u/Argothaught — reddlx

>After being harried by complaints that its search function needed improving, Reddit has in the last few years invested in its search engine, and has even added AI features to help its users find what they’re looking for. It appears that investment is finally paying off: The company has seen a 30% year-on-year jump in the number of people using search every week, CEO Steve Huffman said on Thursday.

>Huffman noted that search has been one of the major drivers of user acquisition and retention for the platform.

>“On search, we have seen great performance. Search DAUs, WAUs, and queries are up meaningfully year-over-year. It’s a great driver of retention and DAUs. The search team is, quite frankly, I think doing a great job. If you use Reddit Answers, you can see it is better integrated into the product,” he said on the company’s first quarter post-results conference call.

>Earlier in February, the platform started testing product placement through AI search results in the U.S.

u/Argothaught — 13 days ago

▲ 108 r/redditstock

Drew Vollero (CFO) on today's earnings call:

"[...] Our third major cost is stock compensation and dilution, which remains a positive story. Stock-based compensation and related tax expense was $79 million or 12% of revenue in Q1 and down sequentially from Q4. Similarly, dilution remains modest.

Total fully diluted shares outstanding was 206.4 million, up 0.1% sequentially and up 0.2% year-over-year. The modest share growth in the quarter reflects the continued tight management of our equity spend. For Q1, there was a slight tailwind for dilution for share repurchase activity, although share repurchase activity was modest in the quarter, about 35,000 shares, and about $995 million remains on our $1 billion authorization from February."

reddit.com

u/Argothaught — 14 days ago

▲ 31 r/redditstock

* Reddit (RDDT) says its first quarter revenue up 69%

* Reports 126.8 million daily active unique visitors

* Reddit (RDDT) competes with Meta, Snap, TikTok for ads

* Company's active advertiser base rises 75%

By Jaspreet Singh

April 30 (Reuters) - Reddit (RDDT) forecast second-quarter revenue above analysts' estimates on Thursday betting on its AI-powered tools to boost advertising on the platform.

The social media company offers AI-focused features that allow advertisers to target users based on interests and communities within subreddit discussion threads.

Its ad platform uses AI to improve campaign creation and management through features including an AI copywriter for Reddit (RDDT)-specific advertisements and an automatic creative asset cropper that optimizes images for various ad placements.

"Our active advertiser count grew 75% year-over-year, which I think is the third consecutive quarter that we've had really strong active advertiser count," Reddit (RDDT) Chief Operating Officer Jen Wong told Reuters.

Reddit's (RDDT) quarterly revenue forecast of $715 million to $725 million exceeded the LSEG-compiled analysts' average estimate of $711.6 million.

It expects adjusted earnings before interest, taxes, depreciation and amortization of $285 million to $295 million, above estimates of $277.1 million.

A day earlier, bigger rival Meta projected second-quarter revenue of $58 billion to $61 billion, in-line with estimates. Meta also confirmed its plans for layoffs during its post-earnings call.

Wong said Reddit (RDDT) is "still hiring and adding to our talent base." She acknowledged that "every company is thinking" about how AI could reshape the workforce.

Reddit's (RDDT) first quarter revenue rose 69% to $663 million, beating estimates of $610.9 million.

Daily active unique visitors grew 17% to 126.8 million in the quarter, while global average revenue per user increased by 44%.

Strong results from Reddit (RDDT) show its strategy is paying off as it jostles with dominant platforms such as TikTok and Meta's Instagram and Facebook for ad dollars in a crowded market.

Last month, Reddit (RDDT) partnered with Shopify (SHOP) to help merchants advertise products directly on the social media platform, aiming to convert user discussions into shopping activity. https://www.reuters.com/business/media-telecom/reddit-expects-revenue-above-estimates-ai-tools-fuel-ad-growth-2026-04-30/

u/Argothaught — 14 days ago