Wealthfront Q1 Revenue Rises 7% to $90.5M, Assets Hit $96.6B
WLTH•Wealthfront posted Q1 revenue of $90.5 million, up 7% year-over-year, with record Total Platform Assets of $96.6 billion, up 19% driven by a 39% rise in Investment Advisory Assets to $51.7 billion. The company repurchased 3+ million shares for $27 million and delivered $42.7 million in adjusted free cash flow.
1. Strong Revenue and Asset Growth
Wealthfront generated $90.5 million in Q1 revenue, a 7% increase from the prior year, while Total Platform Assets climbed 19% to a record $96.6 billion. This growth reflects expanding client adoption and higher asset inflows across its product suite.
2. Advisory vs Cash Management Assets
Investment Advisory Assets surged 39% year-over-year to $51.7 billion, outpacing Cash Management Assets, which grew 3% to $44.9 billion. Total net deposits contributed $0.6 billion to asset growth during the quarter.
3. Share Repurchase and Cash Flow
The company executed its inaugural share repurchase program, buying back over 3 million shares at an average price of $8.66 for a total of $27 million. Adjusted free cash flow reached $42.7 million, supporting ongoing investments.
4. Profitability and Expense Drivers
GAAP net income fell 51% to $12.8 million, with diluted EPS of $0.07 and a net income margin of 14%, down from 31%. Higher stock-based compensation and increased product development expenses drove the year-over-year profit decline.
