Twitter shares are soaring after hours as revenue growth rose far more than expected, up 74% YoY (the fastest since 2014) to $1.19 billion (vs $1.06 billion consensus).
That revenue was split:
Advertising rev. $1.05 billion, +87% y/y, estimate $927.2 million
Data Licensing and Other revenue $137 million, +13% y/y, estimate $134.6 million
Additionally, Twitter raised its Q3 estimates from $1.17billion to between $1.22 billion and $1.30 billion.
The reaction was euphoric as TWTR shares rose around 10% after hours…
One of the main items investors have been focused on is DAUs, which met expectations (Average Monetizable DAU 206M, Est. 205.9M).
That means Twitter added 7 million new users in the second quarter, the same as Twitter added in Q1.
AS Bloomberg’s Kurt Wagner notes: “The numbers suggest the company is growing after a chaotic year that included the pandemic and a U.S. election that ultimately led Twitter to permanently suspend then-President Donald Trump.”