Gross margins have contracted from 84.7% in 2023Q2 to 73.5% in 2025Q2, reflecting potential shifts in product mix or rising costs of revenue.
| Sales/Revenue | 458.45M | - | - | - | - |
| Revenue Growth % | - | - | - | - | - |
| Cost of Goods Sold | 0 | - | - | - | - |
| COGS % of Revenue | - | - | - | - | - |
| Gross Profit | 357.99M | 442.25M | 310.92M | 323.18M | 328.57M |
| Gross Margin % | 78.09% | 77.45% | 79.68% | 82.95% | 84.61% |
| Gross Profit Growth % | - | 42.24% | -3.79% | -1.64% | - |
| Operating Expenses | 336.81M | 383.77M | 325.28M | 300.2M | 260.01M |
| OpEx % of Revenue | - | 67.21% | 83.36% | 77.05% | 66.96% |
| Selling, General & Admin | 263.09M | 301.36M | 254.77M | 243.37M | 209.74M |
| SG&A % of Revenue | - | 52.78% | 65.29% | 62.47% | 54.01% |
| Research & Development | 0 | - | - | - | - |
| R&D % of Revenue | - | - | - | - | - |
| Other Operating Expenses | 0 | - | - | - | - |
| Operating Income | 21.18M | 58.47M | -14.35M | 22.98M | 68.55M |
| Operating Margin % | 4.62% | 10.24% | -3.68% | 5.9% | 17.65% |
| Operating Income Growth % | - | 507.39% | -162.46% | -66.48% | - |
| EBITDA | 25.16M | 61.71M | -7.68M | 27.66M | 72.06M |
| EBITDA Margin % | 5.49% | 10.81% | -1.97% | 7.1% | 18.56% |
| EBITDA Growth % | 292.25% | 903.09% | -127.78% | -61.62% | - |
| D&A (Non-Cash Add-back) | 5.07M | 3.23M | 6.67M | 4.68M | 3.5M |
| EBIT | 6.34M | 50.66M | -11.93M | 20.18M | 65.69M |
| Net Interest Income | 0 | 148.79M | -122.78K | 0 | 1.41M |
| Interest Income | 0 | 154.26M | 0 | 0 | 1.41M |
| Interest Expense | 0 | 5.46M | 122.78K | 0 | 0 |
| Other Income/Expense | 0 | - | - | - | - |
| Pretax Income | 6.18M | 45.2M | -12.05M | 20.18M | 65.69M |
| Pretax Margin % | 1.35% | 7.92% | -3.09% | 5.18% | 16.91% |
| Income Tax | 23.27M | 20.83M | 13.82M | 16.14M | 32.21M |
| Effective Tax Rate % | 376.45% | 46.09% | -114.71% | 79.99% | 49.04% |
| Net Income | -13.88M | 24.77M | -22.69M | 6.07M | 50.08M |
| Net Margin % | -3.03% | 4.34% | -5.82% | 1.56% | 12.9% |
| Net Income Growth % | 53.96% | 209.15% | -473.91% | -87.88% | - |
| Net Income (Continuing) | -17.09M | 24.37M | -25.87M | 4.04M | 33.47M |
| Discontinued Operations | 1000K | 0 | 2.69M | 1.78M | 16.6M |
| Minority Interest | 999.74K | 187.23K | 1.27M | 660.22K | 0 |
| EPS (Diluted) | -0.03 | -1.23 | -1.13 | -0.73 | -0.00 |
| EPS Growth % | 108.87% | -8.85% | -54.79% | - | - |
| EPS (Basic) | - | -1.23 | -1.13 | -0.73 | -0.00 |
| Diluted Shares Outstanding | 431.39M | 397M | 459.36M | 459.36M | 459.36M |
| Basic Shares Outstanding | 431.39M | 397M | 459.36M | 459.36M | 459.36M |
| Dividend Payout Ratio | - | - | - | - | - |
Operating margin volatility
As reported in the quarterly income statements, Webull's gross margin has experienced a noticeable contraction, falling from a peak of 84.7% in 2023Q2 to 73.5% by 2025Q2, suggesting potential shifts in the underlying cost of revenue or changes in the platform's product mix.
The decline in gross margin suggests that the firm may be facing increased execution costs or a shift toward lower-margin service offerings. Investors should monitor whether this trend reflects structural pricing pressure or temporary promotional activity designed to capture market share.
Based on the provided financial data, Webull's operating margin has fluctuated wildly, swinging from a positive 17.5% in 2025Q1 to a negative 2.8% in 2025Q2, indicating that the company has yet to achieve a stable or predictable level of operating leverage relative to its revenue.
The inability to maintain positive operating margins suggests that SG&A expenses are not scaling efficiently with revenue growth. This volatility implies that the company's cost structure remains heavily dependent on discretionary spending, which may be difficult to control during periods of market uncertainty.
According to the income statement data, Webull consistently records significant stock-based compensation, reaching $27.0 million in 2025Q2 alone, which significantly obscures the firm's true operational profitability and contributes to the wide disparity between reported net income and underlying cash-generating capability.
The reliance on equity-based incentives suggests that the company is prioritizing talent retention at the expense of shareholder dilution. Analysts should adjust for these non-cash charges to determine if the core business can generate sustainable earnings without continuous reliance on stock-based compensation.
While revenue has shown resilience, the company's recent net loss of $28.3 million in 2025Q2, as detailed in the latest filings, raises questions about the long-term viability of its current customer acquisition strategy and the potential for future margin erosion in a competitive brokerage landscape.
Short-term growth appears to be coming at the cost of significant bottom-line deterioration, which may not be sustainable if market conditions tighten. The lack of consistent profitability suggests that the firm's competitive moat may be insufficient to offset the high costs required to maintain its user base.
Quick answers to the most common questions about buying BULLW stock.
Webull Corporation Warrants (BULLW) is profitable, generating $24.8M in net income for the fiscal year ending 2025 with a net profit margin of 4.3%.
Webull Corporation Warrants (BULLW) reported an operating income of $58.5M, resulting in an operating profit margin of 10.2%. This margin reflects the operational efficiency of the business before interest and taxes.
Webull Corporation Warrants (BULLW) generated $442.2M in gross profit for the year, representing a gross profit margin of 77.5%. This demonstrates the company's core pricing power and production efficiency.