Reddit reports strong sales and issues optimistic guidance

Reddit CEO Steve Huffman stands on the floor of the New York Stock Exchange (NYSE) after ringing a bell on the floor setting the share price at $47 in its initial public offering (IPO) on March 21, 2024 in New York City. Reddit reported first-quarter revenue on Thursday that beat Wall Street expectations, and issued better-than-expected guidance. The stock initially soared by as much as 19% in after-hours trading, but receded to around 5% when executives discussed the shaky economy and Google search-related challenges. Here's how the company did compared with LSEG estimates: Earnings per share: 13 cents vs. 2 cents expected 13 cents vs. 2 cents expected Revenue: $392 million vs. $370 million expected Revenue rose 61% from $243 million a year earlier. Net income was $26.2 million, or 13 cents a share, compared to a year ago when the company recorded a net loss of $575.1 million, or $8.19 a share, due to costs associated with its IPO. Reddit said second-quarter sales should be in ... Read full article.