Social network Snapchat reports twenty percent more users now that a part of the population has not much better to do than looking at screens. The company also holds up well in terms of income.
When announcing its quarterly results, Snap, the parent company of Snapchat, reports $ 462 million in revenue, up 44 percent year over year. That is in line with expectations.
It also now records 229 million daily active users in the first quarter, up 20 percent from the same period last year. Those users also spent longer on the platform, growing 35 percent, year over year, spending time watching movies in the Discover feature.
Snapchat is especially popular with a younger audience and was one of the first platforms to put a time limit on images and videos so that they disappear after a few hours.
Augmented reality functions, where you can, for example, give yourself moving cat ears, were first introduced here. The platform has recently been burdened by competition, especially from Facebook, which took over many of the functions on its own platforms.
It is therefore not yet clear whether the current user growth will lead to continued sales growth. The corona crisis is taking a big chunk out of the advertising budget of many companies, and it is those ads that Snapchat lives on.
In the first quarter of this year, turnover increased by 44 percent, while growth would slow down in the current quarter. Despite those figures, Snapchat is still making a loss: $ 305.9 million in the past quarter, again slightly less than last year.