Snap Q2 2026 earnings report

Snap reported better-than-expected revenue and earnings for the second quarter and issued a forecast for the current period that topped analysts’ estimates. The stock jumped over 10% in extended trading.

Here’s how the company did compared with analysts’ expectations:

• Loss per share: Loss of 10 cents. That figure is not comparable to analysts’ estimates.
• Revenue: $1.6 billion vs. $1.54 billion expected, according to LSEG
• Global daily active users: 493 million vs. 487 million expected, according to StreetAccount
• Global average revenue per user, or ARPU: $3.25 vs. $3.16 expected, according to StreetAccount

Revenue in the second quarter rose 19% from $1.34 billion a year earlier, Snap said in a statement. The company’s net loss narrowed to $164 million from $262.6 million, or 16 cents per share, a year ago.

Adjusted earnings came in at $250 million, ahead of the $192 million estimate, according to StreetAccount.

Snap said third-quarter sales should come in between $1.7 billion to $1.74 billion, topping analyst estimates of $1.7 billion. Adjusted earnings will be in the range between $300 million and $350 million. That range’s midpoint of $325 million trails StreetAccount’s projections of $327 million.

Snap CEO Evan Spiegel said in an investor letter that the company “saw improving momentum in our advertising business.”

“After several quarters of improving our ad products and go-to-market approach, we saw better momentum with large advertisers in North America and stronger revenue growth internationally,” he said in the letter. Spiegel added the company got a boost from spending tied to the World Cup.

During its last earnings report in May, Snap said “large advertisers in North America remained a headwind to advertising growth,” but that it was “beginning to see encouraging signs that this part of the business is improving.”

While the number of global daily active users increased 5% from a year earlier, North American DAU declined 7% year over year to 92 million and was flat compared with the first quarter.

Spiegel said during an earnings call that Snap is “definitely encouraged by the stabilization in North America DAU on a quarter over quarter basis,” and cited “progress in strengthening the core communication experience” and newer products like its Spotlight short-video feature helping with user growth.

Still, Spiegel added that Snap is “closely monitoring the regulatory environment, including age assurance, privacy, and online safety requirements,” which he said “may affect the product experiences or user growth and engagement over time.”

Snap lifted its full-year infrastructure costs by $50 million to between $1.65 billion and $1.7 billion. The company said that figure accounts for “additional investment in the AI and machine learning infrastructure needed to support revenue growth.”

The company’s other revenue category, which includes the Snapchat+ subscription service, rose 85% year over year to $316 million in the second quarter.

Snap revealed in June…