Wall Street convulsed Wednesday, sending Snap stock down following the news that chief financial officer Tim Stone would be the latest executive to leave the beleaguered social media company. His tenure lasted just eight months and ended in a surprise resignation.
The news sent shares down 90 cents to $5.64, at the close of the market, and then rebounded slightly in after-hours trading, landing at $5.70.
Having joined the company in May, Stone, a two-decade veteran of Amazon Inc., is the second chief financial officer to leave Snap in the past year and the latest in a growing string of high-ranking executive departures. The lineup includes chief strategy officer Imran Khan, chief financial officer Andrew Vollero, vice president of monetization engineering Stuart Bowers and vice president of product Tom Conrad.
Snap has not offered a reason for Stone’s resignation, nor has it immediately responded to WWD’s request for comment. But a Securities and Exchange Commission filing on Tuesday said simply that he was leaving to “pursue other opportunities,” and in public statements, the company has done its level best to undercut any notion of drama being at play.
The tech company merely said that the resignation was “not related to any disagreement with us on any matter relating to our accounting, strategy, management, operations, policies, regulatory matters or practices.”
Stone will remain in his position until early February, when Snap plans to post its fourth-quarter 2018 earnings. In the meantime, it’s trying to channel some optimism around those numbers. According to the SEC filing, Snap expects “revenue and adjusted EBITDA [earnings before interest, taxes, depreciation and amortization] that are slightly favorable to the top end of our previously reported quarterly guidance ranges for each.”