Snap Inc.'s Stock Tanks After $2.2 Billion First-quarter Loss

Shares of Snap Inc. plummeted 17% in after-hours trade after the company missed first-quarter earnings expectations in its first report as a public company. It reported a net loss of $2.21 billion, or a loss of $2.31 per share, wider than a loss of $104.4 million, or a loss of 14 cents per share, in the year-earlier period. The FactSet consensus was for a loss per share of 21 cents. Revenue was $149.6 million, up from $38.8 million in the year-earlier period, but below the FactSet consensus of $158.3 million. The net loss for the first quarter includes $2 billion of stock-based compensation expenses. Snap reported 166 million daily active users, up from 158 million in the previous quarter and 122 million in the year-earlier period. Average revenue per user was 90 cents, a decrease from $1.05 in the previous quarter. Shares of Snap have gained 9.6% in the past month, compared to the S&P 500's gain of 1.8%.