隔夜，“美国贴吧”Reddit公布截至9月的季度业绩报告，报告显示，Source: Wall Street See
Reddit's third-quarter sales increased by 68% year-on-year to $0.3484 billion, with adjusted EBITDA of $94.1 million, achieving its first-ever profitability. Advertising business revenue saw a significant growth of 56%, and the company expects fourth-quarter revenue to continue growing in the range of $0.385-0.4 billion.
Advertising business revenue is strong, $Reddit (RDDT.US)$ Third-quarter performance exceeded expectations across the board, with stock price hitting a historical high after hours.
Overnight, the "American Tieba" Reddit released its quarterly performance report up to September, showing that Reddit's third-quarter sales increased by 68% year-on-year to $0.3484 billion, surpassing the expected $0.3128 billion. The adjusted EBITDA was $94.1 million, achieving the first-ever profit, compared to a loss of $6.9 million in the same period last year.
Boosted by this, Reddit's stock price continued to rise after hours, reaching a historical high, with both stock price and valuation doubling since the IPO.
The financial report also shows that Reddit's daily active users (DAU) in the third quarter increased from 66 million in the same period last year to 97.2 million, with a gross margin of 90.1%, a 280 basis point increase year-on-year.
The profit outlook is also optimistic, with Reddit expecting fourth-quarter sales revenue to reach $0.385-0.4 billion, exceeding analysts' expectations of $0.356 billion, and expected adjusted EBITDA to reach $-0.125 billion.
Reddit's chief financial officer, Drew Vollero, stated that the company has made very good progress this quarter, with the growth of daily active users, revenue, and gross margin being key drivers of profitability.
According to Vollero's comments:
"This is a comprehensive and strong quarter, which we can consider as a milestone."
In Vollero's view, Reddit's performance has benefited from a "differentiated profit model". Despite being a social media platform, Reddit is mainly focused on text content, resulting in lower costs compared to its peers. The financial report shows that Reddit's capital expenditure in the third quarter was 1.4 million USD, accounting for only 1% of the company's revenue.
Furthermore, Reddit has been striving to develop its advertising business in recent years, actively pushing forward AI content licensing partnerships with companies such as Alphabet, OpenAI, in order to seek diversified development. In the third quarter, the company's advertising business revenue reached 0.315 billion USD, accounting for 90.4% of total revenue, a significant year-on-year increase of 56%.
It is reported that Reddit was founded in 2005. Its WallStreetBets forum is a gathering place for many individual investors in the US stock market. It gained great fame in events such as the recent showdown between individual investors and Wall Street shorts in platforms like GameStop.
Editor / jayden
