The number of daily user registration on on Twitter jumped 11% in the second quarter, proving that people they are still turning to short messaging service although some countries start reopening afterblocks.
The company said Thursday that daily users who can see the ads, of Twitter key metric for visitors have grown to 206 million in the quarter end in June. Twitter attributed the fort year-over-year growth to improvements and product interest in current events.
The rise in users helped the social media site, which makes more of your ad revenue, post an increase of 74% in quarterly revenue, at $ 1.19 billion. The performance beat Wall Street expectations of $ 1.065 billion, according to analysts interviewed by Thomson Reuters.
Twitter earned 8 cents per minute share, better than estimates of a loss of 13 cents per minute share. Excluding some expenses, Twitter earned 20 cents per minute share, beating the estimates of 7 cents per minute share.
Actions in Twitter shot 7% higher, at $ 74.40 per share, in after-hours trading.
How countries reopened after the pandemic halted, analysts and observers wondered if people they tweeted regularly as they did when they were limited to theirs homes. The growth Twitter suggests remains an important part of people’s lives as the pandemic subsides in some parts of the world. New waves and variations also invited users to contact the service.
“With the beginning of the second wave of COVID-19 in India, Twitter has emerged as a real-time lifeline like people aimed at service seeking and offering help to ensure life-saving facilities, medicines, food and credibility information, “Twitter said in a declaration.
Twitter CFO Ned Segal said: in a call with analysts is “too early” for know how the reopening will have an impact on the company’s users growth. The US Twitter newspaper active users have dropped from 1 million to 37 million since first for second quarter.
“People are still merging their old pre-COVID habits with they new habits, ”Segal said.
To experiment with new products
The strong performance comes liketry to move beyond his 280-character tweets, which basically have changed the way politicians, celebrities and others communicate with the world. The company has experimented with live audio, exclusive content and newsletter a help its users share their thoughts in broad sense.
The company hopes that new products, some of which allow for payments, will give it new ways to do money outside of announcements, what an account for most of Twitter revenue.
For example, Twitter tested a way for users to upload money for tickets in exclusive live audio chat, part of a live audio product called Spaces. Twitter is also test Super Follows, allowing users to charge a monthly subscription fee for extra content. The company will take a cut in base on the amount of user earnings.
Twitter said it wonnon take more by a 3% cut until a user earns a total of $ 50,000 from both products. After that, the Twitter cut will increase to up to 20%.
The company has tried using ads to monetize, a format that mimicked competitor Snap’s flagship product and allowed users to post video, photos and disappearing text in 24 hours. The product, however, is not widely used and will be in August.
Twitter CEO Jack Dorsey Dor also said during the call thought cryptocurrencies likeI wanted help the company move Faster with products that focus on subscription or tip. “We can reach every single person on the planet, “Dorsey said of cryptocurrency.
Twitter is also anticipating some challenges. The launch of Apple’s app tracking transparency tool could make targeting customers more difficult on social media sites like Twitter. Segal, however, said he thought it was too early to determine the impact, noting that “it is” just it will take some time here. “
Hurried also reported earnings on Thursday, beating Wall Street expectations. The company said revenue increased to $ 982 million in the second quarter, up 116% respect with the same period last year. Earnings increased 158%, to 10 cents per share. Snap’s stock has risen more by 13%, to $ 71.07 per share, in after-hours trading.
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