Twitter welcomes more users but finds it harder to make money

Twitter has today announced its results for the second-quarter of 2022, saying that it has seen a sharp rise in the number of regular users. In the last three months, Monetizable Daily Active Users (mDAU) climbed from 39.6 million to 41.5 million, while global reach leapt from 189.4 million in April to 196.3 million today. Unfortunately, those increasing user figures did not see a boost in the company’s bottom line, and revenue was $1.18 billion, which is slightly down both year-on-year and quarter-on-quarter.

Worse still for a company bringing in that much revenue is that costs and expenses for the period equalled $1.52 billion, with extra pain coming from both the costs of dealing with Elon Musk’s purchase of Twitter and paying severance for all of the workers it’s been laying off as part of its cost-cutting drive. All in all, the company posted a net loss of $270 million, much of which it attributes to both the looming recession and the uncertainty around the proposed takeover.

Back in April, as part of its first quarter financial release, Twitter revealed that it had historically miscounted its user figures. Between 2019 and 2021, the company had counted users with …read more