$Snap Inc (SNAP.US)$ gained more than 20% after hours Thursday after the company reported well-received Q1 financial results.

SNAP gained 23.8% to trade at $14.11 shortly before 5:15 p.m. after reporting quarterly earnings of 3 cents per share, which beat the analyst consensus estimate of a loss of 5 cents per share.

Quarterly sales clocked in at $1.195 billion, which beat the analyst consensus estimate of $1.12 billion by 6.7% and represented a 20.9% increase over sales of $988.608 million from the same period last year.

The company also reported 422 million daily active users in the first quarter, an increase of 39 million, or 10%, year over year. Total time users spent watching "Spotlight" content increased more than 125% year-over-year.

Additionally, Snap said the number of Snapchat+ subscribers more than tripled year over year, surpassing 9 million subscribers in the first quarter. Meanwhile, the number of small- and medium-sized advertisers on Snapchat increased 85% year on year.

"The value we provide our community and advertising partners has translated into improved financial performance," CEO Evan Spiegel said in releasing the results. "Our large, growing, and hard-to-reach community, brand-safe environment, and full-funnel advertising solutions have made us an increasingly important partner for businesses of all sizes."

Snap also said that it sees 2Q revenues of between $1.225 billion and $1.255 billion vs. the $1.14 billion that analysts had previously estimated.

"As we enter Q2, we anticipate continued growth of our global community, and as a result, our Q2 guidance is built on the assumption that DAU will be approximately 431 million in Q2," the company said in its forecast. "We are focused on executing against our roadmap to deliver improvements to our DR advertising platform to drive improved results for our advertising partners and accelerate topline growth."