Key Highlights

● Revenue was $805 million, up 61% from $500 million a year earlier.

● Net income was $253 million, up 183%, a 31.4% net margin.

● Daily active uniques reached 130.3 million, up 18%.

● International revenue grew 84% to $167 million.

Why the quarter matters

Reddit, Inc. (NYSE:RDDT) reported on 30 July 2026 that revenue for the quarter ended 30 June 2026 was $805 million, up 61% from $500 million a year earlier, and that net income was $253 million, up 183%. Revenue growth outpaced user growth, so the quarter shows how far the company's advertising business has scaled relative to its audience.

Business and sector

Reddit operates a network of online communities in which users post, comment and vote on content organised by topic. It earns most of its revenue from advertising, with a smaller contribution from other sources such as data licensing. The company competes with other social platforms, search services and video networks for advertising budgets and user attention. Chief Executive Officer Steve Huffman said: "In an increasingly automated web, the value of real human perspective has never been higher."

Latest reported results

Advertising revenue was $762 million, up 64%, and other revenue was $43 million, up 24%. By geography, United States revenue was $638 million, up 56%, while international revenue was $167 million, up 84%. Growth outside the United States was therefore considerably faster, albeit from a smaller base.

Daily active uniques, the company's measure of logged-in and logged-out users each day, reached 130.3 million, up 18%. Weekly active uniques were 514.6 million, up 24%. Net income of $253 million equated to a net margin of 31.4% and diluted earnings per share of $1.25, with basic earnings per share at $1.31.

Financial performance and industry context

Adjusted EBITDA was $343 million, up 106%, for a margin of 42.6%. Operating cash flow was $262 million, up 135%, and free cash flow was $261 million, also up 135%. Cash, cash equivalents and marketable securities totalled $2,786 million at the quarter end.

For the third quarter of 2026, Reddit guided to revenue of $860 million to $870 million and adjusted EBITDA of $385 million to $395 million. Those ranges, if achieved, would represent sequential increases from the second-quarter levels of $805 million and $343 million respectively.

The numbers sit within a digital-advertising sector in which budgets continue to move towards platforms able to demonstrate measurable performance. Reddit's headline figures do not itemise the drivers of advertising growth, such as pricing, impression volume or the number of advertisers. The reported net income also compares with a much smaller profit a year earlier, which shows the pace at which operating leverage has built within the business.

Risks and uncertainties

Several uncertainties remain. Revenue growth of 61% is a demanding comparison for later periods, and the company's expansion in advertising depends on advertiser confidence, which can change quickly with the economic cycle. The user base includes logged-out visitors who often arrive through search engines, so changes in search algorithms or in the way artificial intelligence tools surface information could alter traffic. Moderation of user-generated content, privacy regulation and the commercial terms of data-licensing arrangements also present operational and legal risks. Because margins are already high, there may be less scope for further improvement than in earlier periods.

Audience, search traffic and the guide

The third-quarter report will show whether Reddit meets its guided revenue and adjusted EBITDA ranges, and whether daily active uniques continue to grow in the high teens. Observers will also watch international revenue growth relative to the 84% recorded in the second quarter, the trend in free cash flow and the way management allocates its cash balance of more than $2.7 billion. Management commentary on advertiser demand and on search-driven traffic will also be closely read by analysts and industry observers alike.