20% Of Snapchat’s Market Cap Just Disappeared After Company Admits It May Have Committed Suicide

Jon Alternative Media, Blogosphere, Market Commentary

It’s deja vu all over again.
Exactly 6 months after Snapchat reported abysmal Q1 earnings – its first since going public – which crushed its stock, the company has done it again reporting earnings that disappointed on every single metric, and missed across the board with revenues and user growth failing to meet Wall Street expectations, as cash burn remained ridiculous, while the net loss tripled to a whopping $443MM from $124MM one year ago.
Here is the Q3 breakdown:
Revenue of $207.9MM missed est. of $235.5MM GAAP Net loss of $443 million, almost three times greater than the $124MM loss one year ago. Adjusted EPS of $0.14 which EBITDA loss of $179MM, vs Est of $194MM The company burned through $220 million in free cash flow, roughly the same as a year ago as SNAP remains a massive cash burn machine.

This post was published at Zero Hedge on Nov 7, 2017.