Twitter Inc. share sink 12 percent as losses widen

Company - Pavan Pandey - Feb 10,2017

Rating -

stars - based on 21 reviews

twitter inc share sink 12 percent as losses widen

On Thursday, Twitter Inc. reported the slowest income growth since the social networking service went public four years ago, sending shares down nearly 12 percent.

San Francisco-based Twitter reported a big loss of $167 million (133 million pounds) in the final three months of 2016, as against $90 million in the same quarter in the previous year.

According to Twitter, there were 319 million active users, which is nearly 4 percent up on a year earlier, but income from advertisement was chopped down slightly to $638 million.

The Unites States President, Donald Trump, activeness on Twitter did little to accelerate users or add income.

The Chief Executive Officer of Twitter, Mr. Jack Dorsey, said on a call with analysts, while the company may not be meeting everyone’s development expectations, there’s one thing that continues to develop and beat it peers: Twitter’s impact and influence. It’s the reason the entire team fighting so hard for the company and service. 

He further added that the company was investing in machine learning and searching for techniques to occupy advertisers. He also said that it will take time to display the consequences that the company wants to see, and the company is moving forward aggressively.

Twitter’s fourth-quarter revenues were $717 million, which was 1 percent up on last year’s $710 million. It was Twitter’s slowest quarterly revenue progress since it became a publically listed corporation in the month of November 2013.

The microblogging service has fought to discover a method that will entice a new crop of advertisers even as competitors have ridden a movement of increasing investment in internet advertising.

Twitter Inc. was also smashed by a series of executive exoduses in 2016, including in its products team, which had three executives in less than a year.