Snap (SNAP), the parent company of photo-sharing app Snapchat, reported first-quarter user growth that exceeded consensus expectations, as stay-in-place orders from the coronavirus pandemic bolstered user activity.
During the first quarter, Snap’s daily active users grew by 11 million to 229 million, representing a 20% jump over the same period last year and a 5% rise over last quarter. The report sent the company’s shares on an after-hours tear, adding more than 18% from Tuesday’s closing levels to trade under $15 per share.
Here were the main results from the report, compared to consensus estimates compiled by Bloomberg:
Revenue: $462.5 million vs. $420.8 million expected
Adjusted loss per share: 8 cents vs. 8 cents expected
Daily active users (DAU): 229 million vs. 223.8 million expected
Average revenue per user (ARPU): $2.02 vs. $1.87 expected
Snap joined a host of other companies in declining to provide guidance because of the COVID-19 crisis, and said it would not be providing its expectations for revenue or adjusted EBITDA for the second quarter.
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