Webull posts record $198.8M quarter as PDT rule removal lifts trading

Webull reported Q2 revenue of $198.8 million, up 51% year-over-year, as the PDT rule elimination drove record trading volumes.

"Q2 was the best quarter in Webull's history, with record revenue of $198.8 million, up 51% year-over-year and 24% sequentially," H.C. Wang, chief financial officer at Webull, said. "Adjusted operating profit reached $62.6 million, representing a 31.5% operating margin, while adjusted net income was $43.2 million."

Adjusted operating profit rose 169% from $23.3 million a year earlier. Adjusted net income climbed from $15.4 million. Trading-related revenue increased 66% to $147.7 million, driven by record equity notional volume of $279 billion, up 73%, and options contracts of 213 million, up 68%. Daily average revenue trades reached 1.635 million, an all-time high.

Metric	Actual	Consensus	Beat/Miss
Revenue	$198.8M	$187.3M	+$11.6M
EPS	$0.07	$0.03	+$0.04

Customer assets grew 79% year-over-year to $28.5 billion, driven by net deposits of $1.6 billion. Funded accounts reached 5.13 million, up 8%, while registered users climbed 13% to 28.2 million. The company repurchased 1.8 million Class A shares at an average price of $6.03 during the quarter.

The June 4 elimination of the Pattern Day Trader Rule was the defining event of the quarter, according to Anthony Denier, group president and U.S. CEO. Denier said Webull's platform enabled eligible customers to take full advantage of the new trading environment from day one, contributing to record volumes and strong engagement. Management described the company as a net beneficiary of account consolidation across the industry, with the average customer account nearly doubling to more than $5,500.

Webull expanded to 18 markets with launches in Spain, Argentina and Colombia, and announced the acquisition of Pi Securities in Thailand, expected to close at the end of August. International funded accounts reached approximately 810,000, while Asia-Pacific customer assets exceeded $5 billion. The company's Vega AI system added 160,000 users during the quarter, bringing total active users to approximately 480,000. Institutional assets under management exceeded $1.4 billion, about 5 percent of group AUM.

Shares rose 9.2% after the close to $9.75. The results mark Webull's seventh consecutive quarter of profitability. The company did not provide formal guidance, but management said marketing spend would normalize after aggressive promotions in 2025. Investors will watch whether the PDT-driven volume surge persists into Q3, with July data showing options volume remained steady while equity notional softened slightly.

This article is for informational purposes only and does not constitute investment advice.