Reddit reports strong Q3 revenue growth but declining U.S. users and announces logged‑in focus and search‑ad tests
Reddit posted third‑quarter 2026 revenue of $895 million, up 53% year‑over‑year, with advertising revenue of $847 million, up 54% YoY. Daily active users fell 2% in the United States to 50.7 million, while global uniques rose 12% to 130.3 million. The company said it will test a primarily logged‑in experience and experiment with ads in search results, and it guided Q4 revenue to $1.0‑$1.03 billion, below analyst expectations.
Why it matters
The lower‑than‑expected Q4 revenue guidance may pressure the stock and affect investors’ valuation models. A shift to a logged‑in‑only experience could change user metrics and advertising pricing, influencing future revenue streams.
Key facts
- 1Q3 2026 total revenue was $895 million, up 53% YoY. finance.yahoo.com
- 2Q3 2026 advertising revenue was $847 million, up 54% YoY. finance.yahoo.com
- 3U.S. daily active users fell from 53.2 million in Q2 to 50.7 million in Q3. finance.yahoo.com
- 4Global daily active uniques averaged 130.3 million, up 12% YoY. contentgrip.com
- 5Reddit plans to begin testing a primarily logged‑in‑only experience in select markets outside the United States in Q4. contentgrip.com
- 6Q4 2026 revenue guidance was $1.0 billion to $1.03 billion. finance.yahoo.com
Summary written by AlphAI AI Desk from 4 of 4 sources. Not investment advice. Figures are as stated by the linked sources.