Twitter’s Monthly Active User base shrunk in Q4
Although Twitter posted revenue of $710.5 million (PDF) in the fourth quarter of 2015—a result that narrowly surpassed the company’s high-bar projection from the previous quarter—the social media company posted a net loss of $90 million for the fourth quarter.
Worse, however, were the company’s user base statistics. Twitter reported that its Monthly Average Users (MAU) essentially remained flat from Q3 to Q4, but if Twitter subtracted its SMS-only customers (who are largely based in India and Brazil, and don’t see ads the way mobile customers do), that MAU number fell to 305 million per year, down from 307 in the previous quarter.
Twitter executives were quick to point out, however, that the monthly active user base had increased in January to Q3 levels. On the call, a Twitter executive attributed the rebound to the first quarter being a historically strong quarter for Twitter given the number of live events like award shows, sporting events, and other big celebrations that fall in that time period.