Reddit Forecasts Q2 Revenue Above Analyst Estimates
Reddit expects Q2 revenue between $715 million and $725 million. Growth is driven by new AI advertising tools and a 75% increase in active advertisers.
REDDIT INC-CL A expects second-quarter revenue between $715 million and $725 million, surpassing analyst estimates of $711.6 million. Revenue rose 69% to $663 million in the first quarter, beating the $610.9 million projected by LSEG-compiled data. AI-driven ad tools are successfully attracting advertisers, diversifying revenue as the platform competes for digital marketing budgets.
### AI Tools Drive Advertiser Growth Reddit is deploying AI-focused features that allow advertisers to target specific interests within subreddit threads. These tools include an AI copywriter for platform-specific ads and an automatic creative asset cropper to optimize images for various placements.
