SAN FRANCISCO: Snap, the parent company of Snapchat, has reported that its revenue grew 6 per cent year-over-year (YoY) to $1,128 million in the third quarter of 2022.
According to the company, revenue increased by 6 per cent to $1,128 million compared to the prior year. Net loss was $360 million, including restructuring charges of $155 million, compared to $72 million for the previous year.
"This quarter, we took action to further focus our business on our three strategic priorities: Growing our community and deepening their engagement with our products, reaccelerating and diversifying our revenue growth, and investing in augmented reality," Evan Spiegel, CEO, said in a statement.
"The growth of our community to 363 million daily active users, an increase of 19 per cent year-over-year, continues to expand our long-term opportunity as we navigate this volatile macroeconomic environment," Spiegel added.
Daily active users (DAUs) were 363 million in the third quarter, an increase of 57 million, or 19 per cent YoY. It increased sequentially and year-over-year in each of North America, Europe, and the rest of the world.
Total time spent watching Spotlight content grew 55 per cent YoY. Meanwhile, the daily average time spent for Snapchatters 35 and older watching Shows and publisher content increased by more than 40 per cent YoY.
In the third quarter of 2022, Snap initiated a strategic reprioritisation plan, which included a reduction of our global employee headcount by approximately 20 per cent.
"Restructuring charges in the third quarter of 2022 were $154.6 million, composed primarily of severance and related charges, stock-based compensation expense, lease exit and related charges, impairment charges, and contract termination charges," the company said.