Snap officially filed for an IPO on Thursday, and told investors it “may never achieve or maintain profitability.”
Snapchat’s revenue growth is astounding — and so are its losses. Here are the highlights.
- Net revenue: $404.48 million in 2016, up from $58.66 million in 2015
- Net loss: $514.64 million in 2016, wider than $372.89 million in 2015
- Loss from operations: $ 520.39 million in 2016, up from $381.73 million in 2015
- Usage: 161 million Daily Active Users in the December quarter (60 million Daily Active Users in the United States and Canada)
- Average revenue per user: $1.05 in the December quarter ($2.15 in North America)
- Time spent: 25 to 30 minutes a day
- Headcount: 1,859 employees
(All numbers are according to Generally Accepted Accounting Principles unless otherwise noted.)
That means the ephemeral messaging services grew revenue almost 7 times in a year — but its losses outstripped its revenue. Snap also revealed that it will spend $2 billion with Google Cloud over the next five years, and that boss Evan Spiegel got nearly $900,000 of security services in 2016.
“We have incurred operating losses in the past, expect to incur operating losses in the future, and may never achieve or…