Snap, Inc. (NYSE:SNAP) reported disappointing second-quarter results Thursday and refrained from giving guidance for the running quarter.

Munster Terms Results Ugly: Snap commented that September quarter revenue is tracking flat with the year-ago period, belying consensus forecast for 18% growth, Loup Funds co-founder Gene Munster noted on Twitter. He described the results as “ugly.”

The good news is daily average users rose 18% to 347 million in the second quarter, the analyst said. He expressed disappointment at the founders creating a structure to protect their super-voting rights. “Feels tone deaf,” Munster said.

Read-across For Meta: Snap’s bigger rival Meta Platforms, Inc.’s (NASDAQ:META) results are unlikely to be this bad but “prepare that there is risk,” Munster said. Meta is currently expected to report September quarter revenue growth of 4%, he noted.

Munster’s Takeaways From Earnings Call:

• Demand has been weak due to a combination of macro factors and competition from TikTok, Meta and Alphabet, Inc.’s (NASDAQ:GOOGL) (NASDAQ:GOOG) YouTube.
• The company said they need to see the macroeconomic conditions stabilize before growth can return.
• The time spent with content is growing, as reflected by 9% impression growth but demand is not materializing.
• The Street is estimating 22% growth for the December quarter and 33% growth in 2023. Munster expects the numbers to come to mid-single digits for the December quarter and around 10% for 2023.
• Price Action: Snap shares plunged 26.79% to $11.97 in after-hours trading on Thursday.