eToro reported a first-quarter net profit of $82 million, a 37% increase year-over-year, driven by a surge in commodities trading that offset weaker performance in its crypto business.
The company announced on Tuesday that its net profit increased by 37% year-over-year to $82 million, compared to $60 million in the first quarter of 2025. Adjusted EBITDA rose 35% year-over-year to $109 million, up from $80 million in the same period last year, while net contribution grew 19% to $258 million.
This strong performance was primarily driven by commodities trading, which accounted for approximately 60% of the quarter’s trading fees and saw transaction volumes grow nearly fourfold year-over-year. The company also expanded its equity product lineup by adding Japanese stocks, increasing the number of exchanges covered to 26, and launched crypto trading in New York following the acquisition of a BitLicense.
Net income and profit. Source: eToro
The number of funded accounts increased by 12% to 4.02 million, while assets under custody grew by 15% to $17 billion. As of March 31, the company held $1.3 billion in cash, cash equivalents, and short-term investments.
Crypto trading volume has dropped significantly.
Despite a surge in commodity trading, crypto trading volumes have been impacted. April data, released alongside the earnings report, showed a 32% year-over-year decline in crypto trading volume to 2 million trades, with the average investment per trade falling 22% to $207.
At the product level, eToro has launched its AI-driven Agent Portfolios feature and deepened its collaboration with xAI to integrate market sentiment powered by Grok 4.2 into its AI investment agent, Tori.
eToro stock price declined. Source: Yahoo! Finance
The company also completed its acquisition of Zengo, a self-custody crypto wallet provider, on April 30. CEO Yoni Assia stated that this move advances eToro’s strategy to connect traditional finance with on-chain infrastructure.
Assets under custody increased further to $18.7 billion in April, up 19% year-over-year, with total fund transfers for the month reaching $1.4 billion, a 53% increase.
Cryptocurrency exchange trading volume has declined.
According to Cointelegraph, Coinbase reported a net loss of $394.1 million for the first quarter, marking its second consecutive quarterly loss, compared to a profit of $65.6 million in the same period last year.
Revenue amounted to $1.4 billion, below the analyst expectation of $1.5 billion, due to a 40% year-over-year decline in trading income and a 13.5% year-over-year decline in subscription and service revenue. The total market capitalization and trading volume of the cryptocurrency market both declined by more than 20%环比.