#snapchat’s controversial redesign isn’t helping it make more money
Snap’s stock price plummeted during after hours trading today following its first quarter earnings report. The stock dropped by more than 15 percent, or roughly a sixth of its worth. Although the app grew its global users by four million or so since the last quarter, it made less money per user.
During the prior quarter, the company made $1.53 per user globally, or $286 million in total revenue. This quarter, that dropped to $1.21 per user and $231 million in revenue. Still, that’s a major growth from just over a year ago when its quarterly revenue was $150 million. The company’s CFO, Drew Vollero, says to expect an even further drop in the second quarter of this year.
He said: “As we think about our year-over-year revenue growth rates,…
