NYSE$SNAP

Snapchat Inc · Q3 2021 earnings

Q3 2021 earnings · · Investor relations

Briefing

Snap's Q3 2021 financial results were announced, demonstrating substantial year-over-year growth in revenue and daily active users.

Snap Inc. reported a strong Q3 2021 with significant growth in daily active users (DAUs) and revenue. DAUs increased 23% year-over-year to 306 million, and revenue grew by 57% to $1,067 million. The company also saw improvements in net loss and adjusted EBITDA compared to the prior year.

  • Daily Active Users (DAUs) increased by 23% year-over-year, reaching 306 million.
  • Revenue increased by 57% year-over-year, totaling $1,067 million.
  • Net loss improved by 64% compared to the previous year.
  • Adjusted EBITDA improved by 209% year-over-year.

Headline financials

Total Revenue

$1.07B

Previous: $679M+57.3%
EPS (adj)

$0.17

Previous: $0.01+1600.0%
Global DAU

306.0M

Previous: 249.0M+22.9%
Global ARPU

$3.49

Previous: $2.73+27.8%
Capital Expenditures

-$19.8M

Previous: -$14.7M-34.7%
Free Cash Flow

-$91.8M

Previous: -$215M+57.2%
Net Income

-$72M

Previous: -$200M+64.0%
Operating Income

-$181M

Previous: -$168M-7.7%
Gross Profit

$624M

Previous: $386M+61.8%
Cash & Equivalents

$1.97B

Previous: $824M+139.3%
Total Assets

$7.11B

Previous: $4.82B+47.6%
Stock-Based Comp

$301M

Previous: $192M+56.7%

Revenue & EPS history

Snapchat · Revenue · Quarterly

$1.07B

Q3 2021+57.3%vs Q3 2020
Beat estimate in 7 of 16 quarters(44%)
ActualEstimate

Forward guidance

Snap Inc. provided its outlook for Q4 2021, which is subject to substantial uncertainty. The guidance assumes constant foreign currency rates and no significant business acquisitions, investments, restructurings, or legal settlements.

Tailwinds

  • Revenue is estimated to be between $1,165 million and $1,205 million.
  • Adjusted EBITDA is estimated to be between $135 million and $175 million.
  • Focus on delivering strong results for advertising partners.
  • Innovating to expand the capabilities of the platform.
  • Better serve the community.

Headwinds

  • Significant headwinds, including changes to the iOS platform.
  • Impact on the way advertising is targeted.
  • Impact on how advertising is measured.
  • Impact on how advertising is optimized.
  • Global supply chain issues and labor shortages impacting partners.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2021

Historical avgQ3 2021

-3.8%

Avg return

Earnings day

-2.0%

Avg return

5 days after

-2.6%

Avg return

30 days after

29%

12 / 41 earnings

Positive

+49.8%

Q4 2017

Best reaction

-35.8%

Q2 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+0.5%-9.5%-5.9%
Q4 2025-13.4%-11.5%-12.7%
Q3 2025-12.3%+20.0%+8.4%
Q1 2025-12.4%-5.9%-9.2%
Q4 2024-8.4%-7.7%-16.2%
Q3 2024+17.8%+17.0%+8.4%
Q2 2024-29.7%-35.1%-29.9%
Q1 2024+31.3%+35.8%+37.4%
Q4 2023-31.9%-33.7%-29.3%
Q3 2023-3.2%-2.0%+29.7%
Q2 2023-15.4%-15.8%-26.1%
Q1 2023-11.8%-15.9%+4.0%
Q4 2022-6.5%-0.8%-8.9%
Q3 2022-28.5%-11.6%-3.1%
Q2 2022-35.8%-37.9%-25.5%
Q1 2022-3.3%-6.7%-24.4%
Q4 2021+21.3%+17.1%+3.2%
Q3 2021-27.1%-26.8%-32.2%
Q2 2021+23.0%+16.7%+14.7%
Q1 2021+5.1%+3.8%-2.9%
Q4 2020+7.4%+6.0%-3.1%
Q3 2020+27.4%+50.6%+47.6%
Q2 2020-8.2%-12.3%-13.6%
Q1 2020+31.7%+23.8%+35.8%
Q4 2019-11.2%-6.0%-24.0%
Q3 2019-9.6%-4.3%+3.4%
Q2 2019+24.5%+26.4%+13.6%
Q1 2019-2.3%-5.4%-3.6%
Q4 2018+24.0%+31.3%+36.9%
Q3 2018-4.7%-2.4%-5.9%
Q2 2018-6.3%-5.7%-24.9%
Q1 2018-23.0%-24.7%-20.5%
Q4 2015-6.4%-12.4%-12.2%
Q4 2017+49.8%+35.7%+27.4%
Q3 2016-18.1%-18.0%-0.3%
Q3 2017-12.9%-14.0%-0.9%
Q2 2016-8.5%-4.7%+11.4%
Q2 2017-12.8%-6.0%+13.1%
Q4 2016-16.7%-9.6%-21.3%
Q1 2016-16.7%-9.6%-21.3%
Q1 2017-22.6%-11.1%-22.5%
Q3 2015
Q2 2015
Q1 2015

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