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Twitter Warns of Slower Growth in the Number of Twitter Users

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Twitter has gained twenty percent more daily active users in the first quarter compared to a year earlier. At the same time, the social media company warns that such spectacular growth figures will no longer be possible in the coming periods.

 

According to Twitter, in the first three months of this year, 199 million people were online on the messaging platform every day. Former US President Donald Trump’s exile for hate speech did not lead to the dreaded departure. According to Twitter, this is due to new functions that keep people longer with the app, such as a better grouping of messages around the interests of twitterers.

Advertisers also knew how to find the company, as evidenced by the sales growth of 28 percent to more than one billion dollars. The company then posted a net profit of $ 68 million, compared to a loss of $ 8.3 million a year earlier.

The growth of new Twitter users will be less in the coming quarters, the San Francisco-based company expects. The low point may come in the current second quarter. This is because the corona pandemic last year caused many new users because many people found the platform a valuable source of information about the virus outbreak.

Turnover may also be lower in the second quarter. Twitter estimates that the revenue will be between $ 980 million and $ 1.08 billion for that measurement period. Investors were shocked by this weak forecast, which caused the share in aftermarket trading to drop by nine percent.

CEO Jack Dorsey recently admitted that his company innovated too slowly so that growth compared to Facebook is slow. To quickly develop attractive new Twitter features that will bring the company money, Twitter plans to increase its workforce by a quarter. This also results in an equally significant increase in costs.

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