Snap stock soars after results, user counts top Street view
Snap Inc. shares soared in the extended session Tuesday after the social-media company topped Wall Street estimates on several metrics. Snap shares rallied 16% after hours, following a 1.6% gain to close the regular session at $7.04. The company reported a fourth-quarter loss of $191.7 million, or 14 cents a share, compared with a loss of $350 million, or 28 cents a share, in the year-ago period. The adjusted loss was 4 cents a share. Revenue rose to $389.8 million from $285.7 million in the year-ago quarter. Analysts surveyed by FactSet had forecast a loss of 19 cents a share on revenue of $377.2 million. Snap reported daily active users of 186 million in the fourth quarter and average revenue per user of $2.09, while analysts had forecast 184.3 million users and average revenue per user of $2.05. Snap reported 187 million daily-active users and average revenue per user of $1.53 in the year-ago period after touching a peak 191 million daily-active users. For the first quarter, Snap expects an adjusted loss before interest, tax, depreciation and amortization of $165 million to $140 million on revenue of $285 million to $310 million, while analysts had forecast a $170.6 million loss on revenue of $299.5 million. Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.