Reddit Q2 2026: revenue up 61%, US daily users slip to 53.2 million

Reddit’s second-quarter 2026 results showed revenue of $805 million, up 61% year over year, net income of $253 million and diluted EPS of $1.25. Against its own outlook, revenue came in about $80 million above the top of the $715–725 million range Reddit guided to in its April 30 filing (our arithmetic), and adjusted EBITDA of $343 million cleared the top of its $285–295 million guide.

Reddit (NYSE: RDDT) runs a network of user-moderated discussion communities and earns most of its money from advertising against them. The tension in this quarter is between the money and the audience: revenue grew 61%, but US daily active uniques — the cohort that carries most of the revenue — slipped to 53.2 million from 53.5 million in the first quarter, and the CEO’s letter says search referrals were “choppy.” Terms are defined as they come up.

Reddit Q2 2026 results at a glance

	Q2 2026	Q1 2026	Q2 2025
Revenue	$804.9M	$663.4M	$499.6M
Advertising revenue	$762M	$625M	$465M
Other revenue	$43M	$39M	$35M
Gross margin	91.3%	91.5%	90.8%
Net income	$252.8M	$204M	$89.3M
Diluted EPS	$1.25	$1.01	$0.45
Adjusted EBITDA	$342.8M	$266M	$166.7M
Free cash flow	$260.7M	$311M	$110.8M
DAUq, global	130.3M	126.8M	110.4M
DAUq, US	53.2M	53.5M	50.3M
ARPU, US	$11.85	$9.63	$7.87

DAUq (daily active uniques) counts users Reddit can identify with a unique identifier who visit the site or open the app on a given day, logged in or not. ARPU (average revenue per unique) is quarterly revenue in a geography divided by that geography’s average DAUq. Adjusted EBITDA is a non-GAAP measure that strips out interest, taxes, depreciation, stock-based compensation and some other items; the release reconciles it to net income.

Did Reddit beat its own guidance in Q2 2026?

Yes, on both lines it guided. Revenue of $804.9 million was about $80 million, or 11%, above the top of the $715–725 million range in the April 30 release, and adjusted EBITDA of $342.8 million was about $48 million above the top of its $285–295 million range (our arithmetic).

The year-over-year comparison tells the same story. Revenue grew 61%, which the release calls the eighth consecutive quarter above 60%. Advertising revenue grew 64% to $762 million, which the letter attributes to growth in both pricing and impressions; other revenue grew 24% to $43 million. Net income nearly tripled (our arithmetic), from $89.3 million to $252.8 million, and the release’s net margin rose to 31.4% from 17.9%. Free cash flow was $260.7 million, up 135% per the release’s highlights table.

Some of that profit went straight back out. Reddit repurchased 1.5 million shares for $235 million in the quarter, at an average of $157.57 a share — about 90% of the quarter’s free cash flow (our arithmetic). Fully diluted shares outstanding were 207.0 million, up 0.2% year over year.

Did Reddit’s US daily users fall in Q2 2026?

Marginally. US DAUq averaged 53.2 million, against 53.5 million in the first quarter — a decline of about 0.3 million, or 0.6% (our arithmetic). The 10-Q describes US DAUq as having “remained relatively flat” sequentially, while global DAUq grew 3% on 5% growth outside the US. Year over year, US DAUq was up 6%, against 28% for international.

The split inside the US number is worth a look. Logged-in US DAUq was 23.1 million, up 1% from a year earlier; logged-out US DAUq was 30.1 million, up 10%. Logged-out visitors are the ones who tend to arrive from search: the 10-Q says visitors who come to Reddit from search engines are generally not logged in.

That is where the CEO’s letter points. Steve Huffman wrote that product work and marketing “helped drive daily active users and offset headwinds in users coming from search,” and that “Search referrals were choppy in the quarter, and traffic was more volatile later in the quarter.” The 10-Q makes the same attribution in drier terms: the sequential change in global DAUq was driven by growth initiatives, “partially offset by third-party search engine algorithm changes.”

Where did Reddit’s 61% revenue growth come from?

Mostly from earning more per user, not from more users. In the US, revenue grew 56% to $638.1 million while US DAUq grew 6%, so US ARPU rose 51% to $11.85. International revenue grew faster, 84% to $166.8 million, on 28% more international users and international ARPU up 31% to $2.26.

The US is still the economic core. It produced about 79% of revenue from about 41% of daily users (our arithmetic), and each US user brought in more than five times what an international user did ($11.85 against $2.26). That is why a flat US audience matters more than its size suggests: the growth lever that remains is monetization of a user base that, in the most valuable market, did not grow this quarter.

Monetization gains are real growth, and the letter credits pricing and impressions for them. They also run on a different clock from audience growth. Ad load, targeting and formats can keep improving for a long time, but each of those levers is finite in a way that adding users is not.

How dependent is Reddit on Google search?

The 10-Q names it directly. In its risk factors, Reddit says it relies “in part, on internet search engines, such as Google, to generate traffic to our website, primarily through free or organic searches,” and warns that changes in “search engine algorithms, user interfaces, and AI-generated search or answer features” could reduce traffic. It also lists competition from large language models and AI-generated summaries: users “may choose to find information through AI tools or AI-generated summaries … instead of visiting Reddit directly.”

Reddit does earn content-licensing revenue, per the 10-Q, though the filings do not break it out; everything outside advertising is a small line, with other revenue at $43 million, 5% of the total (our arithmetic). The 10-Q says that substantially all of the contract value of Reddit’s content-licensing revenue comes from two partners, and that those agreements may not be renewed or may be renewed on less favorable terms.

The letter’s answer to the search question is a product one: “While our visibility in referral traffic remains low, we’re not building for drive-by traffic. We’re building a daily destination.” Its stated goal is 1 billion daily users globally and 100 million in the US. The quarter’s US figure, 53.2 million, is the baseline that goal will be measured against.

What did Reddit guide for Q3 2026?

Revenue of $860–870 million and adjusted EBITDA of $385–395 million. The revenue range sits about 7% to 8% above the second quarter’s $804.9 million (our arithmetic). The release gives no user guidance and no full-year outlook.

What to watch in Q3

• US DAUq against 53.2 million. One flat quarter is a data point; a second would put the audience question at the center of the story.
• Logged-out versus logged-in users. Logged-out growth is the search-exposed part of the audience; logged-in growth is the part Reddit’s product work is meant to build.
• Revenue against the $860–870 million guide, and whether growth stays above 60% for a ninth quarter.
• US ARPU. It rose 51% this quarter; if the US audience stays flat, revenue growth depends on that number continuing to rise.
• Other revenue. At $43 million it is small, but it is the line where content licensing sits.

Quick answers

How much revenue did Reddit make in Q2 2026?

$804.9 million, up 61% from $499.6 million a year earlier. Advertising revenue was $762 million and other revenue $43 million. Net income was $252.8 million, or $1.25 per diluted share.

Did Reddit beat its guidance in Q2 2026?

Yes. Revenue of $804.9 million was above the top of the $715–725 million range Reddit gave on April 30, and adjusted EBITDA of $342.8 million was above the top of its $285–295 million range.

How many daily users does Reddit have?

Reddit averaged 130.3 million daily active uniques in the second quarter, up 18% year over year, and 514.6 million weekly active uniques. In the US, daily active uniques were 53.2 million, against 53.5 million in the first quarter.

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Sources and method. Company figures — revenue by type and geography, the income statement and per-share data, adjusted EBITDA and free cash flow with their reconciliations, the balance sheet, buybacks and share count, DAUq, WAUq and ARPU by geography, and third-quarter guidance — are Reddit’s own disclosures in Exhibit 99.1 (press release) and Exhibit 99.2 (letter to shareholders) to the Form 8-K filed 2026-07-30 (accession 0001713445-26-000098) for the quarter ended 2026-06-30, read directly from SEC EDGAR and linked above. The Huffman quotations, the pricing-and-impressions attribution and the revenue-per-employee milestone come from Exhibit 99.2. The advertising/other revenue split, the “relatively flat” US DAUq description, the search-engine attribution in MD&A and the risk-factor language come from the Form 10-Q filed 2026-07-31 (accession 0001713445-26-000100). Second-quarter guidance and first-quarter comparison figures come from the Form 8-K filed 2026-04-30 (accession 0001713445-26-000067). The EDGAR filing index shows the 8-K accepted at 16:09 ET on July 30, after the close.

No consensus estimate is included, so this piece makes no claim that the quarter beat or missed expectations; the only comparison is with the company’s own guidance and the year-ago quarter. This piece makes no claim about the share-price reaction.

Our arithmetic, labelled as such: revenue about $80 million (11%) above the top of the revenue guide; adjusted EBITDA about $48 million above the top of its guide; the 0.3 million (0.6%) sequential decline in US DAUq; buybacks at about 90% of free cash flow; the US share of revenue (about 79%) and of DAUq (about 41%); the US-to-international ARPU multiple; net income nearly tripling; other revenue at 5% of the total; and the 7% to 8% sequential growth implied by the third-quarter revenue guide. These are approximations built on the disclosed figures, not reported numbers. The interpretation — that the quarter’s growth came from monetization rather than audience, and that the flat US audience and search exposure are the open questions behind it — is our analysis, not a company statement, and is not a forecast.

Related: Apple Q3 FY2026, Amazon Q2 2026, Roblox Q2 2026, Coinbase Q2 2026 and Strategy Q2 2026, all also reported July 30.

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