Snap Inc. (NYSE: SNAP) reported fourth-quarter financial results after markets closed Tuesday. The company said that it had a net loss of $0.13 per share on $285.7 million in revenue, which compares with consensus estimates from Thomson Reuters that called for a net loss of $0.16 per share and $252.95 million in revenue. The same period of last year reportedly had a net loss of $0.19 per share on revenue of $165.68 million.
During the quarter, daily active users (DAU) increased 8.9 million or 5% sequentially to 187 million, representing the highest net adds since the third quarter 2016. DAUs increased 28.8 million or 18% year-over-year.
Average revenue per user was $1.53 in the quarter, up 46% year over year and 31% sequentially. Cost of revenue per user was $1.02, up 5% year over year and down 14% sequentially.
For the fourth quarter, adjusted EBITDA loss was $158.9 million, an increase of 4% year over year and an improvement of 11% sequentially. Full-year adjusted EBITDA loss was $720.1 million, and it was $459.2 million in 2016.
On the books, Snap’s cash and marketable securities totaled $2.0 billion at the end of the quarter. Cash management reduced the fourth quarter cash burn to $255 million, down 49% sequentially.
The company did not issue any guidance, but the consensus estimates call for a net loss of $0.16 per share on $236.45 million in revenue for the first quarter.
Shares of Snap closed up 1.5% at $14.06, with a consensus analyst price target of $12.36 and a 52-week range of $11.28 to $29.44. Following the announcement, the stock was up 21% at $17.02 in Tuesday’s after-hours trading session.
The #1 Thing to Do Before You Claim Social Security (Sponsor)
Choosing the right (or wrong) time to claim Social Security can dramatically change your retirement. So, before making one of the biggest decisions of your financial life, it’s a smart idea to get an extra set of eyes on your complete financial situation.
A financial advisor can help you decide the right Social Security option for you and your family. Finding a qualified financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with up to three financial advisors who serve your area, and you can interview your advisor matches at no cost to decide which one is right for you.
Click here to match with up to 3 financial pros who would be excited to help you optimize your Social Security outcomes.
Have questions about retirement or personal finance? Email us at [email protected]!
By emailing your questions to 24/7 Wall St., you agree to have them published anonymously on a673b.bigscoots-temp.com.
By submitting your story, you understand and agree that we may use your story, or versions of it, in all media and platforms, including via third parties.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
