Twitter Inc. released its second quarter of $ 1 billion on Tuesday, bringing its shares to a nearly 4% appreciation after trading hours for a maximum of 52 weeks.
Twitter TWTR,
reported a net profit of $ 222 million, or 29 cents per share, against expectations of 29 cents per share, according to analysts polled by FactSet. (Adjusted earnings were 38 cents per share.) Twitter revenue catapulted 28% to $ 1.29 billion, exceeding the consensus estimate of $ 1.18 billion.
“We delivered record revenue of $ 1.29 billion in the fourth quarter, an increase of 28% year-over-year, reflecting better-than-expected performance across all major products and regions,” said Ned Segal, chief financial officer at Twitter, in a statement announcing the results.
Daily monetizable active users (MDAUs), a key indicator of Twitter’s reach and its appeal to advertisers, improved 27% year on year to 192 million. Even so, it fell short of the 193.5 million expected by analysts surveyed by FactSet, creating distress among investors.
The growth of MDAUs is significant after ex-President Donald Trump left the microblogging platform last month, where he commanded one of his biggest followers (almost 89 million).
Twitter offered some caution, however, about the “modest” impact of AAPL from Apple Inc.,
Updated iOS 14, which contains improved privacy settings for third-party applications from Twitter, Facebook Inc. FB,
SNAP by Snap Inc.,
Pinterest Inc. PINS,
and others. All five companies expressed doubts about what this could mean for future ad sales.
“Finally, assuming that the global pandemic continues to improve and
that we see a modest impact from launching associated changes
with iOS 14, we expect total revenue to grow faster than expenses
in 2021, ”said Twitter in a letter to shareholders, in which the company forecast sales between $ 940 million and $ 1.04 billion in the current first quarter. “How much faster it will depend on our execution on our direct response roadmap and macroeconomic factors.”
Read more: Opinion: Apple’s privacy changes are affecting more than just Facebook
Twitter share has gone up 68% in the past 12 months. The S&P 500 SPX index,
increased 16.5% over last year.