In a shift from past months, Snap investors aren’t running pell-mell for the exits after the company’s quarterly earnings report.
That said, the numbers are a mixed bag. Snap’s first-quarter loss was larger than the one a year ago—and wider than Wall Street expected. It lost $360 million. Moreover, the company’s sales came in a hair shy of Wall Street projections. Snap did $1.06 billion, slightly less than the forecast $1.07 billion, citing a wide downturn in the ad market.
But the company had some good tidings, too. Most relevantly, it said daily users grew by 18% in the quarter to 332 million. (This did top Wall Street’s number, which was 330 million.) User growth is one of the most popular gauges for a company’s health, and Snap’s expansion comes against hard times for its largest competitors: Meta, which has stagnant growth, and Twitter, which has set large growth goals that may be impossible to meet.