This page has been archived and commenting is disabled.
Twitter Surges, Then Fades After Hours On User Growth Confusion: The Full Quarter In 6 Charts
- *TWTR'S NOTO: THIS IS BOTH A PRODUCT ISSUE AND A MARKETING ISSUE
- *TWTR: DOESNT SEE SUSTAINED GROWTH IN MAUS UNTIL REACH MASS MKT
With many expecting Twitter to disappoint yet again after several quarters in which the company's stock had a step-down reaction to earnings, moments ago TWTR beat virtually all-non-GAAP estimates, from revenue, to EPS, to EBITDA:
- TWITTER 2Q REV. $502.4M, EST. $481.9M
- TWITTER INC 2Q ADJ. EPS 7C, EST. 4C
- TWITTER 2Q ADJ. EBITDA $120M, EST. $103.3M
More importantly, everyone was focusing on user growth which on a headline basis was not bad...
- TWITTER 2Q AVG. MAUS 316M INCL SMS FAST FOLLOWERS,VS 308M IN 1Q
However, just like on previous quarters, TWTR decided to use a gimmick when counting users, to wit:
"Average Monthly Active Users (MAUs) were 316 million for the second quarter, up 15% year-over-year, and compared to 308 million in the previous quarter. The vast majority of MAUs added in the quarter on a sequential basis came from SMS Fast Followers. Excluding SMS Fast Followers, MAUs were 304 million for the second quarter, up 12% year-over-year, and compared to 302 million in the previous quarter."
It took algos a few minutes to digest this fact, and as a result what was initially a solid 10% spike after hours, fizzled almost entirely, and as of this moment the stock had cut its after hours gains notably.
Going back to the quarter, the non-GAAP numbers were generally not bad as follows.
But are they good enough to justify a $25 billion market cap, especially when one remembers that virtually all the "profit" is in solidly in the non-GAAP arena.
»
- 15037 reads
- Printer-friendly version
- Send to friend
- advertisements -
I bet its directly related to Jon Pollard
https://desertpeace.wordpress.com/2015/07/28/breaking-news-us-parole-boa...
whats Twitter?
overvalued as fuck.
...a place for narcissistic tweens and grown adults who want to look like tweens.
Twitter is a tool that is great at helping celebrities embarrass themselves.
Celebrities don't need much help doing that. At last count, almost 500 of the beautiful had their icloud accounts hacked and compromising photos revealed. It wouldn't be surprising to find out that celebrity IQs are sub-100 on average.
aka Twifties: persons 'tween twenty and fifty
hencethus: a place for narcissistic tweens & twifties.
adults who want to look like tweens
Mark it zero.
A place where Twats visit.
well-played, Sir!
Pretty sure it's some kind of stereo store chain.
So the entire new economy, Google, Facebook, Twitter, etc is based on advertising revenue, paying for ads that nobody looks at or clicks.
In other words a complete scam.
Sorry, but I struggle to call it a scam. A scam implies someone is being deceived. There are always a few naive ones out there, but the vast majority are not being deceived. They are chronic gamblers walking into a casino. They are sad and pathetic, willfully ignorant, and bitterly cling to a system which abuses them, all to satisfy a need for false wealth.
I Twit, you Twit, now we're all twits.
Liberty is a demand. Tyranny is submission..
I'll see your Twit, and I'll raise you one paragraph.
making money from dick pics, now there's a business model!!
+1 from Carlos Danger
Twatter surges then fades after people fail to give a shit about the 140-character drivel of narcissists...
#STFU #URASEXIST #URRACIST #OTHERHOLLYWOODPEOPLETHINKIMIMPORTANT
...sooo, the clowns actually managed to release earnings this time without them being leaked early? Impressive...
Now, a company that is losing money but needs to attract and retain executive talent can certainly justify high levels of stock-based compensation, but in the case of Twitter, the amounts seem exorbitant. CFO Anthony Noto joined the company in July of last year, but his total compensation for 2014 totaled $72.8 million. That’s a tidy sum for less than six months’ work.
Another little bit of info from that article:
On a GAAP basis, the company posted a net loss of $137 million, or 21 cents a share, which was less than the 23-cent loss expected by analysts. On a non-GAAP adjusted basis, leaving out $185 million in non-cash expenses that included $175 million for stock-based compensation, profit totaled $48.5 million, or 7 cents a share, which exceeded the consensus estimate of 4 cents.
So the morons that are considered Wall Street's brightest somehow figure that leaving out $185 million is OK. That works out to a little over 3 times the amount the entire dollar amount the company made.
Oh wait, I know. The officers of the company authorize the company to go into debt by $175 million dollars at cheap interest rates, thanks to the Bernank and Yellen.
Then buy back stock, and give it to themselves. The company is on the hook for the debt, and the officers get to sell the stock on the open market to retail chumps, and buy big houses, and fancy cars.
Then somehow the same Analysts that can adjust for $175 Million in stock compensation, cannot adjust the earnings per share for the adjusted total after the stock was bought back?
And what is with the cents per share crap. Why not use square feet of the corporate headquarters, or the number of pounds the CEO weighs. That would remain pretty constant from quarter to quarter. /sarc
We are doomed. Walmart, Caterpillar and McD's are falling apart but Twitter and FaceFuck will save us.
Top trending in Chicago:
TWTR's drilling for oil in the AH...
Count users by IP addresses.
No significant growth.
Typical Internationalista ripoff.
US users are about 20% of the total yet get jammed for about 2/3rds of the ad revenue worldwide.
It's high time we jack up the rates for North Korea and the Central African Republic and give the home folks a break.
Noob question, what's NOTO?
NOTO is the name of the CFO, Anthony Noto.
I have a Twitter account and have yet to post a Tweet. And I "follow" some people but I don't read their tweets.
How many other "Twitter Users" are like me?
Another group of cabalists get their collective asses kicked by trying to lie to the financial press for economic gain.
They got what they deserved.
Unfortunately, a lot of innocent people, whom they duped with their lies, lost money too.
I have said it before and I will say it again. Stop buying these cabalist ponzi companies that live on "clicks" not earnings. They are grossly overvalued. Dump them before the market tanks. They will be hit the worst because they have completely unrealistic multiples.