Twitter Reports Zero Subscriber Growth in Q2 Second Quarter
The social network Twitter has not added any new users for the second quarter of 2017 – a disappointing sequel to the otherwise promising start of the year.
With current financial results, Twitter reported a total of 328 million users. And yes, this is the same number as in the previous quarter. Analysts hoped that around four million people would join the network.
The company, however, outpaced earnings forecasts, where it reported $574 million, while Wall Street was expecting only $537 million.
The good news is that over the same period last year, the number of daily active users has increased by 12 percent, although Twitter is silent about how much they actually are.
For the previous quarter, the company added nine million new users, giving hope that Twitter business is growing again. Zero new users is definitely not what investors want to hear.
“Sequentially, monthly active users were flat and daily active user growth decelerated,” CFRA Research’s Scott Kessler wrote in a research note, reiterating his “sell” rating on the stock. “We still see Twitter as overvalued.”
Twitter chief Jack Dorsey, in announcing the results, insisted the company was “strengthening our execution, which gives us confidence that our product improvements will continue to contribute to meaningful increases in daily active usage.”
“People are reporting significantly less abuse on Twitter today than they were six months ago,” Dorsey said on the earnings call.
Twitter remains unprofitable — the company has never posted a net profit. On a standard accounting basis, it reported a net loss of $116.5 million for Q2 of 2017, up from $107 million in the year-ago quarter.
The loss for the most recent quarter included $113 million in stock-based compensation as well as a $55 million one-time charge for impairments in Twitter investments in privately held companies.http://gizbrain.com/2017/07/28/twitter-reports-zero-subscriber-growth-in-q2-second-quarter/https://i0.wp.com/gizbrain.com/wp-content/uploads/2017/07/Twitter-CEO-Jack-Dorsey.jpg?fit=900%2C506https://i0.wp.com/gizbrain.com/wp-content/uploads/2017/07/Twitter-CEO-Jack-Dorsey.jpg?fit=210%2C118TECH NEWSsocial network,twitterThe social network Twitter has not added any new users for the second quarter of 2017 - a disappointing sequel to the otherwise promising start of the year. With current financial results, Twitter reported a total of 328 million users. And yes, this is the same number as in the...Linda MorrisLinda Morrislinda.email@example.comContributorProfessional Science and Technology student. In my spare time writing about technology news and have fun with the latest gadgets.GizBrain - Your Tech Brain