"Snap's Q4 Earnings: Revenue Miss and Middle East Conflict Create Headwind, Stock Plunges 30%"
Snap Inc. reported a revenue miss and issued a light guidance, causing its stock to plunge 30% in extended trading. The company attributed some of the weakness to the conflict in the Middle East, which created a headwind to year-over-year growth. Snap's net loss for the quarter narrowed, but it expects an adjusted EBITDA loss in the first quarter. The company also disclosed sales for its Snapchat+ subscription service for the first time, with 7 million subscribers and an annualized revenue run rate of $249 million in 2023. Snap's struggles in the digital ad market have led to six straight quarters of single-digit growth or sales declines, while larger rivals like Meta, Amazon, and Alphabet reported double-digit expansion in their advertising units.