The firm is adjusting its revenue forecasts marginally downward to account for a tempered growth outlook for Snapchat+, which is balanced by a slight increase in advertising revenues. This results in a 1% decrease in the 2025 revenue projection, now set at $6.1 billion. However, expectations for EBITDA have been increased by 13% to $718 million, reflecting enhanced margin prospects and a broadening of the sector's valuation multiples.

Snap's third-quarter revenue met expectations, and the guidance for the fourth quarter was consistent at the higher end. The primary area of interest was the increase in direct response revenue, particularly following a period of what was perceived to be minimal growth. As Snap revealed a significant growth in the number of advertisers, it suggests that the platform is increasingly attracting smaller marketers, although convincing larger marketers might require more time.

The firm described Snap's quarterly results as modestly surpassing expectations, yet presenting a mixed scenario in terms of earnings per share. Notable product innovation is currently underway, whose long-term significance remains to be validated. The simplification efforts, while intended to be beneficial, could paradoxically lead to disruptions in revenue in the near to medium term.