$RDDT · Reddit, Inc.
Reddit reported Q3 2026 results with revenue of $895M (+53% YoY), net income of $283M, and Adjusted EBITDA of $402M (44.9% margin). The company guided Q4 revenue to $1.00B–$1.03B and Adjusted EBITDA to $480M–$510M. Reddit repurchased 670K shares for $100M during the quarter and was added to the S&P 500.
- Revenue grew 53% YoY to $895M, with ad revenue up 54% to $847M.
- Net income rose 74% YoY to $283M; GAAP diluted EPS of $1.40, up 75% YoY.
- Adjusted EBITDA hit $402M (44.9% margin), up 70% YoY.
- Global DAUq reached 130.3M (+12% YoY), but U.S. DAUq declined 2% to 50.7M.
- Q4 revenue guidance of $1.00B–$1.03B implies ~12–15% sequential growth, below the 53% YoY Q3 pace.
Extended-hours trading shows RDDT at $120.19, down 7.33% from the $129.70 regular close. The selloff suggests the Q4 revenue guide of $1.00B–$1.03B disappointed against the 53% YoY growth rate posted in Q3, compounded by a 2% decline in U.S. DAUq.
Reddit delivered a massive 53% revenue beat and S&P 500 inclusion, yet the stock sold off 7.3% after-hours — the market is punishing the Q4 guidance deceleration and the first U.S. user decline since going public.
Reddit's 53% ad revenue growth outpaces peers like Meta and Snap in percentage terms, but the U.S. user decline and after-hours selloff mirror the market's punishing reaction to any deceleration signal in high-multiple social media names.
U.S. DAUq declined 2% YoY to 50.7M, signaling saturation in Reddit's highest-ARPU market ($13.82 U.S. ARPU vs. $2.43 international). Q4 guidance implies decelerating sequential growth, and the company notes forward-looking statements are subject to risks detailed in its upcoming 10-Q.