Webull (BULL) Q1 2026 earnings summary

Executive summary

• Revenue grew 36% year-over-year to $159.9 million, driven by record trading volumes and strong net deposits across all core asset classes.

• Customer assets reached $24 billion, up 90% year-over-year, with net deposits rising 91% despite market volatility.

• Achieved sixth consecutive quarter of profitability, though margins declined due to increased marketing and technology investments.

• Expanded global footprint to 15 markets, launched AI-enabled research tools, and scaled institutional and B2B platforms.

• Announced a $100 million share repurchase program, reflecting confidence in long-term value and disciplined capital allocation.

Financial highlights

• Adjusted operating expenses rose 64% year-over-year to $145.1 million, mainly due to increased marketing and technology investments.

• Adjusted operating profit was $14.8 million (9.3% margin), and adjusted net income was $9.2 million (5.8% of revenue), both lower sequentially due to higher marketing spend.

• Trading-related revenues increased 36% year-over-year to $110.9 million; DARTs reached 1.31 million.

• Interest-related income grew 29% year-over-year to $40.1 million, with a sequential decline due to lower stock lending revenue.

• Net loss attributable to the company was $21.7 million, versus net income of $13.1 million in the prior year quarter.

Outlook and guidance

• Expect marketing as a percentage of revenue to decline as revenue scales, leading to margin expansion.

• Focus remains on deepening the active trader experience, expanding internationally, and scaling institutional and B2B offerings.

• Anticipate significant impact from the elimination of the pattern day trader rule, with a potential 20% increase in transaction volume over time.

• Plans to continue investing in growth drivers and platform enhancements.

• Monthly operating metrics will be published to provide more frequent business performance updates.