Reddit

Reddit, Inc. operates the Reddit platform, which is organized into communities known as subreddits, and is headquartered in San Francisco. Its 10-Q states a mission to empower communities and make their knowledge accessible to everyone. In its IPO prospectus, Reddit counted over 100,000 active communities, according to Variety.^[1],[2]

Reddit generates a majority of its revenue from advertising on its mobile applications and website. It also earns revenue from content licensing and from products sold directly to users, including Reddit Premium and Reddit Gold, which the 10-Q says were not material for the periods presented.^[1]

Reddit reported 130.3 million daily active uniques (DAUq) for the three months ended June 30, 2026, up 18% year over year, and average revenue per unique of $6.18, up 36%. Reuters, via BNN Bloomberg, reported that choppy search-engine traffic hurt U.S. user growth in the second quarter.^[1],[3]

Reddit reported net income of $252.8 million for the quarter ended June 30, 2026, compared with $89.3 million a year earlier, and adjusted EBITDA of $342.8 million, compared with $166.7 million. Adjusted EBITDA is a non-GAAP measure that the 10-Q reconciles to net income.^[1],[4]

Reddit launched in 2005 and was acquired by Condé Nast in 2006 for $10 million, according to Variety. Condé Nast spun the site out in 2011, and its parent Advance Publications kept a minority stake.^[5],[4]

Reddit confidentially submitted a draft IPO registration statement to the SEC in December 2021. Variety reports the company had been valued at $10 billion in 2021 after a major funding round, and lists Vy Capital, Sequoia Capital and Andreessen Horowitz among other investors.^[5],[4]

Reddit reported revenue of $804.0 million for 2023, up 21% from the prior year, and a net loss of $90.8 million, against a $158.6 million loss the year before, according to Variety. Those figures came from its IPO filings.^[5],[2]

Reddit averaged 73.1 million daily active unique users worldwide in the fourth quarter of 2023 and had 2,013 full-time employees at the end of 2023, according to Variety.^[2],[5]

Reddit and its selling shareholders raised $748 million by pricing shares at the top of a marketed range, Fortune reported on March 20, 2024. The offering sold 22 million shares at $34 each against a marketed range of $31 to $34. Variety reports that 15.28 million of the shares came from Reddit and 6.72 million from other shareholders.^[4],[2],[5]

Reddit had a market value of $5.4 billion at the IPO price on outstanding shares, or about $6.4 billion fully diluted, according to Fortune. Fortune noted that was down from the $10 billion funding-round valuation of 2021. Morgan Stanley, Goldman Sachs, JPMorgan Chase and Bank of America were the lead underwriters.^[4],[2],[5]

Reddit shares began trading on the New York Stock Exchange under the ticker RDDT on March 21, 2024, and rose 48% on the first day, according to Variety. Variety reported the stock opened at $47, closed at $50.44 and gave Reddit a market cap of about $9.5 billion. Reddit itself raised $519 million in the offering.^[2],[5]

Reddit's largest pre-IPO holders, according to Variety, were Advance Publications at 29.4% of outstanding shares, Tencent Holdings and Fidelity at 9.5% each, and OpenAI CEO Sam Altman at 8.5%.^[5]

Reddit's 10-Q says Advance Magazine Publishers held about 22% of its outstanding Class A and Class B shares as of June 30, 2026. Class B shares carry ten votes each and Class A shares one vote each. CEO Steve Huffman was entitled to vote shares representing about 74% of the voting power through a voting agreement with Advance, and Reddit is eligible to be a controlled company under NYSE rules.^[1]

Reddit had 146,103,200 shares of Class A common stock and 46,293,310 shares of Class B common stock outstanding as of July 29, 2026, and no Class C shares. A current market capitalization is not stated in the sources reviewed.^[1]

Reddit would join the S&P 500, replacing AvalonBay Communities, S&P Dow Jones Indices said, according to Reuters on August 14, 2026. Reddit shares rose more than 12 per cent in premarket trading that day. J.P.Morgan analysts estimated that index funds could need to buy 16.7 million Reddit shares, nearly three times the stock's average daily volume of about 5.98 million shares since the March 2024 listing.^[3],[5]

Steve Huffman is Reddit's co-founder, Chief Executive Officer and President and sits on its board, according to the 10-Q. Variety reported that he owned 3.2% of Reddit before the IPO, that his 2023 compensation package was worth $193.2 million, and that he earned $17 million in the IPO by selling 500,000 shares.^[1],[5],[2]

Jennifer Wong is Reddit's Chief Operating Officer. The 10-Q says she adopted a prearranged trading plan on May 12, 2026 for the sale of up to 780,000 shares of Class A common stock. Variety reported that she held 1.5% of Reddit before the IPO.^[1],[5]

Andrew Vollero is Reddit's Chief Financial Officer and signed the 10-Q dated July 30, 2026 as principal financial officer.^[1],[6]

Reddit said that in January 2024 it entered into data licensing arrangements totaling $203 million, with terms of 2-3 years and a minimum of $66.4 million of revenue to be recognized in 2024. Fortune adds that the agreements let third parties license platform data, including to train AI models.^[5],[4]

Reddit announced a deal that lets Google use Reddit posts to train its AI models, worth about $60 million annually, according to Reuters as cited by Variety. Fortune confirms the Google arrangement but does not give its value.^[5],[4]

Reddit's 10-Q says content licensing is a novel business model without an established track record, and that substantially all of the contract value of its licensing revenue comes from two of its partners. The 10-Q does not name them. Remaining performance obligations on contracts longer than one year were $92.1 million as of June 30, 2026, mostly long-term content licensing contracts.^[1]

Reddit has bought small adtech and machine-learning companies. TechCrunch lists Memorable AI, bought in August 2024 to enhance its advertising tools, and a handful of 2022 purchases that include Spell, Spiketrap, Oterlu and MeaningCloud. TechCrunch does not give purchase prices.^[6]

Reddit's CFO told analysts on the fourth-quarter earnings call in February 2026 that the company is looking to buy capabilities, technologies and companies. TechCrunch reports he described tuck-in adtech deals as faster to market than building the technology in-house.^[6]

Reddit's 10-Q shows goodwill of $42.2 million at December 31, 2025, with no change during the six months ended June 30, 2026. The sources reviewed show no corporate venture arm or portfolio investments.^[1]