Snap Inc Beats Revenue Expectation and User Growth Numbers

Snap Inc shares increased more than 16% on Thursday after the company reported its second-quarter earnings. The earnings beat the expectations across the board for earnings, revenue, and user growth.Snap Inc reported the adjusted earnings per share 10 cents, and the analysts predicted it as 1 cent per share.  The revenue reported was $982 million, and the expected revenue was $846 million. According to StreetAccountt, the global daily active users is 290.3 million, and the company reported 293 million.

According to the StreetAccountt, Average revenue per user is $2.92 per share, but the company reported it as $3.35. The net loss was narrowed 53% to $152 million, from a loss of $326 million a year ago.The California-based social media company reported 293 million daily active users, up nearly 5% from the 280 million reported in April. That figure is up more than 23% compared with the 238 million daily users reported a year prior.

Jeremi Gorman, Snap’s chief business officer, said that the company was not affected by Apple’s iOS 14.5 privacy changes as it had predicted that it would be. This was due to the mobile operating system update launching later than expected.

In addition, iOS users are slow to update their devices, and Snap notices higher opt-in rates than they are seeing reported across the industry. They believe users have immense faith in their products and offerings.Snap Inc reported 293 million daily active users, up nearly 5% from the 280 million reported in April. That figure is up more than 23% compared with the 238 million daily users reported a year prior. In addition, the company said that it expects year-over-year revenue growth of 58% to 60% for the third quarter.