Snap Beats Sales, User Estimates; Shares Fall on Tepid Outlook
- Fourth-quarter revenue range falls short of some projections
- A long-awaited revamp of Snapchat for Android boosted results
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Snap Inc.’s revenue and user growth beat analysts’ estimates in the third quarter, boosted by an increase in downloads of the revamped Android version of its mobile app. A tepid forecast for the current period, combined with a strong runup in the stock price this year, sent the shares lower in late trading.
The company reported a 13% quarterly jump in daily active users for its Snapchat application, to 210 million, beating the 206 million average estimate of analysts surveyed by Bloomberg. Third-quarter sales jumped 50% to $446 million, compared with the $437.9 million projected by Wall Street.