Snap Q3 revenue misses estimates; to replace DAU with MAU metric
SNAP•Snap's third-quarter revenue rose 14% year over year to $1.72 billion, slightly below the $1.73 billion analyst estimate, while adjusted EBITDA beat estimates at $382.65 million. Snap reported net income of $56.50 million and plans to replace global DAU with global MAU as its primary audience metric starting with its Q1 2027 Form 10-Q.
1. Quarterly results
Snap's third-quarter revenue increased 14% year over year to $1.72 billion, missing the $1.73 billion analyst estimate. Adjusted EBITDA was $382.65 million, above the $336.93 million estimate, and the company posted net income of $56.50 million after a loss in the year-earlier quarter. Shares fell 10% in extended trading.
2. Audience metric change
Snap plans to make global monthly active users its primary audience metric, replacing global daily active users starting with its Q1 2027 Form 10-Q. The company said AI is becoming a significant advantage for its teams and advertising platform, and highlighted ongoing augmented reality investment, including the launch of SPECS.
