Twitter Shares Fall on Weak User Growth
The company broke even in the first quarter, better than what many analysts had predicted.
Twitter stock was falling 9 percent in after-hours trading Tuesday after the company reported financial results that beat expectations but monthly active users of 255 million, representing disappointing consecutive quarterly growth of 5.8 percent.
The social-media company said revenue grew 119 percent to $250 million in the first quarter, better than analysts had predicted, due in part to strength in mobile ads. The company also reported it broke even after some items on a per-share basis while some analysts predicted a small loss.
During the regular session, shares of Twitter closed 5 percent higher to $42.62, but they were off nearly $4 at times during after-hours trading.
Twitter said advertising revenue per thousand timeline views reached $1.44 in the quarter, up 96 percent compared with the same quarter a year ago. Timeline views rose 15 percent year-over-year to 157 billion.