Snap beats Q3 analyst expectations
Snap's stock price shot up by more than 23% in after-hours trading Tuesday after the company posted Q3 results that beat analyst estimates.
Why it matters: Similar to other social media companies, Snap's business has done well during the ongoing COVID-19 pandemic.
By the numbers:
- Earnings per share: $0.01 adjusted, compared to a loss of $0.05 per share expected, per Yahoo Finance.
- Revenue: $679 million, compared to $549.99 million expected, per Yahoo Finance.
- Daily active users: 249 million, up 18% year-over-year.
- Average revenue per user: $2.73.
- Average number of snaps created daily is up 25% year-over-year.
What they're saying: "As businesses adapted and began to look for opportunities to increase their marketing budgets in Q3, we were pleased to see existing advertisers resume and even increase their budgets, as well as new advertisers allocate spend to drive real business value via our self-serve ad platform," chief business officer Jeremi Gorman said in prepared remarks.