New Delhi: Twitter Inc said on Tuesday that its quarterly revenues rose 37% and avoided the weight of Apple Inc’s privacy changes on advertising that hampered rivals, pushing its shares up 3%. The social networking site has been working to add new features like audio chat rooms to attract users, and has also rolled out improvements to its advertising capabilities to meet its goal of doubling its annual revenue by 2023. .
Advertising revenue was $ 1.14 billion in the quarter ended September 30, according to consensus estimates. The company said it has seen a “modest” impact on ad revenue due to privacy changes implemented by Apple, which prevent advertisers from tracking users on their devices without their consent.
Investors expected Twitter to be relatively insulated from the changes, as most of its advertisers do not rely on highly targeted ads. As the San Francisco-based company works to expand its targeted advertising business, it is introducing more features like topics that users can follow on Twitter.
These features provide data about people’s interests that can potentially be used to help serve relevant ads, Ned Segal, chief financial officer of Twitter, said in a conference call with analysts.
“It’s largely an opportunity before us,” he said. Tech peers at Twitter, Snap, and Facebook, said Apple’s changes were hurting their ability to target and measure digital ads, citing the updates as the reason companies fell short of expectations. in terms of income.
Twitter said monetizable daily active users, its term for users who receive ads, were 211 million in the third quarter, with analysts’ estimates missing from 212.6 million, according to IBES data from Refinitiv. While Twitter increased its number of users outside the US by 5 million from the previous quarter, its US base remained stable.
Total revenue, which also includes the money Twitter makes from data licenses, was $ 1.28 billion, also in line with Wall Street targets.
Twitter said its costs this year of hiring and investing in a new data center will trickle down to next year, resulting in a 20% increase in total costs for 2022.
The company expects fourth-quarter revenue to be between $ 1.5 billion and $ 1.6 billion. Twitter previously announced that it would sell its MoPub ad technology unit, and the deal is expected to close in the first quarter of 2022.
The company said it did not expect to be able to recoup lost revenue next year from the sale of MoPub, estimated to be between $ 200 million and $ 250 million, although it added that the sale did not affect not Twitter’s goal of doubling annual revenues by 2023.
(This story was not edited by The Bharat Express News on Social Platforms.)