Snap Inc. Announces Third Quarter 2026 Financial Results
Q3 revenue up 14% y/y to $1,722M, net income $56M vs. prior-year loss, Adjusted EBITDA $383M, Free Cash Flow $164M.
What this release says
Snap reported third-quarter 2026 revenue up 14% year-over-year to $1,722 million, and swung to a net income of $56 million from a prior-year loss. Adjusted EBITDA more than doubled to $383 million, and free cash flow reached $164 million. For shareholders, the quarter shows a clearer move toward profitability, though the release gives no outlook figures for the fourth quarter.
Key figures
- Q3 revenue
- $1,722 million
- Q3 net income
- $56 million
- Q3 Adjusted EBITDA
- $383 million
- Q3 free cash flow
- $164 million
- Q3 operating cash flow
- $210 million
- Common shares outstanding
- 1,718 million
Positive for shareholders
- Revenue grew 14% year-over-year in the quarter.
- The company swung from a $104 million net loss to a $56 million net profit.
- Free cash flow rose to $164 million from $93 million a year earlier.
- Restructuring charges of $128.5 million for the first nine months were excluded from Adjusted EBITDA.
Negative for shareholders
- Shares underlying stock-based awards bring the fully diluted count to 1,932 million, up from 1,861 million a year earlier.
- Nine-month net loss was still $196 million, so the year remains unprofitable on a GAAP basis.
- Investment in the SPECS augmented reality launch is ongoing.
Written by Quantisnow AI from this release. Not financial advice.
Key terms
- Adjusted EBITDA:
- A non-GAAP profit measure that adds back interest, taxes, depreciation, and stock-based compensation to net income.
- Free Cash Flow:
- Operating cash flow minus capital spending, showing cash left over after running and investing in the business.
- Constant Currency Revenue:
- Revenue restated at prior-period exchange rates so currency swings do not distort the comparison.
- ARPU:
- Average revenue per user, calculated as quarterly revenue divided by average daily active users.
FAQ
How did Snap's third-quarter revenue change?
Snap's revenue rose 14% year-over-year to $1,722 million, compared with $1,507 million a year earlier.
Did Snap turn a profit in the third quarter?
Yes, the release reports net income of $56 million, compared with a net loss of $104 million in the same quarter last year.
What did Snap say about its fourth-quarter outlook?
The release says Snap Inc. will discuss its Q4 2026 outlook separately, and no outlook figures are given in the text.
Historical context for SNAP
Across the 27 sessions after earlier SNAP headlines, the stock closed higher 15 times and lower 12 times, with a median move of 2.1% in either direction. This shows timing only: many things move a stock in a session, and these figures do not show that any headline caused a move.
| Session | Earlier headline | SNAP | SPY |
|---|---|---|---|
| Oct 20, 2026 | Robert Downey Jr. Joins SPECS as Chief Customer Experience Officer | +1.8% | +0.3% |
| Oct 9, 2026 | Snap Inc. Announces Date of Third Quarter 2026 Results Conference Call | +6.3% | +0.6% |
| Oct 6, 2026 | Blue Duck Capital Urges Snap Inc. Board of Directors to Raise External Capital for Specs to Unlock Sum-of-the-Parts Value | +3.0% | +0.5% |
| Sep 17, 2026 | SPECS Make Computing More Human with New Experiences, Partnerships, and SPECS Intelligenceand 1 other headline that session | -1.2% | +1.1% |
| Sep 9, 2026 | Snap Names Ronan Harris Chief Commercial Officer | -2.2% | -0.5% |
| Aug 4, 2026 | Snap Inc. Announces Second Quarter 2026 Financial Results | +14.9% | +1.8% |
- Market cap
- 30-day
- Sector
- Technology
- Industry
- Computer Software: Programming Data Processing
- Listed since
- 2017
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