Core Viewpoint - A class action lawsuit has been filed against Snap Inc. for misleading investors regarding its advertising revenue and growth potential during the specified Class Period from April 29, 2025, to August 5, 2025 [1][5]. Group 1: Lawsuit Details - The lawsuit claims that Snap's management created a false impression of reliable advertising revenue information while downplaying macroeconomic instability [5]. - It is alleged that Snap's optimistic reports on advertising growth did not reflect the reality of its operational challenges, leading to investor damages when the truth was revealed [5]. Group 2: Participation Information - Investors who purchased Snap securities during the Class Period may be eligible for compensation without upfront costs through a contingency fee arrangement [2]. - Interested parties can join the class action by visiting the provided link or contacting the law firm directly [3][6]. Group 3: Law Firm Credentials - The Rosen Law Firm has a strong track record in securities class actions, having achieved significant settlements, including the largest against a Chinese company at the time [4]. - The firm has consistently ranked highly in securities class action settlements and has recovered hundreds of millions for investors over the years [4].

Core Insights - Snap (SNAP) reported first-quarter 2025 earnings of 4 cents per share, matching the Zacks Consensus Estimate, and reflecting a 33.33% increase from the previous year [1] - Revenues rose 14.1% year over year to $1.36 billion, surpassing the Zacks Consensus Estimate by 1.15% [1] Revenue Breakdown - North America contributed 61% of total revenues, with an 11.9% year-over-year increase to $831.7 million [2] - European revenues, accounting for 16.4% of total revenues, increased by 14.4% to $224.02 million [2] - Revenues from the Rest of the World (ROW) reached $307.5 million, up 20.2% year over year [2] User Engagement - Snap's global daily active users (DAU) reached 460 million, marking a 9% year-over-year increase [4] - North America's DAU was 99 million, down 1% year over year, while Europe's DAU also stood at 99 million, up 3.1% [5] - ROW's DAU increased significantly by 15.9% to 262 million [5] - The total monthly active users surpassed 900 million in the first quarter [5] Advertising Performance - The number of advertisers with strong signal setups increased by 29% for large advertisers and 48% for mid-sized advertisers [6] - Over 60% of all direct response (DR) ad revenues have completed Conversions API (CAPI) integrations [6] Operating Expenses - Adjusted cost of revenues rose 11.7% year over year to $636.6 million [7] - Adjusted operating expenses were $618.2 million, up 6.7% year over year, with sales and marketing expenses decreasing by 1.3% to $195.8 million [7] - General and administrative expenses increased by 8.2% to $190 million, while research and development expenses rose 13.2% to $232.4 million [7] Financial Metrics - Adjusted EBITDA was $108.4 million, reflecting a 137.5% increase from the previous year [8] - As of March 31, 2025, cash and cash equivalents and marketable securities totaled $3.2 billion, down from $3.37 billion at the end of 2024 [9] - Operating cash flow was $152 million compared to $88 million in the prior year, and free cash flow was $114 million, up from $38 million [9] Guidance - For the second quarter of 2025, Snap expects infrastructure costs per DAU to be between 82 cents and 87 cents [11] - Adjusted operating expenses are projected to be between $2.65 billion and $2.7 billion [11]