Tencent Technology News reported that Snap, parent of Snapchat app Snapchat, reported third-quarter 2018 results on Thursday. Snap reported revenue of $298 million in the third quarter, up 43 cents from $2.08 a year earlier. A net loss of $325 million, down from $443 million a year earlier, narrowed 27%.Snap 's third-quarter results in line with Wall Street analysts' expectations, sending their shares up more than a dollar in after-hours trading.
In the third quarter ended September 30, Snap's net loss was $325 million, and the diluted loss per share was 25 cents, which was better than the same period last year. In the third quarter of fiscal 2017, Snap's net loss was $443 million, with a loss per share of 36 cents.
Excluding certain one-time items ( not in accordance with US General Accounting Standards ), SNAP lost 12 cents per share in the third quarter after adjustment, better than expected by market analysts and the same period last year. In the third quarter of fiscal year 2017, SNAP lost 14 cents per share after not adjusting to the US General Accounting Standards. According to Thomson Reuters survey, analysts expect Snape to lose 14 cents per share after adjusting in the third quarter.
Snap's third-quarter revenue was $298 million, a 43% increase from the $208 million in the same period last year, which was better than market expectations. Thomson Reuters survey showed that analysts had expected Snap's third-quarter revenue to be $283.2 million. Snap's adjusted EBITDA loss for the third quarter was $138.4 million, a 23% decrease from the $178.9 million in the same period last year.
Snap's total cost and spending for the third quarter was $621 million, compared with $670 million a year earlier. Revenue costs were $198 million, down from $211 million in the same period last year, R & D spending was $204 million, down from $239 million in the same period last year. Sales and marketing spending was $98 million, down from $102 million a year earlier. General and administrative expenses were $122 million, up from $118 million a year earlier. Snap posted an operating loss of $323 million in the third quarter, down from an operating loss of $462 million a year earlier.
As of the end of the third quarter, Snap held cash, cash equivalents and saleable securities totaling $352 million. Snap's third-quarter operating cash flow improved by $61 million year-on-year to $1.33 billion; free cash flow was $1.559 billion, compared to $-2.20 million in the same period last year.
Snap's daily active users in the third quarter were 186 million, down 1% from the previous quarter and up 5% from the same period last year.
Snap expects revenue to be $355 million to $380 million in the fourth quarter of 2018, up 24% to 33% from a year earlier. Adjusted EBITDA losses were $75 million to $100 million, compared with an adjusted EBITDA loss of $159 million over the same period last year.
Snap shares rose 40 cents, or 6.37 cents, to close at $7.01 in regular trading on the New York Stock Exchange on Thursday. In after-hours trading, Snap shares fell 45 cents, or 6.44 cents, to $6.54 in after-hours trading, driven by a month-on-month decline in daily average active users. Snap's lowest share price over the past 52 weeks was $6.46, with its highest share price at $21.22. At Thursday's close, Snap was worth about $8.9 billion. (compiled / Ming Xuan)