Snap Inc. Earnings: What to Watch

Snap (NYSE: SNAP) will report its second-quarter earnings after the closing bell on Thursday. It's just the Snapchat operator's second earnings report as a publicly traded company, but it will be under intense scrutiny after failing to impress in the first quarter.

Investors have called into question Snap's ability to grow users on its Snapchat platform in the presence of intense competition from Facebook (NASDAQ: FB). Meanwhile, despite improving engagement metrics, increasing average revenue per user (ARPU) still remains a challenge. Snap investors should also keep an eye on Snap's cost of revenue and some key operating expenses when it reports.

Here's a more detailed look at what to watch when Snap reports its second-quarter earnings.

Source: Fool.com