Reddit shares jumped 19% after Thursday after the company published its income statement. As of the publication, it had risen by 7%after the market was closed.
Reddit's revenue increased to 61% a year ago to $ 392.4 million in 2025, the company said in a profit publication. CEO Steve Huffman said in a letter to investors that it marks the third consecutive quarter of an increase of more than 60% for Reddit.
Reddit has grown significantly over the past year, partly due to increasing relationships with people with Google and Site traffic growth looking for Reddit terms through Google search. In February, Reddit shares fell more than 15% after CEO Steve Huffman said in a profit speech that Reddit saw “volatility” in traffic after Google pinched its algorithm.
Huffman was asked how he sees “user growth” for the rest of the year, given that Google has already changed its algorithm this year.
“We are waiting for some bumps from Google because we have already seen some this year,” Huffman said. “This is expected every year, but given that the search ecological system is difficult to build, it may be more bumpy in the near future.”
However, Huffman said that “short -term bumps” do not affect Reddit's long -term strategy and growing search market. Huffman said that “there is no doubt” that AI models change how people are looking for information on the Internet, but Reddit always meets the need for “subjective, authentic, filthy, filthy views that Reddit offers.”
“Just like Reddit has been an alternative to social media over the last decade – social media is performative and manicure, and Reddit is the opposite – Reddit communities and conversations are an alternative to AI search answers,” Huffman said.
Huffman also said in a profit speech that Redd has retained major cultural shifts, such as the rise of smartphones and the COVD-19 pandemic, as “the world needs community and shared knowledge and do it best.”
“All kinds of macro environments create both challenges and opportunities,” Huffman told investors. “We have grown up through difficult times before people need connection and information in the same amount of uncertain times, and we are well positioned to meet at that moment.”
