Finally, after many months of low performance Twitter has shared some good news. The social platform reported its quarterly earnings with better than assumed results. Twitter Inc. also reported huge numbers in its daily user growth. As per the latest reports, now this platform has about 328 million users and bots every month. This is a significant 14 percent year over year increase on the social media site. Also the company’s stock prices are seeing a surge after Twitter earnings showed a positive report.
As a matter of fact, Twitter saw a bad phase over the past 6 months. This was due to the many potential acquisition offers that did not finalize and its sour finance status. Twitter has also added almost 9 million monthly users, on an average in its latest quarter. This, according to Fortune is its largest spike since 2015. Certainly, it is a much higher-than-expected growth.
The San Francisco, California Company believes that the surge in number of users is due to the changes made in the display of a user timeline. Even though the company shares good news relating its user growth it is still struggling to save itself from revenue decline. For the first time the social media platform saw a decline in its year-over-year revenue. The dip in its revenue was 8 percent at $548 million.
However, even the news about user growth helped in spiking Twitter’s stock (TWTR). The company’s stock was up by around 11 percent following this report. This is the largest increase since the time Twitter’s speculation was a trending subject in October, Fortune reports. Most of the Wall Street analysts expected Twitter’s earnings of one cent a share. But the company managed to report much better earnings at 11 cents per share.
Twitter Earnings on a Lower Side
On the other hand Twitter’s forecast for its current quarter earnings is comparatively lower than expectations of analysts. The company estimates earnings around $95-$115 million. But an estimate from the Wall Street is at $141 million.
Twitter will have to wait for things to get significantly better as it still lags behind competitors like Instagram and Facebook. While Twitter has 328 million users monthly, Facebook recently hit a whopping 700 million mark for its average monthly user base. Notably, it is up by a huge 100 million in the last 4 months.
Twitter, maybe needs to buck up we guess.