Snap (SNAP) Q3 2026 Earnings
How Did SNAP Stock React to Q3 2026 Earnings?
Did SNAP Beat Earnings? Q3 2026 Results
Yes. Snap reported Q3 2026 earnings of $0.03 a share on Nov 4, 2026, beating the $0.00 consensus estimate by 782.4%. Revenue was $1.7B against a $1.7B estimate.
Snap Inc. delivered a striking profitability swing in Q3 2026, extending its streak of consensus EPS beats to four consecutive quarters as GAAP earnings per share of $0.03 cleared the $0.00 analyst estimate by 782.35%, driven by a sharp contraction in total costs even as revenue climbed 14.3% year over year to $1.72 billion, fractionally below the $1.73 billion consensus. The clearest engine behind the profit turnaround was cost discipline, with total costs rising just 1% while Adjusted EBITDA more than doubled to $382.65 million, representing a 22% margin; management noted that roughly 93% of incremental revenue flowed through to that figure. Net income reached $56.50 million, compared with a net loss of $103.54 million a year ago. Subscription and hardware-adjacent revenue, including Snapchat+ and Memories Storage, jumped 84%, partially offsetting advertising growth that CEO Evan Spiegel conceded "remains below our ambitions," with the company also navigating ongoing legal scrutiny over youth-related platform concerns. Looking ahead, Snap guided Q4 revenue of $1.95 billion to $1.99 billion and Adjusted EBITDA of $490 million to $525 million.
- Other Revenue grew 84% YoY led by Snapchat+, Memories Storage, and Lens+
- Advertising Revenue grew 4% YoY
- Direct response advertising grew strongly; app purchase campaign revenue grew over 54%
- Sponsored Snaps revenue grew 56% sequentially
- Average Spotlight eCPM increased 22% YoY
- Total cost structure grew just 1% YoY; ~93% of incremental revenue flowed to Adjusted EBITDA
- Gross Margin reached 62%, expanding ~7 percentage points
- Full-time employees down 13% YoY to 4,540
“In Q3, we generated positive net income as revenue grew 14% year-over-year to $1.72 billion, reflecting the progress we are making to build a more profitable business.”
Snap CEO, on the earnings call
What Is Snap's Outlook?
For Q4 2026, Snap guided revenue of $1.950 billion to $1.985 billion and Adjusted EBITDA of $490 million to $525 million. Cost guidance: - Infrastructure Costs are expected to grow modestly year-over-year in Q4. - Full-year Infrastructure Costs are now expected at $1.65 billion to $1.66 billion, narrowed from $1.65 billion to $1.70 billion. - All Other Cost of Revenue is still expected at 16% to 17% of full-year revenue. The outlook includes planned investment in SPECS, which Snap paces against milestones. After the current repurchase program is completed in Q4, Snap intends a multi-year dilution-management approach targeting a stable fully diluted share count in 2027. Beginning in Q1 2027, global MAU and MAU-based ARPU will become its primary metrics.
SNAP YoY Financials
| Metric | Q3 2026 | Q3 2025 | Year over year |
|---|---|---|---|
| Revenue | $1.7B | $1.5B | +14.3% |
| Operating Income | $76.7M | $29.5M | +159.8% |
| Net Income | $56.5M | $22.2M | +154.6% |
SNAP Revenue by Segment
SNAP Revenue by Geography
When Does Snap Report Next?
Figures from SEC filings and company reports. Not investment advice.