Webull's Q2 Revenue Surges to $131.5mln, Customer Assets Hit Record Levels

Webull has reported Q2 revenue of $131.5 million, a significant increase from $89.9 million last year. The company's revenue growth and profitability metrics are strong, with a trailing twelve-month revenue of $417.59 million and an operating margin of 3.84%. Webull's focus on innovative product offerings and market adaptability positions it well in the retail trading landscape. However, warning signs include an Altman Z-Score of 2 and a Beneish M-Score of -1.23, indicating potential financial stress and result manipulation.

Webull Corp (NASDAQ:BULL) reported its second quarter 2025 earnings, revealing a significant increase in revenue and continued profitability improvement. The online brokerage firm’s stock closed at $14.44, up 1.59% on the day, reflecting a positive market reception to the results [1].

Revenue and Profitability Growth
Webull’s Q2 2025 revenue reached $131.5 million, a 46% increase from $90.1 million in Q2 2024. The company’s adjusted operating expenses rose 20% year-over-year to $108.2 million, demonstrating controlled expense management. This combination of revenue growth and expense control led to a substantial improvement in operating profit, reaching $23.3 million, an 18 percentage point improvement from the $0.3 million loss in Q2 2024 [1].

User Growth and Customer Assets
Webull’s user base continued to expand, with registered users increasing 18% year-over-year to 24.9 million, while funded accounts grew 9% to 4.73 million. Customer assets reached an all-time high of $15.9 billion in Q2 2025, a 64% increase from Q2 2024, driven by strong net deposits of $1.5 billion during the quarter [1].

Trading Activity and Revenue
Trading activity showed robust growth, with equity notional volume increasing 58% year-over-year to $161 billion, while options contracts volume grew 8% to 127 million contracts. Daily Average Revenue Trades (DARTs) increased significantly from 646,000 to 1,008,000. Trading-related revenues, including equity, options, and platform trading fees, increased 63% year-over-year, reaching $88.8 million in Q2 2025 [1].

Strategic Initiatives
Webull outlined several strategic initiatives contributing to its growth and expected to drive future expansion. These include product expansion, such as the launch of Webull Premium, advisor solutions, and prediction markets for crypto and Federal Reserve events. The company is also re-entering the cryptocurrency market and expanding globally, having already launched in the Netherlands and Latin America [1].

Financial Metrics and Outlook
Webull’s adjusted net income reached $15.4 million, compared to a loss of $1.5 million in Q2 2024, representing a 13.4 percentage point improvement in net income margin. The company’s focus on expanding product offerings, entering new asset classes, and growing its global footprint positions it well for future investments in growth initiatives [1].

Warning Signs
While the company’s financial performance is strong, there are warning signs. The Altman Z-Score of 2 and the Beneish M-Score of -1.23 indicate potential financial stress and result manipulation [2].

Conclusion
Webull’s Q2 2025 earnings report highlights significant revenue growth and profitability improvement, positioning the company well in the retail trading landscape. However, the warning signs of potential financial stress warrant close attention from investors.

References
[1] https://www.investing.com/news/company-news/webull-q2-2025-slides-revenue-jumps-46-achieves-third-profitable-quarter-93CH-4215463
[2] https://seekingalpha.com/article/4816765-webull-q2-earnings-a-make-or-break-moment