Q2 25 EPS
$0.45
BEAT +138.35%
Est. $0.19
Q2 25 Revenue
$499.6M
BEAT +17.29%
Est. $426.0M
vs S&P Since Q2 25
-28.0%
TRAILING MARKET
RDDT -12.1% vs S&P +15.9%
Market Reaction
Did RDDT Beat Earnings? Q2 2025 Results
Reddit delivered a blowout second quarter, posting earnings per share of $0.45 against a consensus estimate of $0.19, a beat of 138.35%, while revenue of $499.63 million topped expectations by 17.29% and surged 77.7% year-over-year, marking the compa… Read more Reddit delivered a blowout second quarter, posting earnings per share of $0.45 against a consensus estimate of $0.19, a beat of 138.35%, while revenue of $499.63 million topped expectations by 17.29% and surged 77.7% year-over-year, marking the company's fastest quarterly revenue growth since 2022. The single most material driver was advertising, which leapt 84% year-over-year to $465.00 million, fueled by gains in both impressions and pricing as brands increasingly recognized Reddit's uniquely engaged, interest-segmented communities. That advertising momentum also powered a dramatic swing to GAAP profitability, with net income reaching $89.30 million compared to a net loss of $10.10 million in the prior-year period. Adjusted EBITDA margin expanded to 33.4% from 14.0% a year ago, reflecting the operating leverage that has characterized Reddit's recent growth trajectory. Management guided Q3 2025 revenue of $535 million to $545 million, with continued investment in international expansion and Reddit Answers, the company's AI-powered search product, which grew to 6 million weekly active users, up 5x from Q1.
Key Takeaways
- • Advertising revenue grew 84% YoY driven by growth in both impressions and pricing
- • Strong growth across both Brand and Performance revenue
- • DAUq grew 21% YoY to 110.4 million with U.S. up 11% and International up 32%
- • ARPU increased 47% YoY to $4.53 globally, with U.S. ARPU at $7.87 (up 59%) and International ARPU at $1.73 (up 40%)
- • Revenue grew over 2x as fast as total adjusted costs and expenses year-over-year
- • Over 50% incremental Adjusted EBITDA margin for the eighth consecutive quarter
RDDT YoY Financials
Q2 2025 vs Q2 2024, source: SEC Filings
RDDT Revenue by Segment
With YoY comparisons, source: SEC Filings
RDDT Revenue by Geography
With YoY comparisons, source: SEC Filings
“Reddit is built for this moment. In a world where connection is increasingly rare, our communities show how valuable human conversation and knowledge really are.”
— Steve Huffman, Q2 2025 Earnings Press Release
RDDT Earnings Trends
RDDT vs Market 30 Day Price Reactions
30-day stock return vs benchmark after each earnings
RDDT EPS Trend
Earnings per share: estimate vs actual
RDDT Revenue Trend
Quarterly revenue: estimate vs actual
RDDT Quarterly Results
5 quarters of earnings data
| Quarter | EPS Est. | EPS Act. | Surprise | Revenue | Rev. Surprise |
|---|---|---|---|---|---|
| Q1 26 | — | $1.01 | — | $663.4M | +8.79% |
| Q4 25 MISS FY | $1.45 | $1.24 | -14.48% | $725.6M | +8.59% |
| FY Full Year | $2.33 | $2.62 | +12.53% | $2.20B | +2.67% |
| Q3 25 BEAT | $0.52 | $0.80 | +53.79% | $584.9M | +6.44% |
| Q2 25 BEAT | $0.19 | $0.45 | +138.35% | $499.6M | +17.29% |
| Q1 25 BEAT | $0.01 | $0.13 | +870.15% | $392.4M | +6.14% |