Snap second quarter results lifted by improving advertising trends

Telecoms & Networks Telecoms Written by: Emily Jarvie 13:22 Tue 04 Aug 2026 --> Disclaimer No investment advice About this content Editorial Standards & Policies Share article About this content × About Emily Jarvie Emily began her career as a political journalist for Australian Community Media in Hobart, Tasmania. After she relocated to Toronto, Canada, she reported on business, legal, and scientific developments in the emerging psychedelics sector before joining Proactive in 2022. She brings a strong journalism background with her work featured in newspapers, magazines, and digital publications across Australia, Europe, and North America, including The Examiner, The Advocate, The Canberra Times, and... Read more About the publisher Proactive financial news and online broadcast teams provide fast, accessible, informative and actionable business and finance news content to a global investment audience. All our content is produced independently by our experienced and qualified teams of news journalists. Proactive news team spans the world’s key finance and investing hubs with bureaus and studios in London, New York, Toronto, Vancouver, Sydney and Perth. We are experts in medium and small-cap markets, we also keep our community up to date with blue-chip companies, commodities and broader investment stories. This is content that excites and engages motivated private investors. The team delivers news and unique insights across the market including but not confined to: biotech and pharma, mining and natural resources, battery metals, oil and gas, crypto and emerging digital and EV technologies. Use of technology Proactive has always been a forward looking and enthusiastic technology adopter. Our human content creators are equipped with many decades of valuable expertise and experience. The team also has access to and use technologies to assist and enhance workflows. Proactive will on occasion use automation and software tools, including generative AI. Nevertheless, all content published by Proactive is edited and authored by humans, in line with best practice in regard to content production and search engine optimisation. Snap Inc ( NYSE:SNAP ) View Price & Profile Snap second quarter results lifted by improving advertising trends Published: 13:22 04 Aug 2026 EDT Snap Inc (NYSE:SNAP) shares surged 14% following the social media company’s second quarter results, after revenue and adjusted earnings came in ahead of Wall Street expectations and the company provided an upbeat outlook for the third quarter. Snap reported revenue of $1.60 billion for the second quarter, above the $1.54 billion analyst consensus, while its net loss of $0.10 per share was narrower than the expected $0.12 loss. Jefferies analysts wrote that the results provided “early evidence of the ads business improving,” pointing to acceleration in advertising revenue growth to 9% year over year from 3% in the first quarter. The improvement was driven by better trends among large North American advertisers, World Cup-related demand, adoption of Smart Campaigns and strength among small and medium-sized businesses. The analysts noted that the acceleration came against an easier comparison, however, and wrote that sustained momentum in the second half of the year will be important for a meaningful re-rating of the stock. Snap also reported 493 million daily active users in the quarter, above the 488 million expected by analysts. North American daily active users were stable sequentially after declining in each of the prior two quarters. For the third quarter, Snap guided for revenue growth of 13% to 15% year over year, with the midpoint ahead of Wall Street’s 13% estimate. Jefferies wrote that the outlook appeared achievable, while noting that the guidance implies advertising growth below 10% sequentially. The analysts also highlighted higher infrastructure costs as an area to watch, with Snap raising its full-year infrastructure cost guidance by about $50 million to $1.65 billion to $1.70 billion, reflecting increased investment in artificial intelligence and machine learning. The company expects savings related to its workforce reduction to have a greater impact in the second half. Jefferies reiterated its ‘Buy’ rating on Snap and raised its price target to $6 from $5.50, citing the stronger second quarter and third quarter revenue outlook. The analysts raised their 2027 revenue and EBITDA estimates by 2% and 1%, respectively. Continue reading