Reddit Q3 Revenue Jumps 53% to $895M, Guides Q4 Above $1B
RDDT is trading near its 52-week low of $119.27 (8.2% above the low) on elevated volume (2.2× avg).
Summary
Reddit delivered Q3 revenue of $895M, up 53% year-over-year, with ad revenue up 54% to $847M and net income of $283M versus $163M a year ago. Diluted EPS came in at $1.40, up 75%, and Adjusted EBITDA rose 70% to $402M at a 44.9% margin. The company guided Q4 revenue to $1,000M-$1,030M and Adjusted EBITDA to $480M-$510M, putting it on pace to cross $1B in a single quarter for the first time. It repurchased about 670 thousand shares for $100M at an average $149.81 during the quarter and held $3.03B in cash and securities. The one soft spot: U.S. daily active uniques fell 2% to 50.7M even as global DAUq rose 12% to 130.3M, so watch whether domestic engagement stabilizes. This follows the Q2 print that beat on EPS and revenue but drew analyst downgrades, and the August S&P 500 inclusion that re-rated the stock.
At the time of this announcement, RDDT was trading at $129.00 on NYSE in the Technology sector, with a market capitalization of approximately $24.9B. The 52-week trading range was $119.27 to $263.50. This news item was assessed with positive market sentiment and an importance score of 8 out of 10. Source: BusinessWire.