Webull Corporation (NASDAQ:BULL) shares are trading higher premarket on Thursday after the company reported strong second-quarter results.
Earnings Snapshot
The brokerage platform company posted second-quarter adjusted earnings of twelve cents per share, beating estimates of 3 cents per share.
Revenue rose 51% year over year to $198.83 million, beating estimates of $181.26 million, according to Benzinga Pro.
This was led by continued customer asset growth and strong trading activity across core asset classes, particularly options and equities.
Adjusted operating profit grew 169% year over year to a record $62.6 million, with an adjusted operating margin of approximately 31.5%.
Interest-related income increased 18% year over year to $42.8 million, mainly reflecting higher AUM, increased margin loans and larger client cash balances.
Webull exited the quarter with around $701.62 million in total cash and cash equivalents.
Key Metric
Customer assets rose 79% year over year to $28.5 billion following the change in the PDT rule, while average customer account size nearly doubled to more than $5,500.
Trading-related revenue rose 66% year over year to $147.7 million, aided by record volumes across core asset classes.
Daily average revenue trades increased 62% year over year to 1.64 million in the quarter.
Equity notional trading volume climbed 73% year over year to $279 billion, while options contract volume rose 68% year over year to 213 million contracts, putting Webull among the top retail brokers in options for the first time.
Webull added approximately 600,000 registered users during the second quarter, bringing total registered users to 28.2 million, up 13% year over year from 24.9 million.
Funded accounts reached 5.13 million, an 8% year-over-year increase, with gross funded accounts rising by approximately 132,000 and net new funded accounts increasing by approximately 20,000.
Quarterly retention was 97.3%. Net customer deposits totaled $1.6 billion in the second quarter, up more than 7% year over year, supporting continued growth in customer assets.
Webull’s AI-powered Vega platform added approximately 160,000 users in the second quarter, taking total active users to 480,000, while active-trader engagement increased 23%.
APAC customer assets exceeded $5 billion, and the acquisition of Thailand-based PI Securities is expected to close at the end of August and significantly boost regional AUM.
BULL Price Action: Webull shares were up 14.81% at $9.92 during premarket trading on Thursday, according to Benzinga Pro data.
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