Snap Shares Sink As Ad Platform Snafu Slows Q2 Revenue Growth; Daily Users At 469 Million

Ever volatile Snap shares fell 17% after market close as second quarter revenue growth was slower than it has been due in part to a mistake that made it cheaper than intended for advertisers to clear at auction. The company said its SVP of Engineering Eric Young is departing to pursue a new opportunity. “Unfortunately, in our efforts to improve advertiser performance, we shipped a change that caused some campaigns to clear the auction at substantially reduced prices,” said Snap’s earnings release. “We have since reverted this change and advertising revenue growth has improved as advertisers adjust their bid strategies to achieve their objectives.” Daily active users rose 9% year-over-year to 469 million. Watch on Deadline Revenue grew 3 9% year-over-year to $1.34 billion. Advertising revenue of $1.174 billion rose 4%. The number was also impacted by the timing of Ramadan, a big holiday for Snapchat which has a robust following in the Middle East. The holiday fell more in the first quarter this year instead of the second in 2024, squeezing year-on-year comparisons. And the overall impact of global tariffs meant some advertisers grew more cautious. Other social media and tech companies saw strong ad revenue growth but Snap
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