© Reuters. SNAP DISAPPOINT WITH ITS NUMBER Of USERS
(Reuters) – Snap (NYSE:SNAP), the owner of the messaging Snapchat, has announced on Tuesday a number of active users is lower than expected in the third quarter, which had plunged the title of more than 18 per cent in transactions after the close of Wall Street.
The number of active users of Snapchat has increased by 17% year on year to $ 178 million but analysts were expecting on average 181,8 million, according to the firm FactSet.
This e-mail, introduced on the stock Exchange in march, is suffering increasingly from the competition of Instagram, a subsidiary of Facebook (NASDAQ:FB), who claimed in September to 500 million active users, which is twice more than in June.
The average annual turnover of Snap-per-user was high at 1.17 to the dollar in the third quarter, up from 84 cents a year earlier, but this result is still lower than the expectations of analysts, who expected $ 1.30.
The net loss was cut 443,2 million ($382.5 million euros), or 36 cents per share, compared with 124.2 million, or 15 cents per share, a year earlier.
The revenue, which comes mainly from advertising, has reached 207.9 million, up from $ 128.2 million in the third quarter of 2016. The analysts were expecting on average to 236,9 million, according to Thomson Reuters I/B/E/S.
(Pushkala Aripaka and Laharee Chatterjee in Bangalore; Bertrand Boucey for the French service)