Science & technology
Twitter hits 255 million active users
Publish Date: Apr 30, 2014
Twitter hits 255 million active users
  • mail
  • img
newvision

TWITTER Inc on Tuesday reported 255 million monthly active users, up 5.8 percent from the previous quarter but not enough to satisfy investors increasingly concerned about its struggle to gain a mass following.

Twitter's stock fell nearly 10 percent after hours, to below its post-initial public offering low of $38.80 on November 25.

The San Francisco-based company also said viewers refreshed their "timelines" - Twitter's equivalent of Web page views - 157 billion times in the first quarter, slightly fewer than some analysts' estimates.

The results revealed slowing momentum at a company that exuberant investors had once argued could match Facebook Inc's scale. At its peak in December, Twitter enjoyed a $46 billion market capitalization on just $665 million of revenue in 2013, making it one of the world's priciest stocks.

But cracks began to show in February, when Twitter Chief Executive Dick Costolo pledged to revive user growth after disclosing the rate had fallen to its lowest in years. Since then, Twitter's stock has been trading at 40 percent below its peak.

Expectations of Twitter growing into a communications utility that Facebook has become are "unrealistic and divorced from reality," said Brian Wieser, an analyst at Pivotal Research. "Twitter is and will remain a niche medium, and a very powerful one."

The company, which has been steadily refining its targeting capabilities, shows signs that it is better able to present ads based on what it thinks each user would be interested in.

Twitter said its advertising revenue per thousand timeline views, a metric that measures the effectiveness of its ads, nearly doubled to $1.44.

The company posted better-than-expected quarterly revenue of $250 million, as its mobile ads drew more viewer responses.

Excluding certain items, Twitter broke even against Wall Street expectations of a 3 cent per share loss. But the company said its net loss in absolute terms widened nearly fivefold to $132 million from $27 million a year ago.

The statements, comments, or opinions expressed through the use of New Vision Online are those of their respective authors, who are solely responsible for them, and do not necessarily represent the views held by the staff and management of New Vision Online.

New Vision Online reserves the right to moderate, publish or delete a post without warning or consultation with the author.Find out why we moderate comments. For any questions please contact digital@newvision.co.ug

  • mail
  • img
blog comments powered by Disqus
Also In This Section
European lawmakers back Google break-up
The European Parliament voted overwhelmingly for the break-up of Google on Thursday in a largely symbolic vote that nevertheless cast another blow in the four-year standoff between Brussels and the US Internet giant....
DNA may survive trip to suborbital space and back
DNA molecules attached to the outside of a rocket may be able survive a trip to suborbital space and back into the Earth's atmosphere at extremely high temperatures, according to a new study....
E-cigarettes have 10 times carcinogens: Japan researchers
E-cigarettes contain up to 10 times the amount of cancer-causing agents as regular tobacco, Japanese scientists said Thursday, the latest blow to an invention once heralded as less harmful than smoking....
Twitter takes note of other apps on smartphones
Twitter on Wednesday said it would begin tracking which other applications people have installed on their mobile devices in a bid to better target ads and content....
BlackBerry courts iPhone users with cash
Canadian smartphone maker BlackBerry is wooing Apple customers with a cash offer for trade-ins of iPhones for its new square-screened, keyboard-equipped Passport....
Spotify turns up volume as losses fall
The world's biggest music streaming service, Spotify, announced Tuesday its revenue grew by 74 percent in 2013 while net losses shrank by one third, in a year of spectacular expansion....
Should Govt lease parts of Lake Victoria to private developers?
Its Ok
No Way
Not Sure
follow us
subscribe to our news letter