Snap Inc. (SNAP) shares plummeted 14.19% in after-hours trading on Tuesday following the release of its first-quarter 2025 financial results. The company, known for its popular social media app Snapchat, reported disappointing earnings and refrained from providing guidance for the upcoming quarter, citing economic uncertainty.

The social media giant reported a loss of $0.08 per share for Q1, falling short of analysts' expectations of $0.03 per share profit. This significant earnings miss appears to be the primary driver behind the stock's sharp decline. Despite the earnings disappointment, Snap's revenue slightly exceeded estimates, coming in at $1.36 billion compared to the expected $1.35 billion.

Adding to investor concerns, Snap announced in its investor letter that it would not provide guidance for the second quarter due to "macro economic uncertainty." This lack of forward-looking information has likely contributed to the negative sentiment surrounding the stock. On a positive note, the company reported 460 million daily active users, surpassing the estimated 458.3 million, and posted an adjusted EBITDA of $108 million, significantly beating the expected $64.7 million. However, these metrics were not enough to offset the earnings miss and guidance withholding, as evidenced by the stock's after-hours performance.