Wednesday, 24 July, 2019


Twitter comeback continues as it reveals ‘daily user’ numbers for first time

Twitter Q4 2019- MAU charts Twitter comeback continues as it reveals ‘daily user’ numbers for first time
Conrad Doyle | 10 February, 2019, 00:11

Twitter on Thursday posted earnings of US$255 million, or 33 cents per share, in the October-December quarter.

Excluding some items, Twitter reported quarterly profit of 31 cents a share, beating the average estimate of 25 cents.

Daily users rose 9 percent in the fourth quarter to 126 million, a number Twitter is reporting for the first time - and one investors have been asking for as a better gauge of the service's popularity.

"2018 is proof that our long-term strategy is working", chief executive Jack Dorsey said in a statement.

The reasoning is that a less-toxic Twitter should benefit its standing with ad buyers in the long term.

Monthly active users totaled 321 million in the fourth quarter, in line with analysts' forecasts but down from 330 million a year earlier and 326 million in the third quarter. Monthly users have declined on Twitter every quarter since Q1 of previous year.

Twitter on Thursday for the first time disclosed the number of users who compose and read tweets on the site each day. And that is likely why Twitter is looking to release its daily active user numbers instead.

Twitter Q4 2018- mDAU charts

"Our mDAU are not comparable to current disclosures from other companies, many of whom share a more expansive metric that includes people who are not seeing ad", Twitter says.

Anthony Capano, managing director EMEA at Rakuten Marketing, commented: "These latest results mark the continuation of a winning streak for Twitter with a fifth straight quarter of GAAP profitability". According to Twitter, this is nine percent higher than the same period a year earlier with double-digit growth in five of its top 10 markets worldwide.

Twitter has said it identified much less manipulation on its service during the 2018 U.S. mid-term elections from badfaith actors located overseas than two years earlier during the presidential campaign.

Markets also appeared unsettled by a weaker-than-expected revenue outlook for the current quarter and rising expenses.

Jasmine Enberg of the research firm eMarketer said the results were nonetheless positive.

Twitter said the declining monthly active user trend was because of a mix of factors, including efforts to improve "the health of the service" as well as changes made to comply with sweeping data privacy protections in Europe.

Twitter crashed nearly 10% after officials said expenses will rise 20% in 2019 during the Q4 2018 earnings call. For instance, earlier this week Snapchat reported that it has stopped shedding users and is keeping the service afloat at 186 million daily users-but it's not clear how many of those daily users are monetised by Snapchat. Towards the end of 2018, Twitter revealed a host of content partnerships including Bloomberg, Sony Music and NBCUniversal that would bring hundreds of hours of livestreams and other videos to the platform in the Asia-Pacific region.

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