Snap warns inflation could hit growth, shares drop 10% – The Hindu

Snap forecast second-quarter revenue growth between 20% and 25% over the previous year. Snap forecast second-quarter revenue growth between 20% and 25% over the previous year. Snap Inc reported better-than-expected first-quarter user growth on Thursday while it missed expectations on revenue, as the parent company of Snapchat said supply-chain disruptions and the invasion of Ukraine hurt advertising demand.(Sign up to our Technology newsletter, Today’s Cache, for insights on emerging themes at the intersection of technology, business and policy. Click here to subscribe for free.)Shares of Snap fell 10% in trading after the bell.Also ReadThe company warned that inflation, labour shortages and other economic challenges may continue and predicted its revenue growth rate in the second quarter could be hurt.Snap forecast second-quarter revenue growth between 20% and 25% over the previous year. The growth rate so far in the current quarter has been 30%.The Santa Monica, California-based company is the first of the major tech apps to report first-quarter earnings, and the results could cast a shadow over Facebook owner Meta Platforms Inc and Twitter Inc, which also earn revenue by selling digital advertising and will report results next week.A large number of advertisers paused their ad campaigns in the days following Russia’s…
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