Overview
- Snap reported Q3 revenue of $1.51 billion, up 10% year over year, adjusted EBITDA of $182 million, a net loss of about $104 million, and 477 million daily active users, with direct‑response ad revenue up 8%.
- Perplexity will integrate its sourced conversational search into Snapchat’s Chat starting in early 2026, paying Snap $400 million over one year in cash and equity, with revenue contribution expected to begin in 2026.
- CEO Evan Spiegel said Perplexity will control chatbot responses inside Snapchat, Snap will not sell ads against those answers, and the service will receive default placement in the chat inbox alongside Snap’s existing My AI.
- The company authorized a $500 million stock buyback, guided Q4 revenue to $1.68 billion–$1.71 billion and projected adjusted EBITDA of $280 million–$310 million, while shares rose roughly 16%–25% after the announcements.
- Snap warned overall DAUs may decline in Q4, citing Australia’s social media minimum‑age law and upcoming platform‑level age verification from Apple and Google as likely headwinds to engagement.