Twitter Q2 misses on revenue, shares plunge
Twitter reported mixed first quarter earnings on Tuesday, with revenue failing to meet Wall Street expectations.
The social network posted a net loss of $107 million, or 15 cents per share (statement).
Non-GAAP earnings were 13 cents per share on revenue of $602 million, up 20 percent year-over-year.
Wall Street was looking for earnings of 10 cents per share with $606.7 million in revenue. Twitter's shares took a dive following the miss, falling nearly 10 percent in after-market trading.
In terms of guidance, Twitter now expects third-quarter revenue in the range of $590 million to $610 million. Analysts are hoping to see revenue of at least $678 million.
Of course with Twitter, it's all about the user numbers. The microblogging giant has been unable to please investors on this front, with monthly active user totals repeatedly falling short of analyst projections, and remaining flat in general.
For Q2, Twitter reported 313 million MAUs for the quarter (82 percent from mobile), which means the company added roughly three million new users over the quarter's three-month span. Analysts had expected about 312 million MAUs.
Twitter's unrelenting struggle to attract new users has cast doubt about the company's ability to simplify its product enough to garner mainstream appeal. Twitter made several moves toward simplification throughout this year, however it's tough to tell how much the changes have impacted user growth.