Trouble in the Twitterverse
Twitter shares plunged by as much as 10 percent in pre-market trading Thursday after the social media company reported its worst quarterly results since going public in 2013. Twitter reported fourth-quarter revenue of $717 million. Analysts had expected $740 million. The company's adjusted profits did beat sharply lowered estimates, but Twitter also lowered its guidance for the first quarter to $75 million from $95 million, far below Wall Street expectations of $191 million. Twitter executives said the company has worked hard to "bring people back to Twitter" with real-time features. Its user base grew by 4 percent to 319 million, but executives said revenue growth lagged behind audience growth.