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Reading: Twitter's revenue jump and 125% increase in ad revenue overshadowed by slow growth
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B&T > Advertising > Twitter's revenue jump and 125% increase in ad revenue overshadowed by slow growth
Advertising

Twitter's revenue jump and 125% increase in ad revenue overshadowed by slow growth

Staff Writers
Published on: 30th April 2014 at 11:53 AM
Staff Writers
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Twitter’s first quarter revenues hit $US250m in its second earnings report since becoming a public company late last year, with advertising revenue accounting for 90% of the takings.

Advertising revenue contributed $226m to the revenue, with mobile advertising representing 80%. The number of monthly active mobile users hit 198 million, up 31%.

While ad spend has increased 125% year-on-year for the quarter overall user growth has slowed.

The number of people using the service grew by 25% to 255 million monthly active users, up from 241 million in the last previous quarter.

But the growth is down on the 30% increase Twitter saw in the previous quarter.

Shares in the service, which allows users to share short-messages of 140 characters or less, took a sharp plunge after the announcement was made.

Despite the 9.6% drop in Twitter’s shares to $38.53 in after-hours trading, chief executive Dick Costolo described the first quarter as “very strong”.

“Revenue growth accelerated on a year over year basis fuelled by increased engagement and user growth. We also continue to rapidly increase our reach and scale.”

 The number of times Twitter users refresh a Twitter feed, known as ‘timeline views’, increased by 15% in the quarter to hit 157bn. However, the figure is down on the 26% jump timeline views experienced in the final quarter of 2013.

Twitter went public in November 2013. Click here for more.

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Staff Writers represent B&T's team of award-winning reporters. Here, you'll find articles crafted with industry experience spanning over 50 years. Our team of specialists brings together a wealth of knowledge and a commitment to delivering insightful, topical, and breaking news. With a deep understanding of advertising and media, our Staff Writers are dedicated to providing industry-leading analysis and reporting, both shaping the conversation and setting the benchmark for excellence.

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