Twitter sees monthly user growth stall

Jack Dorsey

Twitter Inc (NYSE:TWTR) early Thursday posted better than expected second quarter earnings results, but its user growth ground to a halt in the period, and its shares sold off considerably in premarket trading. But after adding a surprising nine million new users last quarter, some hoped that was a sign Twitter's business growth would eventually follow. Instead, CEO Jack Dorsey and Chief Operating Officer Anthony Noto focused on Twitter's daily active user totals, which rose by 12 percent compared with this time previous year.

The struggling social network also posted a net loss of $116m, up from the $107m it lost in the same period a year ago.

Twitter is too much a part of the culture now to simply fade away, so at some point, the stock will represent value.

Revenue: $574 million vs. $536.7 million expected, according to Thomson Reuters.

After a short-lived President Trump-fueled bump in monthly active users, investors are left searching for the next catalyst for Twitter's user growth. Earnings per share also exceeded expectations, coming in at 12 cents per share vs. a projected 5 cents per share.

Twitter's second-quarter earnings release Thursday included a mix of good and bad news for the microblogging service.

But if you're looking for some good news - and you're willing to look hard to see past the slumping stock price - here's what you'll find: Twitter's overall audience isn't growing, but the people who already use Twitter are using it more frequently. "We increased our focus and discipline to execute at a faster pace than we've done before and ship larger, more fundamental changes that matter", Twitter said in its shareholder letter.

Under the prior method, non-GAAP net income for the quarter would have been $87 million and non-GAAP diluted EPS would have been $0.12.

In a statement, both CEO Jack Dorsey and COO Anthony Noto claim that the increased user growth is a sign of Twitter's strength.

Twitter stock fell 8.35% to 18 before the opening bell in the stock market today. In Q2, it delivered more than 1,200 hours of live premium video, up from 900 hours in Q1 and double the 600 hours it pumped out in Q4. Revenue growth for the company has largely been stagnant for the past few years and for the rest of 2017, Twitter said that it doesn't expect to see improvements in revenue growth rate.

Related News:

  • Jordan Montgomery gem, wacky Todd Frazier triple play lead Yankees over Reds

    Jordan Montgomery gem, wacky Todd Frazier triple play lead Yankees over Reds

    Matt Holliday went to right-center field, Didi Gregorius went to right field, and Chase Headley went the other way to left field. Gregorious would be called out for leaving the base path, but through all that madness, the Yankees scored a run.
    Kaspersky's Robust Antivirus Protection Is Now Free To All

    Kaspersky's Robust Antivirus Protection Is Now Free To All

    The software will be slowly released to the rest of the world over the coming months, landing in the United Kingdom in October. It's based on the same technologies as those older brothers, which you all know always come out on top in independent testing.
    University Will Receive $506 Million From Apple Because Of Patent Infringement

    University Will Receive $506 Million From Apple Because Of Patent Infringement

    As per the statements of Conley, Apple owes extra damages along with some heavy interest. Currently, the Apple spokesperson has refused to give any statements over this issue.
  • Centre rushes 12 additional NDRF teams to flood-hit Gujarat

    Centre rushes 12 additional NDRF teams to flood-hit Gujarat

    Official sources said that the 36-hour long rains have seen North Gujarat receive over 95 per cent of the season's rainfall. In all, the entirety of Gujarat has registered 534 mm of rain, which is 66 percent of its seasonal average of 810 mm.
    Jordan allows Embassy employees to return to Israel

    Jordan allows Embassy employees to return to Israel

    The incident comes amid tensions in the Muslim world over restrictions on worship imposed by Israel at a holy site in Jerusalem . Masaadeh said the embassy employee's diplomatic immunity would not prevent him being charged and standing trial in Israel.
    Motorola Launches Moto Z2 Force

    Motorola Launches Moto Z2 Force

    For further protection and resistance, the chassis of the smartphone is made out of the reinforced 7000 series aluminum build. It has been not long that we came across the GFXBench listing of the smartphone from Motorola with the model number XT1789.
  • Quincy Jones wins millions from Michael Jackson estate

    Quincy Jones wins millions from Michael Jackson estate

    Jackson gave a youthful pop vitality to Jones, who was known primarily as a producer and arranger of jazz and film soundtracks. They concluded: "Any amount above and beyond what is called for in his contracts is too much and unfair to Michael's heirs".
    Wasserman Schultz staffer arrested trying to leave the country

    Wasserman Schultz staffer arrested trying to leave the country

    Awan is also suspected of disclosing sensitive information of the lower house of Congress to outside sources. The affidavit specifically alleged he engaged in a scheme to defraud a Congressional Federal Credit Union.
    Black Panther Movie Gets Standing Ovation At Comic-Con San Diego

    Black Panther Movie Gets Standing Ovation At Comic-Con San Diego

    Even if the skeleton remains familiar, Black Panther looks to add some vibrant flesh to a tried and true universe. Wright spoke proudly of being given the opportunity to play a smart, strong black woman in a big movie like this.
  • Daniel Craig may have gotten James Bond 25 role

    Daniel Craig may have gotten James Bond 25 role

    Among them were Idris Elba, Tom Hiddleston , Damien Lewis and Tom Hardy, The Hollywood Reporter reported . James Bond will return to the big screen for a fresh instalment in 2019, creators have said.
    Pondy Lt Guv, Ministers pay homage to Kargil war heroes

    Pondy Lt Guv, Ministers pay homage to Kargil war heroes

    In a tweet, Kovind said the nation is grateful to the fearless men and women of armed forces who keep the country safe and secure. On the occasion, Defence Minister Arun Jaitley and three Chiefs of Services laid floral tributes at Amar Jawan Jyoti, India Gate.
    Jethmalani accuses Kejriwal of lying in defamation case, quits as his lawyer

    Jethmalani accuses Kejriwal of lying in defamation case, quits as his lawyer

    The senior advocate also claimed that he has asked the Delhi CM to settle his pending fees, which roughly amounts to Rs 2 crores. Jethmalani wrote in the letter that Kejriwal had in fact used more offensive languages against Jaitley in the private meetings.


Most liked

Stephen Colbert takes aim at Trump's awkward Boy Scouts meeting
President to visit the National Jamboree is a longstanding tradition dating back to President Franklin Roosevelt in 1937. The organization did not immediately respond to questions about blowback to the speech.

Free Movement to End in March 2019
An entirely new immigration system, set by British lawmakers, will be in place in April 2019, a spokesperson said. Ed Davey, the Liberal Democrat home affairs spokesperson, agreed that the study had come a year too late.

US Senate Republican health bill fails to get votes
Following that vote, the Senate voted against a proposal to repeal and replace Obamacare in a 43 to 57 vote. The so-called " skinny repeal" is one of several bills being considered in the Senate on Wednesday.

Hoyer to CNN: Ironic That McCain Returns For Healthcare Vote
Blake Farenthold said the Senate has failed to show the courage to dismantle the health care law. With Democrats united in opposition, the GOP can only afford to lose two of their own votes.