Snap Surges 25%, Beats Q1 EPS and Revenue Forecasts, Eyes Higher Q2 Revenue

Apr 25, 2024, 08:17 PM

Snap Inc. reported a significant beat on its first-quarter earnings, posting an adjusted EPS of $0.03, compared to the expected loss of $0.05 per share. The company's revenue also exceeded forecasts, reaching $1.195 billion against an expected $1.12 billion, marking a 21% growth. This performance marks a notable turnaround from Snap's trend of declining stock prices following earnings reports over the past two years. Daily active users (DAUs) increased by 10% year-over-year, totaling 422 million, slightly above the forecast of 419.83 million. The adjusted EBITDA was $45.7 million, compared to an expected loss of $67.6 million. Snap's positive earnings have led to a substantial increase in its stock price, with shares surging over 25%. Looking ahead, the company anticipates second-quarter revenues to be between $1.225 billion and $1.255 billion, surpassing the estimated $1.14 billion.