Crypto slump hits eToro volumes as profitability improves
The retail trading platform reports $216M in annual net income.
eToro, the online trading platform that went public on Wall Street last summer, is closing its first full fiscal year as a public company with mixed results: rising profits alongside signs of slowing activity.
Net profit reached $216 million, up 12% compared with 2024. Total revenue, measured as net contribution (revenue net of commissions and trading costs), increased 10% to $868 million.
In the fourth quarter, however, activity slowed. Net contribution declined 10% to $227 million, primarily due to weakness in the cryptocurrency market, which accounts for the majority of the company’s trading revenue. Despite the slowdown, eToro increased quarterly net profit by 16% to $69 million.
The company’s business remains heavily concentrated in cryptocurrencies, though it also offers stock trading. Unlike its larger U.S. competitor Robinhood, eToro differentiates itself through a social investing model that allows users to follow and replicate the portfolios of investors with strong performance. The platform is particularly popular among younger retail investors.
eToro also disclosed preliminary January data, indicating continued market weakness. Cryptocurrency transactions fell 50% to 4 million, while the average trade size declined 34% to $182.
Assets under administration on the platform totaled $18.5 billion, an 11% increase compared with the end of 2024.
Shares of eToro rose in early trading on Wall Street following the results. However, the stock remains roughly 50% below its IPO price, reflecting continued investor caution. Amid the prolonged weakness, which has left the company with a market capitalization of approximately $2.3 billion, eToro launched a share repurchase program during its first year on Nasdaq. The company reported that it has already bought back $100 million of shares out of the $150 million authorized.
