eToro Group (ETOR) investor relations material

Executive summary

• Achieved strong Q2 2026 growth, with net contribution up 9% year-over-year to $229–$229.4 million and adjusted EBITDA up 9% to $78–$78.1 million, reflecting a diversified multi-asset platform and continued user growth.

• Funded accounts rose 18% year-over-year to 4.28 million, and assets under administration increased 10% to $19.2 billion, driven by marketing investment and improved retention.

• Net income (GAAP) increased 77% year-over-year to $53–$53.5 million, supporting continued investment in growth and innovation.

• Announced the planned acquisition of TradeZero for up to $231 million, expected to close in H1 2027, expanding U.S. and Canadian market presence and adding advanced trading capabilities.

• Continued innovation with the launch of a new AI-powered app, Edge trading platform, and expanded investing ecosystem, including Agent Portfolios and sub-accounts.

Financial highlights

• Net contribution reached $229–$229.4 million, up 9% year-over-year; adjusted EBITDA was $78–$78.1 million, also up 9% year-over-year, with a 34% margin.

• Net income for Q2 2026 was $53–$53.5 million, compared to $30.2 million in Q2 2025.

• Adjusted diluted EPS for Q2 2026 was $0.68, up from $0.56 in Q2 2025; basic GAAP EPS was $0.65, up from $0.38.

• Net trading contribution from capital markets, equities, commodities, and currencies grew 25% year-over-year to $142 million, while crypto net contribution declined to $11 million.

• eToro Money contribution grew 44% year-over-year to $26 million, supported by a 92% increase in money transfers.

Outlook and guidance

• Q3 adjusted OpEx expected to be slightly higher than Q2 due to ongoing investment in growth activities, primarily marketing and R&D.

• The TradeZero acquisition is expected to close in H1 2027, with anticipated EPS accretion before synergies.

• Management highlighted ongoing investment in AI-driven platform enhancements, global expansion, and scaling tax-efficient savings products.

• July KPIs: funded accounts up 18% year-over-year to 4.32 million; assets under administration at $18.5 billion, down 5% year-over-year due to crypto price declines.

• Management remains confident in sustainable, profitable growth and long-term shareholder value.