UP Fintech (TIGR) Q1 2025 earnings summary

Executive summary

• Total revenue for Q1 2025 reached $122.6 million, up 55.3% year-over-year, with strong trading activity despite market volatility.

• GAAP net income hit $30.4 million, up 8.4% quarter-over-quarter and 146.7% year-over-year, setting record highs for both net income and profit margin.

• Non-GAAP net income was $36 million, up 18.3% sequentially and 145% year-over-year.

• Added 60,900 new funded accounts, reaching 1,152,900 total, a 23.5% year-over-year increase and 40% of the annual target.

• Total client assets reached $45.9 billion, up 9.9% quarter-over-quarter and 39.5% year-over-year, driven by $3.4 billion net asset inflow and $776 million mark-to-market gain.

Financial highlights

• Commission income was $58.3 million, up 4% quarter-over-quarter and more than double year-over-year.

• Interest income was $53.8 million, up 23% year-over-year but down 4% sequentially due to maturing U.S. treasury holdings.

• Interest expense was $50 million, down 10% sequentially and up 2% year-over-year.

• Non-GAAP net profit margin expanded to nearly 30% from 25% in the previous quarter.

• Trading volume of stocks reached $59.5 billion, up from $28.6 billion year-over-year.

Outlook and guidance

• Confident in meeting annual guidance of at least 150,000 new funded users in 2025, with 60,900 new customers in Q1 achieving 40% of the target.

• Expect average customer acquisition cost (CAC) to rise to $250-$300 in coming quarters due to focus on high-value markets and brand investment.

• Compensation expense expected to grow 10%-20% per year, with disciplined headcount growth.

• Management remains focused on R&D investment and user experience enhancements to drive further growth.