Skip to content

Snap’s Gloomy Outlook Leads to Record Stock Tumble, Hits Rivals

  • CEO says inflation, Ukraine, supply chain affecting ad budgets
  • Social network’s warning pummels other ad-focused tech giants
Video player cover image

WATCH: Snap said it will report revenue below the low end of its guidance. And the CEO warned his staff of a hiring slowdown. Juliette Saly reports.

Source: Bloomberg
Updated on

Snap Inc. plunged 43%, posting its biggest-ever one-day drop and dragging down social media peers, after the company cut its revenue and profit forecasts, blaming the weaker economic outlook for a sudden slowdown of its advertising business.

“We continue to face rising inflation and interest rates, supply chain shortages and labor disruptions, platform policy changes, the impact of the war in Ukraine, and more,” Chief Executive Officer Evan Spiegel said in a note to staff on Monday. The company will also slow hiring.