News for hackers. Stuff that matters.

A comment on Snap Revenue Surges 72% on User Growth, Advertising Gains.

Re:Snap Revenue Surges 72% on User Growth, Advertising Gains by spuiszis on Tuesday February 06, 2018 @06:26PM (#16320952)
Alternative headline: SNAP somehow surges 22% in after-hours trading despite reporting a $3.5BN loss and burning $819MM in cash.

While revenue and user growth are both positive signs, there are still plenty of red flags. SNAP's hefty valuation is based on much higher growth rates and a faster route to profitability that still has yet to be seen.

[1] https://investor.snap.com/~/media/Files/S/Snap-IR/reports-an...

Edit: grammar

[ Parent | on HN ]
Re:Snap Revenue Surges 72% on User Growth, Advertising Gains by manderson2080 on Tuesday February 06, 2018 @07:28PM (#16321293)
$1.99BN was accrued over previous years from stock-based compensation. This is very standard for companies in the year they IPO.
[ Parent | on HN ]