Reddit Inc. 8-K

PositiveEarningsNew guidance

Higher ad impressions and pricing drove advertising growth; Shopify integration will simplify advertiser onboarding.

Filed 2026-04-30 16:08 ET

Summary

Q1 2026 results with Q2 guidance. Revenue grew 69% Y/Y, the seventh consecutive quarter above 60% growth, led by advertising; global daily active uniques grew 17%. Reddit also reported 91.5% gross margin and strong cash generation.

Key Figures

Metric Q1 2026 Q1 2025 Y/Y
Revenue $663M $392M 69%
Gross margin 91.5% 90.5% +100 bp
Operating income $183M $3.90M 4,590%
Net income $204M $26.2M 680%
Adjusted EBITDA (non-GAAP) $266M $115M 131%
Diluted EPS $1.01 $0.13 677%
Operating cash flow $312M $128M 145%
Free cash flow (non-GAAP) $311M $127M 146%
Global DAUq 127M 108M 17%
Global WAUq 493M 401M 23%
  • Advertising revenue was $625M (+74% Y/Y) and other revenue was $39M (+15%); advertising growth reflected higher impressions and pricing. U.S. DAUq grew 7% to 53.5M, while international DAUq grew 26% to 73.3M. Reddit announced a Shopify integration to simplify advertiser onboarding.
  • Cash, cash equivalents and marketable securities totaled $2.77B at quarter-end. Capital expenditures were $1.09M; Reddit repurchased $5.0M of Class A shares, and fully diluted shares outstanding were 206.4M, up 0.2% Y/Y.

Guidance

Metric Period Guidance Prior Direction
Revenue Q2 2026 $715M-$725M — —
Adjusted EBITDA (non-GAAP) Q2 2026 $285M-$295M — —

Investor Takeaways

  • Q2 revenue and non-GAAP Adjusted EBITDA versus their guided ranges will show whether the current growth and profitability momentum continues.
  • Reddit’s stated goal is 100M U.S. daily users; progress from Q1’s 53.5M U.S. DAUq will indicate how its user-growth initiatives are tracking.

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