White background layer and red Type layer.
Attach an empty white mask to the Type layer then paint black splatters in the mask. Black in a mask causes the respective pixels of a layer to not show.
Personally I think that was done in Illustrator or another vector application.
But, you can also find many grunge brushes (and patterns) on the Internet. One such set of grunge brushes:
There are also several other (some similar) workflows to create "distressed type," including some such FX from Photo F/X Corp, in their Type F/X series. Not sure if they are still around, or have perhaps been acquired by another software company. A Google Search for "distressed type" yields tons of tutorials, and some sources:
https://www.google.com/search?q=photo+f%2Fx+corporation&aq=f&oq=photo+f%2Fx+corporation&aq s=chrome.0.57.8197j0&sourceid=chrome&ie=UTF-8#hl=en&sclient=psy-ab&q=%22distressed+type%22 &oq=%22distressed+type%22&gs_l=serp.3..0l4.97332.101820.1.1029184.108.40.206.0.0.0.608.4585.0j 6j4j5j1j1.17.0...0.0...1c.1.9.psy-ab.5R6sOXt7RmY&pbx=1&bav=on.2,or.r_cp.r_qf.&bvm=bv.45218 183,d.aWc&fp=35a609f5c41a95ed&biw=1654&bih=836
PS - there might even be an old tutorial series that I did, back in the NNTP days, but it was for PS 3, when type-handling was much different.