Snap, the maker of Snapchat, saw its stock price shoot up as much 11% in after-hours trading on Tuesday after beating analyst expectations. It later gave up some of those gains, settling up about 7%.
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The company posted a slimmer-than-expected loss for the first-quarter as it continued to grow its user base and advertising revenue.
Here’s how the company did compared with analyst projections:
- Loss per share: 10 cents vs. 12 cents forecast by Refinitiv
- Revenue: $320 million vs. $307 million forecast by Refinitiv
- Global daily active users (DAUs): 190 million vs. 187.22 million forecast by FactSet
- ARPU: $1.68 vs. $1.62 forecast by FactSet
“In the first quarter we delivered strong results across our business with growth in daily active users and revenue,” said CEO Evan Spiegel in a statement.
Snap kept its user growth momentum going on Tuesday, saying it now counts 190 million daily active users, up from 186 million last quarter.
Snap’s share price is up more than 100% year-to-date after a fast start in 2019. Besides re-surging user growth, Snap has announced a new gaming platform, new original shows, an ad network and more augmented reality features. The company has also completed the roll out of its re-engineered Android app.
“As we look towards the future, we see many opportunities to increase our investments, and will continue to manage our business for long-term growth,” Spiegel said.
Disclosure: CNBC parent
NBCUniversal is an investor in Snap