Snap lessens second-quarter net loss on flat revenues
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Snap Inc. announced financial results for the quarter ended June 30, 2023. The company had revenue of $1,068 million, compared to $1,111 million in the prior year and a net loss was $377 million, compared to $422 million in the prior year.
“We are excited by the progress we have made delivering increased return on investment for our advertising partners, growing our community to 397 million daily active users, and reaching more than 4 million Snapchat+ subscribers,” said Evan Spiegel, CEO.
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Three Months Ended June 30, |
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Percent Change |
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Six Months Ended June 30, |
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Percent Change |
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2023 |
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2022 |
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2023 |
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2022 |
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(in thousands, except per share amounts) |
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(Unaudited) |
(NM = Not Meaningful) |
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Revenue |
$ |
1,067,669 |
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$ |
1,110,909 |
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(4 |
)% |
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$ |
2,056,277 |
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$ |
2,173,636 |
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(5 |
)% |
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Operating loss |
$ |
(404,339 |
) |
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$ |
(400,940 |
) |
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(1 |
)% |
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$ |
(769,603 |
) |
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$ |
(672,467 |
) |
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(14 |
)% |
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Net loss |
$ |
(377,308 |
) |
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$ |
(422,067 |
) |
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11 |
% |
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$ |
(705,982 |
) |
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$ |
(781,691 |
) |
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10 |
% |
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Adjusted EBITDA(1) |
$ |
(38,479 |
) |
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$ |
7,190 |
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(635 |
)% |
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$ |
(37,666 |
) |
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$ |
71,658 |
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(153 |
)% |
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Net cash provided by (used in) operating activities |
$ |
(81,936 |
) |
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$ |
(124,081 |
) |
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34 |
% |
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$ |
69,166 |
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$ |
3,378 |
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NM |
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Free Cash Flow(2) |
$ |
(118,879 |
) |
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$ |
(147,451 |
) |
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19 |
% |
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$ |
(15,407 |
) |
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$ |
(41,167 |
) |
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63 |
% |
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Diluted net loss per share attributable to common stockholders |
$ |
(0.24 |
) |
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$ |
(0.26 |
) |
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8 |
% |
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$ |
(0.44 |
) |
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$ |
(0.48 |
) |
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8 |
% |
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Non-GAAP diluted net income (loss) per share(3) |
$ |
(0.02 |
) |
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$ |
(0.02 |
) |
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— |
% |
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$ |
(0.01 |
) |
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$ |
(0.04 |
) |
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75 |
% |
| (1) |
See page 10 for reconciliation of net loss to Adjusted EBITDA. |
| (2) |
See page 10 for reconciliation of net cash provided by (used in) operating activities to Free Cash Flow. |
| (3) |
See page 11 for reconciliation of diluted net loss per share to non-GAAP diluted net income (loss) per share. |
The company provided the following highlights:
- Daily Active Users (DAU)s were 397 million in Q2 2023, an increase of 50 million, or 14% year-over-year.
- DAUs increased sequentially and year-over-year in each of North America, Europe, and Rest of World.
- Total time spent watching Spotlight content more than tripled year-over-year, and Spotlight reached more than 400 million monthly active users on average in Q2, an increase of 51% year-over-year.
- Since launching My AI, our AI-powered chatbot, more than 150 million people have sent over 10 billion messages, which we believe makes My AI among the largest consumer chatbots available today.
- Snapchat+, our subscription service that offers exclusive, experimental, and pre-release features, reached over 4 million paying subscribers in Q2, one year after launch.