Twitter Surprises Wall Street with Earnings and is Up 10% in Early Trading
Twitter surprised the market this morning and is up 10% in pre-market trading.
After several quarters of disappointing results, Twitter reported better-than-expected earnings and revenue this morning before the opening bell.
According to the report, Twitter accelerated its monthly active users to 328 million, 7 million more than expected and 9 million more than the prior quarter.
While the social media company didn’t disclose a daily active user number, they reported that daily usage accelerated for the fourth-consecutive quarter — to 14 percent year-over-year growth.
The company reported earnings of 11 cents per share, 10 cents a share better than expected and down from 15 cents in the year-ago quarter.
Revenue was better than expected at $548 million, compared to estimates of about $512 million.
CEO Jack Dorsey attributed the accelerating user growth and engagement to a number of changes that have improved the user experience in the timeline and notifications to draw users back to the timeline.
Dorsey also said the company has been rolling out product improvements faster, such as making it easier to reply to tweets and to follow conversations, and the ability to search and browse by topics and live content.
