Snap forecast fourth-quarter revenue largely above estimates on Tuesday after posting better-than-expected revenue and user growth for the latest three months as efforts to revamp the ad targeting tools of its photo messaging app paid off.
The results are welcome news for the Snapchat owner after hiccups in rolling out a new machine learning-powered technology for better targeting of ads and promotions hampered its growth in the first half of the year.
The Santa Monica, California-based company said it expected fourth-quarter revenue to be between $1.32 billion to $1.38 billion. Analysts were expecting revenue of $1.33 billion. Revenue for the third quarter ended September rose 5 per cent to $1.19 billion, beating analysts' expectations of $1.11 billion, according to LSEG data.