Snapchat’s daily active users number Shrank 1.5 per cent to 188 million in the second quarter of 2018 down from the 191 million in the last quarter, Parent company Snap said.
Although Snapchat’s revenue increased 44 per cent to $262 million as compared to $182 million in Q 2 2017, and Instagram Stories has stalled Snapchat’s growth.
Saudi Arabia’s Prince Alwaleed bin Tala announced soon after the results that he had finalized a $250 million deal in May to by a 2.3 per cent stake.
Shares in Snap climbed more than 12 per cent in after hours trading before reversing course and going flat.
Snapchat has been trying its users ever sinces its first redesign in Nov in an attempt to simplify an streamline the user experienced.
This feature confusion for loyal users, that may used on a daily basis were moved to different parts of the app.
Evan said on a call,
He added, we believe that this is an important evolution of our product that will help drive future growth in engagement. “users continue to spend an average of over 30 minutes on Snapchat on a daily basis”.
More than 400 million people use Instagram’s Stories daily basis to post photos and video that disappear after 24 hours.
Evan Spiegel said, We are excited by the progress we have been making and are optimistic about the opportunities ahead as we continue to invest in innovation.
Snappchat for the first shared the number of monthly active users, 100 million in the US and Canada.
Cash used in operating activities was $199 million in Q 2018, the net loss went down to 20 per cent to $ 353 million in Q2 2018 – compared to the net loss of $443 million Q2 2017, said company.