Reddit Reports Strong Q2 Growth Amid Challenges

The social media platform sees impressive revenue and user increases but faces potential volatility and low ARPU growth.

Reddit's Q2 revenue rose 54% year-over-year to $281 million, exceeding expectations.
Daily active users grew by 51%, reaching 91.2 million.
Advertising revenue increased by 41%, contributing significantly to overall growth.
Despite strong results, shares fell in aftermarket trading due to concerns over low ARPU growth and upcoming lock-up expiration.
CEO Steve Huffman announced plans to enable user monetization and enhance search capabilities with AI.