Shares of Snap (SNAP) - Get Snap, Inc. Class A Report were rising more than 6% after hours Tuesday after the firm reported first quarter revenue that was ahead of expectations, and a narrower-than-expected loss.
The social media company reported quarterly revenue of $320 million, a 39% year-over-year increase, yielding a net loss of 10 cents per share. Analysts were expecting the company to report revenue of $306 million and a loss of 12 cents per share.
The company reported 190 million daily active users in the first quarter, a 2% increase sequentially, but a slight decline from the 191 million daily active users it had a year ago.
For the current quarter, the company expects revenue to grow between 28% and 37% year over year to between $335 million and $360 million. Wall Street was modeling $345 million in revenue in the second quarter.
"In the first quarter we delivered strong results across our business with growth in daily active users and revenue," said Evan Spiegel, CEO. "Our new Android application is available to everyone, with promising early results. This month we announced several new products that we believe will drive further engagement and monetization. As we look towards the future, we see many opportunities to increase our investments, and will continue to manage our business for long-term growth."
Snap shares have had a resurgence over the past four months with an improved Android version of its app helping its user numbers, and the launch of promising new products. Since the start of the year, the stock has more than doubled.