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Reddit RDDT Business Segments — Adjusted operating expenses

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Other financials

Income statement

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Revenue$663.4M+69.1%
Gross profit$607.1M+70.9%
Operating income$182.9M+4,586%
Net income$204.0M+680%
EPS (diluted)$1.01+677%

Balance sheet

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Cash & equivalents$1.4B+116%
Total debt$21.3M-19.8%
Total equity$3.2B+43.4%
Total assets$3.5B+43.0%

Cash flow

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Operating cash flow$312.3M+145%
CapEx$1.1M+11.3%
Free cash flow$311.2M+146%

Valuation

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Market cap$32.14B+23.7%
Enterprise value$30.78B+21.8%
P/E45.4×
P/S13×-2.6×

Profitability

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Gross margin91.4%+0.6pp
Operating margin25.1%+23.8pp
Net margin28.6%
FCF margin35.1%+13.5pp

Returns & leverage

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Return on equity26.2%
Debt / equity0.0×
Current ratio12.7×+0.3×

Where this comes from

Reported directly by Reddit in its filing.

Tagged under the XBRL concept rddt:OperatingExpensesExcludingDepreciationDepletionAmortizationAndShareBasedPaymentArrangementExpenseAdjusted.

The official record: Reddit’s 10-Q, filed April 30, 2026, on SEC EDGAR. View the filing →

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Questions, answered.

What is Reddit's business segments — adjusted operating expenses?
Reddit (RDDT) reported business segments — adjusted operating expenses of $341.32M in Q1 2026.
How has Reddit's business segments — adjusted operating expenses changed year-over-year?
Reddit's business segments — adjusted operating expenses increased by 42.1% year-over-year, from $240.22M to $341.32M.
What is the long-term trend for Reddit's business segments — adjusted operating expenses?
Over 3 years (2022 to 2025), Reddit's business segments — adjusted operating expenses has grown at a 20.2% compound annual growth rate (CAGR), from $671.14M to $1.16B.
What does business segments — adjusted operating expenses mean?
This metric aggregates the core operating costs required to run the primary business segment, such as research and development, sales and marketing, and general administrative costs, adjusted to exclude specific non-recurring or non-cash charges. It provides a normalized view of the ongoing investment required to maintain and grow the segment's market position. Monitoring this helps investors understand the underlying burn rate or operational overhead of the business.