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Twitter Shares Lose Flight After Huge Q3 Guidance Cut

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Twitter Shares Lose Flight After Huge Q3 Guidance Cut

Shares of Twitter Inc (NYSE: TWTR) traded down more than 10 percent in Tuesday’s after-hours session following the announcement of the company’s Q2 results. While earnings of $0.13 per share came in $0.03 above the Street’s consensus, revenue of $602 million fell short of expectations for $606.77 million.

Related Link: Twitter Shares Have Historically Dropped 9% The Day After Earnings

An important figure to watch in Twitter’s results is that for monthly active users (MAUs). Total MAUs had been declining, hitting 320 million by February, and then slipping to 310 million by April 26. For the recently reported quarter, MAUs came in at 313 million, up 3 million quarter-over-quarter, and 1 million above estimates.

For Q3, management guided for revenue of $590 million to $610 million, well below the Street’s consensus of $678 million. For the full year, the team said it expects to see and adjusted EBITDA margin of 26 to 27 percent, and CapEx of $300 million to $375 million.

Shares traded recently at $16.66, down 9.7 percent.

Posted-In: Earnings News Guidance After-Hours Center Movers Tech Best of Benzinga

 

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