For investors of Snapchat's parent company Snap, things got interesting after hours on Thursday. In the second quarter of the 2024 fiscal year, Snap once again reported losses. The loss per share was 0.15 USD, after having reported a loss of 0.24 USD per share in the same period last year. Analysts had forecast a loss of 0.157 USD per share.
The company's revenues rose to $1.237 billion, compared to $1.07 billion in the same period last year. Despite this growth, expert estimates of $1.25 billion were not met.
The Snap stock reacted significantly at times during NYSE trading and fell by 25.64 percent to $9.53. This development shows that the expectations of investors were not met despite the revenue increase.
Snap continues to struggle with challenges to become profitable and meet market expectations. The missed revenue forecasts and continued losses reflect the difficulties the company must overcome to achieve sustainable growth and profitability.
