Social trading platform eToro Group Ltd (NASDAQ:ETOR) has posted its second consecutive quarterly decline in revenue and profit, marking Q2 2025 as its least profitable quarter since 2023
Following its IPO in May, eToro reported a 44% drop in total revenue and income, falling from $3.76 billion in Q1 to $2.09 billion in Q2. Adjusting for crypto-related revenue and costs, the company’s net revenue stood at $217 million, down 4% from $227 million in Q1 and significantly lower than the $262 million recorded in Q4 2024
Net income also took a hit, plunging 50% to $30 million, compared to $60 million in the previous quarter.
Despite the financial downturn, eToro saw a modest increase in funded accounts, rising to 3.63 million, and an 18% growth in Assets Under Administration, reaching $17.5 billion—boosted by strong equity and crypto market valuations
eToro’s stock performance mirrored its financial results. After peaking at $79.96 in early June, shares have dropped over 30%, closing at $55.30, just above its IPO price of $52
CEO Yoni Assia remained optimistic, highlighting product innovations and geographic expansion:
“We delivered another strong quarter in terms of innovation, launching 24/5 trading for U.S. equities, new long-term portfolios with Franklin Templeton, and savings products in France. Our new Singapore hub also strengthens our presence in Asia.”
Looking ahead, eToro plans to invest in tokenization and AI-driven tools to enhance retail investor engagement and unlock new growth opportunities.
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