentic tools. Obviously, that's going to be important to adoption.
And then just also the kind of the multiplier that you expect on transaction activity, clearly, would expect to be many times more than kind of the average trader. So, kind of what do you expect on the transactions per account using those as well?
Sure. So, I've been -- I'd call it amateur quant trader since I was about 16. So, I love algo trading. But historically, anything that revolves around building software to automatically trade the market has been a very complex process that required a lot of resources.
When you think of the capabilities today of AI that are in the hands of hundreds of millions of people, AI really levels the playing field for people to actually trade algorithmically. What we're seeing right now is we have about published 45 apps to the App Store, and we see that the majority of them include actually agentic trading capabilities.
And with that, we're seeing a significant increase in the velocity of the trading behavior velocity of our customers as they're starting to use more and more of these tools to manage some or their entire portfolio. I believe that over time, we're going to see retail investors as a whole use more agentic tools to optimize their portfolios over time. And I'm a very big believer that, that significantly improves their Alpha.
Retail customers actually were very good at finding beta and investing in the markets over time and beta of retail actually was quite good, whether it's crypto or tech stocks over the past five years. I think agentic tools enable retail investors to actually also participate and find Alpha in a much more meaningful way.
Okay. And then just a follow-up here just on the balance sheet. Obviously, continue to be in an incredibly strong position with over 1/3 of the market cap in cash and investments today. You just did the Zengo deal. Can you talk about just the optionality that you have right now and kind of how you're thinking about deploying cash toward more buybacks versus what does the acquisition pipeline look like? And are there actionable things to do there that are accretive, but it just seems like you have a lot of optionality to drive accretion with that excess cash?
So, first of all, we announced two acquisitions over just the last two weeks. We also announced B2C acquisition, which is one of the two regulated exchanges of crypto in Israel. We have a very, very strong M&A pipeline. So, we've been in the business soon 20 years. We know hundreds of companies in this space. And we actually do believe that the fact that currently crypto is in a downturn provides us the opportunity to find significant and accretive M&A opportunities in 2026. So, we have a very good pipeline. That's why we keep the optionality. And in parallel, as we said in the past, we believe in buybacks as a company, and we'll continue to explore that in relation, of course, to the company's cash flow.
Our next question comes from the line of Joseph Vafi of Canaccord Genuity.
Great results here. Congratulations. Just wanted to drill down a little more on the pivot and trading volume from crypto over commodities and equities. Just the mechanics there. To a certain degree, if a user signs up to trade crypto, they may not be a commodity trader. They may not know much about commodities. Are they following CopyTraders? Is there incentives or education you're providing? How are these investors finding this other asset class in such a big way? And then I have a quick follow-up.
So, we're very focused on market education and retail investor education. We have the eToro Academy, which continuously adds more and more information. Now we added also the layer of shared intelligence and of Tori, the AI agent that actually can cover what's happening in the markets and tell you about what's happening in the markets, where are things that are interesting and actually sees your portfolio and tell you in relation to other people's portfolios where are the opportunities.
So, we are very focused on making sure our customers understand both the risk management and understand all of the options in eToro's ecosystem. We look internally at products sold per customer. And as we've seen in the IPO deck, which we're celebrating now one year too, the more products that our customers use, we see a significant increase both to the lifetime value of eToro, but more important to actually the net deposits over time and the size of the accounts of our customers. So, as our customers educate themselves more about the markets, we see them significantly adding more and more funds into the accounts.
Just as an example, our long/short momentum Smart Portfolio accumulated a lot of assets during the last nine months, and it actually brought people to educate themselves about long/short strategies. About 60% of customers that traded commodities in Q1 originally came to eToro to trade crypto or to trade equities. So, we've always seen that, I'd say, unification between people who came to trade crypto on eToro and learned about the stock markets, people who came to eToro to trade stocks and learn about crypto.
I'd say the last six months where we had a lot of commodities trading in the news enabled a lot of our customers to dive into and learn more about commodities markets as well. And in addition, we've launched, which is a very unique product, 24/7 trading on commodities and now selected stocks as well.
What does that mean for the business moving forward strategically and the U.S. business? Was that a key thing to acquire before a bigger push, maybe broader product set, et cetera? Just updated thoughts there.
So what we're seeing internally as a much more accelerated product delivery utilizing AI in the company. And just as an example, we have today both product managers launching directly to the app store without engineering as well as internally operations teams that are building internal tools and launching them to an internal app store. That accelerated product roadmap enables us to bring more products to more regions faster.
And in the U.S., of course, futures or commodities is CFTC/NFA regulated. We are looking at enabling our customers to trade commodities in the U.S. in the next six to nine months as well. So definitely, our capabilities of delivering faster on product globally in all of the regions where we operate will enable us to bring more products to our customers across the globe, which we believe will increase significantly lifetime value and the deposits of customers as well.
Our next question comes from the line of Edward Engel of Compass Point.
I want to dig a little bit more into the agentic portfolios. Have these been rolled out across most of your key markets today? And I guess for the users that you are seeing implementing new strategies, is there any color you can give on the impact to trading volumes for these users?
Sure. So first of all, it's relatively early days. I think it's been about three weeks since we launched it. We've seen north of 500,000 trades so far. So early days of agentic portfolios, small amount of customers with a lot of trades.
So, if you look at the ratio of number of trades per customer per agentic portfolio, we see a significant increase. Customers are actually using their agents, whether it's a Tori internal agent or external agents anywhere from OpenClaw. We just were on the app store of Cursor as well, which is rumored to be acquired by SpaceX AI, which is a partner of ours on Tori with Grok 4.2. I believe that over time, we'll see significant adoption of customers to Agent Portfolios. These are still early days and that will significantly increase trading velocity of customers.
Great. And then I recall the take rate on copy trading is often lower than stand-alone trading. I was wondering for the take rate on agentic trading, is it similar to copy trading? Or is it similar to typical trading?
It's more similar to copy trading. So, we see higher velocity in smaller size right now. So, a big part of the Agent Portfolio rollout was our understanding that customers don't want to connect AI or their AI agent, whether it's internal or third party, to their entire portfolio because people still need to trust AI and their strategies, which is why when you create an Agent Portfolio, if you have a $50,000 account in eToro, you basically tell the agent, take $5,000.
So, it actually operates on the same model of Copy trading and Smart Portfolio, which is why it enables us to run faster. So, it actually creates a personalized Smart Portfolio for you and then you connect your agent to define the strategy of that Agent Portfolio.
So, once we launched that Agent Portfolio, it actually increased significantly the usage of the eToro APIs that we launched about six months ago because, again, retail investors with AI suddenly have capabilities to run algorithms very easily, but they were still afraid or concerned to connect that to their entire account.
So, we use the same technology of Smart Portfolios and CopyTrader to enable Agent Portfolio through APIs. And that means it's a part of their portfolio, which is why also trades are smaller than managed by AI, which is why velocity is higher.
Our next question comes from the line of James Yaro of Goldman Sachs.
Divyam here on behalf of James. My first question is that you touched upon the rationale for the Zengo acquisition. I wanted to ask if having self-custodial wallet capabilities allow you to facilitate CopyTrader in the U.S.
Well, CopyTrader in the U.S. is actually under our regulated broker-dealer in the U.S. and MSB. So it operates for copy trading on the CeFi part or the TradFi part. On DeFi, we haven't yet went into the details of copy trading.
We are looking at agentic trading into the DeFi part of eToro and soon are going to launch something very similar to Agent Portfolio, which is called Agent Wallet, where we can actually create now a DeFi wallet and use AI to algorithmically trade DeFi markets as well.
So, we are looking at parts of automated trading into DeFi markets. Copy trading and how it is being done and who do you copy in the DeFi wallet of Zengo is something we started exploring, but don't have a direct road map.
That's helpful. As a quick follow-up, could you update us on the status of CopyTrader in the U.S.? Where are you in the rollout and the regulatory considerations at this point?
Sure. So, we are in process of getting the RIA license to enable the Smart Portfolios in the U.S. CopyTrader is in limited rollout right now is in process with discussions with the regulators. So, we do expect both to be in complete rollout in H2.
Our next question comes from the line of Jamie Friedman of Susquehanna.
Yoni, could you share your early impressions regarding 24/5 and 24/7 training? How much can you see this adding to your volume?
So, 24/5 added significant amount of volume, about 30% of volume in stock shifted to aftermarket hours. I'm not sure whether we have how much was it additive versus substitute volumes. Do we have that number?
No. We haven't shared that number.
We haven't shared that number. So, we did add to volumes. I'm not sure how much of the 30% again is additive versus substitute. 24/7 still relatively early days. I do believe that over time, again, we saw this in crypto. So, I remember these dialogues in 2017 because we came from TradFi to crypto, we had these dialogues around "Do we open over the weekend trading?" That's how we call it back then.
In crypto, and obviously, that required for us to set up the trading room, the NOC, the network monitoring room as well as everything had to shift to 24/7 for crypto back then. And we've seen roughly 10% to 20% of additional volume to crypto. And in crypto rallies, in some cases, we saw Saturday and Sunday trading activity, which actually surpassed the activity in regular days, right? So again, it all comes down to volatility and the volatility of those assets over the weekend.
Right now, it's early days for 24/7. The market formation and price formation is actually coming from, in some cases, the crypto markets, which operate always 24/7. I do believe overtime, again, that adds both customers, customers' expectations coming from crypto. We saw a lot of people who don't understand why aren't markets opened during the weekend. And I expect that to be at least 10% to 20% of volumes over time.
And then what's your high-level perspective on marketing? Is this summer or winter or spring? Is that 1% sequential that we had talked about last quarter still a good way to think about it?
So, you referred to the margin in terms of the net contribution. So, as we discussed last quarter as well, we are planning to grow marketing out of net contribution to 25% by the end of the year. We do expect to do it gradually.
However, we are also looking at the market opportunities and taking advantages of different events that are coming. So, when markets are high, then we have like the summer also in terms of customer acquisition. We do have the ability to scale up very quickly and scale down as well. So, we do expect that to gradually grow. Again, as Yoni mentioned, also depending on the events in the market.
And again, when we operate globally across the globe, 24/7 across all markets, 26 now stock exchanges, commodities, currencies, crypto, there's always summer somewhere. So, it might be winter-ish in crypto, but it's some are in commodities and it's some are in AI stocks.
We saw increased volatility and activity now in a lot of the AI-driven stocks from the obvious ones like NVIDIA to the hopefully expectation of SpaceX AI coming post IPO into the platform to the 4,000% suddenly increase in SanDisk and other AI-related stocks.
So, as a reminder, we always look at the daily activity of our customers to see what is happening, what is interesting for retail investors. And then we take those insights and actually promote them on social media, on digital channels. So, we have the insight of millions of customers trading millions of trades every day. We take those insights and actually translate them with AI directly to all of the ad platforms and social media channels of eToro accelerating basically that impact and market education about where is summer right now.
Our next question comes from the line of Brian Bedell of Deutsche Bank.
Maybe if you could just talk a little bit more about Zengo in terms of your expectations on maybe it's early, but any expectations on revenue contribution and probably more importantly, just that 2 million user base that you're acquiring, your views on converting those users to funded accounts? And any color on expectations of trading growth from that business?
Sure. I think it's still early days. We just closed the deal. And again, the hypothesis there is that customers, which we've seen in eToro, that crypto-native customers want to trade also stocks and that our customers will want to trade also assets on Zengo. We are seeing convergence because you can actually trade now tokenized stocks in Zengo. And you can obviously trade crypto, the 200 coins today on eToro, but now suddenly thousands on Zengo. So, there's a process here of both integrating the platforms.
I would say that over time, what it increases is our market share in crypto. So, we're now building the entire suite of products to compete on crypto on the entire product categories across the globe. And that will, over time, increase our crypto market share in all of the different markets where we operate.
So, I see this as an opportunity to actually scale up product category coverage across DeFi and TradFi, which enables our customers to basically stay in eToro, trade all of the crypto that they want on eToro and all of the products that they want, whether it's DeFi or TradFi within the eToro ecosystem.
Great. That's great color. And maybe just any update on prediction markets in terms of your development of connectivity to prediction markets and how you're seeing the customer demand for that at eToro.
So again, early days for us. With the Zengo acquisition, we do plan to launch prediction markets in Zengo over time in the applicable markets. And we are also working on building prediction markets for our U.S. customers with the NFA-regulated introducing broker. So, we're looking at a lot of the new products. We're now looking at both TradFi and DeFi for the right applicable markets with the right licenses.
Our next question comes from the line of John Todaro of Needham.
Congrats on the results here. I guess just first on -- there's a number of big IPOs coming up. We've seen a push from these companies to get more retail allocation. Just wondering on the overall strategy there and how you guys see that opportunity set playing out over a longer time.
Sure. So, first of all, we're actually looking now at potentially launching prices on secondary markets to our customers around these IPOs. We've been talking to other companies who we work with as well to see how can we get potential IPO location. There has been also an interesting shift potentially in regulation in Europe and the U.K., specifically around enabling U.S. IPOs to launch overseas, which is an interesting development.
So, we do -- we know from the past when there's hot IPO season, we launch it on the same day of trading, and that's quite popular. And we are looking at enabling actually participation in the IPOs. And again, some of them are expected to be very significant IPOs that we are seeing our customers already gaining interest, whether it's the SpaceX AI, Anthropic and potentially OpenAI IPOs.
That's great to hear, Yoni. And then I guess just turning to crypto. You talked about there just needs to be some of that directionality movement in order to get customers more engaged. Is there just kind of other catalysts you see driving that to, whether that's Clarity Act here in the U.S., this adoption of tokenized real-world assets, anything there that you can point to that maybe drives some of that momentum?
Sure. I think, first of all, markets have their cycles in crypto. We do believe that we're going to see, again, I'm personally very bullish on crypto markets in the future, especially when we're seeing capital markets moving on chain, I'd say, systematically, right?
So, when you think of the dialogues that DTCC is having now and when you hear the SEC chair, CFTC chair pushing basically the market infrastructure players to move on chain, that's a very significant catalyst into crypto markets. So, the same way that stablecoins accelerate the adoption of crypto across the globe. I think tokenized assets, whether it's stocks, treasuries, money market funds, private equity, private credit, all of that moving on chain will continue to accelerate crypto as a whole.
Basically, crypto and digital assets are going to converge. Again, our view is this is a transition of $100 trillion over the next 10 to 15 years, moving on chain and potentially happening much, much faster if DTCC converges what is now early days into a full rollout. So, I think those are very, very strong momentum within the crypto industry.
Clarity Act is another one. I think it's, by the way, beautifully marketed as exactly what it is. Clarity Act. It provides clarity on the regulation of crypto markets and digital asset markets.
Right now, when you look at DeFi and TradFi, you're seeing those sort of parallel worlds. And in many cases, in many jurisdictions, you don't necessarily have that bridge between DeFi and TradFi. You don't have clarity on the various regulations in DeFi. I think once there are better rules, regulations, clarity coming from regulators not only in the U.S. but globally, that will increase adoption of crypto, crypto markets and prices will follow that.
[Operator Instructions] Next question comes from the line of Dan Dolev of Mizuho.
Great results as expected. I wanted to ask you, Yoni and Meron, like the user growth has been phenomenal and continued into April. Can you maybe talk about your new strategic user acquisition strategy? And to the extent that you feel comfortable talking about it. Again, congrats.
So, we've been utilizing more and more actually AI in marketing activities leading to more, I'd say, micro segments, both on retention and on acquisition. So, what in the past would have taken us four, five weeks to create a specific campaign to, let's say, a target audience in Germany is now shortening to a point of like we're able to create a landing page marketing assets multiple times a day and also distributed across the company.
So, in the past, our region like Germany or Australia, if they needed a campaign, they needed to sort of open a ticket, go to marketing, marketing had to build the campaign, they had to then go to engineering to set up the website and lending pages then for someone to hook up everything for tracking today. It's a click of a button basically for people in the different places, and that's accelerating. So, we moved, I'd say, from five campaigns a month to potentially now 20 to 50, and we expect that to potentially accelerate to 100 a day, and that's both for retention and for acquisition.
So, we can now using AI, find these micro segments within the eToro ecosystem, which is who are the people. So, things that in the past, companies like Meta, Facebook did, which is called custom audiences, right? So, you're looking for people who are similar to the people who already bought a specific product ,now we're able to do that internally and searching for the audiences that we believe the right marketing message is relevant to, plus the ability to create those campaigns with AI is truly magnificent.
We're even testing right now with our Pro Investors who are with me in various groups. We're actually testing the ability of our Pro Investors using our AI and our brand to create their own landing pages. So, with a click of a button, they create a landing page and that landing page is then connected to our AI that can manage Facebook, Taboola, X, LinkedIn.
So, what we're building for our internal teams in eToro be able to run faster, better micro segments on both acquisition and retention and much faster campaign creation and management is something that we're actually looking to give the 5,000 people that are in the Pro Investor Program. And I do believe that will continue acceleration of funded accounts over time.
I would now like to turn the conference back to Daniel Amir for closing remarks. Sir?
Thank you. Thank you all for attending our earnings call today. We're looking forward to seeing you at our upcoming investor conferences during the quarter, and thanks, and have a great day.
This concludes today's conference call. Thank you for participating. You may now disconnect.
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eToro — Q1 2026 Earnings Call
eToro — Q1 2026 Earnings Call
Starkes Q1: Rekord-Net-Contribution und EBITDA, beschleunigtes Nutzerwachstum sowie AI- und Krypto-Fokus treiben Produktoffensive.
Präsentiert von CEO Yoni (Jonathan) Assia und CFO Meron Shani; anschließende Q&A‑Runde mit Analysten und Retail‑Fragen.
📊 Quartal auf einen Blick
- Net Contribution: $258 Mio. (+19% YoY)
- Adjusted EBITDA: $109 Mio. (+35% YoY)
- EBITDA‑Marge: 42% (vs. 37% Vorjahr)
- Funded Accounts: 4,02 Mio. (+12% YoY)
- AUA: $17 Mrd. (+15% YoY); April AUA berichtet bei $18,7 Mrd.
🎯 Was das Management sagt
- AI‑Erste Strategie: Company‑wide AI‑Mandat mit Agenten zur Beschleunigung von Produktentwicklung, Marketing und Engineering; Agent Portfolios als Kundenschnittstelle.
- Multi‑Asset‑Stärke: Verschiebung von Krypto zu Commodities/Equities zeigt Diversifizierung — Commodities machten 60% der Trading‑Kommissionen in Q1.
- Krypto‑Expansion: Zengo‑Akquisition für self‑custodial Wallets und On‑Chain‑Produkte; Ausbau von Tokenized Assets und DeFi‑Funktionen.
🔭 Ausblick & Guidance
- Operative Trends: Positiver April: Funded Accounts +13% YoY; AUA in April $18,7 Mrd.; Momentum soll ins 2. Quartal tragen.
- Investitionen: Marketing soll schrittweise auf ~25% des Net Contribution angehoben werden; erhöhte CAC‑Spendings angekündigt.
- Produkt‑Rollouts: 24/7 Trading international ausgebaut; CopyTrader/Smart Portfolios RIA‑Prozess in den USA, vollständiger Rollout geplant für H2.
- Risiken: Marktzyklizität (Krypto‑Downturn), regulatorische Unsicherheiten in US/DeFi und Unsicherheit bei Monetarisierung neuer Produkte.
❓ Fragen der Analysten
- Commodities‑Shift: Nachfrage wegen kurzfristiger Volatilität; Management sieht Multi‑Asset‑Migration als Nutzerbildung, Nachhaltigkeit von Marktbewegungen abhängig.
- Agentic Portfolios: Sehr frühe Nutzungsdaten (>500.000 Trades in ~3 Wochen); Management erwartet deutlich höhere Trading‑Velocity, aktuell höhere Take‑Rate ähnlich CopyTrading.
- Kapitalallokation & M&A: Hohe Cash‑Position ($1,3 Mrd.); Kombi aus Buybacks (Q1: $103 Mio., ~3,3 Mio. Aktien) und gezielten Akquisitionen (Zengo u.a.), Pipeline aktiv.
⚡ Bottom Line
- Fazit: Q1 bestätigt robuste, margenstarke Multi‑Asset‑Erholung und beschleunigtes Nutzerwachstum; AI‑Agenten und Zengo eröffnen zusätzliche Wachstums‑ und Monetarisierungshebel, sind aber noch frühstadial.
eToro — Q4 2025 Earnings Call
1. Management Discussion
Hi. My name is Daniel Amir, Head of Investor Relations. This webcast is being recorded and will be available for replay in the Investors section of eToro's website. Our earnings press release, investor presentation and January monthly spreadsheet, is now available on our website at investors.etoro.com.
Today, I'm joined by Joni Assia, our CEO; and by Meron Shani, our CFO. [Operator Instructions] But before we begin, I want to note that today's discussion contains forward-looking statements, including statements about goals, business outlook, industry trends, market opportunities expectations for future financial performance and similar items, all of which are subject to risks, uncertainties and assumptions. And you can find more information about these risks and uncertainties in the press release that we issued today and the Risk Factors section of our filings at sec.gov. Actual results may differ, and we take no obligation to revise or update any forward-looking statements.
Finally, during today's meeting, we will discuss non-GAAP financial measures. These non-GAAP financial measures are in addition to and not a substitute for or superior to measures of financial performance prepared in accordance with GAAP. Definitions and reconciliation of GAAP to non-GAAP measures is available in our press release, investor presentation and on the sec.gov website as applicable.
With that, I will pass the call to Joni.
Thank you, Daniel, and thank you, everyone, joining us here today. Welcome to our fourth quarter 2025 earnings call. After Meron and I finish our prepared remarks, we'll open the call for questions.
2025 was a defining year for eToro. We became a publicly traded company on NASDAQ. We accelerated innovation and AI adoption across our platform, broadened and localized our product offering and expanded our presence in key markets such as the U.S., while continuing to strengthen our global footprint. More importantly, we made amazing progress towards the financial super app we're building, all while delivering growth across our primary KPIs. We're operating at a pivotal moment for financial services. AI is advancing at an unprecedented pace, reshaping how people access information, make decisions and interact with markets. At the same time, financial services are continuing to move on chain, enabling a more continuous, transparent and borderless global market infrastructure. Along these technological shifts, we're seeing a structural increase in retail participation in markets across the globe and the largest generational transfer of wealth in history. Together, these forces are driving demand for a seamless digital first investing experience that is more personalized, more intuitive and available at all times. At eToro, we're at the forefront of this evolving financial landscape, using technology and community to power our users to become better, more confident and more engaged investors. Our focus is on expanding access to global markets, moving towards 24/7 trading, bringing financial assets on chain. Broadening our crypto and decentralized finance offering, while continuing to provide the full suite of investing in savings products in traditional markets, enabling partners to build and trade through our eToro APIs and interact with the eToro apps, leveraging AI to help users make smarter investment decisions. All of this is delivered through a simple and transparent investing experience in line with our mission to democratize investing and give anyone anywhere the tools they need to grow their knowledge and wealth. While we're proud of the progress we've made, we see a significant opportunity ahead. We are confident in our ability to capture this opportunity for the benefit of our shareholders, users and partners.
Turning to our results. We delivered a strong fourth quarter that reflects continued momentum and the strength of eToro's diversified offering. For the year, net contribution increased 10% to $868 million and rose 6% sequentially in the fourth quarter to $227 million. Adjusted EBITDA grew 4% year-over-year to $370 million and 11% quarter-over-quarter to $87 million, delivering a 38% adjusted EBITDA margin in the quarter. We achieved these results despite the current crypto market environment, underscoring the strength of our multi-asset model and the benefits of our global diversification across geographies and asset classes. We first offered crypto trading on eToro in 2013, and since then, we've been through several crypto market cycles. We've seen people right off crypto, we've kept building. Over time, we have built a truly global multi-asset platform, spanning crypto, equities, commodities and currencies. That breadth allows us to adapt as market activity shifts and to perform in any market condition.
In 2025, we continue to execute across our four product pillars: Trading, investing, wealth management and neobanking. In trading, our focus remains on expanding product reach, flexibility and global market coverage. Since 24/5 equity trading, we've seen very strong adoption, reinforcing our belief that investors around the world want the ability to engage with the markets on their own time and terms. We now offer 24/5 trading across all S&P 500 and NASDAQ 100 stocks, which has contributed to a doubling of our total stock trading volume over the past two years. We continue to listen closely to our active traders across 75 different markets as we accelerate toward 24/7 trading and expanded margin capabilities.
This quarter, we're introducing a round-the-clock access to a selection of popular assets with plans to expand 24/7 trading across additional asset classes. We're already seeing traditional capital markets begin to follow the always-on 24/7 model pioneered by crypto. In Q4, we surpassed 150 supported crypto assets with plans to expand to more than 300 in the near term. In the U.S., we significantly broadened our crypto offering in 2025 to over 100 crypto coins, adding a wide range of new assets and enhancing our staking capabilities. These milestones mark an important progress in our localization strategy and broader asset expansion. By the end of 2026, we plan to support over 100,000 tradable assets across equities and crypto.
In investing, we continue to broaden access to global markets. In 2025, we expanded coverage to include Hong Kong, Nordic and Middle East stock exchanges. And today, we provide access to 25 exchanges from across the world in over 12,000 assets on the platform. It was also a year of continued innovation in smart portfolios with a focus on localization, partnerships and alpha. This quarter, we launched two new smart portfolios in partnership with Amundi, Europe's largest wealth manager. These portfolios provide access to professionally managed strategies to combine broad market exposure with forward-looking investment themes available in local currencies. At the same time, our pro investor community continued to expand, growing from about 3,200 at the end of 2024 to now over 5,000, reflecting strong momentum in copy trading and community-driven investing. This caps a year in which we also introduced our Alpha Portfolios, our AI-powered quantitative strategies and established new partnership with Franklin Templeton, BlackRock and WisdomTree. Today, we have more than 127 smart portfolios in our platform. In Q4, we also expanded our stock lending program in the U.K. and margin trading in Europe, enabling users to earn additional buying power and yield on their equity holdings, thereby enhancing passive income opportunities.
In Wealth Management, adoption of our long-term tax advantages savings solutions continue to accelerate, expanding our presence across trillion-dollar addressable markets in Australia, U.K. and France. In the U.K., we strengthened our ISA proposition with assets under administration in Q4, increasing sevenfold year-over-year. In France, we launched new savings products extending our reach into another large and structurally attractive tax-advantaged investment market. Together, these markets represent a multitrillion dollar long-term opportunity. As we look ahead, we remain focused on further localizing and scaling our wealth offering to capture that opportunity.
Turning to neobanking. Momentum continues to build with Toro money, which is now fully integrated into the core platform delivering seamless end-to-end money management experience. The past year was a breakthrough year for eToro Money with multiple product launches driving a 29% year-over-year increase in total money transfers. We also expanded our debit card footprint. In this past quarter, we saw a 650% increase from Q4 2024 to Q4 2025 in transaction volume. We are rolling out our noncustodial crypto wallet, which bridges traditional finance and decentralized finance, enabling users to hold stake and transfer crypto as well as accessing the centralized finance markets such as swaps of 100,000 different assets. As we discussed in our last earning calls, we see a consistent set of themes driving eToro's continued growth and supporting the democratization of investing. These themes continue to guide our strategy as we move on to 2026.
Firstly, innovation. As I mentioned at the start, we had a pivotal moment for financial services with advance of AI and the move on chain progressing at rates we could not have anticipated a few years ago. Innovation has always been at the core of Toro. From the beginning, our goal has been to use technology to remove barriers, simplify investing and give individuals access to opportunities that were previously reserved for institutions. That philosophy hasn't changed. What has changed is the scale of the opportunity and the power of the tools now available to us. We're committed to staying at the forefront of this revolution. We're now an AI-first company. We're embedding AI across our business to accelerate product development to improve efficiency and enhance how we operate at scale. AI is becoming a core part of our operating model, helping our teams to move faster and focus on delivering the most impact. Processes that historically took months or even years are not achievable in a matter of days, if not hours. We're building now our eToro super app 100% with AI. All of the eToro apps are developed 100% by AI, but it's not just the code rather the entire way how we operate and plan. AI means we can move 10x faster. It is accelerating our growth, enabling us to innovate more rapidly without a corresponding increase in complexity or headcount. AI is now core to the eToro experience. It enables us to deliver smarter tools and more personalized insights at scale. [ TorE, ] our AI analyst, continues to evolve as new AI models come online, becoming an increasingly powerful companion for investors. Across the platform, AI helps users interpret market dynamics as per value performance and risk and ultimately make better investment decisions. Through our public APIs and a suite of AI-powered tools, users and partners can build, share and scale strategies and apps creating a growing ecosystem. We are launching apps as part of our new upcoming launch of our app store, which will bring enforced capabilities into a retail trading experience. eToro apps will include additional AI tools like BASE-44, an open claw, and we already have nearly 1,000 apps in the pipeline.
In parallel, we're actively building as finance moves increasingly on chain. With a long history in [ cryptoentoconization, ] eToro is already part of this transition. Our holistic crypt offering positions us to continue bridging digital assets and traditional markets, supporting the evolution from crypto trading today to tokenized markets and new forms of fontal participation over time. To be clear, this is not about or dependent on the spot price of crypto assets at any given point in the cycle. This is about building a platform that is poised to lead the inevitable shift to on chain market infrastructure. This will unlock for our users new types of tokenized real-world assets already in 2026, such as tokenized private markets and real estate. Our noncustodial wallet is the gateway to Web 3. Over time, the wallet will expand to support tokenized assets, swaps, lending, prediction markets and perpetual where applicable. Throughout the year, we plan to roll out a broad range of new products across these areas. Taken together, these innovations are about empowering smarter investing. It's about leading the next evolution of investing, opening the global markets, connecting people to better tools and insights enabling everyone anywhere to participate in a simple and transparent way.
Secondly, global expansion. Our global footprint continues to be a key differentiator, and we remain focused on strengthening that advantage. We will continue to expand our product offering in existing regions while selectively entering new markets. By combining a global platform with a localized user experience, we're able to grow in markets where we're still early, while deepening engagement and increasing our share of wallet in more established regions. To this point, in 2025, we saw an 80% year-over-year trading volume in non-U.S. stock activity.
In Asia, establishing Singapore as a regional hub last year provides a strong foundation to produce more investors to eToro from the region. We expect to introduce additional products and increase targeted marketing activity as the year progresses.
In Europe, where we already have a meaningful scale, our focus is on deepening relationships with existing users and increasing share of wallet. We continue to enhance our localized offering, particularly in savings and long-term investing as we work to capture a greater share of wallet across our core European markets.
In the U.S., the world's largest retail investing market, we are in the process of bringing the fully to experience to the U.S. As a global pioneer in social investing, we have spent more than a decade building community-driven tools such as copy trader, which enables investors to learn and invest alongside the smarter investors.
Furthermore, we plan to roll out additional crypto products and smart portfolios to drive engagement and momentum over the coming quarters. More broadly, we continue to evaluate new market opportunities, prioritizing regions with strong financial literacy, digital adoption and sustained demand for trading and investing.
Thirdly, macro trends. We continue to align with powerful long-term market trends that are reshaping global investing. We are at the early stages of the largest wealth transfer in history with more than $120 trillion expected to move to younger generations over the next 20 years. These investors are digital first, more self-directed and more engaged with equities and crypto than any generation before them. This shift aligns directly with our platform and positions eToro to support how the next generation builds and manages it well. At the same time, our global footprint provides meaningful exposure to structurally underpenetrated retail investing markets.
In the United States, around 60% of households have some exposure to equities while in Europe, retail participation remained significantly lower with brokerage account penetration still in the single digits in some markets. This gap highlights the long-term opportunity ahead and reinforces why we believe eToro is well positioned to lead the next phase of global retail investing growth.
To summarize, we delivered resilient net contribution and strong adjusted EBITDA performance in 2025 and in the fourth quarter, we continued to see positive KPI trends in January, largely driven by strength in commodity trading activity, demonstrating the strength of our diversified multi-asset model.
Looking ahead to 2026, we're confident that our strategy continuing to leverage technology to innovate, expanding globally and aligning with long-term macro trends position us to capture significant opportunities. We see 2026 as a year of accelerated momentum growth. We're uniquely positioned as both native crypto company and a global equities trading platform and believe we're building a strong foundation for long-term sustainable value creation for our shareholders, users and partners.
With that, I'll now turn the call over to Meron to walk us through the financial results.
Thank you, Joni. Fourth quarter net contribution was $227 million, a 6% sequential increase demonstrating the continued momentum and durability of our diversified business model. Adjusted EBITDA was $87 million, an 11% improvement quarter-over-quarter, reflecting strong execution and disciplined cost management. The year-over-year adjusted EBITDA decline was impacted by the crypto tailwind and unique market conditions that follow the previous year's U.S. presidential elections. In line with our focus on diversified profitable revenue growth, our adjusted EBITDA margin was 38%. AUA for the quarter increased 11% year-over-year to $18.5 billion. The increase was driven by record net deposits and improving customer retention metrics. Our funded accounts grew 9% year-over-year to 3.81 million. This growth reflects the strength of our multi-asset business model and our disciplined data-driven marketing approach.
Let's take a closer look at the fourth quarter financials by business lines compared to a year ago. Net rating contribution from capital markets, including equities, commodities and currencies, increased 43% year-over-year to $116 million driven by investor rotation between crypto and traditional asset classes with particularly strong performance in commodities. This pattern is consistent with historical behavior and highlights the strength of our diversified multi-asset platform. In contrast, net trading contribution from crypto declined 72% year-over-year to $26 million due to the crypto tailwinds in the fourth quarter of 2024 that I had mentioned before. The decline was primarily driven by lower investor demand per trade and softer trading activity, particularly in November and December. As we have seen in prior crypto cycles, these periods of volatility are expected and our diversified business model continues to demonstrate resilience across market conditions. Net interest income contributed $59 million, up 18% year-over-year, largely driven by a 29% increase in higher interest-earning assets due to an increase in customers' cash deposits customers' margin book, staking and corporate cash. This growth was achieved despite a moderating interest rate environment, reflecting the strength of our balanced growth. eToro money's contribution declined 6% year-over-year to $23 million, largely driven by higher year-over-year cash redemption in crypto in 2024 due to market conditions we had mentioned before.
In the fourth quarter, adjusted OpEx was in line with our expectations at $140 million. Our adjusted selling and marketing expense was $46 million or 20% of net contribution. Our marketing strategy continues to generate strong and disciplined returns with shorter payback periods, delivering ROI within the same year and cohorts driving sustained commission growth over time. Notably, our 2024 cohort has already achieved a 1.8x return on investment, while our 2020 cohort has delivered 5.6% return on investment, demonstrating the durability of our model. Importantly, we continue to see cohorts generating meaningful revenue even after 8 years underscoring the long-term lifetime value of our customers.
Given the strength of our cohort returns and our objective to accelerate growth in 2026, we plan to increase our sales and marketing investment from 21%, scaling gradually to 25% of net contribution. Importantly, this spend remains highly flexible and can be adjusted based on market conditions and performance. We are making this decision from a position of confidence as the ROI profile supports incremental investment, and we expect this increased spend to drive accelerated growth across our key KPIs in the year ahead. Adjusted R&D and G&A and operating expenses were $37 million and $57 million, respectively. Our adjusted diluted EPS for the quarter was $0.71 compared to $0.79 in the fourth quarter of 2024.
Moving to our balance sheet. We ended the quarter with $1.3 billion in cash, cash equivalents and short-term investments and generated $42 million in free cash flow from operations. Furthermore, we do not have any material exposure to crypto or commodities on the balance sheet. In the fourth quarter, we repurchased 1.5 million shares with $59.5 million pursuant to our previously communicated share repurchase program.
Lastly, alongside today's earnings release, we announced an additional $100 million authorization under our share repurchase program, increasing total authorization to $250 million. To date, we have deployed $100 million under the program. This reflects our confidence in the long-term outlook and our commitment to driving shareholder value. Given our strong cash generation and balance sheet, we have the flexibility to continue executing buybacks, while also evaluating selective M&A opportunities to support disciplined inorganic growth.
Now let me share a few comments on our first quarter trends. As part of our quarterly results today, we also released our January monthly KPIs. The month of January saw improved KPIs versus November and December. Our Capital Markets business saw significant year-over-year growth in both total number of trades and invested amount per trade. This was largely driven by equities and commodities. Both our AUA at $18.4 billion and funded accounts at $3.85 million were up year-over-year. These solid KPIs are a testament to our multi-asset strategy support of strong results despite a soft crypto pricing environment.
To summarize, we are excited to start the year with solid January KPIs and are looking forward to driving meaningful profitable revenue growth in 2026.
With that, Daniel, let's move to Q&A.
Thank you, Meron. So the first question comes from our list of questions that we have been pre-submitted by our retail investors. This question is for Joni. Joni, so how has eToro manage the current volatility in commodities?
So we're very excited to see a lot of engagement and very high volumes the highest volumes we've seen actually are in October last year and now January as well as gold rise to $5,500 and then seen significant volatility, and we've seen significant engagement of our customers and high trading volumes in commodities both in October and in January this year.
Thank you, Joni. Operator, we'll now open the queue for questions from our institution analysts.
[Operator Instructions] Our first question comes from Dan Fannon with Jefferies.
2. Question Answer
I was hoping you could just provide a bit more context on the current crypto market backdrop, and how this compares to maybe other downturns? And then in that, how you guys are potentially operating differently this time versus previous periods?
Sure. So first, this is our first crypto cycle. We've seen these crypto cycles in the past as well. We remain extremely bullish on crypto, on Bitcoin's future as well as other leading blockchains as well as what we're seeing is the friendliest administration and regulatory environment towards crypto innovation and towards tokenization and capital markets moving on chain. We have seen in the past the volatility or corrections happening in crypto markets. They are correction. So as a volatile asset class corrections that are sort of more significant or have a higher amplitude usually than capital markets. And in the past, what we've done, as always, is shifted focus. When we see less interest in crypto, we shift the focus from a marketing perspective to basically equities to commodities, which we're seeing very high engagement levels on. And we keep on building constantly new products in crypto. So we've actually developed a very significant crypto road map with our noncustodial wallets with new products coming into crypto, and we have no doubt that we'll see more and more engagement, especially by the way, of younger crypto-native generations into crypto despite the price of Bitcoin right now at lower than Q4 2025.
Great. And just as a follow-up, you mentioned marketing -- sales and marketing going from 21% to 25% as a result of what you see as opportunity. Can you talk the time period for which you expect that to occur. And then more broadly, just about the expense outlook for 2026 would be helpful.
Sure, Meron?
Yes, sure. So we expect to grow gradually. So in Q1, we -- you should not expect to see 25%. We are looking to grow there, looking at the right opportunities, but conceptually, as we've seen great results in the history also as we shared on the slides that are the investor deck as well we have the ability to scale up. So we're going to look into new opportunities in new markets. We've already seen some early signs in the U.S. that the marketing is working. So we're looking to expand over there. We're looking to expand in the new regions as well that we launch, where it is Singapore that we launched last year or it is UAE, we launched a few years back. We're seeing some great results. So we are happy to scale there. So it will not happen necessarily in Q1, but gradually throughout the year, we will get to 25%. And if we see opportunities, we have the right flexibility in the model to be able to scale even further than 25%.
Our next question comes from Devin Ryan with Citizens Bank.
Question on AI. Obviously, a lot of talk on the call here, good to hear that you guys are ahead of the curve. As we think about AI being further integrated into the model and even kind of the next kind of iteration with genetic AI. When we think about that combined with more trading on chain, instant settlement 24/7, what does that mean for the outlook for trading at eToro over time? Like should we see a step function here with kind of integration of those two themes.
Well, in the medium term, I definitely believe this is a significant step function with advancements in AI, whether it's things like open clot, the new models, our APIs, the launch now of the app store, which actually all cater to more sophisticated investors and more sophisticated in automating trading strategies. I do believe over time, we'll see a significant uplift in the algorithmic or the automated trading activity on eToro, moving basically from click to trade to many of our customers using automated strategies over time, and that will lift significantly over time, trading volumes and trading clicks.
Okay, great. And then a quick follow-up here to Dan's question. Just on the increased marketing. What does that mean for the equation for kind of new account additions? How should we think about account growth over the next couple of years here? And should we think about the same [ CAC ] math? Or is it going towards something else?
So [ CAC ] math, I believe, is very similar. That's basically how we've always managed our increase in scale of marketing is over roughly 3.5% to 4.5% expected ROI of [ CAC 2 ] LTV. We are expecting double-digit account growth, and that's also where we see opportunities right now to scale up marketing activities to basically scale up account growth over time.
Our next question comes from Alex Kramm with UBS.
Also just another follow-up from Dan's question. I don't think you answered the other expense outlook. So maybe talk a little bit about the pace of G&A and R&D expansion that you're expecting for 2026.
Meron?
Thank you. Yes, so while we don't publish any guidance with regards to our operating expenses, besides marketing. We do expect our G&A and R&D to be roughly at the levels where we are these days maybe with a few minor percentages of growth. We don't expect any significant growth over there and any growth over there we have the levers to generate more efficiencies also within the existing cost base.
I would just comment on -- yes, that in my view what we're seeing in AI internally is significant opportunities of scaling the business without scaling expenses over time. We did do about a month ago, an adjustment to headcount as well. And I believe as we're using more and more AI, we will be able to scale the business significantly over time without the need to basically increase adjusted cost basis.
Okay, great. And then maybe just secondly, I don't think you proactively addressed M&A unless I missed it, but that was a big part of the story to go public. Obviously, your currency, meaning your stock has not been favorable. So maybe that hasn't helped. But just wondering what your appetite is. You talked about global expansion. We haven't seen much yet. So maybe talk about what we should be expecting in 2026, and what the target companies are saying in terms of purchase prices, et cetera?
Sure. So first of all, we do expect to see several M&A deals in 2026. We have been in active discussions with several target companies over the last 6 months since the IPO, I would say we have a high appetite for M&A, but we want to make sure we're selective and find the right accretive opportunities. And I think also, right now, we do see opportunities both in the crypto space, both in the U.S. but also globally as well as in the new brokerage and wealth management space. So we've been in this space for a long while for 18 years. We know a lot of the great founders, great teams, great companies, and we are looking for the right teams and the right opportunities to join eToro in scaling 10 and 20x. Anything to add there?
You covered it.
And I think, obviously, we have a significant balance sheet. We have our revolver as well. So we feel comfortable in looking at sizable deals. But again, at the right price and being accretive.
Our next question comes from Dan Dolev with Mizuho.
Great results here, really, really strong across the board, congrats. I have a question and then a quick follow-up. So just really quickly, Joni and Meron, on the crypto take rates obviously down and you spoke to some of that? Like how should we think about this for the rest of the year? And then I have a follow-up.
Yes, so there was a slight decline in the take rate in Q4. We had a small exposure on the balance sheet, which is less than $20 million, but caused the take rate to a decline from the usual 1% to 0.7%. So it's really immaterial going forward, and we don't expect that to deviate much from the usual 1% that we have delivered so far.
Okay, great. And then maybe as a follow-up, the -- can you talk a little bit about your app store and app strategy, that would be really, really helpful.
Sure. I think we've been early to realize that our community of pro investors are people that are super passionate about capital markets and wanted more advanced tools. And that coincides with the ability of AI to actually write amazing software. So we started with BACE 44 since then acquired by Wix and basically enabled our pro investors. Now there are almost or about 1,000 apps developed by 800 of our popular investors from the pro investor program and they're developing really amazing tools. And those tools basically reflect sort of how a smart investor looks at the market. We started publishing these apps this week, and we'll be embedding them inside the app. So think about sort of scaling up significantly. eToro's ability to innovate towards the rest of the users and building a subscription model on top of that. So just as an example, we've had somebody build basically tighten invest where you can actually talk to the grated investors of all times about what's in your portfolio, and what's the recommendation around your portfolio. So we could actually get their views from their personalities. And we've seen many, many amazing innovations from people building their own Chief Investment room with risk management and geopolitical risk to people who are actually building add-ons, which are quite cool, like swapping assets on the eToro platform. So we expect a lot of these apps to be useful, not only to the pro investors building them, but actually to the rest of the eToro community, expanding significantly or accelerating product innovation scale to our customers. And I'd say that we've seen another step function just over the last two weeks with OPUS 4.6 with [ Open Clone. ] Suddenly, we've seen a lot of our customers actually using [ Open Clone ] on top of eToro's APIs and MCPs, which are the AI-based APIs. And again, unleashing another wave of creativity from our Pro investors who've been with us, 65% of them, more than 5 years, all of them passionate about capital markets and building very, very cool things for themselves and then being able to share them and monetize them with the rest of the eToro customers.
Our next question comes from Brian Bedell with Deutsche Bank.
Maybe just shifting back to the U.S. strategy, if you could just update us on the customer traction. I think you were at 300,000 customers in the -- around 300,000 customers in the U.S., and how that's going? And especially on the copy trading side, you've ruled that out. I think you said you've gotten pretty good reception so far. Any numbers you could share on that? And then related to that -- both on the pro investor side and also the appetite for those in the U.S. that want a CopyTrader from investors. And then any update on the plan for the U.S. pro investors to be paid, I think you have to get the fiduciary license, but I think you had a couple of different routes for that.
Sure. So we've been very active since the IPO on expanding eToro's U.S. product launches and product road map. Since then, we've launched CopyTrader. We plan to launch in H1 this year smart portfolios, which is based on our RIA license, which is in process. We're looking at prediction markets as well for the U.S. We've seen a significant uptake as we started scaling some of the marketing activities from Q4 to Q1. So we are seeing a significant uptick to something that's still early stages of the U.S. business, but we're very excited about continuing to launch all of eToro's global product road map here in the U.S. I do believe that now with being able to accelerate product development, we'll be able to actually launch more of our products than we expected originally in 2026 here in the U.S. And we're making sure we are, I'd say, selective in how we scale our marketing budget. Here in the U.S., we want to see [ CAC ] to LTV while not at the same levels as globally. We want to see that ratio between [ CAC ] to LTV increase. We've seen the best ratio we've seen to date last year, especially by the way, moving forward into the year. And that basically gives us the ability to continue scale up marketing activity and then funded accounts, where we believe product engagement will then follow as well.
SP-30 Okay. And then just timing of when you think you'll have the fiduciary license in the U.S. And then you mentioned prediction markets as well, just any timing on rollout of prediction markets for U.S. customers this year.
So as everything in product, we are working on the RA license. We hope to be able to launch the smart portfolios product, which will be based on the RA license in H1 this year. We are in active discussions on the launch of prediction markets, which, of course, requires an additional regulated entity here in the U.S., which is NFA regulated. So we believe that will be probably later in the year towards Q3, Q4.
Our next question comes from Brett Knoblauch with Cantor Fitzgerald.
Congrats on the quarter. Just maybe on the split between kind of where you're spending marketing dollars for the year on maybe U.S. and ex U.S.? And I know when you guys IP, maybe disclose some kind of market share statistics on different key countries. Do you have an update to that? Or just maybe qualitatively on kind of where share has progressed throughout 2025 and maybe expectations for 2026?
Sure. So first of all, when you look at the size of marketing budget, it's a significant marketing budget globally. The U.S. is still a small part of it. And if we scale, let's say, 25%, 30% over the year roughly in 2025, we basically select where to scale more based usually on the [ CAC ] to LTV ratio, which we see higher right now in other markets where we have a more developed product in those markets. We have scaled the percentage higher in the U.S. in 2025 versus the rest, and we expect that percentage increase in 2026 to be higher as well, but not extremely high as to sort of bridge the entire gap from the U.S. to our more mature markets. So what is a part of scale up? Anything to add on that, Meron?
No, we are looking carefully, obviously, at the ROI against each of the investments very closely and scaling up as we scale in the market in the U.S. will continue to scale by high percentages, as you mentioned, Joni. We'll continue to do that this year and next year as we've seen some good results, but it's still not as a material number to quote compared to the entire budget globally.
Our next question comes from Ed Engel with Compass Point.
It looks like there was a nice rebound in the revenue per trade within the ECT segment in the fourth quarter. Was that uptick driven just by mix of commodities versus equities trading? Just maybe a bit more tilted to commodities? And then is it fair to assume, as I think about January, was revenue per trade likely remain elevated just alongside the string in the commodities?
So both Q4 and January, we've seen significant commodities activity, gold and silver, very popular as obviously we've seen unprecedented volatility and price of both gold and silver. We also now are expanding the 24/7, which we believe will continue to expand activity in commodities as a very unique new product to trade alongside crypto assets on the platform, 24/7. Regarding the net contribution per trade, I don't think we can still comment on...
Yes, I'll comment my usual comment like when you look at our revenue per trade on ECC, you should always count at the range of $0.60 to $0.75 per trade. That's how we always look into it. And in the long term, this is where it's converged normally. It is impacted by the higher commodities part of the mix. Also on the other side, we have higher contribution. We've seen tremendous volumes coming on our copy product, which is our USP, that drives the revenue per trade to be slightly lower as part of the mix. But overall, as you should look into it is almost the $0.60 to $0.75 per trade.
It's actually very interesting because we're seeing something that we haven't seen before, which is crypto-native customers or people who came into too add to trade crypto, and treated mostly crypto suddenly trading commodities. So I do think there's somewhat of a convergence or a shift from crypto, which now has lower volatility to now basically gold, silver and other commodities that have higher volatility. And that's a unique part of eToro also because when people trade only crypto at only crypto companies versus in eToro, where they can now trade equities and commodities as well, what we see over time is that customers that actually trade multiple asset classes onto are more active, more engaged, higher lifetime and higher lifetime value on the eToro platform.
SP-39 Great. And then, I guess, just from our point of view, I mean, it seems like there's a pretty big divergence between just underlying strength of the business and then the stock price, has the Board considered any other ways to kind of unlock value beyond the stock buyback? I know you've been public the last in a year, but I mean is there any other types of strategic alternatives that have been considered?
So I think, first of all, from a corporate strategy point of view, as we discussed before, we do believe in buybacks, and we do believe we'll see M&A opportunities manifest this year. So that's more on corporate strategy. I think from a business perspective and product strategy, very focused on AI-first unleashing AI to our customers to increase product velocity and making sure that we also expand our entire product offering in crypto as well as increase the margin capabilities. So we've launched margin trading now in Europe alongside futures in the U.K., so enabling our customers to trade also more on exchange. On exchange leveraged products, which obviously will increase velocity as well. So I think -- all in all, that's the strategy we believe that providing great service, great product and accelerating our product [indiscernible] and innovation to our customers and scaling up, as we mentioned before, also marketing activities to bring on new more funded accounts that will eventually lead to a larger base of funded accounts that drive activity, increased revenues, profitability over time, and the stock will follow.
Our next question comes from Craig Siegenthaler with BofA.
I hope everyone is doing well. So we have a follow-up on M&A on some of your previous comments. But I'm curious on your desire to expand to new geographies versus focusing on keeping your leading share in the Continental Europe. So why not in Europe, deepen your moats keep taking share versus the legacy brokers and banks, build on your first-mover advantage and hold off on expanding in new markets where you're probably going to be subscale for some time or at least until the eToro stock valuation improves, so then the M&A math becomes more attractive.
Sure. So first of all, the M&As we're looking at to expand regionally are not sort of, I'd say, significant in scale or we expect them to potentially impact EBITDA margin. So we are looking at this very selective. We're very focused on, first and foremost, to deepen the existing eToro product in the existing both mature markets such as Europe, U.K., Australia as well as new markets, which we've already unlocked, which is Singapore and Asia and of course, the U.S. So we're not looking to dilute attention from our existing markets. But as we said, looking at selective opportunities if they arise, and create for us basically a local moat, which is a regulated activity where we believe, if we bring our products to that market we can actually scale our business relatively easy without increase the cost base. I think that's an interesting opportunity, especially as I do believe that now AI is actually accelerating the gap between traditional banks and insurance companies and eToro's product offering.
Great. My follow-up is just on promotions. I know you have a bunch out there, but I want to make sure I'm not missing anything, but on the debit card, I believe there's a 4% bank option, but not on anything. So maybe help us with that one. And then also, I think, crypto deposits in the U.S. there's like a sliding scale, but you deposit more than $5,000 of crypto you get $500 initially. And in Europe and parts of Asia, you have something similar on a stock basis. But do you mind summarizing kind of what you have live out there today on the promotional front?
Sure. So I won't go into all of the details because we do operate in 12 different regions. Each of them have their own incentive plans. But the same way that we're looking at [ CAC ] to LTV on the acquisition front, where you mentioned some of those, which is basically providing an incentive to open an account and deposit. We also provide incentives on product engagement. So we do an analysis. And when we find out that, as an example, a customer in the U.K. if they deposit and bringing transfer their ISA, which is the equivalent of IRA roughly into eToro, is it increases significantly over time, their lifetime value. So we calculate basically the same on existing customers on what's the cost of promoting a new product, what is the LTV added to that customer if they actually use that promotion over time. Is that profitable? And if it's profitable, how basically do we move the needle and scale up product engagement using incentives. And in different markets, we have different products and different incentive strategies. Do you want to add anything into that from the breakdown of the financials.
No, the numbers are insignificant at this stage to quote it out and in general.
Yes, it's still a small part out of the total marketing budget. When it does become significant, we'll break it down.
Yes, it's definitely part of our strategy to make sure that we increase customer acquisition. We decreased the churn of customers by combining those acquisition campaigns and incentivized campaigns also for CRM purposes.
Our next question comes from Joseph Vafi with Canaccord.
Great results here for Q4. Just maybe we double-click on the noncustodial wallet rollout the strategy there and maybe intersection with some of the sales and marketing spend?
Sure. We're taking more of a product-first approach to crypto-native into the noncustodial wallet. So we -- and by the way, that is generally true. We, first and foremost, promote always sort of the eToro platform of equities, of crypto of commodities. So that's the forefront and the window, including, of course, CopyTrader and Smart portfolio. And then as we add more products, for example, the card program or now the noncustodial wallet, we use these products to basically offer them to existing customers. So we don't expect our crypto wallet to increase in any way the marketing activities of eToro. I'd say also it's a bit of a different target audience. So what we are seeing is that more of the crypto native younger audiences, actually, I'd say, Gen Zeders are much more active on noncustodial and in crypto wallets. The equivalent, of course, is Metamask and wallets where basically people actually have their custody in crypto. It, by definition, means it's a higher-risk product because the responsibility on custody sits with the customers but it actually unlocks a lot of products that are very hard to unlock and Tread.fi. So just as an example, Solana has now 1 million tokens. It's very hard to unlock 1 million tokens in Tread.fi, But when you look at the noncustodial wallet, you'll be able to actually swap into hundreds of thousands of assets that are out there, and we do see that interest coming from a younger audience that has a higher, I'd say, risk appetite and also is more SEFI on what does it mean to be a crypto-native to move between chains to swap between chains to look at opportunities that some of them are mind boggling, like 40,000 new coins launched on Solana and thousands of coins launched on other blockchains as well. So these opportunities are out there, not only for the U.S. market, but outside the U.S. as well. And we want to make sure that our younger audience can that within the eToro framework.
Great. And then Meron, I know you quickly mentioned that net retention was was pretty good in the quarter. Is there anything to call out on that?
No, it's part of our strategy to always look at the funded accounts and see how we can grow there from acquisitions. So adding customers and on the other side is making sure that our churn rates are getting lower and lower. We deploy different strategies into that. We've seen great results. on that, that support us into our plans into the future of growing the marketing spend into 25% gradually throughout the year and making sure that we have and that we achieved a double-digit growth of funded accounts on a constant basis.
Our next question comes from Bill Katz with TD Cowen.
This is Robin Holly on for Bill Katz. I wanted to ask a question on the ROI on the cohorts. Could you unpack what is driving the faster payback period for the newer cohorts, specifically the 2025 ones. It looks like the payback periods are accelerating. Is this more -- are the customers more engaged, or is it something on the marketing side?
So we are constantly evolving marketing strategy being more active in identifying both opportunities also looking at the higher LTV or the higher payback period cohorts we've seen in 2025, a 23% year-over-year increase on what is the first time deposit average amount of customers. So when you look at online marketing can actually target and see what campaign to which product brings better customers, the deposit more and generate revenues more. And then, of course, we always want to balance that across what's happening in the markets. Anything to add to that?
Yes. I would say that our -- call it, the marketing machine is very flexible in a way to identify different trends. So when there is a trend in the gold or silver, we can very quickly turn the machine to into what's really interesting in the market. So have better results coming there. And if the customers are coming with the intent because they are looking for gold, and that really helps us improve the ROIs and the year return as well.
Basically, the direct correlation between volatility in a specific market where gold silver indices usually are -- it doesn't matter where the price direction is volatility increases significantly initial LTV and therefore, payback period. And the same happens in crypto, where there's a significant crypto rally. We're seeing basically customers that come in to eToro much more engaged better cohorts.
Our next question comes from James Yaro with Goldman Sachs.
Some of your competitors are building similar products to cope trader, which clearly reflects the success that you've had in building this product over time. What does the landscape look like today for Copy trader in your view? And what can you do to stay ahead of these competitors, some of which are quite scaled?
So first of all, we are seeing and have seen over the past 19 years, a lot of the competitive landscape talking about social trading. So far, we haven't seen anybody actually executing on it. So that's one. Second is, we have a significant moat, which is customers that have been on eToro for the past 5 years, 10 years with very, very solid track record that have their basically AUC already on eToro. So if you look at our top two investors on eToro, the first one has more than 30,000 people copying him more than $300 million of assets under copy, the second one, $200 million, both by the way, have a track record of, if I remember correctly, over 29% over a tenure of 6 years and 12 years, respectively. So that moat is a time-based mode. Nobody replaces Warren Buffet that fast and nobody replaces 10- and 12-year 10-year on eToro, I do think, of course, we've innovated and created a category that will eventually change a lot of how people think of general portfolio management in the RIA industry. And we'll see younger audiences. There's a big app, by the way, across the world that financial intermediaries are getting older and that younger audiences are not looking for their advice. And I do believe that our product category as a category will significantly scale in the moat that we have is the track record of those customers and again, bringing them new tools now where they can actually build their apps. They can monetize them eventually in a subscription model in eToro, to basically -- and we already have significant communities of customers, so popular investors in France are actually meeting our customers in France, popular investors, again, Germany and Australia and the U.K. And that is something that the competitive landscape doesn't have.
Excellent. Very clear. You touched on prediction markets already. Given the vast majority of your customers are outside the U.S., could you touch on whether you see a prediction market opportunity for your non-U.S. customers?
So it does seem like prediction markets right now, at least from our analysis is very much U.S. the on-chain regulated one -- sorry, the off-chain, the regulated prediction markets is very much a U.S.-led business and very high interest in the U.S., which is why from a regulated perspective, we're looking at the U.S., a lot of the activity outside the U.S. actually sits more with crypto-native customers. So again, those younger audiences that are crypto native, that know how to move their crypto and basically trade directly on chain. So I'd say that's roughly what we're seeing U.S. with the regulated infrastructure to offer production markets, where it's an NFA, CFTC regulated activity towards which we'll build in the U.S. and globally more of an on-chain activities of prediction markets happening in basically noncustodial wallets.
And our next question comes from John Todaro with Needham & Company.
Congrats on the strong quarter. I guess first one, just as it relates to crypto regulation and in particular, the Clarity Act. Is there just kind of anything in the current iteration of the bill, where maybe you would like to see adjusted -- just kind of any additional thoughts there we've been getting from some of your peers.
We usually try not to comment on sort of regulations and sort of where they are in the process as we are regulated in many places under different regulators across the globe. We do believe that clarity in regulation helps significantly in industry to mature. We've seen that in Europe with Mika. We've seen it already, I'd say, in the environment right now here in the U.S. And the biggest driver, by the way, what is going to drive, in our view, is the path towards new types of asset classes moving on chain. So the more clarity, there is in an industry, and we're seeing in Europe now banks, insurance companies, private equity firms, basically tokenizing different types of assets to be able to distribute them into that new audience. So as we'll see clarity in regulation here, in the U.S., we believe we'll see also more opportunities to bring in more new products to our customers. And we've seen the largest wealth managers in the world already working today with eToro, whether it's BlackRock Flink, Templeton, WisdomTree now, Amundi as well ARC. So we are seeing the interest of basically the large financial institutions, asset managers that are issuing new products, and they want to deliver those products into a global audience and into a younger audience, very early days of that, but there is no doubt that more clarity and regulation will expand that.
Great. That's very helpful. And then just kind of going back to prediction market. It sounds like from your prior comments that you guys would still look to work with a partner like a causal market, whether in the U.S. or outside the U.S. Is there an avenue where you could kind of go at this alone though and offer something more direct?
We're currently looking at the industry. I think the industry is evolving very fast, both in predictions and in per different regulatory environments across both categories. We do believe that working with partners, and there's now an emerging by the way, new type of what's called a prediction aggregator. So you can actually use aggregators to find the best prices on predictions, for example, the same with perps. So we are looking in that space right now to partner versus to build the entire stack on our own.
And that's all the time we have for questions. I'd like to turn the call back over to Daniel Amir for closing remarks.
Yes. Thank you for attending the call today. And we're looking forward to seeing you at the upcoming investor conference during the quarter. You're welcome to follow up with me directly. Thank you, and have a great day.
Thank you for your participation.
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eToro — Q4 2025 Earnings Call
eToro — Q4 2025 Earnings Call
📊 Quartal auf einen Blick
- Net Contribution: $227 Mio. im Q4 (+6% seq.), Jahreswert $868 Mio. (+10% YoY).
- Adj. EBITDA & Marge: $87 Mio. im Q4 (+11% qoq); Jahres-Adj. EBITDA $370 Mio. (+4% YoY). Adj. EBITDA-Marge Q4: 38%.
- AUA / Konten: AUA $18,5 Mrd. (+11% YoY); Funded Accounts 3,81 Mio. (+9% YoY).
- Ertragsmix: Kapitalmärkte $116 Mio. (+43% YoY); Krypto $26 Mio. (-72% YoY). Net Interest Income $59 Mio. (+18% YoY).
- Bilanz & Buybacks: $1,3 Mrd. Cash; FCF $42 Mio.; zusätzliche Repurchase-Autorisierung $100 Mio. (Total $250 Mio., bisher $100 Mio. deployed).
🎯 Was das Management sagt
- AI‑First: eToro positioniert sich als "AI‑first" Super‑App: KI wird in Produktentwicklung, Personalisierung und Betrieb eingesetzt; TorE (AI‑Analyst) und App‑Store sind zentrale Hebel.
- On‑chain & Wallet: Fokus auf Tokenisierung und noncustodial Wallets als Gateway zu DeFi, Swaps und tokenisierten Real‑World‑Assets; Ausbau Krypto‑Universe (150→300+ Assets, US: >100 Coins).
- Globalisierung & Produkte: Ausbau 24/5→24/7 Trading, Lokalisierung (U.S., Singapur, U.K., Frankreich) und Partnerschaften (Amundi, BlackRock, Franklin Templeton, WisdomTree) zur Skalierung.
🔭 Ausblick & Guidance
- Marketingplan: Geplante Erhöhung Sales & Marketing von 21% auf schrittweise 25% des Net Contribution in 2026; Umsetzung graduell, nicht sofort in Q1.
- Wachstumserwartung: Management strebt zweistelliges Wachstum bei Funded Accounts an; 2026 soll "Jahr beschleunigten Momentums" werden. Konkrete Umsatzguidance wurde nicht veröffentlicht.
- Kostenprofil: G&A und R&D sollen weitgehend stabil bleiben; Modellflexibilität erlaubt Anpassung je nach Marktbedingungen.
❓ Fragen der Analysten
- Krypto‑Zyklus: Analysten fragten nach Robustheit gegenüber Krypto‑Rückgang; Management betont Diversifikation (Shift zu Aktien/Commodities) und langfristigen Einsatz in Krypto‑Produkten.
- AI & App‑Store: Nachfrage nach Details zu App‑Ökosystem und Automatisierung; Management erwartet höhere algorithmische Aktivität und neue Monetarisierungsansätze.
- Marketing & U.S.: Fragen zu Timing/ROI der Marketingaufstockung und zur US‑Expansion (RIA/Fiduciary‑Lizenzen, Prediction Markets); Management plant schrittweises Scale‑Up und sieht M&A‑Chancen 2026.
⚡ Bottom Line
- Fazit: Q4 zeigt resilienten Profitabilitätskern und wachsende AUA trotz schwachem Krypto. Management investiert offensiv in Marketing, AI‑Produkte und On‑chain‑Funktionalität; Buybacks signalisieren Vertrauen. Risiken bleiben: Krypto‑Volatilität, Ausführung der AI/Wallet‑Roadmap und erfolgreiche US‑Skalierung.
eToro — Q3 2025 Earnings Call
1. Management Discussion
[Audio Gap] My name is Daniel Amir, Head of Investor Relations. This webcast is being recorded and will be available for replay in the Investors section of eToro's website. Our earnings press release, investor presentation and October monthly spreadsheet is now available on our website at investors.etoro.com.
Today, I'm joined by Yoni Assia, our CEO; and by Meron Shani, our CFO. Following the prepared remarks, we will conduct a Q&A session and answer questions from both institutional research analysts and a selection of the most upvoted question previously submitted by eToro's retail shareholders.
But before we begin, I want to note that today's discussion contains forward-looking statements including statements about goals, business outlook, industry trends, market opportunities, expectations for future financial performance and similar items, all of which are subject to risks, uncertainties and assumptions. And you can find more information about these risks and uncertainties in the press release that we issued today and in the Risk Factors section of our filings at sec.gov. Actual results may differ, and we take no obligation to revise or update any forward-looking statements.
Finally, during today's meeting, we will discuss non-GAAP financial measures. These non-GAAP financial measures are in addition to and not a substitute for or superior to measures of financial performance prepared in accordance with GAAP. Definitions and reconciliation of GAAP to non-GAAP measures is available in our press release, investor presentation and on the sec.gov website as applicable.
With that, I will pass the call to Yoni.
Thank you, Daniel, and thank you, everyone, for joining us today. Welcome to our third quarter's 2025 earnings call. After Meron and I conclude our prepared remarks, we'll open it up for questions. We're proud to share another strong quarter that reflects eToro's continued momentum and a growing strength as a global leader in trading and investing. This performance with net contribution up 28% year-over-year to $215 million and adjusted EBITDA rising 43% to $78 million, delivering solid operating margins of 36% is a testament to the vision, resilience and scalability of our diversified business.
What excite us most is the remarkable pace of innovation unfolding across eToro, with AI accelerating our product development. We're not only enhancing the platform that our users know today. We're reshaping the future of investing. We're expanding into new frontiers in crypto, tokenization and AI, while also broadening our global reach to serve an ever-growing community of smart investors. This wave of innovation is delivering tangible results. Record assets under administration, robust growth across all segments and unprecedented engagement in copy trading. Together, these achievements underscore how our investment in technology is fueling growth, deepening client engagement and bringing us ever closer to our mission, which is to empower everyone to trade and invest in a simple and transparent way.
Our key performance indicators accelerated meaningfully this quarter. Funded accounts grew 16% year-over-year to $3.73 billion with organic funded accounts expanding at a double-digit rate. This growth demonstrates the growing appeal of eToro's differentiated platform, the trust we've built with our global community of investors and the success of our disciplined and data-driven marketing approach.
Assets under administration reached an all-time high of $20.8 billion, up 76% year-over-year, fueled by growth in new deposits and strong user investment returns in both crypto and equities this year. The positive momentum in our KPIs has continued into Q4 as shown in the October results released today. These results show our strategy in action. We're democratizing and investing by making it simple, accessible and social while combining multi-asset trading with smarter products like copy trading and smart portfolios to empower investors everywhere. As we execute on this vision, we're confident in our ability to deliver lasting value for our users and shareholders.
To achieve the strong performance we delivered in Q3, we've remained focused on executing across our 4 strategic pillars of trading, investing, wealth management and neobanking while accelerating product innovation across the platform. Let me share a few highlights across each of these areas.
In trading, we're continuing to expand market [ act ] globally. We continue to expect our 24/5 trading. We began offering retail investors access to stocks listed on NASDAQ Nordic changes throughout our partnership with NASDAQ. This expansion comes amid rising retail investor interest in the global markets. Today, we offer access to [ 22 ] different exchanges worldwide and plan to increase to over 30 in 2026. We've expanded futures across Europe and launched spot-quoted futures and partnership with the CME Group. Retail participation continues to grow in these markets, and we are pleased to give local traders the ability to execute in a more advanced and diversified strategies. Our expanded to futures also establishes the infrastructure to support prediction markets in the future.
In investing, we're bringing together the power of community and AI to drive deeper user engagement on eToro's platform and help investors make smarter decisions with AI. Our Pro investor community has grown to over 4,000 investors globally, supported by our new Pro investor program. This program is designed to support users on their journey to certify themselves as professional investors. Our Pro investors gain exposure and grow their profile by sharing their expertise with eToro's global user piece. In addition, over 130 Pro investors now have north of $1 million assets under management with our top row investor growing from $50 million to over $250 million in 2025 alone, a milestone that reflects the growth and influence of our Pro investor program.
Last month, we launched CopyTrading in the U.S. We're excited to bring our flagship product to the world's largest capital market. Copy trading today is experienced across approximately 1/3 of our users. With the launch of Copy Trading in the U.S., we anticipate increased user engagement and platform traction. In AI, we're entering the next great leap in trading and investing. One that puts the power of professional grade technology direct in the hands of every investor with our newly launched eToro apps, users can build share and scale their own investment tools across our global community. What was once the privilege of sophisticated institutions is now being democratized.
Our AI-driven insights from sentiment to decision analysis, enabling investors to think and act as institutional investors by creating their own strategies, dashboards and innovations that shape the future of investing.
In Wealth Management, we launched a new subscription model for the eToro Club, our loyalty and rewards program, offering members premium benefits and exclusive features. The subscription offers members smarter tools, monetary benefits and more personalized support while driving incremental engagement. Furthermore, we've expanded the eToro long-term savings offering for our U.K. users with the new eToro Cash ISA and Cashback rewards and management and do-it-yourself ISAs. And in Australia, we advanced integration of spaceship, giving users direct access to superannuation products through the eToro platform. These developments demonstrate our commitment to continuously enhancing wealth management offering, which is a multitrillion-dollar opportunity. With the Australian superannuation market valued at over $2.5 trillion and the U.K. individual savings account market exceeding $1.3 trillion.
In neo banking, we continue to enhance our global platform by delivering localized experiences that strengthen user trust, drive adoption and support sustainable growth across our key regions. This quarter, we expanded our localization offering in the UAE, Singapore and Australia. Furthermore, across the U.K. and Europe on top of the 4% cash back in stocks, we now offer also a 1% cash back in stocks for new crypto deposits. We plan to expand this offering to more countries in the future. We're also very pleased with the strong traction we've seen with the eToro Money Card available today in Europe and the U.K., which saw a 2.4x increase in cards issued quarter-over-quarter.
Looking ahead, we believe there are 5 key factors that will drive eToro's continued growth and advance our mission to open the global markets, connect users to leading investors and give them tools they need to grow their knowledge and wealth. Number one, advancing at the forefront of innovation. Number two, continuing to expand globally. Number three, expanding our U.S. presence. Number four, broadening our product offering with AI. And number five is leading to inevitable elastic macro trends. We are focused on positioning our business to capture the significant growth opportunities presented by these 5 factors. First, advancing the platform at the forefront of innovation. From day one, product innovation has been at the core of who we are. We've built a strong track record of identifying early major trends like social trading and crypto and turning these trends into products that bring real financial utility to our users.
Our social investing products continue to define who we are today as a company. From the outset 15 years ago, eToro set out to transform retail investing experience by pioneering the concept of social investing, empowering individuals to learn from one another and invest together. We believe there is a tremendous value and shared knowledge and collective insight. Over the years, we have led the industry with innovations such as our social network, copy trading, crypto investing, fractional shares, machine learn driven analytics and our smart portfolios. Together, these capabilities make investing more inclusive, informed and collaborative for our growing global community.
Artificial intelligence is the next frontier in investing. And we're already seeing the impact across our business. Our AI analyst story launched last quarter has already been used by over 1/3 of our club members, a strong sign of engagement and potential. As we expand our AI capabilities, we're giving an investor powerful tools to make smarter decisions, improve performance and deepen their connection to our platform.
Our vision is also centered on building open, tokenizing borderless market to help millions to build wealth. We're bringing U.S.-listed equities to the blockchain enabling 24/5 trading of over 500 prominent stocks with plans to move forward to 24/7 as the market's involved. We're currently developing a crypto wallet that will open the opportunity for our users through decentralized finance to participate in innovations like on chain prediction markets, lending, loans and swaps of their assets of millions of different crypto assets and connect our tokenized assets ecosystem and benefit from tokenization of real-world assets, which will happen over time. We expect these more advanced crypto products to continue to increase our client engagement within the crypto industry.
Second, continue to expand globally. We're proud to serve users in more than 75 different countries across the world. The diversification of our revenues across geographies is the core strength of eToro and a differentiator of our business. In Q2, we expanded our footprint in Asia by launching our capital market services license in Singapore, a meaningful step towards scaling our business in that region. Looking ahead, we plan to further localize our offering in key markets and continue to expand globally in region where we're underpenetrated. As part of our broader strategy to solidify eToro's position as a truly global platform serving investors everywhere.
Third, expanding our U.S. presence. We're seeing solid growth in the U.S. Year-to-date, new funded accounts have already surpassed those of 2024 and we've achieved that growth while remaining disciplined and efficient in our marketing spend, consistent with our strategy. To continue this growth, we're focused on bringing the full product offering for which we are known globally into the U.S. market. For example, in the third quarter, we brought in an crypto offering in the U.S. to include more than 100 different crypto assets and introduced staking in the U.S. As a result, we saw a 3x increase in our crypto volumes quarter-over-quarter in the U.S. market.
Additionally, last month, we announced the launch of Copy Trading in the U.S., a major milestone that lays the foundation for our next phase of expansion in this market. The copy trading product is a significant driver of user engagement with our platform is reflected in the increase of the number of trades we've seen this year. We expect Copy Trading to be an important driver of growth in the U.S. going forward.
Fourth, broadening our product offering. In our core markets, we're focused on increasing engagement and share of wallet by broadening what we offer across our 4 strategic pillars. Trading, investing, wealth management and neo banking. We continue to expand each of these areas quarter after quarter. As mentioned, recent highlights include the launch of the savings products in the U.K. and France, expansion of the eToro Money card across Europe, the [indiscernible] futures and options across key European markets and introducing localized trading and cash management capabilities in new regions as well. This approach has proven successful over time by driving both higher user retention and growth in assets per account.
And fifth, leaning into elastic macro trends. Over the next 2 years, we will see the largest generational transformation of wealth in history with over $150 trillion moving to younger generations globally. These younger generations are digital first, and they're far more engaged with equities encrypted than their parents. On their back end, we also expect to see $100 trillion moving on change as capital markets transform into digital assets. Moreover, in many non-U.S. markets, retail participation remains below U.S. levels. We believe this cap will continue to narrow as younger generations, more inclined to invest in crypto and equities than their parents enter the market, offering us a long runway for growth across our global franchise. These secular shifts are powerful tailwind that will continue to support both assets under [ reinstation ] and new account growth over the long term.
Altogether, these 5 drivers gives us strong confidence in our ability to deliver sustainable, profitable growth and position eToro as the global broker of choice.
Lastly, we announced today a $150 million share repurchase program, underscoring our confidence in eToro's long-term growth prospects and our continued commitment to delivering value for shareholders. We believe that our stock is undervalued. And given our significant cash generation, we have the flexibility to buy back shares. Our strong cash position also gives us the ability to consider M&A opportunities to drive inorganic growth. We're evaluating a range of opportunities, though we will remain disciplined in any transaction we pursue.
In some, this quarter's results and KPIs for October clearly demonstrated that our strategy is working. We're achieving double-digit growth in organic funded accounts, significantly increasing our assets under administration, expanding net contribution and adjusted EBITDA margins and doing so while entering new markets and launching new products that strengthen our leadership for the future.
With strong execution, financial discipline and a relentless focus on innovation, we believe we're very well positioned to drive long-term value, and we're just getting started. With that, I will pass now along the call to Meron, our CFO, to discuss our financial results.
Thank you, Yoni. As Yoni mentioned, we are very pleased with our third quarter results. Third quarter net contribution grew 28% year-over-year to $250 million and adjusted EBITDA grew 43% year-over-year to $78 million. In line with our focus on diversified, profitable revenue growth, our adjusted EBITDA margin was 36%, expanding 370 basis points from a year ago. These results are consistent with our view that our long-term adjusted EBITDA margins will increase from these levels.
Our momentum has accelerated in the third quarter. Assets added administration for the quarter increased 76% year-over-year to a record of $20.8 billion, while our funded accounts grew 16% year-over-year to $3.73 million. The growth was driven by strong user acquisition and retention efforts and ongoing disciplined marketing.
Let's take a closer look at our third quarter financials by business plans compared to a year ago. Our net trading contribution from crypto grew 229% year-over-year to $56 million, which was largely driven by higher invested amount per trade and increased crypto activity, especially in the month of July and August. Our net trading contribution from capital markets, equities, commodities and currencies declined 21% year-over-year to $73 million as investors shifted activity between crypto and capital markets. The 15% rise in the number of trades was driven by strong momentum across Copy Trading with record inflows into Copy, a clear reflection of growing customer engagement and platform strength.
Net interest income contributed $62 million, up 44% year-over-year, largely driven by a 52% increase in higher interest-earning assets due to an increase in customers' cash deposits, customers' margin book, staking and corporate cash. eToro money contribution grew 50% year-over-year to $21 million, largely driven by an increase in total money transfers.
In the third quarter, adjusted OpEx was $137 million, flat quarter-on-quarter. Our adjusted selling and marketing expense was $47 million or 22% of net contribution. Our business model provides us with flexibility in our selling and marketing expense, where approximately 70% of our expense is dynamic.
Adjusted R&D and G&A and operating expenses were $36 million and $54 million, respectively. Our adjusted diluted EPS for the quarter was $0.60 compared to $0.51 in the third quarter of 2024.
Moving to our balance sheet. We ended the quarter with $1.2 billion in cash, cash equivalents and short-term investments and generated $57 million in free cash flow from operations.
Now let me share a few comments on fourth quarter trends. As part as our quarterly results today, we also released our October monthly KPIs. Consistent with our commitment to greater transparency and enhanced disclosure, we will now begin publishing KPIs on a monthly basis. We've also made a detailed spreadsheet available on our website, which includes historical monthly data to help investors better track our performance over time. Our goal is to provide the investment community with the information and tools needed to more clearly understand, model and evaluate our business.
The month of October continues the strength that we saw in Q3. Our capital markets and crypto businesses saw significant year-over-year growth in both total number of trades and invested demand per trade. Assets under administration was $20.5 billion, up 72% year-over-year and funded accounts were [ 3.76% ], up 17% year-over-year.
To summarize, we are very pleased with our strong Q3 performance and positive momentum, and we believe we are well positioned to capture new opportunities, drive sustainable growth, and further strengthen eToro's leadership in global investing.
With that, Daniel, let's move to Q&A.
Thank you, Meron. The first question here comes from a list of questions that have been pre-submitted by our retail investors. This question is for Yoni. So eToro announced its new subscription offering. Can you comment on why eToro decided to launch the program? And what is the opportunity?
Sure. We've built the eToro Club program to provide great premium benefits including unique features, better service as well as discounts to various parts in eToro, as well as the card, the cash back and now the crypto cash back. The club originally was based only on the tiers of how much assets customers have, and we wanted to provide the same great benefits to people who want to subscribe to the new eToro subscription. This also consolidates to subscription models that we've had from acquisitions that we've done in the past, and we're very excited to see how the pickup is already to the new subscription model.
Thank you, Yoni. Operator?
[Operator Instructions] Our first question will be coming from Dan Fannon of Jefferies.
2. Question Answer
Wanted to talk about account growth. And so obviously, it's been good or quite strong. I was hoping you could talk about if there are regions or new markets that are contributing more and maybe the breakdown of that account growth here, not just for the quarter, but also October, if there's any more granularity, that would be helpful.
Sure. Meron?
Thank you, Dan. So with regards to our current growth, like organically, as we discussed in the past, we have achieved a double-digit growth. We've seen great results coming out of the cohort of clients that we are bringing, increasing the level of deposits on to the platform and increasing their level also of engagement with the platform. So overall, very good results.
With regards to geographic, we are not breaking down geographically, but I could definitely tell you that we are seeing early, but good signs coming out of the new regions that we launched in the -- recently and in the last few years as well as well as a significant strength coming from our core markets.
And we have seen also a very good increase in the size of accounts coming into eToro. So it's both new funded accounts growth and their first time deposit, which is a very good indicator to the future size of the accounts.
And our next question will be coming from Devin Ryan of Citizens.
A question on artificial intelligence implications here. So great to see 30% of club members engage with eToro. It'd be great to hear about anything you can share on kind of conversion uplift from doing research to actually trading and trade frequency. I know we're early days here, but I'm just trying to think about that. And then more broadly, taking a step back, just some of the other types of offerings you're planning to launch with artificial intelligence and just how you feel like that can maybe differentiate the eToro offering in the market?
Sure. So during our Pro Investor Summit about 2 weeks ago, we've actually announced our new tools, an AI studio for Pro investors to actually vibe code tools. Those tools include both new types of analysis that can actually look at their portfolio using AIs, look at other people's portfolio, using AI read our entire feed and create automated strategy. I think the biggest driver eventually of AI, and I started, I think I did my first automated trading strategy when I was about 16, 17 is the transition from just click to trade through the [indiscernible] to eventually running automated strategies, quantitative strategies of our users.
And what we've built is the ability for our Pro investors to actually build those apps, those strategies. It includes dashboards and analysis of how they generate their trades and then actually provide an app store, so all of our customers can access that. And we've seen some really amazing apps developed already by our pro investors. This is a quick example. We've had one of our pro investors actually creating the persona of Ward Buffet Benjamin Gram, and I think it was Kathy Wood basically ranking his stocks in his portfolio and suggesting how to rebalance the portfolio.
So I do believe AI One is an amazing tool for people who are not necessarily technical to actually bring in sort of their ideas on how to automate their strategies, how to make their strategies more professional on top of the eToro platform. And I think over time, that drives both high returns, so making our customers more successful and actually higher velocity of trades in eToro.
And our next question will be coming from Craig Siegenthaler of Bank of America.
Our question is on your strategic focus by geography. So please correct me if I'm wrong, but I see a company that is very focused on growth in the U.S., in Asia and maybe widely geographically as new markets. But eToro has leading share in Europe with some scale. And this market also looks a lot less competitive than the U.S. and Asia. So my question is, why not focus on your first-mover advantage in Europe, and continue to deepen our investor base here, especially given that there are less regulatory restrictions on your coffee charter model in Europe than in the U.S.?
Sure. So as we think of our growth strategy, first of all, we think of long-term growth, and we do want to build significant presence in the U.S. and in Asia. Nonetheless, on the day-to-day when we drive our marketing and most of our marketing is a data-driven performance marketing approach, we always look at basically the ratio between CAC to LTV. So when we have a strong region, and obviously, Europe -- some of our strongest regions in Europe, UAE, Australia as well, we're actually doubling down on growth there as well. So we are focused on growing the business through data-driven approach and make sure that where we see the highest return on investment, that's where we continuously grow and invest more. So we are definitely focused on maintaining our leadership in Europe in the retail brokerage industry.
And our next question will be coming from James Yaro of Goldman Sachs.
Could you help us think about the account growth algorithm here. What do you see as achievable for account growth going forward? Is it high single digits or double-digit account growth on a yearly basis? And then in the press release, you talked about net new accounts in the first 3 quarters being stronger than all of 2024, but maybe any ability to comment more narrowly on the 3Q 25 trends?
Sure. So first of all, strategically, we are aiming towards double-digit growth of funded accounts. We believe, again, PAUSE the total available market of new generations coming into the market, the market itself will grow in double digits, and we believe we can outpace the market growth in all of our -- both existing strong regions in Europe and beyond as well as obviously new regions such as the U.S.
The comment in the press release, I do believe, was regarding the U.S., which post IPO, we actually started basically revamping both our product strategy in the U.S., bringing all of eToro's global products into the U.S., including now more than 100 crypto assets staking that was launched in the U.S. as well as very excited about launching CopyTrader now in the U.S. So we do expect double-digit growth in funded accounts moving forward strategically across all regions.
And our next question will be Brett Knoblauch of Cantor Fitzgerald.
Maybe to one on the crypto side, it was a really strong quarter in terms of crypto volumes have been -- you guys bought outpaced global spot volumes by 2 1, if not more. Can you point to comment to that was maybe from what you did in the U.S. and had new tradable assets in the U.S. post outside of the U.S.
And then as a follow-up, I think ECC can be a bit below where we were expecting. Can you just talk about some dynamics at play within the DCC doing shorter as well?
Sure. So I'll cover a high level and then I'll let Meron talk a bit about the numbers in the quarter. But first of all, when you look at our numbers in the last 8 quarters, and you see that in the investor presentation, what we've seen over time is very clear. When one asset class is very strong, we see a shift towards the asset class from other asset classes. So every time crypto has a very strong momentum, we actually see the noncrypto revenues or capital markets revenue actually going down a bit. And then as crypto goes down, we see capital markets significantly shift higher as well. And that is a dynamic that we did see in Q3.
In addition to that, within capital markets, there are 2 segments. There's currencies, commodities and indices basically future based and their stocks. And we did see more stock trading volumes increase in Q3, which led to the lower -- basically take rate this take rate on stock trading is lower than on commodities and they [indiscernible] FX.
Regarding the crypto market, of course, we've seen a couple of all times high during Q3 that always supports our crypto revenues and trading activities. In general, we do expect to continue and see a strong crypto market with a very, very positive U.S. administration towards the crypto industry and a lot of new product rollouts for eToro within the crypto industry with that a bit about the actual numbers in Q3.
Sure. So we can see definitely a sequential growth from Q2 in a very high pace, both on the number of trades as well as the invested amount. We saw elevated activity coming in July and August as we released our KPIs also early September about the summer. So very good traction coming out of the crypto activities of customers in the summer. We did see a slight reduction in that in September, but remains at the same level also in October. We're very happy about what we see in the industry.
And in general, as it goes to become more and more mainstream, we'll see the number of trades and the number of customers tapping into crypto growing. And together with that, our revenues as well.
Our next question will be coming from Chris Allen of Citi.
Maybe you could talk about capital allocation priorities here. You announced the buyback this morning, make some sense with a lot of exploration now, but you've also talked in the past about looking at inorganic growth opportunities, particularly in the U.S. to build it out. So help us think about the different levers here from a capital allocation perspective.
Sure. So first of all, we've added a significant amount of cash flow already this year. So our balance sheet grew from $1 billion to $1.8 billion in total with $1.2 billion in cash and short-term investments. So we have a very strong balance sheet to look both at buyback. And again, at these levels, we do believe the price is undervalued, which is why we're buying as well. And of course, leaves a significant amount of dry powder also to look at acquisitions. We have been talking to various potential targets. We're always excited to meet great teams of great founders with products that we believe add value to our customers and that our products will add value to their customers, and we're actively exploring these opportunities across different regions. And of course, as we announce them, you'll know what are the actual targets.
And our next question will be coming from Bill Katz of TD Cowen.
This question coming back to your commentary about the longer-term opportunity for the prediction and the event market. Just wondering if you could maybe lay out your pathway of like how you get there. Is this an organic opportunity? Is it inorganic? And then within that, I was just wondering if you could share your thoughts on just philosophically how you think about the sports or gambling opportunity within that?
Sure. So prediction markets, we're looking at basically both alternatives. So first of all, we've launched futures in Europe and the future rails that we've launched in Europe are the same rails that eventually enable basically to trade prediction markets in the U.S. as well. In addition, we are launching our crypto wallet, which will enable our customers to engage with on chain prediction markets such as Poly Chain and others. So we're actually going towards both of those directions.
We do believe that prediction markets on financial events, on geopolitics, on economic events have to create significant value and people thinking about their trading strategies or hedging what they want to do and that initially will be our focus to help our customers, basically find those financial opportunities that are related to their portfolios.
Our next question will be coming from Alex Kramm of UBS.
Just on Copytrade in the U.S., I know it's super early, but maybe you can talk a little bit about [Audio Gap] how you're looking to scale it in terms of marketing, you're leaning in. I think you have 300,000 roughly accounts in the U.S. I think you said earlier, CopyTrader globally has 1/3 or so of your clients have uptake there. So just how should we be thinking about the opportunity and how quickly gain scale and if the third is kind of like a good target for the U.S. as well?
Sure. So our view holistically is always, as we enter new markets to roll out all of the products that we offer globally in that market. And of course, we look at the U.S. as a huge opportunity with now crypto back, taking back and Copy Trader now launch alongside stocks and options trading as well. And the way we look at each product that we release is an attachment of a customer. So a customer engaging with CopyTrader. What we see over time is the increase in both size of the wallet or share of wallet as well as over time, LTV increases significantly. So the way we view it is we continue basically to do what we do across the globe now here in the U.S., which is promoting the CopyTrader feature within the app, increase the attachment rate of Copy Trading, building gradually more and more great investors that in the U.S. people can copy.
And over time, we'll see that increasing LTV and enabling us to basically spend more or increase our tax in the marketing budget to bring in more users to the eToro platform. So it's all about bringing all of the products to our U.S. product strategy, then make sure that throughout the product, we create those attachment rates that increase the lifetime value and share of wallet of our customers here in the U.S., and that obviously leads to us scaling up our marketing strategy here in the U.S. in a profitable way.
And our next question will be coming from Jamie Friedman of Susquehanna International Group.
[indiscernible] ask first about funded accounts as well. [indiscernible].
Let's move to the next question, and then I'll come back if we can get a better connection with him.
Our next question will be coming from John Todaro of Needham.
Congrats here. I just wanted to follow up, and I'll make sure I heard it correctly. Would you guys look for kind of economic partnerships on production markets with like a telco poly market, and then if I could get kind of a second question. It sounds like there is some -- I don't know if you want to call it cannibalization intra-quarter between some of these trading products, as you mentioned, where crypto maybe goes up and some of the other markets go down a little bit. How do you eventually get around that where they kind of are all kind of up and up on -- in the same quarter?
Sure. So first of all, we are talking to [indiscernible] poly market. Obviously, the market leader is in prediction markets. And we are excited about exploring the path of our users to be able to trade prediction markets on financial events. On the -- sorry, do you want to take it?
Yes, the switching between the...
I'm not sure whether cannibalization is the right way to describe where customers inter-quarter trade different products. So over time, when you look at the growth of the net contribution of trading, both in crypto and capital markets, you see them growing over time, and we think it's a great opportunity for people to actually reshuffle or rebalance their portfolios. We've seen by this -- by the way, the same also between U.S. stocks and European stocks earlier this year as European stocks were very strong and a lot of our customers started buying basically defense stocks. We've seen, obviously, in the past, the same amping with [indiscernible]. Later, we've seen it with MIM coins.
So again, as we bring in more products to our customers, we expect constant rebalancing of customers between different assets. And actually, that's the strength of eToro versus pure crypto companies, which don't have stocks or significant capital markets, and it's a significant strength of eToro, the fact that we cover today 22 different global exchanges, so our customers can trade all of those different products, alongside, of course, both on-exchange and off-exchange derivatives like futures and options. So we feel that the fact that customers are trading in between the different assets that is a strength and something that we actually want to see with all of our customers.
And our next question comes from Brian Bedell of Deutsche Bank.
Maybe just to go back to copy trading, the mechanics of that in the U.S., in particular, I know there was some different regulatory regime in terms of being able to offer it with, I guess, the advisory component being a -- critical component of being able to be paid. Can you just go through the mechanics of how this is operating in the U.S. versus outside the U.S.? And if it's the same now or when you expect to have that aligned with how it works outside the U.S.? And any commentary on initial take-up. I know it's very early, of course.
Sure. So first of all, it's very early to look at take rates and engagement, but we have seen already people being copied and people are copying top investors here on the U.S. platform, which is great to see. Second on the mechanics. The mechanics are quite similar from how it operates. So you can actually -- when you copy an investor, it copies their entire portfolio into your portfolio in the amount you chose. So you copy somebody with $1,000, it fractionalize his entire account across stocks and crypto and it basically opens those trades in your account. And every time they trade and trade in your account at the same time, the same price and the same proportion.
So the mechanics of copying works the same here in the U.S. and outside the U.S., we are looking right now outside the U.S., we've actually just revamped our Pro investor program, which is around how do the Pro investors actually get paid here. We're still early stages. We'll be building that as well as we move towards next year.
The second copy product, which is our smart portfolios product, where our Global Chief Investment Office actually curates specific portfolios, about 120 different smart portfolios across different strategies. That part will fall under an RIA license, which we are in the process and expect that to launch in H1 next year.
And our next question will be coming from Dan Dolev of MIZ.
Congrats, guys. Great quarter, great October. I have a question on banking. A lot of fintech companies view thinking as the Holy Grail kind of, that's what everyone wants to do. So Yoni, Meron, like how do you guys view sort of like banking services globally in the U.S., et cetera, in terms of the long-term opportunity for eToro?
Sure. So I generally say everybody is looking at the concept of the super app, right? So we believe our core is actually helping our customers find data in alpha into their portfolio to generate over time, returns than to compound wealth over time. So our view comes more from our core expertise on trading in investing. What we've seen over time is basically expanding the business also into savings, the various pension schemes around the world where we have already launched U.K., Australia and France recently, including the now new launch of cash sizes in the U.K. And lastly, of course, neobanking.
And what we wanted to see and what we're seeing in our strategy is basically when we provide our customers the virtual bank account on eToro, interest rate that they can get on their local currency and the ability to convert easily FX from euro to dollars or pounds to dollars to efficiently trade also U.S. capital markets and then attach into that also the Visa debit card, we remove the need of a customer to actually take their money back to the bank.
So I think us as a financial super app, we're looking for customers to increase their share of wallet over time on eToro. We believe most of customer assets should be compounded towards capital markets in crypto markets and they should easily spend from that account without the need to actually take their money back into the bank. And we've seen that significantly improve basically attachment rates of customers, lifetime value of customers, which is why we're also providing great incentives at user Visa debit card with a 4% stock back.
So when you spend and we see a lot of our customers now posting on X when they're spending on a meal and then they get a 4% stock back into their portfolio. Again, why the stock back? Because we do believe that all of our customers would actually have most of their funds or the vast majority of their funds in capital markets and crypto markets, and that's the efficient way to compound wealth over time.
Great. Makes a lot of sense. Congrats again on a great quarter.
And our next question will come from Jamie Friedman of Susquehanna International Group.
Yoni, the press release indicates that the 16% growth in funded accounts was driven both by the user acquisition, but also the retention. I was hoping at a high level, you could unpack that those dimensions. And then if I could just sneak in another one, Meron. Can you remind us about the typical seasonality of the business as we build out our models?
Sure. So we currently don't break down win backs churn and retention, but we've been engaging significantly in going back into basically our database of funded accounts across time and making sure that they are kept up to date on all of the new product releases, whether it's, again, the debit card in Europe, whether it's futures trading, so or whether it's the new crypto wallet and the ability to use our crypto to buy stocks. So as we do that, we bring in also old customers into eToro sort of customers that churned in the past that are now joining back eToro for our new products. The second question, you can answer, Meron.
Yes. With regards to -- you touched about the breakdown, we do not provide it, but we can definitely see strong signs coming out of both the retention side as well as the acquisition as we aim -- as we discussed in the past, for a double-digit growth on the funded accounts on an annual basis.
Regarding seasonality, I would say, historically, we see strong Q1s and Q4s. It's mostly though related, I believe, to the market. So I would say we're enjoying usually seasons of the markets. And it seems, again, if I look at the last 3 years, Q1s and Q4s are usually good markets in both crypto and capital markets, but of course, we don't control the rain or the seasons.
Next question will be coming from Alex Kramm of UBS.
Just wanted a couple of follow-up questions. Hopefully, I didn't miss this earlier, but on the expense side, I think previously, it said flattish for the remainder of the year. Is that still right for the fourth quarter? And then just another housekeeping one on the interest income. I know there's a lot of moving pieces, but I think the implied rates -- interest rate actually went up quarter-over-quarter if you just use the interest earning assets. So again, I know there's a lot of things in there, but maybe just unpack what you're seeing on the interest income side?
Sure. I'll start on the first one, which was related to the expenses. So yes, definitely, we -- as we mentioned last quarter, we're aiming to keep our cost base the same quarter-on-quarter. And indeed, we came with a flat view. So we are roughly looking at staying within those lines also in Q4.
With regards to the -- what was the second question?
Second question, Daniel?
The interest income...
So we have seen like definitely, there is a decrease in the interest rate coming from the 2 rate cuts. But what we have witnessed in those periods is that actually customers balances in all different asset classes have actually grown. Now -- so even though there is a direct reduction expected in interest income. Over time, we do see those balances increase. And therefore, we should be able to grow also on the revenue, that also taking into consideration that customers are inclining when the interest rates are lower, to bring their assets more into a more riskier portfolios that will generate higher return for them than the lower interest rate in the market.
And we have no further questions. And for closing remarks, we'll bring it back to Daniel.
Thank you for attending our earnings call today. We're looking forward to seeing you at our upcoming investor conference during the quarter. These conferences are on our website that you can go see on the Investor Relations section. And thank you, and have a great day.
Thank you very much.
Thank you.
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eToro — Q3 2025 Earnings Call
Finanzdaten von eToro
Umsatz
Der Umsatz stellt die Summe aller Einnahmen eines Unternehmens z. B. für dessen Produkte oder Dienstleistungen dar.
Umsatz (TTM) einfach erklärtDirekte Kosten
Direkte Kosten sind die Kosten, die direkt im Zusammenhang mit der Herstellung des Produkts oder der Dienstleistung entstehen.
Bruttoertrag
Der Bruttoertrag gibt an, wie viel vom Umsatz nach Abzug der direkten Herstellkosten im Unternehmen verbleibt. Berechnet man den prozentualen Anteil vom Umsatz, spricht man von der Bruttomarge (engl. Gross Margin).
Brutto Marge einfach erklärtVertriebs- und Verwaltungskosten
Die Vertriebs- & Verwaltungskosten (engl. Selling, General & Administrative expenses, kurz SG&A) beinhalten alle Aufwände für Marketing und den Verkauf sowie die allgemeine Verwaltung des Unternehmens.
Forschungs- und Entwicklungskosten
Die Forschungs- und Entwicklungskosten (engl. research & development costs, kurz R&D) geben Auskunft darüber, wie viel das Unternehmen in die Forschung und die Entwicklung seiner Produkte investiert. Vor allem prozentual vom Umsatz und im Vergleich zu direkten Wettbewerbern sind die Kosten interessant.
EBITDA
Das EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) ist der Gewinn des Unternehmens vor Zinsen, Steuern und Abschreibungen. Berechnet man den prozentualen Anteil vom Umsatz, spricht man von der EBITDA-Marge.
Abschreibungen
Abschreibungen stellen Wertminderungen von Vermögensgegenständen des Unternehmens dar (z.B. durch Abnutzung von Maschinen).
EBIT (Operatives Ergebnis)
Das EBIT (engl. Earnings Before Interest and Taxes) ist der Gewinn des Unternehmens vor Zinsen und Steuern, das auch als operatives Ergebnis bezeichnet wird. Berechnet man den prozentualen Anteil vom Umsatz, spricht man von
der EBIT-Marge.
Nettogewinn
Der Nettogewinn stellt den Gewinn oder Verlust nach Abzug aller Kosten dar.
Nettogewinn einfach erklärtaktien.guide Premium
| Jun '26 |
+/-
%
|
||
| Umsatz | 12.021 12.021 |
105 %
105 %
100 %
|
|
| - Direkte Kosten | 11.051 11.051 |
104 %
104 %
92 %
|
|
| Bruttoertrag | 970 970 |
119 %
119 %
8 %
|
|
| - Vertriebs- und Verwaltungskosten | 462 462 |
93 %
93 %
4 %
|
|
| - Forschungs- und Entwicklungskosten | 151 151 |
100 %
100 %
1 %
|
|
| EBITDA | 371 371 |
182 %
182 %
3 %
|
|
| - Abschreibungen | 14 14 |
361 %
361 %
0 %
|
|
| EBIT (Operatives Ergebnis) EBIT | 357 357 |
178 %
178 %
3 %
|
|
| Nettogewinn | 261 261 |
190 %
190 %
2 %
|
|
Angaben in Millionen USD.
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Firmenprofil
Die eToro Group Ltd. befasst sich mit der Entwicklung, dem Management und der Bereitstellung von Softwarelösungen und Dienstleistungen für den Online-Handel. Die Handelsplattform des Unternehmens, eToro, ermöglicht den Benutzern den Handel mit Finanzinstrumenten. Sie ermöglicht es auch Nicht-Profis, auf Märkten zu handeln, die früher ausschließlich professionellen Anlegern vorbehalten waren. Das Unternehmen wurde am 14. Dezember 2006 von Johnathan Alexander Assia, Guy Gamzu, David Ring und Ronen Assia gegründet und hat seinen Hauptsitz in Bnei Braq, Israel.
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| Hauptsitz | Britische Jungferninseln |
| CEO | Mr. Assia |
| Mitarbeiter | 1.520 |
| Webseite | www.etoro.com |


