Snap Shares Surge 6% After Earnings Beat

Snap Inc. shares rallied in extended trading on Tuesday after the company reported better-than-expected fourth-quarter results. Here's how the company did compared with Wall Street's expectations:

* Earnings per share: 16 cents adjusted vs. 14 cents expected, according to LSEG
* Revenue: $1.56 billion vs. $1.55 billion expected, according to LSEG
* Global daily active users: 453 million vs. 451.1 million expected, according to StreetAccount
* Global average revenue per user: $3.44 vs. $3.44 expected, according to StreetAccount

Snap's revenue for the fourth quarter increased 14% from $1.36 billion a year earlier. Net income in the quarter was $9.1 million, or a penny a share, compared with a net loss of $248 million, or 15 cents a share, in the prior year.

Snap said that it expects first-quarter revenue to come in between $1.325 billion and $1.36 billion, higher than Wall Street projections of $1.33 billion. However, Snap's first-quarter adjusted earnings will fall in the range of $40 million to $75 million, below analyst expectations of $78.5 million.

Snap's shares jumped in extended trading, with the stock up over 6% at the time of this writing. The company's strong performance in the fourth quarter and its optimistic guidance for the first quarter have likely contributed to the stock's rally.