Reddit Inc Class A (RDDT)
NYSE:RDDT
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Earnings Data
Report Date
Aug 11, 2026After Close (Confirmed)
Period Ending
2026 (Q2)Consensus EPS Forecast
0.94Last Year’s EPS
0.45Same Quarter Last Year
Moderate Buy
Based on 21 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Positive
The call emphasized strong commercial momentum: very high revenue growth (+69% YoY), robust margins (91.5% gross, ~40% adjusted EBITDA), significant cash generation and clear monetization improvements (ARPU +44%, active advertisers +75% YoY). Management acknowledged important product and engagement work remaining—particularly raising daily active usage, new user retention and app performance—while continuing measured investments in sales, ML and marketing. Financial results, cash position, and product monetization trends dominate positively, with user engagement and some cost/investment timing noted as areas to address.Company Guidance
Strong Revenue Growth
Q1 total revenue of $663M, up 69% year-over-year; advertising revenue $625M, up 74% YoY. This marks Reddit's seventh consecutive quarter with revenue growth over 60%.
Exceptional Profitability and Margins
Gross margin 91.5% (up ~97 bps YoY); non-GAAP adjusted EBITDA margin ~40% in Q1 (up ~1,100 bps YoY). GAAP diluted EPS $1.01, up more than 7x YoY.
Best-in-Class Cash Generation
Record cash flow of more than $300M referenced; free cash flow margin 47% in Q1; ended quarter with $2.8B in cash and investments.
Capital-Light Model
Capital expenditures were just $1M (0.2% of revenue), underscoring a capital-light operating model.
ARPU and Monetization Gains
Average revenue per user (ARPU) rose 44% YoY to $5.23, reflecting improved monetization per user.
Ad Platform Momentum and Advertiser Growth
Number of active advertisers grew more than 75% YoY; performance-oriented revenue represents over 60% of ad revenue; conversion-driven lower-funnel revenue grew triple digits YoY.
Productized Ad Automation Wins (Reddit Max)
Reddit Max beta adoption delivered a 17% average reduction in cost per action and 25% more conversion outcomes; example case: Cozy saw 35% higher ROAS and 28% lower CPA. ~50% of Max advertisers used AI creative features.
Shopping & DPA Improvements
Dynamic product ads (DPA) investments delivered >90% higher ROAS YoY on average; select advertisers (e.g., Liquid I.V.) saw DPAs outperform other conversion campaigns by ~40%.
International and Other Revenue Growth
International revenue grew 76% YoY while U.S. revenue grew 67% YoY; other revenue (including Content Licensing) was $39M, up 15% YoY.
Confident Outlook
Q2 2026 guidance: revenue $715M–$725M (+43%–45% YoY midpoint ~44%); adjusted EBITDA $285M–$295M (+71%–77% YoY), implying ~40% adjusted EBITDA margin at midpoint.
RDDT Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
RDDT Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
Apr 30, 2026 | $147.23 | $166.48 | +13.07% |
Feb 05, 2026 | $151.05 | $139.83 | -7.43% |
Oct 30, 2025 | $194.42 | $208.95 | +7.47% |
Jul 31, 2025 | $160.59 | $188.64 | +17.47% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does Reddit Inc Class A (RDDT) report earnings?
Reddit Inc Class A (RDDT) is schdueled to report earning on Aug 11, 2026, After Close (Confirmed).
What is Reddit Inc Class A (RDDT) earnings time?
Reddit Inc Class A (RDDT) earnings time is at Aug 11, 2026, After Close (Confirmed).
Where can I see when companies are reporting earnings?
You can see which companies are reporting today on our designated earnings calendar.
What companies are reporting earnings today?
You can see a list of the companies which are reporting today on TipRanks earnings calendar.
What is RDDT EPS forecast?
RDDT EPS forecast for the fiscal quarter 2026 (Q2) is 0.94.
