As it preps Specs for the masses, Snap’s Q4 shows revenue growth but fewer daily users

Snap’s Q4 earnings report reveals a mixed performance as the company works to diversify its revenue beyond advertising. Revenue grew 10% year-over-year, reaching an average revenue per user of $3.62, up slightly from $3.44. Net income rose significantly to $45 million from $9 million the previous year. A key growth driver was Snap+, the company’s paid subscription service, which saw a 71% increase in subscribers, reaching 24 million. However, daily active users declined slightly from 477 million to 474 million, with losses concentrated in North America and Europe, while user numbers grew modestly in other regions. Looking ahead, Snap anticipates first-quarter revenue to fall short of analyst expectations due to intensified competition from Facebook, Instagram, and TikTok impacting advertising revenue. CEO Evan Spiegel emphasized the company’s focus on newer offerings, including a Snap storage feature and the upcoming launch of augmented-reality (AR) glasses called Specs. Snap recently established a new subsidiary,