Snap posted a surprise third-quarter profit on surging user and revenue growth.
Snap said daily active users on its Snapchat platform, a hugely influential social media tool for teenage and young adult users, rose 18% from the same period last year to 249 million over the third quarter. Snap's revenue, meanwhile, got a boost from the July boycott of Facebook FB by key advertisers and rose 52% to a Street-beating $678.7 million.
On an adjusted basis, the group also nudged itself into a third-quarter profit of a penny a share, compared to a 4 cents per share loss last year and the Street consensus forecast of a loss of 5 cents per share.
"We now reach more than 100 million people in the US alone, and are also seeing strong growth in our core markets in North America, Europe, and Australia," said co-founder Evan Spiegel during a conference call with investors late Tuesday evening. "We are also continuing to invest in-app performance and localization to make our service more accessible to people all over the world, with Snapchat now available to over 2 billion people in their native language."
"These efforts have helped us grow even faster in emerging markets like India, where we've seen over 100% growth in daily active users over the past year," he added.
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