Reddit (NYSE:RDDT) has reported its fourth quarter and full-year 2025 results, posting earnings and revenue that exceeded Wall Street expectations and unveiling a $1 billion share repurchase program.
For Q4, Reddit reported earnings per share of $1.24, surpassing analysts’ consensus of $0.94, while revenue reached $726 million, well above the forecast of $577 million.
Revenue grew 70% year-over-year, driven primarily by advertising, which rose 75% to $690 million. Other revenue contributed $36 million, up 8% from the prior year.
Daily Active Uniques (DAUq) globally totaled 121.4 million, a 19% increase from the prior year, slightly above analyst expectations of 120 million.
Net income for the quarter was $252 million, up 255% year-over-year, and adjusted EBITDA reached $327 million.
For the full year 2025, Reddit generated $2.2 billion in revenue, up 69% from 2024, with net income of $530 million and adjusted EBITDA of $845 million. Gross margins were 91.2% for the year.
Reddit also guided Q1 revenue of $595 million to $605 million, above the $577 million consensus estimate, and adjusted EBITDA of $210 million to $220 million.
In addition to reporting strong financial results, Reddit’s board of directors authorized a share repurchase program of up to $1 billion of Class A common stock.
“We’re entering the next era of Reddit—defined by sharper execution, global expansion, and product innovation that puts real people and conversations at the center,” Reddit CEO Steve Huffman said in a statement. “Our focus is on turning Reddit’s authenticity into even more everyday utility.”
Shares of Reddit fell 3.4% following the report, likely reflecting profit-taking.