edit: JonnieCache mentioned Conde Naste will not let them hire more people. Obviously we know where the fault lies then.
Yeah, I imagine the situation is more complicated than that, but look into some of the reddit blogposts and some of the admins comments on here for more details. There was a lot of stuff in the big 'AWS is down' thread about it, something about CN giving them an unlimited operating budget but a tiny, non negotiable hiring budget. God knows.
We don't know what's going on so I think it's a bit unfair to speculate.
But is there any evidence that Reddit is profitable? Would having a more stable platform honestly have much of an impact on that? Server issues aside, they seem to be doing pretty well in terms of page views and user acquisition.