Snap Inc (NYSE: SNAP) reported financial results for the third quarter Tuesday after the bell. Here's a rundown of the report.
Q3 Earnings: Snap reported third-quarter revenue of $1.373 billion, beating the consensus estimate of $1.358 billion, according to Benzinga Pro. The social media company reported adjusted earnings of 8 cents per share, beating analyst estimates of 5 cents per share.
Total revenue was up 15% on a year-over-year basis. Daily active users grew 9% year-over-year to 443 million.
Snap said it generated operating cash flow of $116 million and free cash flow of $72 million in the quarter. The company ended the quarter with $3.2 billion in cash, cash equivalents and marketable securities.
"I'm proud of the team's progress this quarter, delivering strong community growth and deepening engagement while driving improved financial performance," said Evan Spiegel, CEO of Snap.
"Our investments in AI and AR are powering new creative experiences for our community and driving innovation across our advertising platform, underpinning our long-term growth opportunity."
Snap also announced that its board authorized a buyback of up to $500 million. The repurchase program was put in place to offset a portion of the dilution related to the issuance of restricted stock units to employees as part of Snap's compensation package.
Outlook: Snap expects fourth-quarter revenue to be in the range of $1.51 billion to $1.56 billion versus estimates of $1.558 billion, according to Benzinga Pro.
Snap's management team will discuss these results on a conference call with analysts and investors at 5 p.m. ET. Snap noted it will further discuss guidance for the fourth quarter on the call.
SNAP Price Action: Snap shares were up 6.15% after hours at $11.56 at the time of publication Tuesday, according to Benzinga Pro.