Webull reported strong growth in the first quarter of 2026,with revenue reaching $159.9 million in the first quarter, up 36%year-over-year. The increase was supported by higher trading activity andrising client assets, even as increased spending led to a net loss. The online brokerage said demand from active tradersremained firm despite a challenging market environment, helping lift revenueand platform engagement.Trading Activity Drives GrowthTrading-related income accounted for most of theincrease, as users executed more equity and options trades. Equity notional volume rose 104% from a year earlier to $261billion. Options trading also increased, with contract volume up 31% to 159million. Daily average revenue trades climbed 42% to 1.3 million.Client assets grew to $24 billion, marking a 90% increaseyear-over-year. Net deposits rose at a similar pace, while registered usersincreased 15% to 27.6 million. Funded accounts reached 5.1 million, up 8%.You may also like: Webull UK Joins ISA Market as Broker Fee Competition Extends to Asian StocksWebull reported a net loss of $21.7 million for the quarter,compared to net income of $13.1 million a year earlier. The company saidoperating expenses rose 68% year-over-year, driven by marketing, transactioncosts, and share-based compensation.“We continue to innovate in AI, including beta-testing forour Vega Analyst, which will bring comprehensive research reports to our users,as well as launching agentic trading solutions on Webull,” Anthony Denier,Group President and U.S. CEO of Webull.“Our geographic expansion continues at a rapid pace, and wenow have the license to operate across the European Economic Area, and we aredeepening our presence in other markets across the globe.”Costs Increase as Expansion ContinuesAdjusted operating profit fell to $14.8 million from $28.7million in the prior-year period, while adjusted net income declined to $9.2million. The company continued to invest in expansion andinfrastructure. Webull received approval to operate across the EuropeanEconomic Area and launched its platform in Germany. In the United States, FINRAapproved its broker-dealer unit for self-clearing and correspondent clearing.Webull also advanced its technology strategy, includingtesting an AI-based research tool and building infrastructure to supportautomated trading solutions. The company said these initiatives aim to supportfuture growth and attract more sophisticated users, including institutionalclients.Webull rolled out Vega Analyst, a modular AI-powered stockresearch tool that generates real-time, customizable reports on individualequities. It aims to help retail investors process growing volumes of marketdata more efficiently and make more informed decisions amid a broader industrypush by brokers like eToro, Robinhood, and Moomoo to embed AI into trading andresearch workflows.This article was written by Jared Kirui at www.financemagnates.com.