Snap added fewer users and made less money than Wall Street expected
Snap added fewer users and made less money than Wall Street expected
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Snap has said its user base may be small but it’s engaged
12 August, 2017, 00:11
Market watchers had expected the ranks of users to grow to 175 million, with Snap missing the mark.
Also adding to the uncertainty were signals that Snap was focusing on controlling costs rather than expanding its user base outside of North America and Europe. The app's advertising revenue is growing - Snap made $US181.7 million ($231.2 million) last quarter - but the company still fell short of analysts' estimates.
But it wasn't all bad news.
Snapchat said revenue over the three months to the end of June was $181.7m, more than double the same period in 2016.
Spiegel has been urging investors to think of Snap as different from Facebook.
The best thing Snapchat can do now is to do what it never wanted to do: Play the Wall Street expectations game. On a GAAP basis, Snap is expected to post a loss of $359 million. Instagram now has almost 700 million users globally.
Even before the earnings report, Snap's stock had already fallen off a cliff since its hotly anticipated initial public offering earlier this year.
The anemic growth renews investor concerns that the messaging platform is struggling to grow into a mainstream service in the face of fierce competition from Facebook.
Employees will be able to publicly sell their shares for the first time next week, presenting another test of confidence in the company. All CEO Evan Spiegel has to do is something he has disparaged since the company was founded: sell out ... to Alphabet Inc (NASDAQ:GOOGL), no less.
250 million Snaps are saved to Memories each day. He also said that 25% of people in the US, UK and France with smartphones use Snapchat every day.
The number of users climbed more than 20% year-on-year.
Publisher Story views are up 30 percent quarter-over-quarter.
The company hasn't put ads in Maps, which highlights the locations of a user's friends and interesting locales around the world.
Additionally, Spiegel said the company is working to stabilize the backend infrastructure of Snapchat's Android app. Instagram Stories now has 250m active daily users while Snapchat has stalled at 166m. Investors have been anxious about the volatility of the stock, with a post-IPO ban on employees selling shares expiring on Monday. "We believe deeply in the long term success of Snap", he said.
But experts aren't impressed that Snap can't generate steady sales growth - "there is little excuse at this late in the game", James Cakmak of Monness, Crespi, Hardt & Co. said ahead of the earnings release. Snap's ad business has been off to a slow start, but this uptick in the automated selling of its ad inventory is a good sign that its fast growth will continue.
TRADEMARK VIOLATION WARNING: This piece was originally posted by Transcript Daily and is owned by of Transcript Daily. That growth rate is down by 0.8% from 5% growth of the previous quarter.
Snap spent "slightly more" than 200 million in cash on acquisitions during the second quarter, but it wouldn't say exactly how that money was spent.
The city will head to federal court Monday to argue that the Attorney General's actions imposing the new conditions are unlawful. The grants have been used in previous years to purchase SWAT equipment, police vehicles, radios and TASERs.
In it, the president remarks that Nieto speaks "beautifully ", adding that he does not think he "can speak that beautifully". Trump responded by saying " I hope so " before thanking Turnbull and hanging up. " I will be there again and again ".
The main event this week is the Reserve Bank of Australia (RBA) rate meeting out at 5.30 BST on Tuesday morning, August 1. The economy is nearly out of the reversal of mining investment that had been weakening growth of late - another bonus.
The sheer cost of the plant also makes a partnership logical, as it boosts cost-efficiency and economies of scale. He threatened to slap a "big border tax" on Toyota cars if the plant isn't built in the U.S.
To use this new feature, all you need to do is head over to a particular chat from the "recents" list or the search. Microsoft and PayPal today announced a partnership that enables peer-to-peer payments on the Skype mobile app .
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Trump said the measure "will reduce poverty, increase wages and save taxpayers billions and billions of dollars". The bill's supporters, meanwhile, say it would make the US more competitive, raise wages and create jobs.
A White House official on Tuesday said the New York Times story is "disappointing, yet entirely predictable". They say average US temperatures have risen rapidly since 1980 and are now the warmest in 1,700 years.
Last year, Blizzard released some great cosmetic items [VIDEO ] during the event, but this year it might be even better. By using a bit of cash you can also get discounted cosmetic items from last year's event on top of all this.
This is called a partial solar eclipse , and it isn't almost as impressive as the view of a totally eclipsed sun within the umbra. More than two million eclipse glasses will be given out free of charge by over 7,000 public libraries across the U.S.
Toshiba moves closer to avoiding delisting
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N.Korea Releases Korean-Canadian Missionary
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Gunmen Attack Church In Southeastern Nigeria, 8 Killed
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