It has taken them 12 years but Twitter finally turned a profit. In what seems crazy, (Twitter never turning a profit a remaining alive) they’ve profited! The social media giant posted their Q4 earnings recently and posted that they grew 2% from year to date. For the number nerds out there they company was in the green $91M for the quarter on a reported $732m revenue.
A lot of the growth is down to targeted advertising. The click-through rate of Twitter’s targeted ads hasa largely improved. Thus pushing Twitter into the green. Consequently the ads have worked so successfully due to machine learning advancements.
Profit & Growth
Twitter has also seen a rise in growth! Globally at least. Whilst the revenue was down 8% in the US, it grew to an impressive 17% for the rest of the world. Most notably a 34% increase in Japan!
However, user growth has seemed to have plateaued a bit. Ever since the company went public in 2013 there has been nominal increase in user growth. Twitter had 218M users in 2013; the total now? 330M the same as Q3 and only a 4% gain year on year. (Twitter grew by 0 users in one WHOLE quarter!?)
Shares grew due to Twitter turning a profit too! The shares reached a high of $34 per share, which was a 20% hike!
We don’t think Twitter is going anywhere soon, plus with the giant turning a profit, only good is going to come. There seems to be a lot of innovation coming from Twitter, as shown by the recent Local News investment from Twitter. Hopefully this will help get people chatting more on Twitter, as it’s a really good platform to get all your news from!
What do you think this will do to Twitter?
Let us know by getting in touch via our social platforms! @howtokillanhour
To listen to the guys chatting about this please click here!