Despite strong user growth and revenue figures in its fourth quarter report, Facebook expressed some apprehension regarding its prospects for 2021.

Within the earnings release’s “CFO outlook” segment, Facebook indicated it expects to encounter “increased challenges for advertising” throughout the current year.

The company stated that these challenges “encompass the effects of alterations to platforms, most notably iOS 14, in addition to changes within the regulatory environment.” Facebook also noted, “Although the timing of the iOS 14 modifications is still unclear, we anticipate an effect starting towards the end of the first quarter.”

Facebook has previously engaged in efforts to address Apple’s forthcoming privacy updates, which will necessitate app developers to obtain user consent before utilizing IDFA identifiers for advertising purposes—however, public relations efforts have centered on the potential impact to smaller companies rather than Facebook itself.

Facebook also pointed to two widespread economic developments that have positively influenced its performance during the pandemic: the “continued move towards digital commerce” and “a change in consumer spending from services to goods.” Nevertheless, the company cautioned that “a slowing down or reversal of either or both of these trends could negatively affect our advertising revenue expansion.”

Concerning the fourth quarter results, Facebook announced revenue of $28.1 billion, with $27.2 billion originating from advertising, and earnings per share of $3.88. Financial analysts on Wall Street had forecasted earnings per share of $3.22 and revenue of $26.4 billion.

Facebook also reported an average of 1.84 billion daily active users and 2.8 billion monthly active users for the quarter, representing increases of 11% and 12% compared to the same period last year, respectively.

“We concluded the year strongly as individuals and businesses continued to utilize our services during these difficult circumstances,” stated CEO Mark Zuckerberg. “I am optimistic about our product plans for 2021 as we develop innovative and valuable methods to generate economic possibilities, foster community, and provide enjoyment for people.”

As of 4:45 p.m. EST, Facebook stock experienced a 0.7% increase in value during after-hours trading.