Despite adding 186-million daily users sales dropped 19%, with the platform now looking at different ways to supplement advertising revenue
San Francisco — Twitter reported a second straight quarter of record user growth as people joined the service for news and entertainment during the coronavirus pandemic, but its advertising business was hammered amid a global marketing retraction as businesses pulled back on spending.
The company said it’s exploring additional business lines, including a possible subscription offering, as a way to supplement advertising, which makes up more than 82% of total revenue. Twitter added 20-million new daily users over the quarter. The growth was “primarily driven by external factors, such as continued shelter-in-place requirements for many people, and increased global conversation around the Covid-19 pandemic and other current events”, the company said in the letter to shareholders.
Twitter executives dodged a number of questions from analysts about the impact of the boycott on the company’s business. “We’re here to talk about the second quarter, so I’ll focus on what we saw then,” CFO Ned Segal said when asked about July advertising trends. He said ad revenue was down 15% over the last three weeks of June, better than the 27% decline the company saw in the last three weeks of March at the beginning of the pandemic.
Twitter said its effort to find “additional potential revenue product opportunities” is in the early stages. “We do not expect any revenue attributable to these opportunities in 2020, you may see tests or hear us talk more about them as our work progresses,” the company said in the letter.
South Africa Latest News, South Africa Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Baker Hughes posts second-quarter loss amid oil price volatilityThe oil producer expects North American drilling and completions spending to be down 50% compared to 2019
Read more »
South Korea’s economic hole avoids being cannonball-shapedCompared to other nations, the country’s second-quarter GDP slide of 3.3% is something to cheer
Read more »
Taylor Swift set to drop 'surprise' album | ChannelAccording to the post she recorded the music in 'isolation' but collaborated with some of her 'musical heroes.'
Read more »
Two trucks intercepted at border post attempting to smuggle R2m worth of illicit goodsPolice say two suspects will appear in court on charges of smuggling illicit cigarettes and Contravention of Medicine and Related Substance Control Act.
Read more »
Wayde van Niekerk wants to make more history after two-year nightmareThe 400 metres world record holder Wayde van Niekerk says he wants to become the first athlete to break the 43-second barrier for the one-lap event.
Read more »