While recording 9 million active user growth may not be described by some as appreciable for a company like Twitter; it is worth celebrating considering how the company’s user-base remained almost stagnant since 2015. For a company like Twitter, recording additional 9 million users at this time is quite remarkable—it now has 328 million monthly active users.
Not many gave Twitter a chance; the Wall Street for one, didn’t give us much to look forward to. However, a lot of analysts would easily agree that the company did well in arriving at its current situation.
From the Q1 earnings released on Wednesday, it is glaring that the company reported profits of 11 cents per share on $548 million in revenue for the first quarter. Analysts forecasted profits of one percent per share on revenue of $512 million for the same quarter.
“We believe Twitter is the best at showing what’s happening in the world and what’s being talked about,” said Noto on a conference call to discuss results, per USA Today. “Having the political leaders of the world as well as news agencies participating and driving that is an important element to reinforcing what we’re best at.”
Twitter’s revenue may now have been impressive, but the company is, however, upbeat about what lies ahead. It plans to build on the achievement it made in the first quarter when it recorded an audience growth.
Here is chief executive Jack Dorsey said in a statement:
“We’re delivering on our goal to build a service that people love to use, every day, and we’re encouraged by the audience growth momentum we saw in the first quarter.”
“While we continue to face revenue headwinds, we believe that executing on our plan and growing our audience should result in positive revenue growth over the long term.”
Much speculations surrounded the future of Twitter towards the end of 2016, with some tech blogs and media houses suggesting that the company was on the verge of being sold. As expected, major players in Silicon Valley reportedly signified interest in acquiring the microblogging company. However, things didn’t quite turn out as expected, and rumors of takeover soon fizzled out.
Not quite long after rumors of sales and takeover fizzled down, facts started to emerge of how Disney and Salesforce pulled out of talks to buy Twitter. Recall that both companies were part of a couple of high profile suitors jostling to acquire the microblogging site.
The deal of course, did not materialize, which led various speculations especially bothering on Twitter’s financial viability. So what actually when wrong behind the scene? According to Bloomberg and CNBC, Twitter’s poor history of dealing with troll may have partly being the reason why Disney and Salesforce pulled the plug on the proposed deal.
While ruling his company out of any bid to acquire Twitter, the CEO of Salesforce, Marc Benioff said per CNBC that his company’s major concern was about Twitter’s reputation for handling online abuse and trolls.