Snap reported second-quarter revenue of $1.3 billion, up 9% year over year, with an adjusted EBITDA margin of 3.1%. However, weak monetization engine and ad pricing errors led to a 15% drop in shares. Management plans heavy AI investments, with third-quarter revenue expected at $1.49 billion, indicating lower profitability than previous estimates.

Read more at Morningstar: Ad Platform Error and Persistent Weak Monetization Drag Revenue Growth