The company said after the market closed on Thursday that its average monetary daily active users rose 20% year-over-year to 199 million, but analysts raised 200 million. Despite disappointing user growth figures, Twitter beat expectations on revenue and earnings, though it was not enough to convince investors.
Twitter reported a $ 1.04 billion increase in revenue in the first quarter, up 28% from $ 808 million a year earlier, when the epidemic began hitting corporate income. Twitter reported a $ 68 million profit this quarter, down from a loss of $ 8.4 million a year earlier.
In another blow to investor sentiment, Twitter announced guidance for the second quarter that was on the lower end of expectations.
The company said it expected revenue of between $ 980 million to 1.08 billion in the second quarter, while analysts expected guidance of $ 1.06 billion.
On a conference call with analysts, Twitter CEO Jack Dorsey provided some insight into how the company is thinking about content moderation. The company has faced criticism for suspending accounts, including The Post, and limiting access to stories that it violates its own rules. However some say that it has failed to clearly define the rules of its platform.
Dorsey said the company wanted to give users more tools to contribute to content moderation because they don’t think Twitter “should be the arbiter of all these things.”
“It should be more of a crowd knowledge and we are trying to find that right balance,” he said.
The earnings gave investors their first glimpse of how the company could perform without former President Donald Trump, who was banned from the stage after the January 6 riots at the Capitol.
Trump used the social media platform more and unsympathetically than any other elected official that some have credited with helping Twitter grow in recent years.