Twitter triples profits, global user base steadies

Twitter Trades Higher After Q1 Earnings Beat

Profits in the first quarter hit $191 million, compared with $61 million a year earlier, while revenues increased 18 percent to $787 million.

Aside from focusing on financials, Twitter CEO Jack Dorsey released a statement updating Twitter's actions to reducing abuse on its platform.

Twitter rose as much as 12 per cent, the most since October, to US$38.35 in NY.

Rich Greenfield, an analyst at BTIG, said the increase in monetizable daily active users was the largest in the past four years, "clearly illustrating that the product improvements and health initiatives are resonating with consumers all over the world".

Still, Twitter is ending reporting of that metric "on a high note", with monthly active users rising quarter over quarter for the first time since at least early 2018, noted Jasmine Enberg, an analyst at EMarketer.

Twitter called out particular strength in the USA, where ad revenue was $363 million for Q1, up 26%.

"We want to provide something valuable to people on Twitter every day, and we believe that mDAU, and its related growth, are the best ways to measure our success", Twitter said in explaining why it will no longer report monthly active user numbers. Twitter's clean-up has included removing thousands of spam and suspicious accounts, which it had blamed for sequential declines in monthly users in recent quarters.

The company's quarterly monthly active user (MAU) count rose 9 million to reach 330 million from previous quarter, while analysts on average had expected 318.8 million, a loss of 2.2 million users, according to IBES data from Refinitiv. "Investors are very cognizant of the investments we've seen at Facebook to try and get ahead of its regulatory issues, and I think people are not quite sure what that means for Twitter".

"The best thing ever to happen to Twitter is Donald Trump". "Big complaints from many people", the president tweeted to his almost 60 million followers in one of two postings.

She said Twitter's revenue beat expectations, with most of the growth coming from the United States, even though most new users were worldwide.

But Twitter forecast current quarter revenue largely below Wall Street targets. The company is also rolling out a Snapchat-like camera feature that lets users post videos or photos in a swipe.

He added that Twitter aims to become "more conversational" and has launched a prototype for a new app called "twttr", with the goal of "making conversation on Twitter feel faster, more fluid and more fun". Shares of peer social media companies Facebook and Snap rose 38.4% and 109.3% each, respectively, for the year-to-date through Monday. Twitter reported adjusted earnings of 37 cents per share, above the 15 cents that analysts expected.

Rep. Devin Nunes, one of Trump's staunchest allies in the House, filed at $250 million lawsuit against Twitter last month.

Total operating expense including cost of revenue, rose by 18% to $693m from the first quarter a year ago.

Bloomberg LP, the parent company of Bloomberg News, produces TicToc, a global breaking news service for Twitter.

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