Business Segments · Cost of revenue

Business Segments — Cost of revenue

Reddit Business Segments — Cost of revenue decreased by 4.2% to $56.27M in Q1 2026 compared to the prior quarter. Year-over-year, this metric grew by 51.7%, from $37.09M to $56.27M. Over 3 years (FY 2022 to FY 2025), Business Segments — Cost of revenue shows an upward trend with a 22.8% CAGR. This is a positive signal — lower values indicate better performance for this metric.

Analysis

StatementSegment
CategoryEfficiency
SignalLower is better
VolatilityStable
First reportedQ1 2022
Last reportedQ1 2026

How to read this metric

A rising ratio of cost of revenue to total revenue suggests margin compression and potential inefficiencies in service delivery.

Detailed definition

This metric represents the total direct costs incurred to generate revenue for the primary business segment, including a...

Peer comparison

Standard GAAP Cost of Revenue metric used across all industries.

Metric ID: rddt_segment_reportable_segment_cost_of_revenue

Historical Data

17 periods
 Q1 '22Q2 '22Q3 '22Q4 '22Q1 '23Q2 '23Q3 '23Q4 '23Q1 '24Q2 '24Q3 '24Q4 '24Q1 '25Q2 '25Q3 '25Q4 '25Q1 '26
Value$26.20M$26.20M$26.20M$26.20M$27.75M$27.75M$27.75M$27.75M$27.62M$29.50M$34.63M$31.85M$37.09M$45.90M$52.51M$58.72M$56.27M
QoQ Change+0.0%+0.0%+0.0%+5.9%+0.0%+0.0%+0.0%-0.5%+6.8%+17.4%-8.1%+16.5%+23.8%+14.4%+11.8%-4.2%
YoY Change+5.9%+5.9%+5.9%+5.9%-0.5%+6.3%+24.8%+14.7%+34.3%+55.6%+51.6%+84.4%+51.7%
Range$26.20M$58.72M
CAGR+21.1%
Avg YoY Growth+26.7%
Median YoY Growth+14.7%

Frequently Asked Questions

What is Reddit's business segments — cost of revenue?
Reddit (RDDT) reported business segments — cost of revenue of $56.27M in Q1 2026.
How has Reddit's business segments — cost of revenue changed year-over-year?
Reddit's business segments — cost of revenue increased by 51.7% year-over-year, from $37.09M to $56.27M.
What is the long-term trend for Reddit's business segments — cost of revenue?
Over 3 years (2022 to 2025), Reddit's business segments — cost of revenue has grown at a 22.8% compound annual growth rate (CAGR), from $104.80M to $194.22M.
What does business segments — cost of revenue mean?
The total direct costs required to generate revenue for the primary business segment, including all GAAP-reported expenses.