Twitter reported a better-than-expected 24 percent increase in fourth-quarter Earnings on Thursday, Aided by growth in its video advertising business.
The social media firm posted a drop in monthly active users, thanks in part to the campaign of deleting countless abusive accounts after facing criticism it was being used as a stage for political influence operations and hate speech.
Overall revenue rose to $909 million (roughly Rs. 6,500 crores) in the quarter, beating Wall Street’s average estimate of $868.2 million (roughly Rs. 6,200 crores).
Total advertising revenue rose 23 percent to $791 million (approximately Rs. 5,500 crores). More than half that revenue came from movie advertisements placed by corporate clients.
Revenue from data licensing and other non-advertising companies climbed 35 percent from a year before to $117 million.
Analysts had anticipated 25 cents, on average, based on IBES data from Refinitiv.
The amount of ordinary daily busy users exposed to Twitter ads, a new figure disclosed by the business, climbed to 126 million in the fourth quarter from 115 million per year ago and 124 million in the preceding quarter.
Monthly active users totaled 321 million. This was in line with analysts’ forecasts, but down from 330 million a year before and 326 million in the third quarter. Twitter said that after the current quarter it’d stop disclosing monthly active users, a statistic which has become standard among web companies over the last decade.
For the current quarter, Twitter stated it expected total earnings to be between $715 million and $775 million. Analysts are expecting about $765 million, typically.
Twitter said it expects operating expenses to grow approximately 20 percent year-on-year in 2019 due to efforts to improve its support, above analysts’ average estimate of 12 percent.