Snap Beats User Growth Estimates With Revamped Android App

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Snap Inc on Thursday beat Wall Street estimates for user growth and revenue because the improved Android version of its popular messaging app Snapchat attracted more users outside of the us .

Daily active users (DAUs), a metric closely watched by investors and advertisers, rose 22% year-over-year to 280 million within the half-moon . Analysts had expected 275.3 million, consistent with IBES data from Refinitiv.

Snap began rebuilding its Android app, which struggled with technical bugs, back in 2018. Snapchat’s Android user base now exceeds those on Apple iOS for the primary time, the corporate said.

Revenue, which Snap generates mainly from advertising, grew 66% to $770 million within the quarter ended March 31, beating Wall Street’s consensus estimate of $743 million.

Snap has increasingly invested in augmented reality technology, betting that it can help brands market products like clothes and makeup to tech-savvy young users.

In March, Snap acquired Fit Analytics, a tech company that helps customers virtually determine if clothing will fit.

“Augmented reality remains one among our biggest opportunities as we glance to the longer term ,” said Snap Chief Executive Evan Spiegel, in prepared remarks released before an earnings call with analysts.

Snap’s net loss narrowed to $286.9 million, or 19 cents per share, from $305.9 million, or 21 cents per share, a year