The platform counted 126.8 million global daily active unique users in the quarter, a 17% gain compared with the same period last year. Of that total, 53.5 million were U.S. users, 7% more than a year ago, with users outside the United States reaching 73.3 million, a 26% increase. On a per-user basis, Reddit $RDDT generated $5.23 in average revenue globally, a 44% jump, while the figure for U.S. users reached $9.63, reflecting 54% growth, the company said.
Bottom-line results also improved sharply: net income came in at $204 million, swinging from $26 million in the year-ago quarter. Adjusted EBITDA of $266 million was 131% higher than a year earlier and equal to 40% of revenue, while operating cash flow expanded 145% to $312 million, Reddit said.
In a written statement, CEO Steve Huffman pointed to the company's community-driven model as the source of its momentum. "Reddit is a one-of-one business powered by deeply engaged communities and authentic human conversation," he said. "That foundation is driving a rare combination of growth, profitability, and efficiency, and giving Reddit a unique advantage in the age of AI."
During the analyst call, Huffman drew attention to the company's streak of high growth and lean spending profile, noting that revenue has increased more than 60% in each of the past seven quarters. "Our capital expenditures remains low at just $1 million, underscoring the advantage of Reddit's capital-light model," he said, according to CNBC. Reaching 100 million daily U.S. users is a stated company objective, Huffman told analysts, without committing to a date for achieving it.
Among Reddit's data licensing partners are Google $GOOGL and OpenAI, according to CNBC, and Huffman said both relationships carry significant value for the company.
Looking ahead, Reddit guided second-quarter revenue to a range of $715 million to $725 million, above the $712 million Wall Street had projected, according to CNBC. The company also set an adjusted EBITDA target of $285 million to $295 million for the period.
