Twitter beats revenue forecasts and records an increase in users who see ads
Twitter surprisingly reported strong user and revenue figures on Friday for the second quarter of the year even when it eliminates robot and fake accounts from its platform.
On that front, the social network indicated that instances of suspicious behavior and spam fell by 18% in that period.
However, Twitter‘s effort to reduce fake accounts costs money and its adjusted net income fell 36% to about $ 37 million, or 5 cents per share. At the same time, revenues increased 18% to 841 million dollars, much more than the 829 million dollars provided by the New York Stock Exchange, according to a FactSet survey. In April, Twitter had projected revenue of between $ 770 million and $ 830 million for this quarter.
The daily Twitter user base rose 14% to 139 million when analysts forecast 134.7 million daily users.
The San Francisco-based company began publishing its daily user base earlier this year. These users are those who register on the site at least once a day and see ads on the platform. Twitter said the daily measurement would replace its monthly user count, which it stopped disclosing.
Twitter has tried to improve what is referred to as the “health” of the conversations on its platform in the face of widespread criticism that it does not do enough to remove hate speech, abuse or harassment. In June, the company began putting warning labels on abusive or offensive tweets of politicians and world leaders.
Twitter has long argued that world leaders are in the public interest and tweets should remain even when they violate site terms. This became a problem with the election of President Donald Trump, who constantly uses the social network to denigrate enemies and exalt supporters.
With the new feature, users have to touch the warning to see the underlying message, but the tweet will not be deleted as Twitter would do with posts from a private individual.
Twitter redesigned its website in an attempt to facilitate its use and motivate the exploration. People who use Twitter on a desktop computer rather than a mobile phone tend to be more serious users who tweet for work: social media specialists, journalists and the like.
Twitter shares increased 5% in operations prior to market opening.