Snap Inc released his results for the third quarter of 2021 after U. S. stocks opened on Thursday. The company's third-quarter revenue and performance guidance fell short of market expectations and plummeted by more than 21% in after-hours trading.
According to the financial report, Snap Inc's third-quarter revenue rose 57 per cent year-on-year to $1.07 billion, below market expectations of $1.1 billion; a net loss of $72 million, with an expected loss of $143 million per share; and an expected loss of $.09 per share.
Snap Inc had 306 million daily active users in the third quarter, slightly exceeding the market expectation of 302.1 million. The company expects fourth-quarter revenue of $1.17 billion to $1.21 billion, while the market expects $1.35 billion.
Snap Inc pointed out:
Apple Inc's privacy changes introduced earlier this year have damaged the company's ability to position and measure digital ads. Global supply chain disruptions and labor shortages have led companies to cut back on advertising spending.
Evan Spiegel, the company's chief executive, warned in February that this would pose a risk to fourth-quarter earnings, but he said on ThursdayIPhone's privacy settings have had a greater-than-expected impact on Snap Inc's advertising business, and Apple Inc's privacy changes and global supply chain disruptions are expected to continue into the fourth quarter.
Affected by Snap Inc's results, US social media stocks fell after hours, while Facebook Inc and Twitter fell more than 4% after hours.
Edit / Anita