Now Twitter is Losing Monthly Users in the U.S.


Twitter failed to attract more global monthly users in the second quarter, spooking investors looking for evidence that the company is on a sustainable long-term growth path. The shares tumbled more than 9% in early trading, even as quarterly revenue topped analysts’ projections.

A long-term turnaround depends on Twitter expanding its audience. That number stands at 328 million monthly active users worldwide — the same as in the prior quarter, the San Francisco-based company said in a statement Thursday. Revenue fell 4.7% and the company’s net loss also widened, affected by a $55 million writedown of the value of its investment in SoundCloud, the German music streaming service.

Monthly active users in the U.S., Twitter’s most important advertising market, declined to 68 million from 70 million in the prior quarter. U.S. advertising revenue also fell 7% to $335 million as it struggles to compete with Alphabet Inc.’s Google and Facebook Inc., which account for most of the growth in digital advertising.

Twitter failed to attract more global monthly users in the second quarter, spooking investors looking for evidence that the company is on a sustainable long-term growth path. The shares tumbled more than 9% in early trading, even as quarterly revenue topped analysts’ projections.

A long-term turnaround depends on Twitter expanding its audience. That number stands at 328 million monthly active users worldwide — the same as in the prior quarter, the San Francisco-based company said in a statement Thursday. Revenue fell 4.7% and the company’s net loss also widened, affected by a $55 million writedown of the value of its investment in SoundCloud, the German music streaming service.

Monthly active users in the U.S., Twitter’s most important advertising market, declined to 68 million from 70 million in the prior quarter. U.S. advertising revenue also fell 7% to $335 million as it struggles to compete with Alphabet Inc.’s Google and Facebook Inc., which account for most of the growth in digital advertising.

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Source:: Advertising Age Digital

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