RDDT 8-K: Smart Summary

Reddit, Inc. reported Q1 2026 financial results for the quarter ended March 31, 2026, with revenue of $663M, up 69% year-over-year, and net income of $204M. The filing includes a press release (Exhibit 99.1) and a shareholder letter (Exhibit 99.2) discussing financial highlights, operating metrics, and Q2 2026 guidance. Reddit also announced a conference call held on April 30, 2026 at 1:30 p.m. PT / 4:30 p.m. ET.

• Revenue: $663M, up 69% year-over-year (U.S. $526M, up 67%; International $138M, up 76%)
• Gross margin: 91.5%, up 100 bps from 90.5% in the prior year
• Income from operations: $182.9M vs. $3.9M in the prior year
• Net income: $204M (net margin 30.7%), up 680% from $26M (net margin 6.7%) in the prior year
• Basic EPS: $1.07, up 664% year-over-year; Diluted EPS: $1.01, up 677% (up 7x) year-over-year
• Adjusted EBITDA: $266M (40.1% margin), up 131% from $115M (29.4% margin) in the prior year
• Operating cash flow: $312M (47.1% of revenue), up 145% from $128M (32.5% of revenue) in the prior year
• Free Cash Flow: $311M (46.9% margin), up 146% from $127M (32.3% margin) in the prior year
• Capital expenditures: $1M, 0.2% of revenue

• Ad revenue: $625M, up 74% year-over-year; driven by year-over-year growth in impressions and pricing
• Other revenue: $39M, up 15% year-over-year
• U.S. revenue: $525.6M, up 67% year-over-year; U.S. DAUq: 53.5 million, up 7% year-over-year; U.S. ARPU: $9.63, up 54% year-over-year
• International revenue: $137.8M, up 76% year-over-year; International DAUq: 73.3 million, up 26% year-over-year; International ARPU: $2.02, up 51% year-over-year
• Global DAUq: 126.8 million, up 17% year-over-year; Global WAUq: 493.1 million, up 23% year-over-year
• Global ARPU: $5.23, up 44% year-over-year
• Logged-in DAUq: 52.0 million globally, up 7% year-over-year; Logged-out DAUq: 74.8 million globally, up 26% year-over-year

• Cash, cash equivalents, and marketable securities: $2.8B ($2.8B) as of March 31, 2026, up 42% from the prior year
• Cash and cash equivalents: $1.4B as of March 31, 2026, up from $953.6M as of December 31, 2025
• Marketable securities: $1.4B as of March 31, 2026
• Repurchases of Class A common stock: $5M in Q1 2026 (none in Q1 2025)
• Taxes paid related to net share settlement of restricted stock units: $16.2M
• Total fully diluted shares outstanding: 206.4 million as of March 31, 2026, up 0.2% from the prior year
• Stock-based compensation and related taxes: $78.8M, down 27% year-over-year; SBC as % of revenue was 12%, an improvement of 1,550 bps year-over-year
• Total liabilities: $304.6M as of March 31, 2026; no long-term debt disclosed
• No dividends mentioned

• "Reddit is a one-of-one business powered by deeply engaged communities and authentic human conversation. That foundation is driving a rare combination of growth, profitability, and efficiency, and giving Reddit a unique advantage in the age of AI." — Steve Huffman, Founder and CEO
• "This marks our seventh consecutive quarter with revenue growth over 60%, with industry-leading gross margins over 90%, an Adjusted EBITDA margin of 40%, and record cash flow of more than $300M." — Steve Huffman, Co-Founder & CEO (shareholder letter)

• Q2 2026 revenue estimated in the range of $715M to $725M
• Q2 2026 Adjusted EBITDA estimated in the range of $285M to $295M
• No full-year guidance provided; Reddit states guidance is subject to significant risks and uncertainties and undertakes no duty to update forward-looking statements except as required by applicable law