Snap Makes Ruthless Changes At The Top

(RTTNews) - Snap Inc. (SNAP) on Monday announced the promotion of two executives as the company restructures its management team.

The parent company of messaging app Snapchat said it has appointed Derek Andersen, currently its vice president of finance, as chief financial officer. The company also named interim CFO Lara Sweet as its first chief people officer. Both appointments are effective immediately.

Andersen, who has been vice president of finance since July 2018, will assume the responsibilities of Lara Sweet and report to CEO Evan Spiegel.

Sweet, who joined Snap in 2016, will oversee the company's hiring, management strategies and human resource functions. She too will report to Spiegel and continue as chief accounting officer until a replacement is appointed.

Snap has seen high-profile executive departures during the last year amid investor concerns about the company's declining user base.

This includes the departure of chief strategy officer Imran Khan, two CFOs Andrew Vollero and Tim Stone, and VP of Marketing Steve LaBella. Spiegel and former CFO Tim Stone reportedly had a "personality clash" prior to Stone's departure.

In April, Snap appointed Kenny Mitchell, a former executive of McDonald's Corp. (MCD), to the newly created role of chief marketing officer.

For the recent first quarter, Snap reported a net loss that narrowed from last year, while revenues grew 39 percent. The company also said its daily active users increased 2 percent sequentially to 190 million.

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