Social media website Reddit (NYSE:RDDT) posted a net income of $29.9 million in the third quarter, marking the first quarterly profit since going public in March.
Reddit delivered this on an 8.6% margin, driven by a 56% increase in advertising revenue to $315.1 million.
This exceeded Reddit (NYSE:RDDT)’s forecasts, as did an adjusted EBITDA of $94.1 million, which comfortably smashed the target range of $40 million to $60 million.
“It was another strong quarter for Reddit and our communities as we achieved important milestones, including new levels of user traffic, revenue growth, and profitability,” said co-founder and chief executive Steve Huffman.
Reddit welcomed 97.2 million daily active users onto its message boards in the quarter, a nearly 50% year-on-year increase.
Chalking up another win, the group’s share price is expected to soar up to 23% when US markets open.