Snap Inc, the parent of Snapchat, released its financial report, and the figures that came in were not too shabby.
The latest financial report showed that it lost 23 cents per share, which brought the total loss up to $326 million.
However, the revenue saw a 17% increase to $454 million from last year’s $388 million. It exceeded the analysts’ expectations of $442 million, with a loss per share of 9 cents, up 3 cents from last year’s figures.
The number of daily active users also saw a 17% increase to 238 million, somehow in line with the 238.5 million expected.
The company's CFO Derek Andersen announced the expectations for the upcoming quarter but didn’t provide any overall guidance. The Q3 revenue is expected to grow by 20%, lower than the 32% previously mentioned.
Analysts expect Snap to continue to take advantage of the likely return of advertisers in the next six months, similar to what Facebook is supposed to do if the boycott stops.
In a top with the most promising stocks made by JP Morgan, Snap and Facebook are tied, followed by Alphabet, Pinterest, and Twitter.
The stock price dropped by 11% after the report. Overall, since January 1st, 2020, Snap's stock price gained 52%, while USA500 added 0.8%.
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Sources: marketwatch.com, finance.yahoo.com
