What was Reddit's revenue in Q1 2026?

Reddit's revenue was $663.41 million in Q1 2026.

Why did Reddit stock rise 7.5%?

The stock rose after reporting strong results driven by AI advertising tools and data licensing deals with Google and OpenAI.

What data licensing deals did Reddit sign?

Reddit signed data licensing agreements with Google and OpenAI to use Reddit content for training AI models.

How many consecutive quarters has Reddit grown revenue over 60%?

Reddit has achieved seven consecutive quarters of revenue growth exceeding 60% year-over-year.

What is Reddit's gross margin?

Reddit's gross margin exceeds 90%, which is above the industry average.

Reddit Q1 2026 Revenue Hits $663M on AI Ad and Data Deals

Reddit reported strong Q1 2026 results with revenue of $663.41 million and net income of $203.98 million, driven by AI-powered advertising tools and data licensing deals with Google and OpenAI. The stock rose 7.5% after the announcement.

Reddit (RDDT) reported Q1 2026 results that beat expectations, with revenue of $663.41 million and net income of $203.98 million, sharply higher than a year earlier. The company attributed growth to increased user engagement, AI-driven advertising tools, and data licensing partnerships with Google and OpenAI. Reddit shares rose 7.5% in after-hours trading.

Key Financial Results

Metric	Q1 2026	Q1 2025	Change
Revenue	$663.41M	Not disclosed	7th consecutive quarter of >60% growth
Net Income	$203.98M	Not disclosed	Sharp increase
Gross Margin	>90%	Not disclosed	Above industry average

Highlights from the Report

Revenue Growth: Seven consecutive quarters of revenue growth exceeding 60% year-over-year.
AI Advertising: New AI-powered ad tools contributed to higher ad spending.
Data Licensing: Deals with Google and OpenAI to license Reddit data for AI model training.
User Engagement: Growth in daily active users and time spent on platform.

Guidance

Reddit did not provide numerical guidance for the next quarter, but management indicated continued investment in AI tools and expansion of data licensing partnerships.

Stock Impact

Reddit shares rose 7.5% after the announcement, reflecting investor optimism about the AI-driven business model and data deals.

What This Means for Investors

Reddit's results demonstrate the strength of its user-generated content model, benefiting from two key trends: digital advertising and artificial intelligence. However, investors should watch for competition from other platforms and technology investment costs.