eToro Hits $82M Net Income as Commodities Trading Overtakes Crypto Revenue

eToro made $82 million in net income during Q1 2026. That’s 37% more than the same quarter last year. The numbers came out this week, and they tell a pretty clear story: traders moved their money out of crypto and into commodities.

Net contribution hit $258 million, up 19% year-over-year. Funded accounts climbed to 4.02 million. Assets under administration grew 15% to $17 billion. The platform’s adjusted EBITDA reached $109 million, while adjusted diluted earnings per share rose from $0.77 to $0.91.

Commodities Grab 60% of Commission Revenue

Here’s where things get interesting. Commodities accounted for 60% of trading commissions in Q1 2026. Back in Q2 2025, that figure sat at just 16%. CEO Yoni Assia said the team did well this quarter, pointing to the new eToro App Store, AI-powered Agent Portfolios, and a tie-up with xAI. But the real driver was commodities. Volumes nearly quadrupled compared to last year, reshaping the entire revenue mix.

Trading income from equities, commodities, and currencies jumped 71% year-over-year to $166 million. Capital markets trade activity soared 81% to 243 million trades in Q1 2026. Users basically shifted their focus. Crypto trades fell to 10 million from 20 million the previous year. That’s a 50% drop. And it’s not subtle—traders saw better opportunities elsewhere and moved fast.

eToro expanded trading hours for select commodities, equities, and indices during the quarter. The company also rolled out the eToro Money card across Europe, and new card issuances went up sharply. These moves gave users more flexibility and more reasons to stay active on the platform.

BitLicense and Japanese Equities Broaden Reach

eToro secured a New York BitLicense in Q1. That means crypto trading is now available in New York, a market that’s been tough to crack for years. The platform also added Japanese equities, bringing its total exchange coverage to 26 markets. More markets mean more options for traders, and eToro seems to be betting that variety keeps people engaged.

The company launched its App Store for third-party developers this quarter. It’s a platform for building tools that plug into eToro’s ecosystem. The goal is pretty clear: let developers create new features, and users get more ways to trade. eToro also integrated xAI’s Grok 4.2 sentiment data into Tori, its AI assistant. Sentiment analysis isn’t new, but pairing it with an AI assistant that talks to users in real time is a different play.

Agent Portfolios, another new product, lets users automate trading strategies. It’s part of eToro’s push into AI-driven features. The company thinks traders want tools that work without constant babysitting, and these portfolios fit that bill.

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On April 30, eToro closed its acquisition of Zengo. Zengo brings a self-custodial wallet with over two million users. That’s a big addition. Self-custody has been a hot topic in crypto for years, and now eToro has a wallet product that doesn’t require users to trust the platform with their keys. Zengo also has capabilities in prediction markets and perpetuals, which could open up new revenue streams down the line.

eToro spent $101 million on share buybacks during the quarter. The company expanded its buyback program in February, and it’s clear management thinks the stock is undervalued. Cash and short-term investments stood at $1.3 billion at the end of Q1. That’s a strong cushion for more acquisitions or product launches.

How eToro Stacks Up Against Rivals

Other retail brokers posted mixed results for Q1. Plus500 saw revenue hit $242 million, up 18% year-over-year, and raised its full-year outlook. XTB, listed in Warsaw, added 370,000 new clients and saw operating revenue jump 88.5% to roughly $301 million. Robinhood’s Q1 revenue rose 15% to $1.07 billion, but crypto revenue tanked 47% to $134 million. Interactive Brokers added 31% more accounts, though trading activity slowed in March.

eToro’s 37% net income growth puts it near the top of the pack. The commodities surge helped, but so did the broader shift toward capital markets. Crypto’s decline didn’t wreck the quarter because traders found other places to put their money. That flexibility matters. When one asset class cools off, platforms that offer alternatives keep revenue flowing.

The company’s focus on AI and automation sets it apart from some competitors. Agent Portfolios and the integration of Grok sentiment data into Tori show eToro is betting on technology to keep users engaged. Whether that pays off long-term is unclear, but the early numbers look solid.

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eToro’s cash reserves give it room to keep experimenting. The Zengo acquisition is just one example. With $1.3 billion on hand, the company can buy more tech, launch more products, or expand into new markets without sweating the budget. The share buyback shows confidence, but it also signals management thinks growth will continue.

The commodities boom won’t last forever. Prices fluctuate, and trader interest shifts. But for now, eToro rode the wave and came out ahead. The platform’s ability to pivot from crypto to commodities without missing a beat is probably the biggest takeaway from this quarter.