eToro Group Ltd. (ETOR): Financial results for Q2 2026
eToro Group Ltd. (ETOR) furnished an SEC Form 6-K — earnings release. Exhibit 99.1 ETORO REPORTS SECOND QUARTER 2026 RESULTS Net Contribution grew by 9% year-over-year to $229 million Funded accounts grew by 18% year-over-year to 4.28 million Announced agreement to acquire TradeZero New York – August 11 th , 2026 – etoro Group Ltd. (“etoro”, or the
How this was made
The 30-second read
Why it matters
The earnings beat and strategic acquisition provide a clear catalyst for short‑term price appreciation, while expanding eToro's US footprint and product suite.
Market read
Strong earnings and a strategic acquisition make ETOR a notable mover in the fintech space.
What to watch
Potential regulatory scrutiny of on‑chain perpetual futures and crypto self‑custody offerings.
Net Contribution grew by 9% year-over-year to $229 million; net income (GAAP) increased by 77% year over year to $53 million; Funded Accounts grew by 18% year-over-year to 4.28 million.
Net Contribution, funded accounts, GAAP net income, adjusted net income and adjusted EBITDA all increased year over year, led primarily by increased equities trading activity. July activity data showed lower assets under administration, crypto trading volumes and invested amounts per trade year over year.
Key metrics
as reported| Metric | Value | q/q | y/y |
|---|---|---|---|
| Net Contributionnon-GAAP | $229 million | – | 9% |
| Total revenue and incomeother | 1,593,118 U.S. dollars in thousands | – | – |
| Income before taxes on incomeother | 63,497 U.S. dollars in thousands | – | – |
| Net incomeGAAP | $53 million | – | 77% |
| Net incomeGAAP | 53,480 U.S. dollars in thousands | – | – |
| Adjusted Net Incomenon-GAAP | $63 million | – | 17% |
| Adjusted EBITDAnon-GAAP | $78 million | – | 9% |
| Diluted EPSGAAP | $0.58 | – | – |
| Adjusted Diluted EPSnon-GAAP | $0.68 | – | – |
| Basic net income per shareGAAP | 0.65 U.S. dollars per share | – | – |
| Funded Accountsother | 4.28 million | – | 18% |
| Assets under Administrationother | $19.2 billion | – | 10% |
| Total costsother | 1,529,621 U.S. dollars in thousands | – | – |
| Taxes on incomeother | 10,017 U.S. dollars in thousands | – | – |
| Total comprehensive incomeother | 55,432 U.S. dollars in thousands | – | – |
| Net cash provided by operating activitiesother | 38,786 U.S. dollars in thousands | – | – |
| Net cash used in investing activitiesother | (58,521) U.S. dollars in thousands | – | – |
| Net cash provided by (used in) financing activitiesother | (81,620) U.S. dollars in thousands | – | – |
| Cash, Cash Equivalents and Short Term Investmentsother | $1.2 billion | – | – |
| Cash and cash equivalents at end of periodother | 945,916 U.S. dollars in thousands | – | – |
| Total Assetsother | 1,818,195 U.S. dollars in thousands | – | – |
| Total liabilities and equityother | 1,818,195 U.S. dollars in thousands | – | – |
| Six months ended June 30 Net incomeGAAP | 135,884 U.S. dollars in thousands | – | – |
| Six months ended June 30 Adjusted EBITDAnon-GAAP | 186,634 U.S. dollars in thousands | – | – |
| Six months ended June 30 Adjusted net incomenon-GAAP | 148,406 U.S. dollars in thousands | – | – |
| Six months ended June 30 diluted net income per shareGAAP | 1.46 U.S. dollars per share | – | – |
| Six months ended June 30 Diluted Non-GAAP EPSnon-GAAP | 1.60 U.S. dollars per share | – | – |
| Six months ended June 30 net cash provided by operating activitiesother | 143,182 U.S. dollars in thousands | – | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| Net trading income from equities, commodities and currenciesNet Contribution was driven primarily by increased equities trading activity. | 141,593 U.S. dollars in thousands | – | – |
| Revenue from cryptoassetsNo segment-specific driver was provided. | 1,346,405 U.S. dollars in thousands | – | – |
| Net trading income (loss) from cryptoassets derivativesNo segment-specific driver was provided. | 19,707 U.S. dollars in thousands | – | – |
| Net interest income from usersNo segment-specific driver was provided. | 48,455 U.S. dollars in thousands | – | – |
| Currency conversion and other incomeNo segment-specific driver was provided. | 28,063 U.S. dollars in thousands | – | – |
| Other interest incomeNo segment-specific driver was provided. | 8,895 U.S. dollars in thousands | – | – |
1H 2027 outlook
- NoteAcquisition of TradeZero, a leading US based online brokerage serving active traders which we expected to be consumed in 1H 2027.
Capital returns
- Purchase of treasury shares: (88,006) U.S. dollars in thousands for the three months ended June 30, 2026.
- Purchase of treasury shares: (189,108) U.S. dollars in thousands for the six months ended June 30, 2026.
- Treasury shares: (252,163) U.S. dollars in thousands as of June 30, 2026, compared with (62,085) U.S. dollars in thousands as of December 31, 2025.
What drove it
- Net Contribution increased by 9% year-over-year to $229 million, driven primarily by increased equities trading activity.
- Funded Accounts increased 18% year over year to 4.28 million, driven primarily by strength in user acquisition and retention efforts.
- Management cited strength in equity trading and Copy Trading activity.
- The savings offering continued to gain momentum, with a 15x year-over-year increase in UK Cash ISA AuM.
- The number of etoro money cards issued across Europe increased by more than 30% quarter-over-quarter.
- The Company completed the acquisitions of Zengo and Bit2C in Q2 and announced the acquisition of TradeZero.
Concerns
- Total revenue and income was 1,593,118 U.S. dollars in thousands in Q2 2026, compared with 2,094,235 U.S. dollars in thousands in Q2 2025.
- July 2026 Assets under Administration were $18.5 billion, down 5% year-over-year.
- July 2026 crypto total number of trades was 1.4 million, down 73% year-over-year, and invested amount per trade was $182, down 50% year-over-year.
- July 2026 capital markets/ECC invested amount per trade was $207, down 23% year-over-year.
- Q2 net cash provided by operating activities was 38,786 U.S. dollars in thousands, compared with 55,895 U.S. dollars in thousands in Q2 2025.
What to watch
- TradeZero acquisition, which the Company expected to be consumed in 1H 2027.
- July capital markets/ECC total number of trades of 48.5 million, flat year-over-year, and invested amount per trade of $207, down 23% year-over-year.
- July crypto total number of trades of 1.4 million, down 73% year-over-year.
- July Interest Earning Assets of $6.8 billion, down 8% year-over-year.
- July Total Money Transfers of $1.1 billion, up 10% year-over-year.
- Execution of the new mobile app, Tori AI agent ecosystem, etoro edge, Agent Portfolios, sub-accounts, and the US Smart Portfolios launch enabled by the US RIA license.
Balance sheet and cash flow
- Cash and cash equivalents: 945,916 U.S. dollars in thousands as of June 30, 2026, compared with 1,072,641 U.S. dollars in thousands as of December 31, 2025.
- Short-term investment: 267,315 U.S. dollars in thousands as of June 30, 2026, compared with 202,688 U.S. dollars in thousands as of December 31, 2025.
- Total Assets: 1,818,195 U.S. dollars in thousands as of June 30, 2026, compared with 1,791,347 U.S. dollars in thousands as of December 31, 2025.
- Short Term Liabilities: 9,701 U.S. dollars in thousands as of June 30, 2026, compared with 8,994 U.S. dollars in thousands as of December 31, 2025.
- Current maturities of long-term lease liabilities: 6,540 U.S. dollars in thousands as of June 30, 2026, compared with 5,978 U.S. dollars in thousands as of December 31, 2025.
- Long-term lease liabilities: 28,465 U.S. dollars in thousands as of June 30, 2026, compared with 48,485 U.S. dollars in thousands as of December 31, 2025.
- Net cash provided by operating activities: 38,786 U.S. dollars in thousands for the three months ended June 30, 2026, compared with 55,895 U.S. dollars in thousands for the three months ended June 30, 2025.
- Business combination: (15,551) U.S. dollars in thousands for the three months ended June 30, 2026.
- Increase (decrease) in cash and cash equivalents: (101,487) U.S. dollars in thousands for the three months ended June 30, 2026, compared with 322,749 U.S. dollars in thousands for the three months ended June 30, 2025.
Analysis
eToro reported a profitable Q2 2026 with Net Contribution of $229 million, up 9% year over year, alongside GAAP net income of $53 million, up 77%, and adjusted net income of $63 million, up 17%. Adjusted EBITDA was $78 million, up 9%. The company attributed Net Contribution growth primarily to increased equities trading activity, while management also cited strength in Copy Trading activity.
User metrics remained positive for the reported quarter. Funded Accounts rose 18% year over year to 4.28 million and Assets under Administration grew 10% to $19.2 billion. Management said user acquisition and retention efforts drove funded-account growth. It also described cross-asset behavior, stating that more than 60% of users who traded commodities during Q4 2025 to Q1 2026 subsequently traded equities in Q2 2026, and nearly nine in ten of those users also traded crypto on eToro.
The reported income statement shows total revenue and income of 1,593,118 U.S. dollars in thousands, versus 2,094,235 U.S. dollars in thousands in Q2 2025, while cost of revenue from cryptoassets was 1,353,601 U.S. dollars in thousands. Net trading income from equities, commodities and currencies increased to 141,593 U.S. dollars in thousands from 114,042 U.S. dollars in thousands. Operating cash flow was 38,786 U.S. dollars in thousands, below 55,895 U.S. dollars in thousands in the prior-year quarter, and the company used (88,006) U.S. dollars in thousands for treasury-share purchases during Q2.
The July KPI update presented a more mixed activity backdrop. AUA was $18.5 billion, down 5% year over year, while Funded Accounts reached 4.32 million, up 18%. Capital markets/ECC trades were flat year over year at 48.5 million but invested amount per trade declined 23% to $207. Crypto trades fell 73% to 1.4 million and invested amount per trade fell 50% to $182. Interest Earning Assets were $6.8 billion, down 8%, while Total Money Transfers rose 10% to $1.1 billion.
Capital allocation centered on acquisitions and repurchases. eToro completed the Zengo and Bit2C acquisitions in Q2 and announced an agreement to acquire TradeZero, which it expected to be consumed in 1H 2027. The company characterized TradeZero as financially accretive and as strengthening its US presence and active-trader capabilities. Cash, cash equivalents and short-term investments were $1.2 billion as of June 30, 2026. No financial outlook for revenue, margins, expenses, or tax rate was provided.
Management, verbatim
We delivered another strong quarter as we continue executing against our long-term strategy.
Yoni Assia, Co-Founder and CEO of etoro
We are very pleased with our second quarter 2026 results, supported by strength in equity trading and Copy Trading activity, reflecting the resilience of our multi-asset platform.
Meron Shani, etoro CFO
Not in the filing
stated, not guessed- Gross margin was not reported.
- Operating income was not reported.
- Free cash flow was not reported.
- Debt was not reported.
- Quarter-over-quarter comparisons for reported operating metrics were not provided.
- Formal financial guidance for revenue, gross margin, operating expenses, and tax rate was not provided.
- A prior earnings-release outlook was not provided, so no comparison with prior guidance is available.
AlphaAI analysis generated from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was cross-checked against the filing text; consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.
Background
eToro Group Ltd. filed a Form 6‑K reporting its Q2 2026 results and the acquisition of TradeZero, a US‑based brokerage.
Ticker impact
Q2 2026 earnings released with net contribution up 9% YoY, net income up 77%, and announcement of TradeZero acquisition.
Potential upside of 5‑10% in the near term as investors price in higher earnings and growth from the TradeZero deal.
Both top‑line and bottom‑line metrics exceeded prior year, and the acquisition adds a complementary US broker, enhancing growth prospects.
Market effects
Positive signal for the online brokerage and fintech sector, especially firms with crypto and AI capabilities.
Strengthens US fintech exposure; may lift peer valuations in North America.
Highlights continued growth of digital asset platforms worldwide.
Counterpoint
If integration costs of TradeZero exceed expectations, earnings momentum could stall.
Key entities
- companyeToro Group Ltd.
NASDAQ‑listed fintech platform reporting Q2 2026 earnings.
- companyTradeZero
US online brokerage acquired to strengthen active‑trader capabilities.
