Reddit Revenue Jumps 61% in Q2 as Advertising Growth and AI Tools Drive Performance
Reddit reported 61% revenue growth in Q2 2026, driven by strong advertising performance, AI-powered ad tools and expanding global users.
SociapaHQ
Social media platform Reddit said revenue for the second quarter ended June 30, 2026 rose 61% year-on-year to $805 million, thanks to strong advertising growth, expanding international business and continued investment in AI-powered advertising tools.
Advertising revenue rose 64% to $762 million and other revenue rose 24% to $43 million. Reddit said it was the eighth quarter in a row with revenue growth over 60%.
Net income climbed to $253 million, or 31% of revenue, from $89 million a year ago. Diluted earnings per share increased to $1.25 from $0.45 and adjusted EBITDA more than doubled to $343 million, or 42.6% of revenue.
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Global Growth:
Operating cash flow soared 135% on 2022 to $262 million, with free cash flow at $261 million.
The company also increased investment in growth, with sales and marketing expenses rising to $195.9 million compared with $120.6 million in the same quarter last year.
The user base on Reddit continued to expand through the quarter. Average Daily Active Uniques (“DAUq”) increased 18% YoY to 130.3M, while average Weekly Active Uniques (“WAUq”) was 514.6M, up 24% YoY, crossing the half-billion milestone.
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International revenues grew 84% year-on-year to $167 million, compared to 56% growth in the domestic market. International markets outpaced the US.
He added that the company had crossed $1 million in revenue per employee while maintaining eight consecutive quarters of revenue growth above 60%.
