Robinhood has announced that it will be cutting 10% of its workforce in an effort to flatten its structure and maximize talent density. The move affects approximately 290 employees, based on the company's roughly 2,900 full-time headcount at the end of 2025.
In a memo to employees, CEO Vlad Tenev stated that the decision was not driven by financial weakness, but rather by a push to avoid becoming a heavily layered organization as Robinhood scales. The company reported record revenue of $4.5 billion in 2025 and first-quarter 2026 revenue rose 15% from a year earlier to $1.07 billion.
The restructuring charges are expected to total around $28 million in the second quarter, tied to severance, benefits, and share-based compensation. Despite this move, Robinhood will continue hiring strategically and investing in top talent and frontier technologies as it expands beyond stock and crypto trading into futures, index options, and other financial products.