Twitter Stock Surges on Q2 Results

Twitter shares jumped as much as 35% in after-hours trading after the social-media company posted better-than-expected earnings for the second quarter of 2014.

The company reported revenue for the period of $312 million, up 124% year-over-year, and a net loss of $144.6 million (versus a net loss of $42.2 million in the year-earlier period).

Twitter’s average monthly active users were 271 million as of June 30, 2014, up 24% from a year ago, beating Wall Street analyst estimates of 265 million monthly active users for Q2.

“Our strong financial and operating results for the second quarter show the continued momentum of our business,” Twitter CEO Dick Costolo said in a statement. “We remain focused on driving increased user growth and engagement, and by developing new product experiences, like the one we built around the World Cup, we believe we can extend Twitter’s appeal to an even broader audience.”

Costolo, on the company’s earnings call, highlighted the 2014 FIFA World Cup as driving up Twitter usage during the second quarter but also said product changes were the primary growth factors.

SEE ALSO: World Cup: Germany-Brazil Match Scores Twitter, Facebook Records for Sports Chatter

Twitter gained a net 16 million monthly active users in Q2, the most in five quarters. But “the World Cup itself didn’t really add” to the monthly active user base, according to Costolo. Rather, the soccer tournament boosted engagement: “During the World Cup, we delivered the kind of events experience that I have wanted to see from us for some time,” he said. “We served up tailored experiences for each individual match and for the overall World Cup and these experiences felt alive… That has given me confidence that we can create great user experiences by organizing content around topics and live events.

Twitter shares closed at $38.59 per share Tuesday, rising to $52.22 in after-hours trading before settling down to just under $50 per share.

Costolo said on the call that less than 5% of Twitter accounts are bogus — which is the same figure the company provided last fall for fake users when it launched its initial public offering.

More Digital

  • Netflix Reed Hastings

    Netflix Falls Short of Q2 Subscriber Expectations Worldwide, Stock Dives

    Twitter shares jumped as much as 35% in after-hours trading after the social-media company posted better-than-expected earnings for the second quarter of 2014. The company reported revenue for the period of $312 million, up 124% year-over-year, and a net loss of $144.6 million (versus a net loss of $42.2 million in the year-earlier period). Twitter’s […]

  • NewFronts West - Streamys Brand Awards

    IAB's NewFronts L.A. Edition to Feature Streamy Brand Awards for Advertising

    Twitter shares jumped as much as 35% in after-hours trading after the social-media company posted better-than-expected earnings for the second quarter of 2014. The company reported revenue for the period of $312 million, up 124% year-over-year, and a net loss of $144.6 million (versus a net loss of $42.2 million in the year-earlier period). Twitter’s […]

  • Roku TV Wireless Speakers

    Roku Launches Wireless Speakers for Roku TVs

    Twitter shares jumped as much as 35% in after-hours trading after the social-media company posted better-than-expected earnings for the second quarter of 2014. The company reported revenue for the period of $312 million, up 124% year-over-year, and a net loss of $144.6 million (versus a net loss of $42.2 million in the year-earlier period). Twitter’s […]

  • USA Today - Kate Gutman

    A+E Exec Kate Gutman Joins Gannett's USA Today Network as Head of Content Ventures

    Twitter shares jumped as much as 35% in after-hours trading after the social-media company posted better-than-expected earnings for the second quarter of 2014. The company reported revenue for the period of $312 million, up 124% year-over-year, and a net loss of $144.6 million (versus a net loss of $42.2 million in the year-earlier period). Twitter’s […]

  • Netflix Logo

    Netflix Extends Unreleased Korean Series ‘Kingdom’ for Second Season (EXCLUSIVE)

    Twitter shares jumped as much as 35% in after-hours trading after the social-media company posted better-than-expected earnings for the second quarter of 2014. The company reported revenue for the period of $312 million, up 124% year-over-year, and a net loss of $144.6 million (versus a net loss of $42.2 million in the year-earlier period). Twitter’s […]

  • France fans with painted facesFrance v

    France Celebrates Soccer World Cup Triumph

    Twitter shares jumped as much as 35% in after-hours trading after the social-media company posted better-than-expected earnings for the second quarter of 2014. The company reported revenue for the period of $312 million, up 124% year-over-year, and a net loss of $144.6 million (versus a net loss of $42.2 million in the year-earlier period). Twitter’s […]

  • 13 Reasons Why S2

    Netflix Q2 Preview: Can International Flywheel Keep Spinning on Big Content Spending?

    Twitter shares jumped as much as 35% in after-hours trading after the social-media company posted better-than-expected earnings for the second quarter of 2014. The company reported revenue for the period of $312 million, up 124% year-over-year, and a net loss of $144.6 million (versus a net loss of $42.2 million in the year-earlier period). Twitter’s […]

More From Our Brands

Access exclusive content