Is It Finally Snap's Time?
Snap Inc. (NYSE: SNAP) reported second quarter financial results after markets closed Tuesday. The camera company said that it had a net loss of $0.14 per share on $262 million in revenue, which compares with consensus estimates calling for a net loss of $0.17 per share and $251.19 million in revenue. The same period from last year had a net loss of $0.16 per share and $181.67 million in revenue.
During the quarter, daily active users (DAU) increased 8% to 188 million, compared to 173 million in Q2 2017, and decreased 2% sequentially, compared to 191 million in Q1 2018.
At the same time, average revenue per user (ARPU) increased 34% to $1.40 in Q2 2018, compared to $1.05 in Q2 2017.
Looking ahead to the third quarter, the company expects to see revenues in the range of $265 million to $290 million and adjusted EBITDA Loss in the range of $185 million to $160 million. The consensus estimates are calling for a net loss of $0.15 per share and $290.8 million in revenue for the coming quarter.
Evan Spiegel, Snap CEO and Co-Founder, commented:
We are excited by the progress we have been making and are optimistic about the opportunities ahead as we continue to invest in innovation.
Shares of Snap closed Tuesday at $13.10, with a consensus analyst price target of $11.74 and a 52-week range of $10.50 to $21.22. Following the announcement, the stock is up nearly 8% at $14.12 in the after-hours trading session.