Reddit Beats Q2 Revenue to $805M and Raises Guidance, Warns of Search Traffic Volatility
Reddit posted second-quarter revenue of $805M, surpassing the $730M estimate, while earnings per share reached $1.25 against a $0.95 forecast. The company extended eight consecutive quarters of more than 60% year-over-year sales growth, driven by a 70% increase in advertiser growth and user metrics showing 130.3 million daily active users.
Management warned that referrals from search engines were choppy throughout the quarter with traffic becoming more volatile toward the end, noting that AI-powered search results have not yet replaced the referral volume of traditional search links. The company also announced it will stop reporting separate logged-in and logged-out user counts starting in the third quarter. Reddit shares fell nearly 12% in after-hours trading following the report and executive comments.
From the sources (14 posts)
@firstsquawkREDDIT POSTED Q2 REVENUE OF $805 MLN, ABOVE THE IBES ESTIMATE OF $730.4 MLN, WITH EPS OF $1.25 VERSUS $0.95 EXPECTED AND DAILY ACTIVE UNIQUES UP 18% Y-O-Y TO 130.3 MLN.
@wallstengineREDDIT $RDDT Q2’26 EARNINGS HIGHLIGHTS 🔹 Revenue: $805M (Est. $730M) 🟢; +61% YoY 🔹 EPS: $1.25 (Est. $0.95) 🟢; +178% YoY 🔹 Adj. EBITDA: $343M (Est. $297M) 🟢; +106% YoY Q3 Guide: 🔹 Revenue: $860M-$870M (Est. $829M) 🟢 🔹 Adj. EBITDA: $385M-$3
@trendspider$RDDT Q2 EARNINGS EPS: $1.25 vs $0.95 est Sales: $804.905M vs $730.255M est 🟥 -7.30%
@alphasenseinc$RDDT Earnings: - Total revenue increased 61% year-over-year to $805 million, Ad revenue increased 64% year-over-year to $762 million, and Other revenue increased 24% year-over-year to $43 million - Basic and diluted earnings per share (“E
@stocksavvyshay$RDDT Q2 EARNINGS • Revenue $805M vs Est. $731M • EPS $1.25 vs Est. $0.96 • EBITDA $343M vs. Est. $298M • DAUs 130.3M (+18% YoY) Q3 Guidance • Revenue $865M vs. Est. $830M • EBITDA $390M vs. Est. $369M Reddit says surpassing “$1M in reve
@fiscal_aiReddit just crossed 500 million weekly active users, up 24% YoY. $RDDT -5.5% After Hours
@businessReddit projected current-quarter revenue that beat Wall Street estimates, extending a track record of strong sales growth driven by a more diversified advertising business
@techmemeReddit reports Q2 revenue up 61% YoY to $805M, vs. $730M est., forecasts Q3 revenue above est., says search referrals were "choppy"; RDDT drops 6%+ after hours (CNBC) (Visit Techmeme dot com for the link and full context!)
@thetranscript_Reddit CEO: "Search referrals were choppy in the quarter, and traffic was more volatile later in the quarter" $RDDT: -7% AH"
@wallstengine$RDDT CEO Steve Huffman: “Search referrals were choppy in the quarter, and traffic was more volatile later in the quarter... the commercial business is strong.”
@stocksavvyshay$RDDT is down nearly 12% after CEO Steve Huffman said “search referrals were choppy” and traffic became more volatile late in the quarter.
@alphasenseinc$RDDT COO Jen Wong says advertiser growth was up 70% year-over-year, driven by easier onboarding tools and messaging resonating with advertisers who increasingly value Reddit's human advice environment. 11 out of 15 verticals grew over 50%
@wallstengineReddit $RDDT on Google search: “Search referrals were choppy during the quarter and traffic became more volatile later in the quarter. Our visibility into referral traffic remains low.” “AI Overviews has yet to deliver the same positive i
@wallstengineReddit $RDDT on changing its user disclosures: “Q2 will be the last quarter we report logged-in and logged-out user metrics. Beginning in Q3, we’ll continue reporting total U.S. and international daily and weekly active users, but not logg