As Evan Spiegel prepares to launch a redesigned Snapchat meant to draw new users and boost growth, the app's parent company reported its best quarter yet since its public debut. It added 8.9 million daily active users in the final three months of the year, more than any other quarter of the year. Wall Street expected Snap to add about 6 million daily users during the quarter. The poor report included slowing user growth and a revenue miss, and showed no clear path to profitability.
Spiegel said the company has hired 2,400 employees over the past two years, an average of 100 each month. The net loss was $350 million in the fourth quarter, for a full-year loss of $3.45 billion.
"Our business really came together towards the end of previous year", Spiegel said in remarks prepared for a conference call with analysts. If the gains hold, Snap's stock could top its IPO price of $17 a share for the first time since July. The business had revenue of $207.90 million during the quarter, compared to analysts' expectations of $236.71 million. More importantly, revenue was up 72 percent year-on-year to $285.7 million, compared to the estimate of $253 million.
Bitmoji Deluxe introduces various new hairstyles, skin tones, and other features, so you can now have your character look even more like the real thing.
Snap shares have tumbled since a keenly anticipated public offering in March 2017 at $24, on concerns that it may not be able to keep pace with rivals like Facebook in the fast-evolving world of social media. The Company's flagship product, Snapchat, is a camera application that helps people to communicate through short videos and images known as a Snap. "They have a long way to go, but this was a good first step".
Snap is now locked in a fight for its life with Facebook, which copied its marquee Stories feature - and the accompanying selfie filters and masks - and inserted them into all of its major products: Facebook, Instagram, WhatsApp and Messenger.
Snap shares are up about 23% this year.