Shares of tech darling Snapchat are plunging in the after-hours, barreling towards fresh lows. After the VCs brought this company of ill repute public at criminal 50x sales, you knew this was going to happen. Seriously, who didn’t know?
Reports Q3 (Sep) loss of $0.14 per share, excluding non-recurring items, $0.01 better than the Capital IQ Consensus of ($0.15); revenues rose 62.2% year/year to $207.9 mln vs the $236.71 mln Capital IQ Consensus.
Daily active users (DAU) — DAUs grew 4.5 mln (3%) Q/Q to 178 million vs. 183 mln estimates.
Average revenue per user (ARPU) — ARPU was $1.17 in Q3 2017, an increase of 39% over Q3 2016 when ARPU was $0.84. ARPU increased 12% over Q2 2017 when ARPU was $1.05. Hosting costs per DAU — Hosting costs per DAU were $0.68 in Q3 2017, as compared to $0.64 in Q3 2016 and $0.61 in Q2 2017.
“In Q3 2017, we recorded $39.9 million of charges related to Spectacles inventory, primarily related to excess inventory reserves and inventory purchase commitment cancellation charges.”
It’s over Snapfags. The rally that was supposed to be has failed. Now prepare for horrible horribles.
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Hmm…, I guess it’s not enough for an app like Snatchchat to be a fad for immature teenagers adn still be in vogue w/ stawks traders. Who knew…?
It’s criminal that even after this drop, this is still a $15 billion company. Get the fuck out of here with that!
This is a zero.
Of course they did. Of course they did
The product cannot be effectively monetized. Period. It is just not designed that way.