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Snap Tumbles on Projected Sales Drop in Warning For Meta, Google

  • Revenue drop between 2% and 10% projected for current quarter
  • Snap making changes to direct response advertising business
Bloomberg business news
WATCH: Snap is forecasting its first ever revenue delcine and Facebook parent Meta is also expected to disappoint. Aggi Cantrill reports.Source: Bloomberg
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Snap Inc. shares tumbled about 14% on Wednesday after the company projected its first ever quarterly revenue decline, casting a shadow over other advertising-dependent businesses. 

The Snapchat parent said sales are expected to drop as much as 10% in the current period from a year earlier amid a flurry of changes to its advertising products. In the fourth quarter, sales were flat at $1.3 billion, marking the first-ever quarter of no growth since the company went public six years ago.