Twitter posted strong financial results for Q2 ’15 but a slowdown in user base growth is a cause for potential worry for investors.
Net loss for the quarter stood at $136 million, down from $144 million for the same period last year. Revenues increased 61 per cent and stood at $ 502 million.
Advertising revenue totaled $ 452 million, an increase of 63 per cent year-over-year and mobile advertising revenue constituted 88 per cent of total ad revenue. Though Twitter does not release details about individual countries, it said that international totaled $181 million, an increase of 78 per cent year-over-year.
Average Monthly Active Users (MAUs) were 316 million for the second quarter, up 15 per cent year-over-year, and compared to 308 million in the previous quarter. The vast majority of MAUs added in the quarter on a sequential basis came from SMS Fast Followers. Excluding SMS Fast Followers, MAUs were 304 million for the second quarter, up 12 per cent year-over-year, and compared to 302 million in the previous quarter. Mobile MAUs represented approximately 80 per cent of total MAUs.
Twitter projected that revenue for Q3’15 would be in the range of $545 million to $560 million.