Snapchat stock soars 20% after ending losing streak

Snapchat stock soars 20% after ending losing streak

Investors were thrilled with the outcome, sending Snap stock sky rocketing more than 25 percent in after-hours trading.

Snap also added more users than expected, with daily active users rising almost 9m to 187m from the previous quarter.

Snap posted losses of $0.13 per share on $285.7 million in revenue versus expectations of a $0.16 per share loss on $252.95 million in revenue. It reported an adjusted loss of 13 cents a share, beating the consensus estimate for a 16-cent loss.

"We continue to view Snap's audience and platform as a unique asset in the digital-media space with a long monetization runway", said John Egbert, an analyst at Stifel Nicolaus, in a note to investors before the results. If the gains hold, Snap's stock could top its IPO price of $17 a share for the first time since July. Twitter's expense of $600 million in 2013 was slightly less than its revenue, while LinkedIn had just a $30 million expense and $522 million in sales in 2011, the year it debuted on the market. The company's revenue for the quarter was up 62.2% on a year-over-year basis.

"Our business really came together towards the end of past year", Spiegel said in remarks prepared for a conference call with analysts.

Sibanye mine must stay shut‚ says Numsa
This goes to demonstrate the attitude of management towards safety, said Mr Sahlulele Luzipo, Chairperson of the Committee. South Africa is the seventh largest gold producer in the world , mining around 140 tonnes of the precious metal annually.

For the full year, Snap's revenue rose to $825m, more than double the $404m it made last year. It was Snap's fourth quarterly earnings as a public company.

Those design changes have put a bigger emphasis on user-to-user sharing, as opposed to content created by publishers and brands. Analysts had only been expecting Snap Inc (SNAP) to add 6 million daily users for a total user base of 184 million daily users.

Even though Snap wasn't vocal about its release, Snapchat's new Do Not Disturb comes at a time when more people in the tech industry are talking about smartphone addiction.

The silver lining in a hard 12-month period for Snap is that it continues to grow both users and revenue despite Facebook's ruthless attempts to demolish it. Facebook's copies have certainly hurt the company, but they have not killed it yet.

Spiegel said 90 percent of Snap ad revenues now come from its automated platforms, and said this system is likely to help boost growth.

Related Articles