<p class="canvas-atom canvas-text Mb(1.0em) Mb(0)–sm Mt(0.8em)–sm" type="text" content="Snapchat boosted its daily active user rolls with hefty gain of 9 million in the second quarter of 2020, as the company grew revenue 17% year over year to beat analyst expectations.” data-reactid=”20″>Snapchat boosted its daily active user rolls with hefty gain of 9 million in the second quarter of 2020, as the company grew revenue 17% year over year to beat analyst expectations.
<p class="canvas-atom canvas-text Mb(1.0em) Mb(0)–sm Mt(0.8em)–sm" type="text" content="But investors appeared to have been expecting a bigger coronavirus-fueled lift from Snap, which again — citing the pandemic — did not provide any financial guidance for the current quarter. Shares of Snap were down 3% in after-hours trading, after closing down 2.1% in the regular session.” data-reactid=”21″>But investors appeared to have been expecting a bigger coronavirus-fueled lift from Snap, which again — citing the pandemic — did not provide any financial guidance for the current quarter. Shares of Snap were down 3% in after-hours trading, after closing down 2.1% in the regular session.
<p class="canvas-atom canvas-text Mb(1.0em) Mb(0)–sm Mt(0.8em)–sm" type="text" content="For Q2, Snap reported an average of 238 million daily active users, up 17% year-over-year and a net gain of 9 million for the period (roughly in line with analyst expectations). That came after it netted 11 million in Q1.” data-reactid=”22″>For Q2, Snap reported an average of 238 million daily active users, up 17% year-over-year and a net gain of 9 million for the period (roughly in line with analyst expectations). That came after it netted 11 million in Q1.
The company touted growth on its original entertainment strategy, reporting daily average number of users watching Snapchat Shows in the app increased by more than 45% year-over-year in Q2 (but Snap didn’t disclose what that daily viewership number was). Snap said digital sports media company Wave and lifestyle-content studio Barcroft Studios now reach average monthly audiences of more than 50 million Snapchat users.
<p class="canvas-atom canvas-text Mb(1.0em) Mb(0)–sm Mt(0.8em)–sm" type="text" content="“We continued to grow our community and business in a challenging and uncertain environment,” Snap CEO Evan Spiegel said in announcing the results. “I am proud of our team for innovating on new experiences for our community and driving value for our partners, demonstrating the importance of our service in people’s lives. We are grateful that the resilience of our business has allowed us to remain focused on our future growth and opportunity.”” data-reactid=”24″>“We continued to grow our community and business in a challenging and uncertain environment,” Snap CEO Evan Spiegel said in announcing the results. “I am proud of our team for innovating on new experiences for our community and driving value for our partners, demonstrating the importance of our service in people’s lives. We are grateful that the resilience of our business has allowed us to remain focused on our future growth and opportunity.”
Snap’s second-quarter 2020 revenue increased 17% year-over-year to $454 million, while the company saw its net loss widen to $326 million (with an adjusted net loss of 9 cents per share) versus a net loss of $254 in the year-ago quarter.
Wall Street analysts consensus estimates for Snap’s Q2 were for revenue of $438.1 million and a net loss of 9 cents per share. The company hadn’t provided financial guidance for the quarter citing “uncertainties related to the ongoing COVID-19 pandemic.” It’s not providing Q3 guidance for the same reason.
Snap said daily active users increased both sequentially and on an annual basis in each of its geographic segments (North America, Europe, and Rest of World).
<p class="canvas-atom canvas-text Mb(1.0em) Mb(0)–sm Mt(0.8em)–sm" type="text" content="More to come.” data-reactid=”28″>More to come.
Add Comment