Reddit CEO Steve Huffman celebrated the successful IPO, setting the share price at $47 on the NYSE. In their third-quarter earnings report, Reddit exceeded expectations with earnings per share at 80 cents and revenue at $585 million. The company projects fourth-quarter sales between $655 million and $665 million, with global average revenue per user at $5.04.

Reddit’s sales surged 68% year-over-year in the third quarter, with net income at $163 million. The company expects adjusted earnings in the fourth quarter to be between $275 million and $285 million. Global daily active uniques for the third quarter grew 19% to 116 million, surpassing estimates.

Google and OpenAI are some of Reddit’s biggest data licensing partners, contributing to the company’s “Other revenue” category increase to $36 million. Reddit reported a 7% year-over-year rise in this category. Reddit’s global logged-in daily active users rose 14% in the third quarter, with U.S. logged-in DAUq at 23.1 million.

Investors are monitoring Reddit’s user growth amidst Google’s AI features. Reddit CEO Steve Huffman emphasized improving user experience to attract more users and drive retention. Reddit COO Jen Wong mentioned running performance-marketing campaigns to attract users overseas and increase brand awareness and consideration.

Google and Meta both reported third-quarter earnings that surpassed Wall Street expectations. Watch: Looking to see if Meta AI can reach consumer scale.

Read more at CNBC: Reddit shares rise on earnings beat, strong forecast