(Reuters) - Brokerage Robinhood reported a third-quarter profit on Wednesday, driven by robust equities and crypto trading volumes.
The company's profit was $150 million, or 17 cents per share, in the three months ended Sept. 30, compared with a loss of $85 million, or 9 cents per share, a year earlier.
The online commission-free brokerage saw a surge in trading volumes as heightened market activity and volatility sent mom-and-pop investors into the retail trading platform.
Its equity trading volumes surged 51% in July and 61% in August, compared with a year earlier.
Shares of the company fell 14% after the bell.
Meanwhile, the crypto markets have got a shot in the arm this year after the U.S. securities regulator approved exchange-traded funds to track spot prices of bitcoin and ether, boosting sentiment towards the industry.
That led to Robinhood's crypto trading volumes soaring 56% in July and 145% in August from a year earlier.
Robinhood's transaction-based revenue surged 72% to $319 million in the quarter.
(Reporting by Arasu Kannagi Basil in Bengaluru; Editing by Maju Samuel)