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Reddit flags volatile search referrals as US user growth slows
['Jaspreet Singh', 'Min Read']
Yahoo Finance - Business Finance, Stock Market, Quotes, News
By Jaspreet SinghJuly 30 (Reuters) - Reddit said on Thursday that choppy search-engine traffic affected U.S. user growth in the second quarter, overshadowing an upbeat revenue forecast and sending its shares down about 12% in extended trading.
Reddit's user growth is shifting toward international markets that generate less revenue than the U.S.
Daily active unique visitors in the U.S. rose 6% in the second quarter, down from 7% in the prior quarter, while international DAUq jumped 28%.
Reddit also forecast slower revenue growth in the third quarter.
"The company's advertiser growth in the second quarter was 70% year-over-year.