Webull Corporation reported second-quarter 2026 earnings that exceeded analyst expectations, with revenue and profit growth fueled by a surge in trading activity following the elimination of the Pattern Day Trader rule.
The online brokerage posted adjusted operating profit of $62.6 million, up 169% from a year earlier, on total revenue of $198.8 million, a 51% increase year-over-year. Trading-related revenue, which accounts for roughly three-quarters of total revenue, climbed 66% to $147.7 million. Adjusted net income reached $43.2 million, translating to a net profit margin of 21.7%, while the adjusted operating margin stood at 31.3%.
Earnings per share came in at $0.05, beating the $0.04 consensus estimate by 25%. Total revenue of $198.8 million exceeded the $165.7 million forecast by approximately 20%. Daily active revenue trades rose 62% year-over-year to 1.64 million, while equity notional volume reached $279 billion, a 73% increase from the prior year.
Customer assets under management grew 79% year-over-year to $28.5 billion, with institutional assets exceeding $1.4 billion. Funded accounts totaled 5.13 million, an 8% increase from a year earlier, while registered users increased by 13% to 28.2 million. The average customer account size nearly doubled to over $5,500.
Webull’s stock rose 8.95% to $8.64 in regular trading, following the release of results. After-hours trading extended gains to 14.7%, bringing the total increase to 24.9% from the prior close. The company’s shares have traded between $4.50 and $16.04 over the past 52 weeks.
The strong performance was attributed in part to the removal of the Pattern Day Trader rule in June, which Webull’s CEO Anthony Denier described as a permanent change that would not revert. The company also highlighted growth in international markets, including the launch of trading in Spain, Argentina, and Colombia, and the planned acquisition of Pi Securities in Thailand, expected to close by the end of August.
On the technology front, Webull reported that its AI-powered intelligence system, Vega, added 160,000 users in the quarter, bringing total active users to 480,000. The company also integrated its Model Context Protocol server with leading AI models to enable natural-language research and trade execution, reducing analysis time from hours to under 30 seconds in one example cited by Denier.
Adjusted operating expenses increased 26% year-over-year to $136.2 million but declined 6% sequentially from $145.1 million in the first quarter. Interest-related income rose 18% to $42.8 million, while cryptocurrency revenue contributed approximately $2.25 million to total revenue.
