Reddit Exceeds Q2 Revenue Estimates with $281.2M, Forecasts Strong Q3

Aug 6, 2024, 08:13 PM

Reddit reported its second-quarter 2024 earnings, exceeding analysts’ expectations on both revenue and user growth. The company posted a revenue of $281.2 million, surpassing the estimated $253.58 million, and a net loss of $10.1 million, significantly lower than the $41.1 million loss from the same quarter last year. Daily active users reached 91.2 million, beating the estimated 83.8 million. Reddit's advertising revenue grew by 41% year-over-year to $253.1 million, contributing to a 54% overall increase in revenue. The company reported an EPS of $(0.06) and a gross margin of 89.5%. Additionally, Reddit forecasted third-quarter revenue between $290 million and $310 million, above Wall Street estimates of $278.7 million, and projected an adjusted EBITDA of $40 million to $60 million, indicating confidence in a recovering digital ad market.