Snap “lost” analysts’ estimates for both profits and revenue for the first quarter of 2022, with daily users, however, growing by 18% on an annual basis, exceeding expectations.
More specifically, the company recorded a loss of 2 cents per share against provisions for earnings of 1 cent per share, according to a survey by Refinitiv.
Revenue was $ 1.06 billion, compared to estimates for $ 1.07 billion, with global daily active users at 332 million versus 330 million, according to StreetAccount.
Average revenue per user (ARPU) was $ 3.20 against $ 3.25, up 16.8% year-on-year.
“The first quarter of 2022 had more challenges than we expected,” Snap CEO Evan Spiegel said in a statement.
Spiegel blamed macroeconomic issues on the company, including on advertisers who stopped campaigning over Russia’s invasion of Ukraine in February.
Revenues for the second quarter are estimated by the company to be increased by 20% to 25%, below analysts’ forecasts by 28%. Active users, however, are estimated to reach 344 million compared to estimates for 341.4 million.
The company’s share recorded losses of about 4% in electronic post-conference transactions.
Source: Capital
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