Wednesday, 29 July 2015
Twitter gets a break.
Bit of a revival in the Twittersphere with better than expected numbers this week.
Q2 Revenue of 502 million usd was +4% better than expected. Active monthly users at 316 million was up from 302 million and up from 288 million end last year.
That's growth in the face of what was considered a "flat" curve. So no, more people are actively using Twitter. 80% active on mobile giving 88% of the revenue (398 million usd).
It has cash of 3.6 Billion usd and shares gained +5% on the day with of course, Jack Dorsey doing all the talking (and straight talking by all accounts).
But what this does it raise expectations for Q3 and in particular, growth in users as well as, revenues. The shares have fallen back now somewhat.
So it's a bit of good news that has to be sustained and therein, lies the difficulty. Hung by your own success.
(Postscript Wednesday - after hours trading in shares showed at nearly -13% decline in prices at one stage. So there was an offload......which seems to be about comments made about the slow user growth - Monthly active Users MAU's).