Snap’s stock price drops 8 percent following the company’s filing with the SEC
Snap Inc. chief financial officer Tim Stone is resigning less than a year after joining the Snapchat parent company “to pursue other opportunities,” the company announced in an SEC filing on Tuesday.
Stone joined Snap last May, coming over from Amazon, where he’d worked for the previous two decades. His final day with Snap has not been determined, according to the company’s filing.
“Mr. Stone has confirmed that this transition is not related to any disagreement with us on any matter relating to our accounting, strategy, management, operations, policies, regulatory matters, or practices (financial or otherwise),” the filing said.
Wall Street didn’t respond kindly to the news at first blush, with Snap’s stock dropping 8 percent in after-hours trading, hitting $5.99 per share.
Stone’s announced departure comes weeks ahead of a critical Q4 financial report from the company. Snap posted its best sales quarter ever during Q3, Stone’s first full quarter with the company, reporting $298 million in revenue. But those gains on the business side, showing Snap has been able to attract more advertisers, was offset by the company losing 2 million daily users.
Snap, in its SEC filing, said it expects to report “slightly favorable” revenue in comparison to its $355 million to $380 million guidance back in October.
Stone’s exit marks the latest high-ranking Snap executive to leave the company in the last year. Imran Khan, the company’s former chief strategist, stepped down in September; Nick Bell, Snap’s head of content, exited in November.