Snap Stock Sinks On Q2 Earnings: Revenue Miss, EPS In Line, DAUs Up 9% And More

Snap Inc SNAP reported second-quarter financial results after the market close on Thursday. Here’s a look at the key metrics from the quarter.

Q2 Earnings: Snap said second-quarter revenue increased 16% year-over-year to $1.24 billion, missing the consensus estimate of $1.25 billion, according to Benzinga Pro. The social media company reported quarterly earnings of 2 cents per share, in line with analyst estimates.

Daily active users grew 9% year-over-year to 432 million. Monthly active users climbed to 850 million in the quarter.

Operating cash flow came in at negative $21 million and free cash flow was negative $73 million in the quarter. The company ended the quarter with $1.06 billion in cash and cash equivalents.

“Our community grew to reach more than 850 million monthly active users in Q2, with more than 11 million Snapchat+ subscribers,” said Evan Spiegel, CEO of Snap.

“We continued to scale our advertising platform with active advertisers more than doubling year-over-year. We are looking forward to hosting our upcoming Snap Partner Summit on September 17th, where we will announce new updates to our service.”

Outlook: Snap sees third-quarter revenue in the range of $1.335 billion to $1.375 billion, representing year-over-year revenue growth of 12% to 16%. The company anticipates third-quarter adjusted EBITDA of $70 million to $100 million. Snap noted that its guidance assumes daily active users will be approximately 441 million in the third quarter.

Management will hold a conference call to discuss these results at 5:30 p.m. ET.

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SNAP Price Action: Snap shares were down 17.64% after hours at $10.55 at the time of publication Thursday, according to Benzinga Pro.

Photo: Diego Thomazini/Shutterstock.