Snap again missed earnings expectations this quarter, sending its stock tumbling over 25% in after-hours trading.
In its letter to investors, the social media company said: “We are finding that our advertising partners across many industries are decreasing their marketing budgets, especially in the face of operating environment headwinds, inflation-driven cost pressures, and rising costs of capital”.
Snap’s revenue grew just 6% year-over-year, coming in under expectations. However, daily active users increased 19% year-over-year to 363 million.
The company said it would not be providing Q4 guidance. Snap’s board also authorized another $500m stock buyback program.