Reddit, Inc.

If you would like to withdraw your question, please press star one again. Thank you. I would now like to turn the call over to Jesse Rose, Head of Investor Relations. Jesse, you may begin your conference.

Great. Thanks, Krista. Good afternoon, everyone. Welcome to Reddit's second quarter 2024 earnings conference call. Joining me today are Steve Huffman, Reddit's co-founder and CEO, Jen Wong, Reddit COO, and Drew Valeros, Reddit CFO. Before we get started, I'd like to remind you that our remarks today will include forward-looking statements. Actual results may vary materially from those contemplated by these forward-looking statements. Information concerning risks, uncertainties and other factors that could cause these results to differ is included in our SEC filings. These forward-looking statements represent our outlook only as of the date of this call. We undertake no obligation to revise or update any forward-looking statements. During this call, we will discuss both GAAP and non-GAAP financial measures. Reconciliation of GAAP to non-GAAP financial measures is set forth in our letter to shareholders. Our second quarter letter to shareholders and accompanying earnings press release are available on our investor relations website at investor.redditinc.com and investor relations subreddit r slash rddt. And now I'll turn the call over to Steve.

Hi, everyone. Thank you for joining and welcome to our second quarter earnings call. Q2 was another strong quarter for Reddit and our communities. We kept up our momentum with both strong business performance and progress on the product. In Q2, both users and revenue grew over 50% year over year. And for the second consecutive quarter, we had positive cash flow and were profitable on an adjusted EBITDA basis. User growth has continued to climb, reaching new heights with over 342 million active users and more than 91 million daily active users. More and more people are coming to Reddit to explore their interests, engage in conversations, and find their communities. And increasingly, users are turning to Reddit for answers to their questions via search, recognizing the authenticity and trustworthiness of our content across a wide variety of topics. Our product work is focused on enhancing the user experience to make Reddit faster, safer, and easier to use. Conversations are the heart of Reddit, and we've improved our app with near instant comment loading and more intuitive navigation across different post types, including text, video, and images. The recent improvements bring users into conversations faster and more often, driving more engagement on the platform. The number of comments viewed reached a new high, up 10% from Q1 to Q2. Over the years, we've hosted some notable Ask Me Anything sessions, ranging from US presidents to celebrities and sports figures to regular people with interesting stories. We introduced several updates to the AMA feature, making it easier for hosts to schedule and post and easier for users to participate. During the pilot, we've seen hundreds of new AMAs created, including those with high-profile brands and artists. These product updates tie into our advertising strategy allowing us to test new conversation ad placements and AMA ads, which are high intent services for brands and businesses to reach their audience. As the platform continues to scale, so does our need for safety and moderation tools. Using AI, we are reducing the moderation burden and making Reddit's platform safer at scale. We are evolving what the day-to-day looks like for moderators on Reddit, allowing them to spend more time engaging and growing their communities. International expansion remains a top priority and one of our largest opportunities. 50% of our current user base is outside of the US, and we believe we can scale this meaningfully over time. International growth was a key driver in Q2, both in users and revenue. International daily active users exceeded 45 million, growing 44% year-over-year and 11% from Q1. This was led by focus countries like France, India, the UK, and the Philippines, where we're seeing good results with our growth strategies, including through machine translation. Immersive machine translation is now widely available in French, and as a result, France was one of our fastest growing countries, surpassing growth in the US. We will now begin to expand machine translation to German, Spanish, and Portuguese, aiming to make Reddit accessible to everyone, regardless of their native language. Looking ahead, we're making progress across our emerging initiatives, including the user economy, search, and data licensing. Starting with the user economy, we're excited to have our developer platform out to public beta with a few hundred active developers. In Q2, we saw growing engagement with about three times more custom post views than in Q1, including scoreboards and stock tickers in our international sports and investing communities. We're working towards enabling monetization within the developer platform to empower our users to create and earn money on the platform this year. I look forward to sharing more about this in the coming quarters. Okay, next let's discuss our opportunity in search. Reddit's content is uniquely valuable and becoming more important in the context of internet search. Users run over a billion search queries a month on Reddit today, and our product work is improving the search experience and success rate on the platform. Later this year, we will begin testing new search result pages powered by AI to summarize and recommend content, helping users dive deeper into products, shows, games, and discover new communities on Reddit. Turning to third-party search, we're seeing an evolution in the search ecosystem where internet search, summarization, and training are blending. We are seeking the right balance between openness and protecting our users and platforms. Our partnerships with Google and OpenAI align with our public content policies and uphold our belief in the connected internet, helping people find what they're looking for and to discover communities on Reddit. Our preference is for Reddit to be open and indexed in third-party search, and we are in discussions with both big and small search engines towards this end. However, some players in the ecosystem have not been transparent with their use of Reddit's content. And in those instances, we've blocked access to protect Reddit content and user privacy. We believe the internet and search are better with Reddit's content, and we remain open to finding solutions that are mutually beneficial to our users, Reddit, and the broader internet community. To wrap up, I'm happy with the progress we've made in our first two quarters as a public company. We're still early in our journey with many opportunities and opportunities for execution ahead to fulfill our mission. Thank you again for joining for being a part of this journey with us. And now I'll hand it over to Jen.