Item 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

This section presents management’s perspective on our financial condition and results of operations, including performance metrics that management uses to assess company performance. The following discussion and analysis is intended to highlight and supplement data and information presented elsewhere in this Quarterly Report, and should be read in conjunction with our interim unaudited condensed consolidated financial statements and notes elsewhere in this Quarterly Report and our audited consolidated financial statements and the related notes and the discussion under the heading “Management’s Discussion and Analysis of Financial Condition and Results of Operations” included in our 2025 Form 10-K.

It is also intended to provide you with information that will assist you in understanding our consolidated financial statements, the changes in key items in those consolidated financial statements from year to year, and the primary factors that accounted for those changes. To the extent that this discussion describes prior performance, the descriptions relate only to the periods listed, which might not be indicative of our future financial outcomes. In addition to historical information, this discussion contains forward-looking statements that involve risks, uncertainties and assumptions that could cause results to differ materially from management’s expectations. Factors that could cause such differences are discussed in the sections titled “Cautionary Note Regarding Forward-Looking Statements” and “Risk Factors.”

Data as of and for the three months ended March 31, 2025 and 2026 has been derived from our unaudited condensed consolidated financial statements appearing at the beginning of this Quarterly Report. Results for any interim period should not be construed as an inference of what our results would be for any full fiscal year or future period.

We refer to our “users” and our “customers” interchangeably throughout this Quarterly Report to refer to individuals who hold accounts on our platforms.

Overview

Robinhood was founded on the belief that everyone should be welcome to participate in our financial system. We are creating modern financial services platforms for everyone, regardless of their wealth, income, or background.

Our mission is to democratize finance for all. We use technology to provide access to the financial system in a way that is simple and convenient for our customers. We believe investing should be familiar and welcoming, with a simple design and an intuitive interface, so that customers are empowered to achieve their goals. We started with a revolutionary, bold brand and design in the Robinhood app which makes investing approachable for millions. Over the last decade, we have disrupted and changed the industry, becoming the first U.S. retail broker to offer commission-free stock trading with no account minimums, which was subsequently adopted by the rest of the industry. In recent years, we have continued to build relationships with our customers by introducing new products and diversifying our services that further expand access to the financial system, including focusing on products and tools for more seasoned investors. Through these efforts, we believe we have made investing culturally relevant and understandable, and that our platforms are enabling our customers to become long-term investors and take greater control of their finances.

Financial Results and Performance

With respect to the three months ended March 31, 2026, as compared to the three months ended March 31, 2025:

• total net revenues increased 15% to $1,067 million compared to $927 million;

• net income attributable to Robinhood increased 4% to $350 million, compared to $336 million;

• diluted EPS increased 3% to $0.38, compared to $0.37;

• total operating expenses increased 18% to $656 million compared to $557 million;

• Adjusted EBITDA (non-GAAP) increased 14% to $534 million compared to $470 million;

• Funded Customers increased by 1.7 million, or 6%, to 27.4 million compared to 25.8 million, and Investment Accounts increased by 2.1 million, or 8%, to 29.1 million compared to 27.0 million;

• Total Platform Assets increased 39% to $307.3 billion compared to $220.6 billion, driven by continued Net Deposits, higher equity valuations, and acquired assets;

• Net Deposits were $17.7 billion, which translates to an annualized growth rate of 22% relative to Total Platform Assets at the end of the fourth quarter of 2025, compared to $18.0 billion, which translates to an annualized growth rate of 37% relative to Total Platform Assets at the end of the fourth quarter of 2024. Over the past twelve months, Net Deposits were $67.8 billion, a growth rate of 31% relative to Total Platform Assets at the end of the first quarter of 2025;

• ARPU increased 8% to $157 compared to $145; and

• Robinhood Gold Subscribers increased 36% to 4.34 million compared to 3.19 million.

Adjusted EBITDA is a non-GAAP financial measure. For more information about Adjusted EBITDA, including the definition and limitations of such measure, and a reconciliation of net income to Adjusted EBITDA, please see “—Non-GAAP Financial Measures” below.

Recent Developments

In April 2026, we announced that Robinhood will serve as broker and sole initial trustee for the Trump Accounts on behalf of the U.S. Department of the Treasury. Robinhood will work with BNY, which has been selected by the U.S. Department of the Treasury as financial agent for Trump Accounts, to develop and operate the infrastructure required for Trump Accounts. This will include providing the necessary technology, building an intuitive front-end experience, creating educational resources, and managing customer support for Trump Accounts. These accounts will leverage Robinhood’s technology and infrastructure to power a standalone web and app experience designed uniquely for this initiative.

Key Performance Metrics

Key performance metrics for the relevant periods were as follows:

						Three Months Ended March 31,
						2025						2026						% Change
Funded Customers(1) (in millions)						25.8						27.4						6		%
Total Platform Assets(2) (in billions)						$	220.6					$	307.3					39		%
Net Deposits (in billions)						$	18.0					$	17.7					NM
Annualized Growth Rate with respect to Net Deposits						37%						22%						NM
ARPU (in dollars)						$	145					$	157					8		%
Robinhood Gold Subscribers (in millions)						3.19						4.34						36		%

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(1)The following table describes the annual changes within Funded Customers:

						Three Months Ended March 31,
(in millions)						2025						2026						% Change
Beginning Funded Customers						25.2						27.0						7		%
New Funded Customers						0.7						0.7						—		%
Resurrected Customers						0.2						0.1						(50)		%
Acquired customers						0.1						—						NM
Churned Customers						(0.4)						(0.4)						—		%
Ending Funded Customers						25.8						27.4						6		%

(2)The following table sets out the components of Total Platform Assets by type of asset:

						Three Months Ended March 31,
(in billions)						2025						2026						% Change
Equities						$	125.5					$	207.5					65		%
Cryptocurrencies						27.5						30.5						11		%
Options and futures						1.1						2.0						82		%
RIA assets						41.3						42.6						NM
Cash held by Customers						34.0						41.6						22		%
Receivables from Customers (primarily margin balances)						(8.8)						(16.9)						92		%
Total Platform Assets						$	220.6					$	307.3					39		%

The following table describes the changes within Total Platform Assets:

						Three Months Ended March 31,
(in billions)						2025						2026						% Change
Beginning Total Platform Assets						$	192.9					$	322.1					67		%
Acquired assets						42.9						—						NM
Net Deposits						18.0						17.7						NM
Net market losses						(33.2)						(32.5)						NM
Ending Total Platform Assets						$	220.6					$	307.3					39		%

Non-GAAP Financial Measures

Adjusted EBITDA

We collect and analyze operating and financial data to evaluate the health of our business, allocate our resources and assess our performance. In addition to total net revenues, net income, and other results under GAAP, we utilize non-GAAP calculations of Adjusted EBITDA. Adjusted EBITDA is defined as net income attributable to Robinhood, excluding (i) net income (loss) attributable to non-controlling interests, (ii) interest expenses related to credit facilities, (iii) provision for (benefit from) income taxes, (iv) depreciation and amortization, (v) SBC, (vi) significant legal and tax settlements and reserves, and (vii) other significant gains, losses, and expenses (such as impairments, restructuring charges, and business acquisition- or disposition-related expenses) that we believe are not indicative of our ongoing results. This non-GAAP financial information is presented for supplemental informational purposes only, should not be considered in isolation or as a substitute for, or superior to, financial information presented in accordance with GAAP, and may be different from similarly titled non-GAAP measures used by other companies.

The above items are excluded from our Adjusted EBITDA measure because these items are non-cash in nature, or because the amount and timing of these items are unpredictable, are not driven by core results of operations, and render comparisons with prior periods and competitors less meaningful. We believe Adjusted EBITDA provides useful information to investors and others in understanding and evaluating our results of operations, as well as providing a useful measure for period-to-period comparisons of our business performance. Moreover, Adjusted EBITDA is a key measurement used by our management internally to make operating decisions, including those related to operating expenses, evaluate performance, and perform strategic planning and annual budgeting.

The following table presents a reconciliation of Adjusted EBITDA to the most directly comparable GAAP measure, net income:

			Three Months Ended March 31,
(in millions)			2025						2026
Net income attributable to Robinhood			$	336					$	350
Net income (loss) attributable to non-controlling interests			—						(4)
Net income			336						346
Add:
Interest expenses related to credit facilities			6						8
Provision for income taxes			35						65
Depreciation and amortization			20						23
EBITDA (non-GAAP)			397						442
Add:
SBC			73						92
Adjusted EBITDA (non-GAAP)			$	470					$	534

Results of Operations

The following table summarizes our unaudited condensed consolidated statements of operations data:

(in millions)									Three Months Ended March 31,
												2025						2026
Revenues:
Transaction-based revenues															$	583					$	623
Net interest revenues															290						359
Other revenues															54						85
Total net revenues															927						1,067
Operating expenses(1):
Brokerage and transaction															50						60
Technology and development															214						241
Operations															31						38
Provision for credit losses															24						36
Marketing															105						107
General and administrative															133						174
Total operating expenses															557						656
Other income, net															1						—
Income before income taxes															371						411
Provision for income taxes															35						65
Net income															$	336					$	346
Less: Net income (loss) attributable to non-controlling interests															—						(4)
Net income attributable to Robinhood															$	336					$	350

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(1)Includes SBC expense as follows:

									Three Months Ended March 31,
(in millions)															2025						2026
Brokerage and transaction															$	2					$	3
Technology and development															44						40
Operations															1						1
Marketing															2						2
General and administrative															24						46
Total SBC expense															$	73					$	92

Comparison of the Three Months Ended March 31, 2025 and 2026

Revenues

Transaction-Based Revenues

															Three Months Ended March 31,
(in millions, except for percentages)																					2025						2026						% Change
Transaction-based revenues:
Options																					$	240					$	260					8		%
Cryptocurrencies																					252						134						(47)		%
Event contracts																					3						104						NM
Equities																					56						82						46		%
Other																					32						43						34		%
Total transaction-based revenues																					$	583					$	623					7		%
Transaction-based revenues as a % of total net revenues:
Options																					26%						24%
Cryptocurrencies																					27%						13%
Event contracts																					1%						10%
Equities																					6%						8%
Other																					3%						3%
Total transaction-based revenues																					63%						58%

Transaction-based revenues increased by $40 million, primarily driven by increases of $101 million in event contracts, $26 million in equities, and $20 million in options, partially offset by a decrease of $118 million in cryptocurrencies.

Event contracts revenues increased primarily due to an acceleration in our prediction markets business, reflecting higher trading activity compared to Q1 2025 when the offering was still in its early stage. The increase was partially offset by a $6 million increase of certain match incentives paid to our customers.

Equities revenues increased as a result of a 45% increase in the average Notional Trading Volume traded per trader and a 2% increase in the number of users placing equity trades. The increase was partially offset by lower equity rebate rates due to the mix of ticker symbols traded as different ticker symbols pay different rebate rates. The increase was partially offset by a $4 million increase of certain match incentives paid to our customers.

Options revenues increased due to a 20% increase in Options Contracts Traded per trader. The increase was partially offset by lower option rebate rates due to the mix of ticker symbols traded as different ticker symbols pay different rebate rates. In addition, the increase was partially offset by a $6 million increase of certain incentives paid to our customers.

Cryptocurrencies revenues decreased primarily due to lower cryptocurrency rebate rates from crypto market makers, a 32% decrease in the number of users placing cryptocurrency trades, and a 22% decrease in the average Notional Trading Volume traded per trader, partially offset by cryptocurrencies revenues benefiting from our acquisition of Bitstamp. In addition, the decrease was partially offset by a $6 million decrease of certain incentives paid to our customers.

Net Interest Revenues

															Three Months Ended March 31,
(in millions, except for percentages)																					2025						2026						% Change
Net interest revenues:
Margin interest																					$	110					$	193					75		%
Interest on segregated cash, cash equivalents, securities, and deposits, net																					56						58						4		%
Cash Sweep																					48						45						(6)		%
Interest on corporate cash and investments																					49						34						(31)		%
Credit card, net																					10						32						220		%
Securities lending, net																					23						4						(83)		%
Interest expenses related to credit facilities																					(6)						(8)						33		%
Other																					—						1						NM
Total net interest revenues																					$	290					$	359					24		%
Net interest revenues as a % of total net revenues:
Margin interest																					12		%				18		%
Interest on segregated cash, cash equivalents, securities, and deposits, net																					7		%				6		%
Cash Sweep																					5		%				4		%
Interest on corporate cash and investments																					5		%				3		%
Credit card, net																					1		%				3		%
Securities lending, net																					2		%				1		%
Interest expenses related to credit facilities																					(1)		%				(1)		%
Other																					—		%				—		%
Total net interest revenues																					31		%				34		%

Net interest revenues increased by $69 million, primarily driven by higher margin interest and net credit card interest, due to increased margin borrowers and the growth in our credit card business. The increase was partially offset by a decrease in interest revenue from securities lending activities, driven by lower collateral balances and higher stock loan interest expense as stock loan balances grew, as well as a decrease in interest revenue on corporate cash and investments driven by a lower short-term interest rate environment. We anticipate any potential future rate cuts by the Federal Reserve will negatively impact our net interest revenues and adversely affect our customers’ returns on cash deposits.

The following table summarizes interest-earning assets, the revenue generated by these assets, and their respective annualized yields:

(in millions, except for annualized yield)			Margin Book			Cash and deposits(1)			Cash Sweep (off-balance sheet)			Credit card, net(2)			Total interest-earning assets						Securities lending, net			Interest expenses related to credit facilities(5)			Other			Total net interest revenues
Three Months Ended March 31, 2026
March 31, 2026			$	16,953		$	16,669		$	26,023		$	1,132		$	60,777
December 31, 2025			16,823			10,995			32,786			1,040			61,644
Average(3)			17,344			13,974			29,019			1,084			61,421
Revenue (expense)			$	193		$	92		$	45		$	32		$	362					$	4		$	(8)		$	1		$	359
Annualized yield(4)			4.45%			2.63%			0.62%			11.81		%	2.36%															2.34%
Three Months Ended December 31, 2025
December 31, 2025			$	16,823		$	10,995		$	32,786		$	1,040		$	61,644
September 30, 2025			13,938			14,352			35,370			742			64,402
Average(3)			16,027			13,048			33,721			901			63,697
Revenue (expense)			$	196		$	116		$	57		$	24		$	393					$	26		$	(10)		$	2		$	411
Annualized yield(4)			4.89%			3.56%			0.68%			10.65		%	2.48%															2.58%
Three Months Ended March 31, 2025
March 31, 2025			$	8,802		$	9,763		$	28,187		$	429		$	47,181
December 31, 2024			7,909			9,943			26,064			391			44,307
Average(3)			8,449			10,070			26,717			402			45,638
Revenue (expense)			$	110		$	105		$	48		$	10		$	273					$	23		$	(6)		$	—		$	290
Annualized yield(4)			5.21%			4.17%			0.72%			9.95%			2.39%															2.54%

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(1) Includes cash and cash equivalents, restricted cash, segregated cash, cash equivalents, and securities under federal and other regulations, deposits with clearing organizations, and investments.

(2) Credit card, net consists of i) an off-balance sheet amount representing customer principal amounts funded by Coastal Bank under the Program Agreement. Under the Program Agreement, Robinhood Credit collects interest from customers that carry a balance and pays interest on the amount funded by Coastal Bank, with the difference between those amounts resulting in net interest revenue and ii) an on-balance sheet amount representing purchased credit card receivables by the Trust. Robinhood Credit collects interest from customers that carry balances and pays interest on the amount funded through the Trust, with the difference in those amounts resulting in net interest revenues. As of March 31, 2026, the off-balance sheet amount funded under the Program agreement was $216 million and the on-balance sheet amount was $916 million. Refer to Note 10 - Financing Activities and Off-Balance Sheet Risk to our unaudited condensed consolidated financial statements in this Quarterly Report for more information.

(3) Average balance rows represent the simple average of month-end balances in a given period.

(4) Annualized yield is calculated by annualizing revenue for the given period and dividing by the applicable average asset balance.

(5) Includes interest expenses related to our revolving credit facilities; interest expense related to the Trust is included in the credit card, net interest yield calculation. Refer to Note 10 - Financing Activities and Off-Balance Sheet Risk to our unaudited condensed consolidated financial statements in this Quarterly Report for more information.

Other Revenues

															Three Months Ended March 31,
(in millions, except for percentages)																					2025						2026						% Change
Other revenues:
Gold subscription revenues																					$	38					$	50					32		%
Proxy revenues																					9						8						(11)		%
Other																					7						27						286		%
Total other revenues																					$	54					$	85					57		%
Other revenues as a % of total net revenues:
Gold subscription revenues																					4		%				5		%
Proxy revenues																					1		%				1		%
Other																					1		%				2		%
Other revenues as a % of total net revenues																					6		%				8		%

Other revenues increased $31 million, primarily driven by an increase in Robinhood Gold subscription revenues due to growth in Robinhood Gold Subscribers, revenues earned from coin listings, and revenues derived from acquired businesses.

Operating Expenses

															Three Months Ended March 31,
(in millions, except for percentages)																					2025						2026						2025 to 2026 % Change
Operating expenses:
Brokerage and transaction																					$	50					$	60					20		%
Technology and development																					214						241						13		%
Operations																					31						38						23		%
Provision for credit losses																					24						36						50		%
Marketing																					105						107						2		%
General and administrative																					133						174						31		%
Total operating expenses																					$	557					$	656					18		%

Brokerage and Transaction

															Three Months Ended March 31,
(in millions)																					2025						2026						2025 to 2026 % Change
Employee compensation, benefits, and overhead																					$	11					$	15					36%
Market data expenses																					8						10						25%
Instant withdrawals																					10						10						—%
Other																					21						25						19%
Total																					$	50					$	60					20%
Percent of total net revenues:																					6		%				6		%

Brokerage and transaction costs increased by $10 million for the three months ended March 31, 2026, primarily due to a $4 million increase in employee compensation, benefits, and overhead expenses

due to increased average headcount to continue to support the growth and expansion of our business and a $4 million increase in other brokerage and transactions costs primarily related to credit card processing fees.

Technology and Development

															Three Months Ended March 31,
(in millions)																					2025						2026						2025 to 2026 % Change
Employee compensation, benefits, and overhead																					$	121					$	129					7		%
Cloud infrastructure services																					50						53						6		%
Software and tools																					35						48						37		%
Other																					8						11						38		%
Total																					$	214					$	241					13		%
Percent of total net revenues:																					23		%				23		%

Technology and development costs increased by $27 million for the three months ended March 31, 2026, primarily due to $13 million in software and tool expenses driven by the integration of acquired businesses and continued growth of our business. Additionally employee compensation, benefits, and overhead expenses increased $8 million due to increased average headcount to support the expansion into new products.

Operations

															Three Months Ended March 31,
(in millions)																					2025						2026						2025 to 2026 % Change
Employee compensation, benefits, and overhead																					$	20					$	24					20%
Customer experience																					6						7						17%
Other																					5						7						40%
Total																					$	31					$	38					23%
Percent of total net revenues:																					3		%				3		%

Operations costs increased by $7 million for the three months ended March 31, 2026, primarily due to a $4 million increase in employee compensation, benefits, and overhead driven by increased average headcount to support the expansion of our business. Additionally, customer experience and other operations expense increased driven by the increase in the size of our customer base.

Provision for credit losses

															Three Months Ended March 31,
(in millions)																					2025						2026						2025 to 2026 % Change
Provision for credit losses - credit card related																					$	13					$	31					138%
Provision for credit losses - brokerage related																					11						5						(55)%
Total																					$	24					$	36					50%
Percent of total net revenues:																					3		%				3		%

Provision for credit losses costs increased by $12 million for the three months ended March 31, 2026, primarily driven by an $18 million increase in credit card related provision for credit losses mainly due to higher balances in purchased credit card receivables, partially offset by a decrease in brokerage related losses of $6 million due to decreased fraud activity.

Marketing

															Three Months Ended March 31,
(in millions)																					2025						2026						2025 to 2026 % Change
Digital marketing																					$	53					$	51					(4)		%
Brand marketing																					22						19						(14)		%
Employee compensation, benefits, and overhead																					11						12						9		%
Other																					19						25						32		%
Total																					$	105					$	107					2		%
Percent of total net revenues:																					11		%				10		%

Marketing costs increased by $2 million for the three months ended March 31, 2026 primarily due to an increase in marketing expenses related to our credit card offerings.

General and Administrative

															Three Months Ended March 31,
(in millions)																					2025						2026						2025 to 2026 % Change
Employee compensation, benefits, and overhead																					$	82					$	111					35		%
Legal expenses																					14						23						64		%
Other professional fees																					17						17						—		%
Other																					20						23						15		%
Total																					$	133					$	174					31		%
Percent of total net revenues:																					14		%				16		%

General and administrative costs increased by $41 million for the three months ended March 31, 2026 primarily due to a $29 million increase in employee compensation, benefits, and overhead expenses driven by increased SBC related to the deemed modification of awards in connection with the CFO transition and increased average headcount to support the expansion of our business. Additionally, legal expenses increased $9 million for the three months ended March 31, 2026 in relation to new product offerings and reserves for legal matters.

Provision for Income Taxes

															Three Months Ended March 31,
(in millions)																					2025						2026						2025 to 2026 % Change
Provision for income taxes																					$	35					$	65					86		%

Provision for income taxes increased by $30 million for the three months ended March 31, 2026 primarily due to the growth of the business and decrease in excess tax benefits from SBC.

Liquidity and Capital Resources

Sources and Uses of Funds

Our principal sources of liquidity are cash flows generated from operations and our cash, cash equivalents, investments, and stablecoin. Other sources of future funds may include potential borrowing under our revolving lines of credit and potential issuance of new debt or equity. Our liquidity needs are primarily to support and invest in our core business, including investing in new ways to serve our customers, potentially seeking strategic acquisitions to leverage existing capabilities and further build our business, and for general capital needs (including capital requirements imposed by regulators and SROs and cash deposit and collateral requirements under the rules of the DTC, the NSCC, OCC, and the CFTC. Based on our current level of operations, we believe our primary sources of liquidity will be adequate to meet our current liquidity needs for the next 12 months.

Liquid Assets

As of March 31, 2026, we had cash and cash equivalents of $5.0 billion and stablecoin of $153 million. Refer to Note 7 - Investments and Fair Value Measurement, to our unaudited condensed consolidated financial statements in this Quarterly Report for further information.

Revolving Credit Facilities and Credit Card Funding Trust

As of March 31, 2026, we had committed revolving credit facilities with a total borrowing capacity of up to $4.875 billion and a borrowing capacity for the Trust of up to $1.250 billion. Refer to Note 10 - Financing Activities and Off-Balance Sheet Risk to our unaudited condensed consolidated financial statements in this Quarterly Report for further information.

Commitments

The following table summarizes our short- and long-term material cash requirements for contractual obligations as of March 31, 2026:

			Payments Due by Period
(in millions)			Total						Remainder of 2026						2027-2028						2029-2030						Thereafter
Operating lease commitments(1)			$	331					$	29					$	91					$	84					$	127
Purchase commitments(2)			1,159						300						557						240						62
Robinhood match incentives commitments(3)			23						23						—						—						—
Credit Card Funding Trust borrowing principal and interest			703						703						—						—						—
Total			$	2,216					$	1,055					$	648					$	324					$	189

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(1) Operating lease commitments include tenant improvement allowance incentives amortized over the lease terms from 2025 to 2026.

(2) Purchase commitments are determined based on the non-cancelable quantities or termination amounts to which we are contractually obligated. These primarily relate to commitments for cloud infrastructure, data services and business insurance.

(3) Robinhood match incentives commitments represent non-cancelable future match payments on eligible cash deposits made by Robinhood Gold Subscribers. The future match payments are forfeited if deposits are not held on the platform during the specific earning period.

In addition to lease and purchase commitments, we have two committed financing agreements: one with a contractual term of 30 days and a daily minimum commitment of $25 million and another with a contractual term of 21 days with a daily minimum commitment of $35 million.

Regulatory Capital Requirements

Our broker-dealer subsidiaries (RHS, RHF, and TradePMR) are subject to the Net Capital Rule, administered by the SEC and FINRA, which requires the maintenance of minimum net capital, as defined. Net capital and the related net capital requirements may fluctuate on a daily basis. RHS and RHF compute net capital under the alternative method as permitted by the Net Capital Rule.

Our FCM subsidiary, RHD, is subject to CFTC Regulation 1.17, administered by the CFTC and the NFA, which requires the maintenance of minimum net capital, as defined by CFTC Regulation 1.17. Net capital and the related net capital requirements may fluctuate on a daily basis.

The table below summarizes the net capital, capital requirements, and excess net capital of RHS, RHF, RHD, and TradePMR as of periods presented:

						March 31, 2026
(in millions)						Net Capital						Required Net Capital						Net Capital in Excess of Required Net Capital
RHS						$	3,782					$	375					$	3,407
RHF						172						0.25						172
RHD						288						12						276
TradePMR						11						0.25						11

As of March 31, 2026, these subsidiaries were in compliance with their respective regulatory capital requirements.

Cash Flows

The following table summarizes our cash flow activities:

						Three Months Ended March 31,
(in millions)						2025						2026
Cash provided by (used in):
Operating activities						$	642					$	2,038
Investing activities						9						(284)
Financing activities						(417)						180

Operating activities

(in millions)						2025 to 2026 Change
Changes to net cash provided by (used in) operating activities were primarily due to:
Increase in net income after adjusting for non-cash items						$	77
Increase in working capital primarily driven by increase in payables to users driven by retention of customer balances, the timing of collection of receivables from users and payment of current liabilities						5,612
Increase in securities loaned due to continued growth of our securities lending program, as well as market conditions, variable lending and funding activities						126
Increase in securities segregated under federal and other regulations						(4,350)
Increase in securities borrowed due to increased customer activities						(69)
						$	1,396

Investing activities

(in millions)						2025 to 2026 Change
Changes to net cash provided by (used in) investing activities were primarily due to:
Consideration transferred for business acquisitions and asset acquisitions						$	104
Decrease in proceeds received from maturities of held-to-maturity investments						(208)
Increase in purchases of non-marketable securities						(92)
Increase in purchases of credit card receivables offset by collections during the year						(83)
Decrease in cash, cash equivalents, and segregated cash acquired in business acquisitions						(7)
Other						(7)
						$	(293)

Financing activities

(in millions)						2025 to 2026 Change
Changes to net cash provided by (used in) financing activities were primarily due to:
Proceeds received from issuance of RVI common stock in connection with initial public offering, net of offering costs						$	312
Decrease in cash paid for taxes related to net share settlement of equity awards						107
Increase in borrowings by the Credit Card Funding Trust to purchase credit card receivables						93
Decrease in repurchase of common stock under the Repurchase Program						72
Increase in contributions from noncontrolling interests						41
Increase in repayments on borrowings by the Credit Card Funding Trust						(15)
Other						(13)
						$	597

Critical Accounting Estimates

Our unaudited condensed consolidated financial statements are prepared in accordance with GAAP. The preparation of these unaudited condensed consolidated financial statements requires estimates and assumptions that affect the reported amounts of assets and liabilities, revenues and expenses, and related disclosures of contingent liabilities on our unaudited condensed consolidated financial statements and accompanying notes. The SEC has defined a company’s critical accounting policies as the ones that are most important to the portrayal of the company’s financial condition and results of operations, and which require the company to make its most difficult and subjective judgments, often as a result of the need to make estimates of matters that are inherently uncertain. We also have other key accounting policies, which involve the use of estimates, judgments, and assumptions that are significant to understanding our results. Although we believe that our estimates, assumptions, and judgments are reasonable, they are based upon information presently available. Actual results might differ significantly from these estimates under different assumptions, judgments, or conditions.

There have been no material changes to our critical accounting estimates during the three months ended March 31, 2026, as compared to those disclosed in “Management’s Discussion and Analysis of Financial Condition and Results of Operations — Critical Accounting Estimates” in our 2025 Form 10-K.

Recent Accounting Pronouncements

See Item 1 of Part I, “Unaudited Financial Statements — Note 2 - Recent Accounting Pronouncements.”