Vlad Tenev, CEO and co-founder Robinhood Markets, Inc., is displayed on a display throughout his firm’s IPO on the Nasdaq Market web site in Occasions Sq. in New York Metropolis, U.S., July 29, 2021.Brendan McDermid | ReutersRobinhood CEO Vlad Tenev stated Wednesday that the retail brokerage will not be seeking to be acquired regardless of saying main layoffs after one other quarter of shrinking lively customers. “In a single phrase: No,” Tenev stated on an investor name when requested about doubtlessly being purchased by one other agency. “I believe we’re in an awesome place as a stand-alone firm. I like us as a stand-alone firm.” In Might, FTX CEO Sam Bankman-Fried revealed a stake in Robinhood, spurring hypothesis a couple of potential takeover bid from the crypto-focused brokerage. Bankman-Fried has since stated FTX will not be seeking to purchase Robinhood outright. Tenev did say that Robinhood was looking out for potential acquisitions of its personal. The corporate reported $6 billion in money on its steadiness sheet on the finish of the quarter. “We truly see alternatives, notably on this market atmosphere, to leverage the steadiness sheet that we have now … to amass corporations that speed up our roadmap,” Tenev stated. The Robinhood investor name got here a day after the corporate introduced it was shedding 23% of its workforce. The corporate additionally reported a smaller-than-expected loss for the second quarter, however month-to-month lively customers declined and income was down greater than 40% 12 months over 12 months. Shares of Robinhood rose 11.7% on Wednesday following the layoff announcement. A number of Wall Avenue analysts stated the corporate’s cost-cutting efforts may very well be a lift to the inventory. Robinhood reduce its full-year expense steering by roughly $290 million, which incorporates about $70 million decline in anticipated share-based compensation. Tenev stated that the corporate plans to have optimistic adjusted EBITDA — a measure of profitability that excludes sure prices equivalent to curiosity and taxes — by the tip of the 12 months. The corporate pointed to fee hikes from the Federal Reserve as a income progress within the type of curiosity. CFO Jason Warnick estimated that each one-quarter of a share level fee hike interprets into about $40 million of annualized income for Robinhood. “The exact advantage of fee hikes will rely on how balances and buyer charges differ over time,” Warnick stated. The CFO additionally stated Robinhood’s belongings beneath custody rose again above $70 billion in July after declining within the second quarter.Regardless of Wednesday’s rally, Robinhood’s inventory continues to be down almost 42% for the 12 months and greater than 70% from the place its IPO was priced final 12 months.