Snap, Inc. Fiscal 2016 Highlights and 2017 Financial Outlook - PowerPoint PPT Presentation

Snap, Inc. Fiscal 2016 Highlights and 2017 Financial Outlook

Forward Looking Statements This press release contains forward-looking statements about us and our industry that involve substantial risks and uncertainties. All statements other than statements of historical facts contained in this prospectus, including statements regarding our future results of operations or financial condition, business strategy and plans, and objectives of management for future operations, are forward-looking statements. In some cases, you can identify forward-looking statements because they contain words such as “anticipate,” “believe,” “contemplate,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “plan,” “potential,” “predict,” “project,” “should,” “target,” “will,” or “would” or the negative of these words or other similar terms or expressions. We have based these forward-looking statements largely on our current expectations and projections about future events and financial trends that we believe may affect our financial condition, results of operations, business strategy, and financial needs. These forward-looking statements are subject to known and unknown risks, uncertainties, and assumptions, including risks described in “Risk Factors” and elsewhere in this prospectus, regarding, among other things. You should not rely on forward-looking statements as predictions of future events. We have based the forward-looking statements contained in this prospectus primarily on our current expectations and projections about future events and trends that we believe may affect our business, financial condition, results of operations, and prospects. The outcome of the events described in these forward-looking statements is subject to risks, uncertainties, and other factors described in “Risk Factors” and elsewhere in this prospectus. Moreover, we operate in a very competitive and rapidly changing environment. New risks and uncertainties emerge from time to time, and it is not possible for us to predict all risks and uncertainties that could have an impact on the forward-looking statements contained in this prospectus. The results, events, and circumstances reflected in the forward-looking statements may not be achieved or occur, and actual results, events, or circumstances could differ materially from those described in the forward-looking statements. In addition, statements that “we believe” and similar statements reflect our beliefs and opinions on the relevant subject. These statements are based on information available to us as of the date of this press release. While we believe that information provides a reasonable basis for these statements, that information may be limited or incomplete. Our statements should not be read to indicate that we have conducted an exhaustive inquiry into, or review of, all relevant information. These statements are inherently uncertain, and investors are cautioned not to unduly rely on these statements.

Contents • Company Overview • Revenue Source • Quarterly Highlights • 2016 Fiscal Year Financial Results • Fiscal 2017 Outlook

Company Overview • Snap Inc. is an American multinational technology and social media company, founded on September 16, 2011 by Evan Spiegel and Bobby Murphy and based in Venice, California. § Its products include Snapchat and Spectacles, as well as the Bitmoji app. § Market Capitalization of over $27B. § The biggest U.S. IPO since 2014.

Revenue Source • The biggest source of revenue for Snap is ads . • The ad begins with a full screen video for 10 seconds and gives the user an option to interact with the ad. In this case, Snap charges a fee per video load. • "Sponsored lenses" is an augmented reality feature that gives brands the ability to be put on a user's face and advertisers pay snap a daily flat fee. • "Geofilters" targets users within a specific geographic location and layers an image on top of photos. • Snap sells its own branded glasses called Spectacles , which sell for $130. Source: https://www.benzinga.com/media/cnbc/17/02/9100736/snap-incs-revenue-model-explained

2016 Fiscal Year Highlights • Results for fiscal year 2016 reflect continued growth across all major product lines. • Snap, Inc. first day after going public was the most actively traded U.S. stock, with more than 215 million shares changing hands. • Snap, Inc. is the biggest U.S. IPO since 2014.

2016 Fiscal Year Financial Results

Fiscal 2017 Outlook • Revenue is growing and expected to top $1 billion this year, which is more than double 2016's revenue rate.

Snap, Inc.