eToro Group (NASDAQ:ETOR) outlined a “defining year” in 2025 on its fourth-quarter earnings call, highlighting its transition to a publicly traded company, expanded product localization, and an “AI-first” approach to development and operations. Management also emphasized the durability of its diversified, multi-asset model during a softer crypto trading environment, pointing to strength in commodities and capital markets activity.
2025 performance and fourth-quarter results
CEO Yoni Assia said the company delivered growth across key performance indicators while making progress toward what he described as a “financial super app.” For 2025, eToro reported net contribution of $868 million, up 10% year over year, and adjusted EBITDA of $317 million, up 4%. In the fourth quarter, net contribution rose 6% sequentially to $227 million, while adjusted EBITDA increased 11% quarter over quarter to $87 million, producing a 38% adjusted EBITDA margin.
Business line mix: capital markets strength offsets crypto decline
Shani broke out fourth-quarter contribution by business line, describing a rotation in customer activity between crypto and traditional assets. Net trading contribution from capital markets (equities, commodities, and currencies) rose 43% year over year to $116 million, driven by performance in commodities. Net trading contribution from crypto fell 72% year over year to $26 million, which management attributed to the prior-year crypto tailwinds and weaker activity in November and December, including lower invested amount per trade.
Net interest income was $59 million, up 18% year over year, supported by a 29% increase in higher interest-earning assets tied to customer cash deposits, the margin book, staking, and corporate cash, despite what Shani called a “moderating interest rate environment.” eToro Money contributed $23 million, down 6% year over year, which management linked to higher crypto cash redemptions in 2024.
In response to a question on commodities volatility, Assia said the company saw “very high volumes” and strong engagement in October and again in January amid volatility in gold and other commodities. Elsewhere, management said January KPIs improved versus November and December, largely due to equities and commodities strength. The company reported January AUA of $18.4 billion and funded accounts of 3.85 million, both up year over year.
Product roadmap: 24/7 trading, expanded crypto, smart portfolios, and wallets
Assia framed eToro’s strategy around four pillars—trading, investing, wealth management, and neobanking—while repeatedly emphasizing the company’s push toward more continuous market access.
- Trading and market access: eToro said it now offers 24/5 trading across all S&P 500 and NASDAQ 100 stocks, which management said helped double total stock trading volume over the past two years. The company also said it will introduce around-the-clock access to a selection of popular assets this quarter, with plans to expand 24/7 trading across additional asset classes.
- Crypto breadth: eToro said it surpassed 150 supported crypto assets in Q4 and plans to expand to more than 300 in the near term. In the U.S., it broadened the offering in 2025 to over 100 crypto coins and enhanced staking. Management stated a longer-term goal of supporting more than 100,000 tradable assets across equities and crypto by the end of 2026.
- Investing and Smart Portfolios: eToro said it provides access to 25 exchanges and more than 12,000 assets, after adding Hong Kong, Nordic, and Middle East stock exchanges in 2025. It launched two new Smart Portfolios with Amundi and highlighted partnerships it said were established with Franklin Templeton, BlackRock, and WisdomTree. The company said it now has more than 127 Smart Portfolios.
- Wealth management: eToro discussed growth in long-term, tax-advantaged savings products in Australia, the U.K., and France. In the U.K., Assia said ISA assets under administration in Q4 increased sevenfold year over year.
- Neobanking and eToro Money: Assia said eToro Money is fully integrated into the platform and that total money transfers increased 29% year over year, while debit card transaction volume rose 650% from Q4 2024 to Q4 2025. The company is also rolling out a non-custodial crypto wallet intended to bridge traditional and decentralized finance, including the ability to access decentralized markets such as swaps across “100,000 different assets,” according to Assia.
AI-first approach and app store plans
Assia said eToro is now an “AI-first company,” asserting that AI is embedded across operations to accelerate product development and improve efficiency. He described “Tori,” the company’s AI analyst, as a tool that helps users interpret markets and assess portfolio performance and risk.
Management also discussed an upcoming app store and a pipeline of nearly 1,000 apps. In Q&A, Assia said roughly 1,000 apps have been developed by about 800 popular investors from the company’s Pro Investor program, and the company began publishing these apps, embedding them into its product experience. He described a plan to build a subscription model around these tools and said the company expects AI advancements to contribute to more automated and algorithmic trading activity over time.
Capital return, cost outlook, and growth investments
On expenses, Shani said fourth-quarter adjusted operating expenses were $140 million, including adjusted selling and marketing expense of $46 million, or 20% of net contribution. He highlighted cohort-based ROI metrics, stating the 2024 cohort had achieved a 1.8x return on investment and the 2020 cohort a 5.6x return, adding that cohorts continue generating revenue after eight years. Based on those returns, management said it plans to increase sales and marketing investment from 21% to 25% of net contribution gradually through 2026, emphasizing flexibility to adjust based on conditions.
When asked about 2026 operating expense outlook outside marketing, Shani said the company does not publish guidance, but expects R&D and G&A to remain roughly at current levels with only minor percentage growth. Assia also pointed to AI as a lever to scale the business without scaling expenses, and mentioned a headcount adjustment made about a month prior.
On the balance sheet, eToro ended the quarter with $1.3 billion in cash, cash equivalents, and short-term investments and generated $42 million in free cash flow from operations. Shani said the company has no “material exposure” to crypto or commodities on the balance sheet. During the quarter, eToro repurchased 1.5 million shares for $59.5 million and announced an additional $100 million authorization, bringing total buyback authorization to $250 million, with $100 million deployed to date.
Management also discussed M&A, with Assia saying the company expects to see “several M&A deals” in 2026 and has been in discussions with targets since the IPO, focusing on selective, accretive opportunities across crypto, the U.S., global markets, and brokerage and wealth management.
About eToro Group (NASDAQ:ETOR)
eToro Group Ltd. (NASDAQ: ETOR) is a global multi-asset brokerage company known for its social trading platform. The company enables individual and institutional investors to trade and invest in a broad range of financial instruments, including stocks, exchange-traded funds (ETFs), commodities, indices, forex, and cryptocurrencies. eToro’s platform integrates a user-friendly interface with advanced trading tools, catering to both novice and experienced market participants.
A distinguishing feature of eToro’s offering is its CopyTrader™ functionality, which allows users to replicate the trades of selected investors on the platform.
