Webull (BULL) Q3 2025: 55% Revenue Surge Driven by Crypto Relaunch and Global Product Expansion
Webull’s Q3 saw a 55% revenue jump, propelled by a revitalized crypto offering, prediction markets, and international traction. The business is executing on product and geographic expansion while maintaining cost discipline, resulting in substantial operating leverage and a step-change in profitability. With AI-powered Vega, new B2B partnerships, and a broadening global user base, Webull is positioning itself as a diversified, mobile-first investment platform with growing wallet share and engagement.
Summary
- Product-Led Growth: Crypto relaunch and prediction markets are reactivating dormant users and drawing new segments.
- Margin Expansion: Operating discipline and higher trading volumes are driving profitability well ahead of expense growth.
- International Scale: Non-US funded accounts now match US pace, signaling global user acquisition inflection.
Performance Analysis
Webull delivered top-line revenue of $156.9 million, up 55% year-over-year, as product innovation and favorable market conditions combined to drive record results across nearly every metric. Customer assets under management (AUM) hit an all-time high of $21.2 billion, boosted by a $1.2 billion lift from the Webull Pay acquisition and strong organic deposit activity. Equity trading volume surged 71% YoY and 26.7% sequentially, reaching $204 billion, reflecting both increased engagement and effective user reactivation through new offerings.
Operating leverage was a standout, with adjusted expenses rising just 13% YoY, primarily from higher brokerage and transaction costs tied to volume and select G&A investments. The result was a substantial 28.7 percentage point improvement in adjusted operating margin to 23.4%, marking the fourth consecutive quarter of profitability. Adjusted net income reached $32.9 million, and net profit margin improved to 20.9%, underscoring the company’s ability to convert revenue growth into bottom-line gains.
- Trading-Driven Revenue Acceleration: Trading-related revenues rose 64% YoY, outpacing contract growth as option monetization improved.
- Interest Income Tailwind: Interest-related income climbed 32% YoY, reflecting higher client and corporate balances, margin lending, and stock lending.
- Cost Structure Discipline: Lower marketing spend and a shift to asset-matching promotions improved ROI and expense predictability.
Growth was broad-based, with 1 million new registered users in the quarter (now 25.9 million total) and 200,000 new funded accounts (up 9% YoY). Quarterly retention remained robust at 97.7%, and over half of new funded accounts traded crypto as their first activity, highlighting the appeal of product innovation to a digitally native demographic.
Executive Commentary
"Webull is exceptionally well positioned to continue to capitalize on the global consumer shift towards mobile-first trading... This quarter marks significant milestones in product diversification and geographic expansion as we continue to see high growth across our platform on the heels of our public listing."
Anthony Denier, Group President and U.S. CEO
"We continue to take a disciplined approach to balancing execution costs and operating efficiency as we continue to scale the business. And we are pleased with our continued margin expansion and profitability."
H.C. Wang, Group CFO
Strategic Positioning
1. Crypto and Prediction Markets as User Growth Engines
The relaunch of crypto trading and the introduction of sports prediction markets are proving to be powerful catalysts for both new user acquisition and re-engagement of dormant accounts. Over 50% of new funded accounts initiated with crypto trades, and sports prediction contracts more than doubled month-over-month, signaling strong product-market fit and engagement. These offerings are expanding Webull’s total addressable market (TAM), especially among younger, digitally native investors.
2. International Momentum and B2B Expansion
Non-US growth is now a major contributor, with over 700,000 funded accounts outside the US and new markets like Canada, Australia, and Thailand scaling rapidly. The launch in the Netherlands and a strategic B2B partnership with Merits in South Korea mark the start of a new B2B business line, providing institutional access to US markets and diversifying revenue streams. These B2B flows are expected to bolster transaction volumes, even if US retail trading softens.
3. AI and Premium Offerings Deepen Engagement
The launch of Vega, an in-house AI-powered trading assistant, is driving tens of millions of user engagements and is designed to provide actionable insights, risk analysis, and portfolio advice. This innovation supports both user retention and wallet share expansion. Meanwhile, Webull Premium, the subscription service for active traders, grew 20% QoQ to 90,000 subscribers, with the introduction of corporate bonds further broadening the platform’s appeal to sophisticated investors.
Key Considerations
Webull’s Q3 underscores a strategy anchored in diversified product innovation, international expansion, and disciplined operating execution. The business is leveraging favorable market conditions and new products to accelerate growth and profitability, while setting the stage for future global scale.
Key Considerations:
- Crypto Relaunch Catalyzes Growth: The return of crypto trading is driving both new account creation and reactivation of legacy users, with plans to expand token listings and enhance the trading experience.
- Prediction Markets Unlock New TAM: Sports and event-based trading are bringing in new users and boosting engagement, with monetization through commissions and exchange rebates.
- International Funded Accounts Surpass Domestic Growth: Non-US funded account growth now matches US pace, and is expected to outpace US as new brokerages mature.
- Expense Management Drives Operating Leverage: Marketing spend is being optimized via asset-matching promotions, aligning cost with longer-term asset retention and ROI.
- AI and Premium Products Enhance Stickiness: Vega and Webull Premium are deepening user engagement and are key to wallet share expansion and retention.
Risks
Webull’s rapid global expansion introduces regulatory complexity and execution risk, particularly as it launches new products in diverse jurisdictions. Competition in crypto and digital brokerage remains intense, with pricing pressure and customer acquisition costs potentially rising. Market volatility, while a near-term tailwind, could also expose the business to cyclical swings in trading activity and user engagement.
Forward Outlook
For Q4 2025, Webull management indicated:
- October set new records for deposits, trading volumes, and revenues, with momentum expected to continue.
- Inclusion of Webull Pay’s revenues and transaction volumes will begin contributing to consolidated results.
For full-year 2025, management reiterated a focus on:
- Margin discipline and continued investment in product and geographic expansion.
- Reaching 100,000 Webull Premium subscribers and expanding crypto and prediction market offerings.
Management highlighted that international funded account growth and new B2B partnerships will be key drivers, with further product launches planned for 2026.
Takeaways
Q3 2025 marks a pivotal inflection for Webull, as diversified product innovation, international scale, and disciplined execution converge to drive both top-line growth and margin expansion.
- Product Expansion Accelerates User Growth: Crypto and prediction markets are attracting new and returning users, fueling funded account and AUM growth.
- Global Scale and B2B Initiatives Broaden Revenue Base: International brokerages and institutional partnerships are set to drive the next leg of volume and wallet share gains.
- AI and Premium Offerings Anchor Engagement: Vega and Webull Premium are deepening platform stickiness and supporting premium monetization strategies.
Conclusion
Webull’s Q3 2025 performance demonstrates the power of product-led growth and international expansion in the digital brokerage space. With strong operating leverage and a robust innovation pipeline, the company is well positioned to sustain growth and profitability into 2026.
Industry Read-Through
Webull’s results reinforce that product and geographic diversification are now table stakes for digital brokerages. The success of prediction markets and crypto relaunch should prompt competitors to accelerate their own product rollouts and engagement strategies. AI-powered decision tools are quickly becoming a key differentiator in user retention and trading activity, while B2B partnerships offer a new avenue for volume growth beyond retail. International retail demand for US market access remains a potent growth lever, with localized execution critical for global scale. As market volatility persists, platforms able to monetize both active and dormant users through innovative offerings will outperform.