Snap Inc's stock surged 5.58% during pre-market trading on Thursday, marking a significant upward movement for the social media company.

The sharp increase followed the release of Snap's fourth-quarter 2025 financial results, which delivered a surprise profit and revenue beat. The company reported earnings of $0.03 per share, exceeding analyst expectations for a loss of $0.03 per share. Revenue of $1.72 billion also topped Wall Street estimates of $1.70 billion, driven by increased advertiser spending during the holiday season.

CEO Evan Spiegel attributed the strong performance to the company's "strategic pivot toward profitable growth," which translated into revenue diversification and meaningful margin expansion. The results provided relief to investors amid intense competition in the digital advertising space and demonstrated Snap's progress in its turnaround efforts.