The contract is worth $14.5 million, an average annual value of $3.625 million. Read is entering the final season of his entry-level contract, which will pay him $900,000 in 2013-14.
"We're excited and happy we finally got it done," general manager Paul Holmgren said in a statement. "He's one of the young core players on our team. We're happy to have him under contract for the next five years with this extension."
Read signed with the Flyers as a free agent on March 24, 2011, after playing four seasons of college hockey at Bemidji State, where he had 43 goals and 108 points in 110 games.
The 27-year-old scored 24 goals and finished with 47 points in 79 games as a rookie in 2011-12. He scored 11 goals and finished with 24 points in 42 games last season.
"I'm very happy about it," Read said of the extension. "My first two years have been very overwhelming for me. It's still crazy to me to think I'm playing in the National Hockey League. So to sign my second contract with the Philadelphia Flyers is a dream come true. I couldn't be happier with being with this organization, and I'm glad to be here for a couple more years."