Snapchat has actually not taken a beating in the Q4 earnings report, which would come as a surprise for investors and the daily users. The company has reported an increase in their shares by 20 percent, mainly because their user base has not declined since the last quarter and has stayed flat at 186 million daily users.
Snapchat was at its absolute low since that last three quarters, where the user base fell from 191 million users in Q1 to 188 million users in Q2, and then further lowered to 186 million users in Q3. The reports also show that Snapchat has done fairly well with the year-over-year losses limiting to only $50 million as compared to the losses in 2018.
CEO Evan Spiegel commented on this:
In 2018, we focused on building a foundation to scale the business over the long-term by driving sustainable product innovation, scaling our advertising platform, and hiring the leadership team that will help us achieve our future goals.
We ended the year with user engagement stabilizing and have started rolling out the new
version of our Android application to a small percentage of our community. We are substantially closer to achieving profitability, as we have maintained a relatively flat cost structure across the past five quarters while growing full‐year revenue 43 percent year‐over‐year.
We increased the breadth and depth of our content across international markets including France, Germany, Ireland, Norway, the UK, India, and the Middle East. We saw success with localized partners such as Filter Copy in India and Layalina in the Middle East to reach audiences drawn to local, culturally relevant content.