Highlights from the SNAP 2009 financials. SNAP runs Are You Interested, a social dating app similar to Zoosk.
– Full Year 2009 Revenue: $3,170,725, as compared to $3,011,627 in full year 2008 — an increase of $159,098
– Q4 2009 Revenue: $816,391 as compared to $801,120 in Q3 2009 — representing sequential revenue growth for third consecutive quarter in 2009
– Implemented subscription model on ‘Are You Interested?’ dating application in Q4 2009
Revenue increased from $3,011,627 for the year ended December 31, 2008 to $3,170,725 for the year ended December 31, 2009, an increase of $159,098. These revenues are primarily generated from advertisements and premium features placed on our various applications as well as subscription fees for subscriptions to our AreYouInterested product. We experienced a small increase in revenue versus the previous year as a result of increased monetization efforts, however as we noticed declining advertising payouts much of the year was spent developing and transitioning to our subscription model, for which we only began seeing the anticipated revenue increase toward the end of 2009 following its launch.
Net Income decreased to a loss of $101,919 for the year ended December 31, 2009 from net income of $796,960 for the year ended December 31, 2008, a decrease of $898,879. The decrease in net income and shift to a net loss was due to the revenue recognition aspect of our subscription model in which revenues are recognized over the duration of a user’s subscription term rather than when collected in the case of multi-month subscriptions, as well as decreased advertising payouts, and increased expenses associated with the expansion of our operations.
More at Marketwatch.
