Snapchat’s latest numbers are the least favourable they’ve ever been with a 15% fall in shares within the first quarter of 2018.
Snapchat's shareholders are not excited by the slowed 2.3% growth, compared to the 5.05% of Q4. The platform only reached 187 million daily users, according to the latest posted quarterly earnings.
Wall Street had predicted a $244.5 million in revenue for Snapchat, which only managed $230.7 million – along with an adjusted EPS loss at $0.16 on the dollar.
According to Snapchat CEO Evan Spiegel, “our March average was lower, but still above our Q4 average,” which does not mask the fact the Snapchat’s userbase shrunk for the first time.
Trouble in the wind?
Snapchat may have difficulty finding footing to surpass the 300 million daily user mark of Instagram Stories, or WhatsApp’s 450 million Status users, both of which have poached Snapchat innovations.
The company’s share price also took a hit, falling 15% to finish at $12. To counter, Snapchat’s Snap Pro for Business could bring high-profile users to the app and in turn more followers.
Have you noticed less enthusiasm over the use of Snapchat? What do you think of the app’s future? Give us your two cents in the comments below.