eToro Profit Falls 74 Percent as Crypto Trading Cools in Third Quarter
Net income dropped to $15 million as crypto revenue fell sharply, while funded accounts rose 18 percent and the board approved a $250 million buyback.
Key points
- eToro Group Ltd reported net income of $15 million for the third quarter of 2026, down 74 percent from $57 million a year earlier.
- The company trades on Nasdaq under the ticker ETOR.
- Net contribution fell 13 percent to $186 million, from $215 million a year earlier.
eToro Group Ltd reported net income of $15 million for the third quarter of 2026, down 74 percent from $57 million a year earlier. Weaker crypto trading weighed on earnings through the quarter.
The company trades on Nasdaq under the ticker ETOR. Its results show a clear split. Crypto activity fell sharply, while parts of the wider business held up better.
Contribution and earnings fall
Net contribution fell 13 percent to $186 million, from $215 million a year earlier. The company linked the drop mainly to reduced crypto trading activity.
Adjusted EBITDA fell 56 percent to $34 million, from $78 million a year earlier. Diluted GAAP earnings per share were $0.14, compared with $0.53 a year earlier.
The fall in profit was larger than the fall in net contribution. That gap reflects how closely earnings remain tied to crypto volumes on the platform.
Crypto revenue drops sharply
Revenue from crypto assets dropped to $1.35 billion, from $3.97 billion a year earlier. The cost of crypto asset revenue was $1.29 billion, compared with $3.89 billion in the same period of 2025.
Both sides of that trade moved down together. Revenue fell as trading cooled, and costs fell with lower activity. The smaller revenue figure still left far less room for profit than a year earlier.
October data pointed in the same direction. Crypto trades on eToro fell 62 percent year over year to 2 million in October. The average invested amount per crypto trade fell 29 percent to $228.
Total trades across capital markets in October were 48.2 million, down 22 percent year over year. The October numbers show the slowdown continued after the third quarter ended on September 30.
Accounts grow, assets stay flat
eToro ended September with 4.39 million funded accounts, up 18 percent year over year. Growth in funded accounts came even as trading activity fell.
Assets under administration were unchanged at $20.8 billion. That flat figure sits next to the rise in accounts. More accounts held funds, but the total value under administration did not grow over the year.
Capital markets was a brighter area. Net contribution from capital markets increased 21 percent year over year. The company did not give the same level of decline there that it reported for crypto.
Buyback approved by the board
The board approved a $250 million share buyback program. Purchases under the program are subject to market conditions and the company's liquidity requirements.
The buyback sits alongside the weaker earnings report. The company set out the size of the program and the conditions attached to it, without tying purchases to a fixed schedule in the release.
For investors, the quarter leaves a mixed picture. Funded accounts rose, capital markets contribution rose, and assets under administration held steady. Profit, contribution and adjusted EBITDA all fell, and crypto revenue fell by a wide margin.
The next question is whether trading activity recovers. October trading stayed well below year earlier levels, so the start of the fourth quarter showed no quick return to the pace of 2025.