Snap Inc (NYSE:SNAP) shares tumbled in after-hours trading Thursday after the social media company’s first quarter result missed revenue expectations.
The company reported revenue of $989 million, down from $1.06 billion a year earlier and short of an expected $1.01 billion. Earnings were $0.01 per share, narrowly beating Street projections of a $0.01 per share loss.
The stock, which gained 6% during the Thursday session in anticipation, swooned more than 22% to $8.07.
Snap noted that its daily active users increased 15% year-over-year.
"Our community continues to grow, reaching 383 million daily active users in Q1, and we are working to deepen engagement with our content platform while building innovative new features and services like My AI," CEO Evan Spiegel said in a statement.
"We are working to accelerate our revenue growth and we are using this opportunity to make significant improvements to our advertising platform to help drive increased return on investment for our advertising partners."
Snap did not offer second-quarter guidance.
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