The Twitter headquarters in San Francisco. (Photo: Shutterstock)
Rising user numbers on Twitter and nevertheless sales are falling. Due to the ongoing corona crisis, advertising revenues are significantly lower.
Sinking advertising revenue due to the corona pandemic is affecting Twitter – even though the number of users is increasing strongly. In the second quarter, revenue fell 19 percent year over year to $ 683 million, the short message service said on Thursday in San Francisco. The main reason was that advertisers held back in the crisis.
Advertising revenue – Twitter’s most important source of money – slumped 23 percent to $ 562 million. The bottom line was a loss of $ 1.2 billion, which was mainly due to a high negative tax effect. Operating income was in the red at $ 124 million. Last year there was a $ 76 million profit here.
CEO Jack Dorsey, meanwhile, emphasized that Twitter is very popular and, apart from the financial situation, has seen very strong growth. The number of daily users rose by more than a third to 186 million, which means that the company achieved its strongest annual growth rate to date. This was well received by investors, with the stock initially rising strongly on the pre-market. dpa
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