Reddit, Inc. Revenue & Financials

The number that matters most in Reddit's financial story isn't the $2.2 billion revenue figure. It's the margin swing. In FY2024, Reddit lost $484 million. In FY2025, it earned $530 million in net income. That's a billion-dollar improvement in profitability in twelve months, on a platform that didn't fundamentally change its product. What changed was scale hitting the cost structure. When your content is free and your moderators are volunteers, every incremental advertising dollar falls almost entirely to the bottom line. The revenue trajectory tells a growth story that few public companies can match right now: $667 million in 2022, $804 million in 2023, $1.3 billion in 2024, $2.2 billion in 2025. Q1 2026 alone was $663 million — more than the entire year of 2022. That's seven consecutive quarters of 60%+ year-over-year growth. The Q1 2026 net margin of 31% ($204 million on $663 million) suggests the profitability isn't a one-time accounting event but a structural feature of the model. Geographically, the US still dominates at 81% of revenue (~$1.79 billion), with international contributing ~19% (~$417 million). That concentration is both a risk and an opportunity — it means the international advertising market is barely tapped. Revenue per employee sits around $1 million annualized, which is strong for a company that's still investing heavily in ad technology, machine learning, and international expansion. The $28 billion market cap values Reddit at roughly 10.6x its annualized run rate, a premium that assumes the growth continues but not an absurd one given the trajectory.