Slide 1: Q3 2025 Earnings Slides
Q3 2025 Earnings Slides November 5, 2025
Slide 2: Forward-Looking Statements & Non-GAAP Financial Measures
Forward-Looking Statements & Non-GAAP Financial Measures This presentation contains forward-looking statements about us and our industry that involve substantial risks and uncertainties. All statements other than statements of historical facts contained in this presentation, including statements reg
Slide 3: Third Quarter 2025 Financial Summary
Third Quarter 2025 Financial Summary • Revenue was $1,507 million, compared to $1,373 million in the prior year, an increase of 10%1 year-over-year. Revenue • Average revenue per user was $3.16, compared to $3.10 in the prior year. • GAAP gross margin was 55%, compared to 53% in the prior year. • Ad
Slide 4: Business Highlights
Business Highlights We deepened engagement with our community: • The Snapchat community continues to grow, reaching 943 million global monthly active users (MAU) in Q3, an increase of 60 million or 7% year-over-year. • Daily active users (DAU) were 477 million in Q3 2025, an increase of 34 million,
Slide 5: Business Highlights (Continued)
Business Highlights (Continued) We are focused on accelerating and diversifying our revenue growth: • Direct Response advertising revenue increased 8% year-over-year, accelerating 3 percentage points from the prior quarter, driven by strong demand for our Pixel Purchase and App Purchase optimization
Slide 6: Business Highlights (Continued)
Business Highlights (Continued) We invested in our augmented reality platform: • Our community uses AR Lenses in our Snapchat camera 8 billion times per day, and over 400,000 developers have built more than 4 million Lenses with Snap’s world-leading AR tools. • In Q3, more than 350 million Snapchatt
Slide 7: Business Highlights (Continued)
Business Highlights (Continued) We are making computers more human with Specs: • In Q3, we launched Snap OS 2.0, a major update that lays the foundation for the public debut of our next-generation Specs in 2026. • Snap OS 2.0 introduces a redesigned browser with faster performance, lower power usage
Slide 8: Average Daily Active Users (DAU)
Average Daily Active Users (DAU) (in millions, unaudited) GLOBAL NORTH AMERICA1 460 469 477 100 100 100 99 98 98 432 443 453 Q2'24 Q3'24 Q4'24 Q1'25 Q2'25 Q3'25 Q2'24 Q3'24 Q4'24 Q1'25 Q2'25 Q3'25 EUROPE2 REST OF WORLD 271 280 254 262 97 99 99 99 100 100 235 244 Q2'24 Q3'24 Q4'24 Q1'25 Q2'25 Q3'25 Q
Slide 9: Average Monthly Active Users (MAU)
Average Monthly Active Users (MAU) (in millions, unaudited) GLOBAL 932 943 913 883 895 868 Q2'24 Q3'24 Q4'24 Q1'25 Q2'25 Q3'25 We define a Monthly Active User, or MAU, as a registered and logged-in Snapchat user who visits Snapchat through our applications or websites at least once during the 30-day
Slide 10: Revenue by Geography
Revenue by Geography (in millions, unaudited) GLOBAL NORTH AMERICA1 + 10% + 5% $1,557 $1,507 $969 $1,373 $1,363 $858 $898 $1,345 $832 $821 $1,237 $768 Q2'24 Q3'24 Q4'24 Q1'25 Q2'25 Q3'25 Q2'24 Q3'24 Q4'24 Q1'25 Q2'25 Q3'25 EUROPE2 REST OF WORLD + 20% + 17% $298 $301 $308 $311 $287 $265 $266 $259 $24
Slide 11: Average Revenue Per User (ARPU)
Average Revenue Per User (ARPU) (unaudited) GLOBAL NORTH AMERICA1 + 2% + 8% $3.44 $3.10 $3.16 $9.73 $2.86 $2.96 $2.87 $9.20 $8.54 $8.41 $8.33 $7.67 Q2'24 Q3'24 Q4'24 Q1'25 Q2'25 Q3'25 Q2'24 Q3'24 Q4'24 Q1'25 Q2'25 Q3'25 EUROPE2 REST OF WORLD + 19% + 2% $1.19 $1.17 $1.09 $1.11 $1.02 $2.99 $0.96 $2.89
Slide 12: Adjusted Gross Margin and Adjusted Cost of Revenue
Adjusted Gross Margin and Adjusted Cost of Revenue1 (dollars in millions, unaudited) ADJUSTED GROSS MARGIN1 ADJUSTED COST OF REVENUE1 COMPOSITION Infrastructure Costs Advertising Partner & Other Costs Content & Developer Partner Costs + 1 PPT + 5% $669 $671 $637 $637 $650 $586 $154 57% $180 $152 55%
Slide 13: Adjusted Operating Expense Margin and Adjusted Operating Expenses
Adjusted Operating Expense Margin and Adjusted Operating Expenses1 (dollars in millions, unaudited) ADJUSTED OPERATING EXPENSE MARGIN1 ADJUSTED OPERATING EXPENSES1 COMPOSITION Research & Development Sales & Marketing General & Administrative + 1 PPT + 8% 61% $654 $654 56% 57% $604 $612 $618 55% $596
Slide 14: Net Income (Loss) & Adjusted EBITDA
Net Income (Loss) & Adjusted EBITDA1 (dollars in millions, unaudited) NET INCOME (LOSS) ADJUSTED EBITDA1 Net Income (Loss) Margin Adjusted EBITDA Margin2 $9 1% $276 (7)% (11)% (10)% $(104) (20)% (20)% $(140) $(153) $182 $(249) $132 18% $(263) $108 12% 8% $55 10% $41 4% 3% Q2'24 Q3'24 Q4'24 Q1'25 Q2'
Slide 15: Diluted Net Income (Loss) Per Share & Common Shares Outstanding
Diluted Net Income (Loss) Per Share & Common Shares Outstanding Plus Shares Underlying Stock-Based Awards (in millions, except per share data, unaudited) DILUTED NET INCOME (LOSS) PER SHARE1 COMMON SHARES OUTSTANDING PLUS SHARES UNDERLYING STOCK-BASED AWARDS Common Shares Outstanding $0.01 Shares Un
Slide 16: Operating Cash Flow and Free Cash Flow
Operating Cash Flow and Free Cash Flow1 (in millions, unaudited) OPERATING CASH FLOW FREE CASH FLOW1 $231 $182 $114 $152 $146 $93 $116 $72 $88 $24 $(21) $(73) Q2'24 Q3'24 Q4'24 Q1'25 Q2'25 Q3'25 Q2'24 Q3'24 Q4'24 Q1'25 Q2'25 Q3'25 Capex $(52) $(44) $(48) $(37) $(65) $(53) YoY Change 38% 218% 65% 202
Slide 17: Capital Resources and Liquidity
Capital Resources and Liquidity (in millions, unaudited) CASH, CASH EQUIVALENTS, AND MARKETABLE SECURITIES OUTSTANDING DEBT Maturity of Outstanding Principal $3,376 $3,192 $3,207 $3,081 $2,993 $2,893 $1,500 $750 $514 $550 $0 $47 $106 Q2'24 Q3'24 Q4'24 Q1'25 Q2'25 Q3'25 2025 2026 2027 2028 2029 2030
Slide 18: Appendix
Appendix
Slide 19: Non-GAAP Financial Measures Reconciliation – Quarterly
Non-GAAP Financial Measures Reconciliation – Quarterly (in thousands, unaudited) Three Months Ended June 30, 2024 September 30, 2024 December 31, 2024 March 31, 2025 June 30, 2025 September 30, 2025 Adjusted Cost of Revenue reconciliation GAAP Cost of Revenue $ 588,921 $ 638,907 $ 671,660 $ 639,579
Slide 20: Non-GAAP Financial Measures Reconciliation – Quarterly
Non-GAAP Financial Measures Reconciliation – Quarterly (in thousands, unaudited) Three Months Ended June 30, 2024 September 30, 2024 December 31, 2024 March 31, 2025 June 30, 2025 September 30, 2025 Adjusted Research and Development Expenses reconciliation GAAP Research and Development Expenses $ 40
Slide 21: Non-GAAP Financial Measures Reconciliation – Quarterly
Non-GAAP Financial Measures Reconciliation – Quarterly (in thousands, unaudited) Three Months Ended June 30, 2024 September 30, 2024 December 31, 2024 March 31, 2025 June 30, 2025 September 30, 2025 Adjusted EBITDA reconciliation Net income (loss) $ (248,620) $ (153,247) $ 9,101 $ (139,587) $ (262,5
Slide 22: Non-GAAP Measures
Non-GAAP Measures To supplement our consolidated financial statements, which are prepared and presented in accordance with GAAP, we use certain non-GAAP financial measures, as described below, to understand and evaluate our core operating performance. These non-GAAP financial measures, which may be
Slide 23: Note Regarding User Metrics and Other Data
Note Regarding User Metrics and Other Data We define a Daily Active User, or DAU, as a registered and logged-in Snapchat user who visits Snapchat through our applications or websites at least once during a defined 24-hour period. We calculate average DAUs for a particular quarter by adding the numbe
Slide 24: Note Regarding User Metrics and Other Data (Continued)
Note Regarding User Metrics and Other Data (Continued) Some of our demographic data may be incomplete or inaccurate. For example, because users self-report their dates of birth, our age-demographic data may differ from our users’ actual ages. And because users who signed up for Snapchat before June