- Reddit (NYSE:RDDT) stock opened more than 5 per cent higher after its first earnings report as a public company
- The San Francisco-based company behind some of the biggest online message boards reported a loss per share of US$8.19, not as bad as the US$8.71 loss that analysts expected
- Q1 revenue reached US$243 million, surpassing Wall Street’s anticipated US$212.8 million. The company, still not profitable, noted a 48 per cent increase in sales compared with the previous year
- Reddit Inc. (NYSE:RDDT) stock opened trading at US$55.00 per share
Reddit (NYSE:RDDT) stock opened more than 5 per cent higher after its first earnings report as a public company.
The San Francisco-based company behind some of the biggest online message boards reported a loss per share of US$8.19, not as bad as the US$8.71 loss that analysts expected.
Q1 revenue reached US$243 million, surpassing Wall Street’s anticipated US$212.8 million. The company, still not profitable, noted a 48 per cent increase in sales compared with the previous year.
Reddit also disclosed US$222.7 million in advertising revenue for the quarter, marking a nearly 40 per cent rise from the previous year.
By the end of Q1, the company boasted 82.7 million daily active users, exceeding analysts’ projections of 76.6 million. Average revenue per user grew by 8 per cent to US$2.94.
Looking forward, Reddit’s management anticipates revenue between US$240 million and US$255 million for the current Q2, outpacing analysts’ expectations of US$224 million.
“It was a strong start to the year and a milestone quarter for Reddit and our communities as we debuted as a public company,” Steve Huffman, Reddit’s co-founder and chief executive said in a news release. “We see this as the beginning of a new chapter as we work towards building the next generation of Reddit.”
Reddit held its initial public offering in March ahead of a highly publicized market debut significantly above its offering a short while later.
Reddit Inc. operates a social platform with a network of more than 100,000 active communities of people who can submit, vote and comment on content, stories and discussions about the topics they care about the most.
Reddit Inc. (NYSE:RDDT) stock opened trading at US$55.00 per share.
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