Is the business good?
How good a business is RDDT?
Reddit, Inc. keeps 28% of every revenue dollar as operating profit, against 6.3% for the median Internet Content & Information name.
28%
Operating margin · Internet Content & Information median 6.3% · 12 months to Q2 2026
- Cash conversion
- 1.17×
Cash conversion · 1.83× a year ago · every dollar of reported profit arrived as cash, and more
- Share count, year on year
- +1.3%
Share count, year on year · shareholders own a smaller slice than a year ago
- R&D as % of revenue
- 30%
R&D as % of revenue
| Year | Operating margin |
|---|---|
| FY2022 | −26% |
| FY2023 | −17% |
| FY2024 | −43% |
| FY2025 | 20% |
Details›
- Gross margin12 months to Q2 2026
- 91%
- Operating margin12 months to Q2 2026
- 28%
- Net margin12 months to Q2 2026
- 31%
- Free cash flow margin
- 37%
- R&D as % of revenue
- 30%
- Revenue, trailing twelve months
- $2.78B
- Free cash flow, trailing twelve months
- $1.02B
- Net income, trailing twelve months
- $871M
Margins, capital and share counts from the statements as filed with the SEC; cash conversion from the cash flow statement.
Internet Content & Information
Ranks #1 of 24 by Smart Score