News

Twitter Q1 flies past estimates with sales of $787M and EPS of $0.25, but MAUs drop to 330M

Twitter Q1 flies past estimates with sales of $787M and EPS of $0.25, but MAUs drop to 330M
Technology
Monetizable daily active users — Twitter’s new and preferred metric for user numbers — were 134 million in the quarter, up 11 percent on a year ago. (Note: the earlier 28 million figure we used here was US-only.)

Still, on the financial side, this is a strong set of results for the company. Going into today, average analyst expectations were for Twitter to post about $775 million in sales ($742-$815 million range) on an EPS of $0.15 per share ($0.10-$0.20 range). Twitter itself last quarter said it expected Q1 revenues to be between just $715 million and $775 million, with operating income between $5 million and $35 million.

Shares are up 5.3 percent so far in pre-market trading.

With those numbers relatively stabilised, Twitter is putting more focus on trying to improve its actual product in the two areas where it has been considered weak: the ability for people to use Twitter when it gets noisy and active; and the general “health” of content management, around harassment and fake news. For the former, it’s been tinkering with a prototype app called twttr, and for the latter, it’s been adding more rules that it is proactively enforcing, which it says has led to “helping [Twitter] remove 2.5 times more of this content since launch.”

The “initial focus” of the twttr app up to now has been to focus on conversations and how to make them easier to follow. This implies that the app could stay around for some time to come and become the testing ground for much more, including Twitter’s increasing forays into video and other content and how it manages bad actors on the platform: in other words, aspects of the service potentially represent opportunities for growth and monetization — or otherwise urgently need attention because if they don’t get resolved they will ultimately hinder both.

This is the last quarter that Twitter is reporting monthly active users, as it makes a switch instead to reporting “mDAUs”, or monetizeable daily active users, which it claims is a more accurate representation of how the business is growing. MAUs have not been a great metric for the company over the years, with one of Twitter’s strongest criticisms being that its user growth is stagnating. Given that the platform has a strong surge of usage around specific events, the average usage on days will work out stronger than that of usage on a monthly period.
Read more on TechCrunch
News Topics :
RELATED STORIES :
Technology
Pew says only around 22 percent of American adults today use Twitter, and they are representative of the broader population in some ways, but not in others. For starters, Twitter’s...
Technology
Total monthly active users for Q3 were 330 million, up 4 million from the prior quarter and an increase of 4 year over year. US MAUs grew 1 million sequentially to 69...
Business
NEW YORK—Twitter is reporting that revenue and profit and its daily user base all grew in the final three months of 2018. But its monthly user count slipped and guidance...
Technology
Analysts had predicted revenue of $703 million and EPS of 14 cents per share. Ad revenue was also up 29 percent, to $650 million, and Twitter says total ad engagements...
Technology
The microblogging service recorded a drop of one million monthly users in Q2, with 335 million overall and 68 million in the U.S.. International users stayed consistent, with U.S. numbers down...