Snapchat boss sees £55m wiped off his fortune as shares tumble 13%
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Snapchat boss sees more than £55m wiped from his fortune as shares in the social media company fall 13%
Snapchat’s boss had wiped more than £55m from his fortune as shares in the social media company plunged nearly 13 per cent.
Evan Spiegel, who helped launch the messaging app in 2011 and is married to model Miranda Kerr, posted the loss on Tuesday after more disappointing results for the app’s parent company, Snap.
The stock fell as low as $10.10 on Wall Street after the app, popular among teens, warned that first-quarter earnings could fall by as much as 10 percent.
Revenues remained broadly flat in the fourth quarter of 2022 at £1.1bn on an annualized basis, making it the slowest pace of growth since the company went public in 2017.
“It looks like demand for advertising hasn’t really improved,” Spiegel said. “In general, it seems that our partners are just managing their spending very carefully.”
Lose: Evan Spiegel (pictured with Miranda Kerr), helped launch the messaging app Snapchat in 2011
Its nearly 3 percent stake has taken a beating, with £31 billion wiped from Snap’s market cap over the past year.
Snap has laid off 20 percent of its 6,000 employees.
Analysts at UBS downgraded Snap, citing increased competition from other social media companies.