On Friday, Twitter announced lower Q2 results, contrary to expectations, the platform has come under pressure from an unfavorable context, in particular due to the uncertainty surrounding its potential takeover by billionaire Elon Musk.
Thus, Twitter’s turnover fell to $1.18 billion against $1.19 billion in the same period a year ago, down 0.8%. The group recorded a loss of $270 million, while a year earlier it recorded a profit of $66 million. This represents a loss per share of 8 cents, while analysts had expected turnover of $1.32 billion and earnings per share of 14 cents.
In a press release, Twitter explained that this decline was due to headwinds in the advertising sector, concerns affecting the economy, and uncertainty surrounding its ongoing acquisition by Elon Musk.
On the other hand, the number of so-called monetizable daily active users, i.e. those who can be exposed to ads on the platform, increased by 8.8 million, less than analysts expected, to 237.8 million. This is 16.6% more than in a year.
Twitter shares were $39, down 1.32% ahead of the open.
Tesla’s boss was supposed to buy the company for $44 billion, but the world’s richest man backed out of the plan, citing “false and misleading” information about the company.
After this decision, Twitter President Bret Taylor called Musk’s refusal “invalid and unreasonable”, while deciding to seek justice to force the businessman to complete the deal. In that sense, a Delaware court has just announced that the first hearing in the case will take place within five days next October.