Daily Active Uniques ("DAUq") increased 18% year-over-year to 130.3 million

Weekly Active Uniques ("WAUq") increased 24% year-over-year to 514.6 million, crossing half a billion

Revenue of $805 million grew 61% year-over-year. 8th consecutive quarter over 60%

Net income of $253 million, 31% of revenue, and Diluted EPS of $1.25, both up over 2x year-over-year

Adj. EBITDA¹ of $343 million, 43% of revenue, up 106% year-over-year

Operating cash flow of $262 million, 33% of revenue, up 135% year-over-year

Reddit, Inc. (NYSE:RDDT) today announced financial results for the quarter ended June 30, 2026. Reddit’s complete financial results and management commentary can be found in its shareholder letter on Reddit’s Investor Relations website at https://investor.redditinc.com.

"In an increasingly automated web, the value of real human perspective has never been higher. Reddit’s commercial momentum reflects that," said Steve Huffman, Founder and CEO of Reddit. "Crossing $1 million in revenue per employee and maintaining eight consecutive quarters of over 60% revenue growth shows the strength of our community model and the value we deliver to advertisers."

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
Gross margin was 91.3%, as compared to 90.8% in the prior year, up 50 bps year-over-year
Net income was $253 million, an improvement of $164 million from the prior year and more than doubling year-over-year
Adjusted EBITDA¹ was $343 million, an improvement of $176 million from the prior year and more than doubling year-over-year
Operating cash flow was $262 million, an improvement of $151 million from the prior year and more than doubling year-over-year
Free Cash Flow¹ was $261 million, an improvement of $150 million from the prior year and more than doubling year-over-year
Basic and diluted earnings per share ("EPS") were $1.31 and $1.25, more than doubling year-over-year
Total fully diluted shares outstanding were 207.0 million as of June 30, 2026, up 0.2% from the prior year
We repurchased 1.5 million shares of our Class A common stock during the quarter for a total of $235 million at an average price per share of $157.57

Second Quarter 2026 Financial Highlights

	Three months ended June 30,
(in millions, except percentages and per share amounts; unaudited)		2026			2025		% Change
Revenue	$	805		$	500		61	%
U.S.	$	638		$	409		56	%
International	$	167		$	91		84	%

GAAP gross margin		91.3	%		90.8	%

Net income	$	253		$	89		183	%
Net margin		31.4	%		17.9	%
Net income per share
Basic	$	1.31		$	0.48		173	%
Diluted	$	1.25		$	0.45		178	%
Adjusted EBITDA*	$	343		$	167		106	%
Adjusted EBITDA margin*		42.6	%		33.4	%

Net cash provided by (used in) operating activities	$	262		$	111		135	%
Free Cash Flow*	$	261		$	111		135	%

Cash, cash equivalents, and marketable securities	$	2,786
*The definitions of Adjusted EBITDA, Adjusted EBITDA margin, and Free Cash Flow can be found in the Use of Non-GAAP Financial Measures section of this release. A reconciliation of non-GAAP financial measures to the most directly comparable U.S. GAAP measure can be found on pages 10-11.

Financial Outlook

The guidance provided below is based on Reddit’s current estimates and is not a guarantee of future performance. This guidance is subject to significant risks and uncertainties that could cause actual results to differ materially, including the risk factors discussed in Reddit’s reports on file with the Securities and Exchange Commission (the "SEC"). Reddit undertakes no duty to update any forward-looking statements or estimates, except as required by applicable law.

As we look ahead, we will share our internal thoughts on revenue and Adjusted EBITDA for the third quarter.

In the third quarter of 2026, we estimate:

Revenue in the range of $860 million to $870 million
Adjusted EBITDA² in the range of $385 million to $395 million

Earnings Conference Call Information and Community Update

Reddit will host a conference call to discuss the results for the second quarter of 2026 on Thursday, July 30, 2026, at 1:30 p.m. PT / 4:30 p.m. ET. A live webcast of the call can be accessed on Reddit’s Investor Relations website at https://investor.redditinc.com and investor relations subreddit, r/RDDT, at https://www.reddit.com/r/RDDT/. A replay of the webcast and transcript will be available on the same websites following the conclusion of the conference call.

Reddit will solicit questions from the community in the investor relations subreddit, r/RDDT, at https://www.reddit.com/r/RDDT/ on Thursday, July 30, 2026, after the market closes, and post responses following the earnings call at Reddit’s Investor Relations website at https://investor.redditinc.com and r/RDDT at https://www.reddit.com/r/RDDT/.

Reddit uses the investor relations page on its website https://investor.redditinc.com, user accounts of Reddit's Chief Executive Officer, Steve Huffman (u/spez); Reddit's Chief Operating Officer, Jen Wong (u/adsjunkie); and Reddit's Chief Financial Officer, Drew Vollero (u/TimingandLuck), as well as the subreddits r/RDDT and r/reddit, available at https://www.reddit.com/r/RDDT/ and https://www.reddit.com/r/reddit/, respectively, as means of disclosing material non-public information and for complying with its disclosure obligation under Regulation FD.

Notes

¹ The definitions of Adjusted EBITDA, Adjusted EBITDA margin, and Free Cash Flow can be found in the Use of Non-GAAP Financial Measures section of this release. A reconciliation of non-GAAP financial measures to the most directly comparable U.S. GAAP measure can be found on pages 10-11.

² We have not provided a reconciliation to the forward-looking U.S. GAAP equivalent measures for our non-GAAP guidance due to uncertainty regarding, and the potential variability of, reconciling items. Therefore, a reconciliation of these non-GAAP guidance measures to their corresponding U.S. GAAP guidance measures is not available without unreasonable effort.

About Reddit

Reddit is a community of communities. Built on shared interests and passions, it is home to the most open and authentic conversations online. Every day, millions of people post, vote, comment, and search for answers across nearly every topic imaginable, and brands build trusted relationships with their audiences. With 26+ billion posts and comments and more than 130 million daily active uniques, Reddit is one of the internet’s largest sources of information. Learn more at www.redditinc.com. The Reddit app is available on the App Store and Google Play.

Forward Looking Statements

This press release contains forward-looking statements within the meaning of the Securities Act of 1933, as amended, the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. Forward-looking statements generally relate to future events or Reddit's future financial or operating performance. In some cases, you can identify forward-looking statements because they contain words such as "may," "will," "should," "expects," "plans," "anticipates," "going to," "could," "intends," "target," "projects," "contemplates," "believes," "estimates," "predicts," "potential" or "continue" or the negative of these words or other similar terms or expressions that concern Reddit's expectations, strategy, priorities, plans or intentions. Forward-looking statements in this release include, but are not limited to, statements regarding Reddit’s future financial and operating performance, and GAAP and non-GAAP guidance. Reddit's expectations and beliefs regarding these matters may not materialize, and actual results in future periods are subject to risks and uncertainties that could cause actual results to differ materially from those projected, including those more fully described under the caption "Risk Factors" and elsewhere in documents that Reddit files with the SEC from time to time, including Reddit’s Quarterly Report on Form 10-Q for the quarter ended June 30, 2026, which is being filed with the SEC at or around the date hereof. The forward-looking statements in this release are based on information available to Reddit as of the date hereof, and Reddit undertakes no obligation to update any forward-looking statements, except as required by law.

A Note About Metrics

We define a daily active unique ("DAUq") as a user whom we can identify with a unique identifier who has visited a page on the Reddit website, www.reddit.com, or opened a Reddit application at least once during a 24-hour period. Average DAUq for a particular period is calculated by adding the number of DAUq on each day of that period and dividing that sum by the number of days in that period.

We define a weekly active unique ("WAUq") as a user whom we can identify with a unique identifier who has visited a page on the Reddit website, www.reddit.com, or opened a Reddit application at least once during a trailing seven-day period. Average quarterly WAUq for a particular period is calculated by adding the number of WAUq on each day of that period and dividing that sum by the number of days in that period.

We define average revenue per unique ("ARPU") as quarterly revenue in a given geography divided by the average DAUq in that geography. For the purposes of calculating ARPU, advertising revenue in a given geography is based on the geographic location in which advertising impressions are delivered, as this approximates revenue based on user activity, while other revenue in a given geography is based on the billing address of the customer.

Use of Non-GAAP Financial Measures

We use certain non-GAAP financial measures to supplement our consolidated financial statements, which are presented in accordance with U.S. GAAP, to evaluate our core operating performance. These non-GAAP financial measures include Adjusted EBITDA, Adjusted EBITDA margin, Free Cash Flow, and Free Cash Flow margin. We use these non-GAAP financial measures to facilitate reviews of our operational performance and as a basis for strategic planning. By excluding certain items that are non-recurring or not reflective of the performance of our normal course of business, we believe that these non-GAAP financial measures provide meaningful supplemental information regarding our performance. Accordingly, we believe these non-GAAP financial measures are useful to investors and others because they allow investors to supplement their understanding of our financial trends and evaluate our ongoing and future performance in the same manner as management. However, there are a number of limitations related to the use of non-GAAP financial measures as they reflect the exercise of judgment by our management about which expenses are included or excluded in determining these non-GAAP measures. These non-GAAP measures should be considered in addition to, not as a substitute for or in isolation from, our financial results prepared in accordance with U.S. GAAP. Other companies, including companies in our industry, may calculate these non-GAAP financial measures differently or not at all, which reduces their usefulness as comparative measures.

A reconciliation is provided below for each historical non-GAAP financial measure to the most directly comparable financial measure stated in accordance with U.S. GAAP. Reddit encourages investors to review the related U.S. GAAP financial measures and the reconciliation of these non-GAAP financial measures to their most directly comparable U.S. GAAP financial measures, and not to rely on any single financial measure to evaluate Reddit’s business. We have not provided a reconciliation to the forward-looking GAAP equivalent measures for our non-GAAP guidance due to uncertainty regarding, and the potential variability of, reconciling items. Therefore, a reconciliation of these non-GAAP guidance measures to their corresponding GAAP guidance measures is not available without unreasonable effort.

Adjusted EBITDA is defined as net income excluding interest (income) expense, net, income tax expense (benefit), depreciation and amortization, stock-based compensation expense and related taxes, other (income) expense, net, and certain other non-recurring or non-cash items impacting net income that we do not consider indicative of our ongoing business performance. Other (income) expense, net consists primarily of realized gains and losses on sales of marketable securities, foreign currency transaction gains and losses, and other income and expense that are not indicative of our core operating performance. Adjusted EBITDA margin is defined as Adjusted EBITDA divided by revenue. We consider the exclusion of certain non-recurring or non-cash items in calculating Adjusted EBITDA and Adjusted EBITDA margin to provide a useful measure for investors and others to evaluate our operating results in the same manner as management.

Free Cash Flow represents net cash provided by (used in) operating activities less purchases of property and equipment. Free Cash Flow margin is defined as Free Cash Flow divided by revenue. We believe that Free Cash Flow is useful to investors as a liquidity measure because it measures our ability to generate or use cash. Once our business needs and obligations are met, cash can be used to maintain a strong balance sheet and invest in future growth. Additionally, we believe that Free Cash Flow is an important measure since we use third-party infrastructure partners to host our services and therefore we do not incur significant capital expenditures to support revenue generating activities.


Reddit, Inc. Key Operating Metrics by Geography (in millions, except percentages and ARPU) (unaudited)

	Three months ended June 30,						Six months ended June 30,
		2026		2025	% Change			2026		2025	% Change
Revenue: Global	$	804.9	$	499.6	61	%	$	1,468.3	$	892.0	65	%
Revenue: U.S.	$	638.1	$	408.8	56	%	$	1,163.7	$	722.7	61	%
Revenue: International	$	166.8	$	90.8	84	%	$	304.6	$	169.3	80	%

	Three months ended June 30,
		2026		2025	% Change
DAUq: Global		130.3		110.4	18	%
DAUq: U.S.		53.2		50.3	6	%
DAUq: International		77.1		60.1	28	%

Logged-in DAUq: Global		52.6		49.3	7	%
Logged-in DAUq: U.S.		23.1		22.9	1	%
Logged-in DAUq: International		29.5		26.4	12	%

Logged-out DAUq: Global		77.7		61.1	27	%
Logged-out DAUq: U.S.		30.1		27.4	10	%
Logged-out DAUq: International		47.6		33.7	41	%

WAUq: Global		514.6		416.4	24	%
WAUq: U.S.		197.2		181.0	9	%
WAUq: International		317.4		235.4	35	%

ARPU: Global	$	6.18	$	4.53	36	%
ARPU: U.S.	$	11.85	$	7.87	51	%
ARPU: International	$	2.26	$	1.73	31	%

Reddit, Inc. Consolidated Statements of Operations (in thousands, except share and per share amounts) (unaudited)

	Three months ended June 30,					Six months ended June 30,
		2026		2025			2026		2025
Revenue	$	804,905	$	499,627		$	1,468,316	$	891,988
Costs and expenses:
Cost of revenue		70,308		45,900			126,575		82,989
Research and development		231,276		196,610			438,522		387,881
Sales and marketing		195,897		120,619			347,369		211,304
General and administrative		75,708		68,787			141,222		138,200
Total costs and expenses		573,189		431,916			1,053,688		820,374
Income from operations		231,716		67,711			414,628		71,614
Other income (expense), net		25,119		21,147			47,935		41,681
Income before income taxes		256,835		88,858			462,563		113,295
Income tax expense (benefit)		3,987		(439	)		5,734		(2,160	)
Net income	$	252,848	$	89,297		$	456,829	$	115,455
Net income per share attributable to Class A and Class B common stock
Basic	$	1.31	$	0.48		$	2.38	$	0.63
Diluted	$	1.25	$	0.45		$	2.26	$	0.58
Weighted-average shares used to compute net income per share attributable to common stockholders
Basic		192,345,684		185,437,777			191,932,329		183,730,992
Diluted		202,029,721		199,522,433			202,326,864		200,681,458

Reddit, Inc. Consolidated Balance Sheets (in thousands) (unaudited)

	June 30, 2026			December 31, 2025
Assets
Current assets
Cash and cash equivalents	$	1,486,838		$	953,569
Marketable securities		1,299,519			1,523,242
Accounts receivable, net		650,098			590,162
Prepaid expenses and other current assets		105,210			69,012
Total current assets		3,541,665			3,135,985
Property and equipment, net		11,981			12,710
Operating lease right-of-use assets, net		18,411			20,788
Intangible assets, net		10,565			15,521
Goodwill		42,174			42,174
Other noncurrent assets		11,809			11,995
Total assets	$	3,636,605		$	3,239,173

Liabilities and stockholders’ equity
Current liabilities
Accounts payable	$	89,144		$	62,929
Operating lease liabilities		7,783			7,023
Accrued expenses and other current liabilities		240,822			201,331
Total current liabilities		337,749			271,283
Operating lease liabilities, noncurrent		13,084			16,191
Other noncurrent liabilities		72			22,661
Total liabilities		350,905			310,135
Commitments and contingencies
Stockholders’ equity:
Preferred stock		—			—
Class A common stock		14			14
Class B common stock		5			5
Class C common stock		—			—
Additional paid-in capital		3,504,664			3,595,772
Accumulated other comprehensive income (loss)		(4,695	)		4,364
Accumulated deficit		(214,288	)		(671,117	)
Total stockholders’ equity		3,285,700			2,929,038
Total liabilities and stockholders’ equity	$	3,636,605		$	3,239,173

Reddit, Inc. Consolidated Statements of Cash Flows (in thousands) (unaudited)

	Three months ended June 30,						Six months ended June 30,
		2026			2025			2026			2025
Cash flows from operating activities
Net income	$	252,848		$	89,297		$	456,829		$	115,455
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
Depreciation and amortization		4,258			3,934			8,468			7,897
Non-cash operating lease cost		1,743			1,514			3,419			2,982
Amortization of premium (accretion of discount) on marketable securities, net		(2,799	)		(6,691	)		(7,096	)		(15,575	)
Stock-based compensation expense		100,952			89,070			169,288			174,484
Other adjustments		85			97			(606	)		(41	)
Changes in operating assets and liabilities:
Accounts receivable		(127,228	)		(81,116	)		(59,271	)		(57,757	)
Prepaid expenses and other assets		(12,454	)		(9,352	)		(36,206	)		(26,358	)
Operating lease right-of-use assets and liabilities		(1,575	)		(1,589	)		(3,390	)		(3,369	)
Accounts payable		37,020			19,991			26,037			18,945
Accrued expenses and other liabilities		9,026			6,176			16,657			22,246
Net cash provided by (used in) operating activities	$	261,876		$	111,331		$	574,129		$	238,909
Cash flows from investing activities
Purchases of property and equipment		(1,134	)		(505	)		(2,224	)		(1,484	)
Purchases of marketable securities		(311,978	)		(556,457	)		(676,907	)		(1,061,303	)
Maturities of marketable securities		409,247			552,532			883,715			1,017,594
Proceeds from sale of marketable securities		—			—			17,989			12,372
Other investing activities		(1,421	)		2,354			(3,037	)		3,243
Net cash provided by (used in) investing activities	$	94,714		$	(2,076	)	$	219,536		$	(29,578	)
Cash flows from financing activities
Proceeds from exercise of employee stock options		5,037			4,303			9,936			14,487
Taxes paid related to net share settlement of restricted stock units		(14,546	)		(15,225	)		(30,742	)		(51,900	)
Repurchases of Class A common stock		(234,591	)		—			(239,590	)		—
Net cash provided by (used in) financing activities	$	(244,100	)	$	(10,922	)	$	(260,396	)	$	(37,413	)
Net increase (decrease) in cash and cash equivalents		112,490			98,333			533,269			171,918
Cash and cash equivalents at the beginning of the period		1,374,348			635,727			953,569			562,142
Cash and cash equivalents at the end of the period	$	1,486,838		$	734,060		$	1,486,838		$	734,060

Reddit, Inc. Reconciliation of Adjusted EBITDA and Adjusted EBITDA Margin (in thousands, except percentages) (unaudited)

	Three months ended June 30,						Six months ended June 30,
		2026			2025			2026			2025
Net income	$	252,848		$	89,297		$	456,829		$	115,455
Add (deduct):
Interest (income) expense, net		(25,027	)		(21,056	)		(48,912	)		(41,470	)
Income tax expense (benefit)		3,987			(439	)		5,734			(2,160	)
Depreciation and amortization		4,258			3,934			8,468			7,897
Stock-based compensation expense and related taxes		106,836			95,104			185,684			202,509
Other (income) expense, net		(92	)		(91	)		977			(211	)
Adjusted EBITDA	$	342,810		$	166,749		$	608,780		$	282,020
Net margin		31.4	%		17.9	%		31.1	%		12.9	%
Adjusted EBITDA margin		42.6	%		33.4	%		41.5	%		31.6	%

Reddit, Inc. Reconciliation of Free Cash Flow and Free Cash Flow Margin (in thousands, except percentages) (unaudited)

	Three months ended June 30,						Six months ended June 30,
		2026			2025			2026			2025
Net cash provided by (used in) operating activities	$	261,876		$	111,331		$	574,129		$	238,909
Less:
Purchases of property and equipment		(1,134	)		(505	)		(2,224	)		(1,484	)
Free Cash Flow	$	260,742		$	110,826		$	571,905		$	237,425
Operating cash flow margin		32.5	%		22.3	%		39.1	%		26.8	%
Free Cash Flow margin		32.4	%		22.2	%		38.9	%		26.6	%

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