Reddit Inc. (RDDT) Soars 14.74% on Q2 Earnings Surge

Reddit Inc. (RDDT) surged 14.74% in pre-market trading on August 1, 2025, driven by impressive financial results for the second quarter of the year.

Reddit's Q2 2025 earnings report showcased a remarkable 78% year-over-year increase in revenue, reaching $500 million. This significant growth surpassed analyst expectations and marked the company's most profitable quarter to date. The strong performance was largely attributed to a surge in advertising revenue, which has become a key driver for the social media platform.

During the earnings call, Reddit highlighted its strategic focus on artificial intelligence and advertising, positioning itself for continued growth. The company's projections for the next quarter also indicated optimism, with expected revenue ranging from $535 million to $550 million. This positive outlook has further bolstered investor confidence, contributing to the stock's surge.

Investors responded positively to Reddit's earnings report, with shares rising as much as 20% in after-hours trading. The strong financial performance and optimistic projections have positioned Reddit as a promising player in the social media and advertising sectors, attracting significant attention from the investment community.