Sat. Apr 4th, 2020

Twitter earns 1,000 million in its first year with benefits

Twitter gana 1.000 millones en su primer año con beneficios


Twitter registered a benefit of 1,062 million euros in 2018, thus achieving the first annual profit of its history since its jump to the stock market, in 2013, moment from which it publishes the results.

The firm has been posting positive quarters since the fourth of 2017, so this is the first time that it has been able to close in 'black numbers' for a full year. In any case, the company has announced a worse expectation of income for the first quarter, combined with an increase in expenses that have weighed on the markets, where it left more than 20%.






Forecasts

Cost growth can limit the benefit

The billing it rose by 24.5% to 2,683 million euros, due to a greater business in the advertising of the videos. Of that figure, 2,309 million corresponded to advertising revenues, while the remaining 374 million came from the sale of personal data. At the end of the year, between October and December, the benefit was 225 million, almost triple that of a year ago, after an increase in turnover of 24%, to 801 million.

"2018 was proof that our long-term growth strategy is working," said Twitter CEO Jack Dorsey. "We started this year with the confidence that we will continue to deliver a solid performance by focusing on making Twitter a healthier and more conversational service," he added.

The CEO of Twitter, Jack Dorsey

The CEO of Twitter, Jack Dorsey
(Twitter)

It will also attack harassment in the network. "In 2019 we will be more proactive in reducing abuses", adding that their priority will be to improve the "quality" of the public debate in the social network. But all this will mean higher costs. In 2018, cats grew above analysts' forecasts and this may have a greater impact on future benefits.






New statistics

The firm releases monetizable users

On the other hand, the firm has incorporated a new metric. Until now he spoke of users, but in these results he has added what he calls 'daily monetizable users'. Thus, Twitter only seeks to account for all those people who connect to the social network from a platform that is capable of serving ads.

Thus, the social network closed 2018 with 126 million daily monetizable users, 9% more than at the end of the previous year. Of these, 27 million were in the United States and 99 million in the rest of the world.







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