Wealthfront Reports Fiscal First Quarter 2027 Results
Wealthfront reported fiscal Q1 revenue of $90.5 million, up 7% year over year, with record platform assets of $96.6 billion. Net income fell to $12.8 million on higher stock-based compensation.
Wealthfront Corporation (Nasdaq: WLTH) said revenue rose 7% year over year to $90.5 million in its fiscal first quarter ended April 30, 2026, helped by record total platform assets of $96.6 billion, up 19% from a year earlier.
The Palo Alto, California-based fintech said investment advisory assets climbed 39% to $51.7 billion, while cash management assets grew 3% to $44.9 billion. Net deposits totaled $0.6 billion in the quarter. Funded clients rose 15% to 1.46 million and funded accounts increased 15% to 1.90 million.
GAAP net income was $12.8 million, down from $25.9 million in the prior-year quarter, and diluted EPS was $0.07 versus $0.18. The decline reflected higher stock-based compensation expense of $17.1 million, including recognition of dual-trigger stock awards following the company's IPO, compared with $1.9 million a year earlier. Adjusted EBITDA was $37.5 million, down 1%, and adjusted free cash flow was $42.7 million, up 1%.
CEO David Fortunato said product enhancements during the quarter included expanded Wealthfront Home Lending availability, improvements to Cash Management and Investment Advisory, and growing client use of Cash Accounts for direct tax payments. CFO Alan Imberman noted the company launched a cross-product adoption incentive and completed inaugural share repurchases of over 3 million shares at an average price of $8.66, totaling over $27 million in open-market buybacks.
Business highlights
Wealthfront rolled out general availability of Home Lending in Colorado in early April and Texas in early May, saying it aims to offer rates at least 50 basis points below the national average. It also added Cash Category Goals, recurring Cash-to-Category transfers, and one-tap-to-invest functionality to its Stock Investing Account.
The company said the cross-product adoption incentive, which offers a 25 basis point Cash Account APY enhancement for clients who direct deposit at least $1,000 per month and fund an investment account, helped lift asset-weighted cross-product adoption to roughly 62.5% and drove the strongest quarter of new Investment Advisory account openings since the fiscal quarter ended January 31, 2025.
Source: Wealthfront