A Snapchat Snapbot vending machine

Investors sent Snapchat parent Snap Inc.’s shares down in after-hours trading Wednesday on the company’s quarterly results, its first report since going public in March.

Shares were off more than 20 percent on the results after closing down about 1.5 percent for the day to $22.96. The company had a recent market capitalization of $26.57 billion.

Snap, which calls itself a camera company, reported revenue for the three months through March of $149.65 million, up 286 percent from the year-ago period. Analysts on average expected revenue of $157.98 million for the quarter.

The company saw net losses widen to $2.21 billion, or $2.31 a share, from about $104.58 million, or 14 cents a share. Analysts had forecast a loss of 19 cents a share. The company attributed about $2 billion of those losses to stock-based compensation plans, including an award to chief executive officer Evan Spiegel.

Adjusted earnings before interest, taxes, depreciation and amortization for the quarter widened more than 100 percent to a loss of $188.24 million.

Amid the financial results, the company shed light on some key performance metrics for the quarter. Its daily active user base rose 36 percent from the year-ago period to 166 million in the March quarter. Average revenue per user rose 181 percent to 90 cents.

“I think the big issue with advertising over the next decade is going to be education,” Spiegel said on a call with analysts. “I think, now really, it’s an education process and I think early adopters are seeing great results and so we’ve just got to keep showing people how Snap can work for them and drive ROI.”

Chief strategy officer Imran Khan said during the call that users are spending more than 30 minutes a day on Snapchat, driven by a surge in content. He pointed specifically to the company’s Oscars content, which he said generated more than 250,000 submissions from users, garnering more than 21 million unique views.

On the advertising side, Khan told analysts the company is focused on product enhancements, buildout of tools for both large and small advertisers and helping brands measure the effectiveness of their ads on Snapchat.

The executive mentioned the company’s Snap to Store feature, which lets advertisers track traffic from the app into their stores, as one of several examples of how the company is partnering and helping advertisers. Retailer Hollister ran a holiday campaign on Snapchat and within seven days saw more than 63,000 users visit one of their U.S. stores, according to Khan.

The overall business remains in investment mode, chief financial officer Drew Vollero said during the call.

The company’s lone physical product, its camera-enabled Spectacles, remains a “modest” business, Vollero said, and brought in a little more than $8 million for the quarter.

Snap didn’t provide any financial guidance for the current quarter and nor did executives offer much of a glimpse into the product pipeline.

“I think at this point, we’re kind of famous on not giving guidance on the product pipeline.…It should be a fun rest of the year,” Spiegel said.

For More Coverage on Snap Inc. in WWD:

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