Reddit (RDDT) absolutely crushed Q3 2025 expectations, reporting a dramatic swing to profitability alongside explosive user growth. The social media giant announced $348 million in revenue, a staggering 68% year-over-year increase, translating into a net income of $29.9 million — its second profitable quarter in a row. Diluted EPS hit $0.16, handily beating analyst projections.
Daily Active Users (DAUs) surged to 97.2 million globally, up 47% year-over-year, showcasing sustained engagement. This stellar performance, analysts note, is largely driven by Reddit's aggressive push into AI-powered ad targeting and strategic international expansion. Following the announcement, RDDT shares jumped 15-20% in after-hours trading, cementing its post-IPO success. What a turnaround!