It was widely reported last November that Snap had confidentially filed the necessary paperwork for an IPO with the Securities and Exchange Commission, but had used a JOBS Act provision that allows companies with less than $1 billion in revenue to avoid making that paperwork immediately public.
Now, the Venice, Calif., company has made some of its previously private financial information public. The company made $404 million in revenue in 2016, up from $58.7 million in 2015. It also reported an annual net loss of $515 million in 2016.
The company had 158 million daily active users (DAU)at the end of the fourth quarter, up from 153 million at the end of the third quarter. Year-over-year, it grew DAU by 46 percent. In comparison, Instagram reported 300 million DAU in June when it had 500 million monthly active users. It now has 600 million MAU.
An IPO is a bold step for a company that began while CEO Evan Spiegel was still an undergraduate at Stanford University. What began as a messaging app for photos and, later, videos that disappeared after 10 seconds has turned into a formidable media company that many believe is poised to upend how its young audiences discovers and consumes content. Snap also made moves to diversify last year with the launch of Spectacles, a pair of smart glasses that record video clips.
But the company faces some hurdles, namely increased competition from Facebook-owned Instagram, which in August launched Snapchat competitor Stories. Instagram says that in just five months, its version of Stories already has 150 million daily active users, the same number of people who open up Snapchat every day.
This story originally appeared on The Hollywood Reporter.