{"id":4975,"date":"2017-04-26T12:00:51","date_gmt":"2017-04-26T12:00:51","guid":{"rendered":"https:\/\/www.rsoftsolution.com\/blog\/twitter-desperately-needed-a-hit-first-quarter-and-somehow-managed-to-deliver.html"},"modified":"2017-04-26T12:00:51","modified_gmt":"2017-04-26T12:00:51","slug":"twitter-desperately-needed-a-hit-first-quarter-and-somehow-managed-to-deliver","status":"publish","type":"post","link":"https:\/\/www.rbsitsoftwaresolution.in\/blog\/twitter-desperately-needed-a-hit-first-quarter-and-somehow-managed-to-deliver.html","title":{"rendered":"Twitter desperately needed a hit first-quarter and somehow managed to deliver"},"content":{"rendered":"


\n<\/p>\n

In an very un-Twitter move, the company completely beat out the increasing\u00a0decline of its business that tech observers were expecting.<\/p>\n

This is a hugely positive sign for the company, which has seen continued bad news on the whole company operating front. Not only was it able to generate more money than expected, its user numbers also made a surprising spike. Twitter\u2019s faced a ton of scrutiny as to whether it can be another big player in the advertising space, trying to pitch its unique product compared to others like Facebook and Snap.<\/p>\n

Now the company is starting to see some good news roll in, and it\u2019ll have to figure out how to capitalize on that momentum. The company said it generated $548 million in revenue with earnings of 11 cents per share. It also added 9 million new users, bringing it to 328 million total monthly active users. Wall Street was looking for earnings of a cent share on revenue of $511.9 million, as well as a much smaller user growth number.<\/p>\n

It\u2019s still a decline in revenue. In the first quarter last year, Twitter generated $595 million in revenue, which means its total revenue fell 8% year-over-year. Its revenue from its data licensing and other revenue is growing \u2014 up $10 million year-over-year in the first quarter \u2014 but its advertising revenue is still in decline. Twitter\u2019s expenses got their own bullet point in this report, where the company said its expenses were down 5% year-over-year in the first quarter.<\/p>\n

Twitter is still in the midst of figuring out how to make its product more approachable and juice that user growth. One part of that includes curving abuse on the platform, where\u00a0the company said explicitly in the earnings report that it had started to make an impact.<\/p>\n

\u201cWe\u2019ve made meaningful progress toward identifying and removing accounts that demonstrate abusive behavior and, as a result, we\u2019re seeing less abuse reported across the service,\u201d Twitter said in its earnings release.<\/p>\n

\n

We also helped people reduce notifications from conversations started by accounts they\u2019ve blocked or muted. #TWTR<\/a><\/p>\n

\u2014 TwitterIR (@TwitterIR) April 26, 2017<\/a><\/p>\n<\/blockquote>\n

\n

It\u2019s still going to have to make sure that these changes don\u2019t confuse or alienate existing users, but its overall base appears to be growing.\u00a0The company, also seemingly allergic to altering its product, has also made some changes in recent months to trim down the complex nature of Twitter. That includes increasing the number of characters available in general by removing @names from the Tweet text as well.\u00a0Twitter also said its daily active usage grew 14% year-over-year, though there were no specifics (which has never happened in tech reports ever).<\/p>\n

\u201cWe gave people more characters for their replies by removing @names from the Tweet text, we\u2019re building a unified API platform, and we\u2019ve launched new Direct Message APIs, creating a more cohesive product experience for consumers and developers,\u201d the company said.<\/p>\n

On the scale of good news and very good news, this is going to be logged much closer to the latter. Twitter\u2019s stock is up more than 11% in early trading this morning, which is one of the biggest bumps it\u2019s seen since talks of acquisition of the company popped up. Shares came down to reality after a while and are up about 9% in early pre-market trading.<\/p>\n

Everyone\u2019s favorite line in the earnings report \u2014 the company\u2019s massive stock-based compensation \u2014 also appeared to drop off.<\/p>\n

\"\"<\/p>\n

Last quarter, it became apparent that Twitter\u2019s advertising business was stalling<\/a>. As if its user growth problems weren\u2019t big enough, Twitter\u2019s pitch to Wall Street seemed to be getting more and more difficult \u2014 especially given that most of its best days came during days that there were talks about a potential acquisition for the company. During the last call, CEO Jack Dorsey said the goal was to simplify its advertising products.<\/p>\n

Twitter now has to deal not only with Facebook being the juggernaut. It\u2019ll be viewed in the scope of Snap as well, which continues to grow rapidly from both a user and revenue front despite its mounting costs. With Snap\u2019s successful IPO, Twitter may have to deal with increased expectations to perform given that many other players are finding themselves able to navigate major changes in the advertising ecosystem.<\/p>\n

This is also going to most likely buy Dorsey, who has said he will continue to run both companies, additional time. Twitter\u2019s exodus at its top level continues, and that\u2019s led to some impressive compensation packages for some of its executives like Anthony Noto. But buoying that stock price \u2014 and showing better performance \u2014 is going to naturally help attract talent.<\/p>\n

In the past three months, Twitter\u2019s stock\u00a0fell yet another 13% or so, continuing to compound its problems. But in the larger scope, Twitter\u2019s stock is only marginally down in the past year. So Twitter may have, for now, found a sort of leveling-off point.<\/p>\n

<\/p>\n

Featured Image: Drew Angerer\/Getty Images<\/small><\/p>\n

Article source: http:\/\/feedproxy.google.com\/~r\/techcrunch\/social\/~3\/fLWP8N2IOYk\/<\/p>","protected":false},"excerpt":{"rendered":"

In an very un-Twitter move, the company completely beat out the increasing\u00a0decline of its business that tech observers were expecting. This is a hugely positive sign for the company, which <\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[3],"tags":[10,7,14,15,6,12,11],"class_list":["post-4975","post","type-post","status-publish","format-standard","hentry","category-latest-update","tag-computer-news","tag-downloads","tag-microsoft-download-news","tag-networking-updates","tag-technology-update","tag-wordpress-plugin-download","tag-wordpress-theme-download"],"aioseo_notices":[],"aioseo_head":"\n\t\t\n\t\n\t\n\t\n\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t