Twitter’s advertising service refresh came to fruition in the second quarter as it reported a surge in revenue and projected sales this quarter that exceeded analysts’ expectations.
According to a San Francisco-based social media group, second-quarter revenue was $ 1.19 billion, up 74% year-over-year, above the consensus forecast of $ 1.06 billion.
In addition, according to S & P Capital IQ, third-quarter revenues were between $ 1.22 billion and $ 1.3 billion, above current analysts’ estimates of $ 1.17 billion.
However, the number of Twitter users in the United States fell by 1 million from the first quarter to 37 million. This is due to factors such as the calmness of the news cycle and the breakout of the blockade by Chief Financial Officer Ned Segal.
Twitter’s share price rose nearly 5% in after-hours trading after the announcement of financial results.
In a letter to shareholders, Twitter cites “improvement of profitable products, strong sales execution, and significant increase in advertiser demand” as the main drivers of revenue growth.
The company recently reviewed its offerings to advertisers to improve its targeting capabilities and make it easier for small businesses to run their campaigns. He added that user engagement with advertising increased by 32% and cost per engagement increased by 42% year-on-year.
Twitter also said that, in line with analysts’ expectations, monetizable daily active users (a home-made metric that counts the number of logged-in users the platform displays ads) increased 11% year-on-year to 206 million. Said that he reached a person.
The company has developed a number of features, including tips for content creators and tools for subscribing, to increase engagement and diversify non-advertising revenue streams. Currently, personnel and expenses are expected to increase by at least 30% for the full year, up from the 25% guidance in the previous quarter.
Twitter’s revenue jumps as ad revamp pays off Source link Twitter’s revenue jumps as ad revamp pays off