Snap shares cratered in after-hours trading after the social media company said it sees revenue and adjusted Ebitda below the low end of its 2Q guidance range.
This announcement comes just a month after its earnings announcement:
Since we issued guidance on April 21, 2022, the macroeconomic environment has deteriorated further and faster than anticipated.
As a result, we believe it is likely that we will report revenue and adjusted EBITDA below the low end of our Q22022 guidance range.
We remain excited about the long-term opportunity to grow our business. Our community continues to grow, and we continue to see strong engagement across Snapchat, and continue to see significant opportunities to grow our average revenue per user over the long term
The reaction was dramatic with the stocks down 26%…
That is the lowest level for the stock since May 2020.
Facebook and other socials have been hit on the headlines.