Twitter Finally Achieves Something It Was Gunning For 12 Years

Must Read

Free Netflix in India: A Result of Slow Growth In Q3 2020?

Netflix is testing a new strategy that could lead to free Netflix in India. The online streaming...

Reliance Jio Set To Blitz The 5G Smartphone Market With Jaw-Dropping Price

Cometh the revolution, cometh Reliance. This time the price of 5G smartphones under the radar of Reliance.

Apple iPhone 12: Not For India And You Must Not Fall Prey To Apple’s Marketing Machine

The cat is out from the bag, finally! Apple iPhone 12 has launched in the most sophisticated...

In its 12 years of history, it is the very first time when Twitter Inc. (NYSE:TWTR) has achieved something it was trying for long –  recoding a profitable quarter. The micro-blogging social network has reported GAAP net income of $91 million in Q4 2017 as revenue reached $732 million, beating $686 million revenue estimation by Thomson Reuters. Consequently, the share Twitter shares jumped more than 20% on Thursday.

The fourth quarter performance of Twitter will definitely boost the confidence of the management, board and investors as well. Twitter didn’t record a big jump in its monthly active users that reached 330 million though, its daily active users base went up 12% year over year. Twitter tried to justify the growth in monthly active users with the crackdown on fake accounts and malicious activities, which amounted to less than 5% of its monthly active users. The microblogging network also blamed the new changes in Safari’s third-party app integration policy which affected 2 million monthly active users.

Twitter Revenue 2017: More Than 86% Came From Advertising

Twitter also reported that in Q4 2017 its revenue soared 2% year over year, while a 7% jump was recorded in its advertising revenue. Overall, in 2017, over 86% of Twitter’s total revenue came from advertising.

Advertisements

Despite all the positive signs and performance, Twitter has a long way to cover before it wins back investors confidence completely. By providing the outlook of 2018 Twitter has explained that the year of going to be more of strategic investment and less focus on profitability. Once again Twitter emphasized its commitment to fight with malicious, fake and spammy content with the help of having a more robust system in place. The focus of Twitter would be driving engagement, identifying credible accounts and improving its sales team, all will need more investment.

The road ahead is not going to be a cakewalk, especially when Twitter has got a lot to improve and fight with. The departure of top executives continues; It’s Chief Operative Officer Anthony Noto is leaving on March 1, to join a finance startup as CEO. Unlike Facebook, the failure of attracting big-time advertisers who are capable of pouring millions of dollars on ad campaigns is another challenge Twitter is facing.

But not all have lost for Twitter. The fourth quarter results bring a ray of hope and if Twitter continues with the modest growth and profit in the upcoming quarters, it won’t be tagged as sinking ship anymore. It may not become Facebook in terms of advertising revenue but it will surely become more valuable and respected platform, due to the demographics of its users, Facebook always wants to be seen as.

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Latest News

Can Facebook Be Trusted For Newly Announced Hosting and Shopping Services?

Every coin has two sides. For Facebook Inc. (NASDAQ:FB), the positive side says that it has launched...

When the Going Gets Tough, the Tough Gather Online

Tech shows; we all know them, love them, and wish we could get to them. Unfortunately, that's not always possible. Or is...

Flipkart, Amazon Hurtle To Secure Their Slice in Aditya Birla Fashion

The battle conch for the festive season has already been blown. Now in a bid to take control of a new frontier,...

Jio Pages: The Indian Browser Reliance Is Betting On Now!

Looks like Reliance wants to establish Jio as a synonym of technology. After launching a fleet of Jio products in the last...

Less Than 5% Internet Users In India Have Netflix Subscription

The third-quarter earnings report of Netflix is out; The streaming giant beats the Wall Street expectations in terms of revenue but fell...

Free Netflix in India: A Result of Slow Growth In Q3 2020?

Netflix is testing a new strategy that could lead to free Netflix in India. The online streaming giant is exploring options to...

In-Depth: Dprime

Will ‘TikTok By Microsoft’ Be A Winner?

For the last two years, TikTok has been in the public eye for all sorts of reasons. First, it was the exploded...

Facebook Subscription Model: Looking Beyond Ad Dollars?

Seldom do job listings create a stir this gripping. However, when the job listing in question is a stealth post from Twitter,...

Will The Online Food Delivery Market in India End Up Becoming A Two-Horse Race?

It's pretty much evident that the food delivery space in India is all set to get riled up soon enough as one...

More Articles Like This