Snap Inc. (NYSE: SNAP), the parent company of the popular social media platform Snapchat, reported strong financial results for the fourth quarter and full year 2024, fueling a surge in its stock price during after-hours trading on Tuesday.

The company's fourth-quarter revenue increased by 14% year-over-year to $1.557 billion, surpassing analysts' expectations. This robust revenue growth was driven by Snap's efforts to enhance its advertising platform, attract more active advertisers, and diversify its revenue streams.

Notably, Snap's Daily Active Users (DAUs) grew by an impressive 9% year-over-year to 453 million in Q4 2024, reflecting the continued popularity and engagement with its augmented reality (AR) features and products. The company's user growth was widespread across all geographic regions, including North America, Europe, and the Rest of the World.

Snap's financial performance also showcased significant progress towards profitability. The company reported net income of $9.1 million in the fourth quarter, a remarkable turnaround from the net loss of $248.2 million in the same period last year. For the full year 2024, Snap's net loss narrowed substantially to $697.9 million from $1.322 billion in 2023.

Furthermore, Snap's Adjusted EBITDA, a key measure of profitability, surged 73% year-over-year to $276 million in Q4 2024. For the full year, Adjusted EBITDA reached $508.6 million, a remarkable 215% increase compared to 2023. This significant improvement in profitability demonstrates the company's focus on monetization and cost optimization efforts.