Overview

* Snap Q3 revenue grows 10% yr/yr, beating analyst expectations

* Adjusted EBITDA for Q3 beats analyst estimates, indicating strong operational performance

* Snap announces $500 mln stock repurchase program, reflecting confidence in financial position

Outlook

* Company will discuss Q4 2025 outlook during earnings call

Result Drivers

* USER ENGAGEMENT - Increased daily and monthly active users contributed to revenue growth

* ADVERTISING STRATEGIES - Direct Response and Sponsored Snaps drove strong campaign performance and conversion rates

* AR AND AI INVESTMENT - High engagement with augmented reality and AI platforms supported revenue growth

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q3 Beat $1.51 $1.49

Revenue bln bln (35

Analysts

)

Q3 EPS -$0.06

Q3 Net -$103.54

Income mln

Q3 Beat $182.04 $126.10

Adjusted mln mln (33

EBITDA Analysts

)

Q3 Free $93.44

Cash mln

Flow

Q3 -$128.36

Operatin mln

g Income

Analyst Coverage

* The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 7 "strong buy" or "buy", 33 "hold" and 5 "sell" or "strong sell"

* The average consensus recommendation for the software peer group is "buy."

* Wall Street's median 12-month price target for Snap Inc ( SNAP ) is $9.00, about 17% above its November 4 closing price of $7.47

* The stock recently traded at 22 times the next 12-month earnings vs. a P/E of 28 three months ago

Press Release:

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)