Twitter, Inc. has announced financial results for its third quarter of 2018 which had a total revenue of $758 million, an increase of 29% year-over-year. The company’s advertising revenue totaled $650 million, an increase of 29% year-over-year. Twitter’s total ad engagements increased 50% year-over-year and the cost per engagement decreased 14% year-over-year.
The company’s data licensing and other revenue totaled $108 million, an increase of 25% year-over-year. US revenue totaled $423 million, an increase of 28% year-over-year and the international revenue totaled $335 million, an increase of 30% year-over-year. Twitter’s Q3 GAAP costs and expenses totaled $666 million, an increase of 14% year-over-year. Q3 non-GAAP costs and expenses totaled $570 million, an increase of 22% year-over-year.
The Q3 GAAP net income was $789 million, compared to a net loss of $21 million in the previous year. Twitter’s average daily active users (DAU) increased 9% year-over-year with 326 million, compared to 330 million in the same period of the previous year and 335 million in the previous quarter. This change is impacted by a number of factors including GDPR, decisions
The average US MAUs were 67 million for Q3, compared to 69 million in the same period of the previous year. The average international MAUs were 259 million for Q3, compared to 260 million in the same period of the previous year. As for the Q4, the company is expecting an adjusted EBITDA to be between $320 million and $340 million.
Jack Dorsey, Twitter’s CEO said:
We’re achieving meaningful progress in our efforts to make Twitter a healthier and valuable everyday service. We’re doing a better job detecting and removing spammy and suspicious accounts at sign-up. We’re also continuing to introduce improvements that make it easier for people to follow events, topics, and interests on Twitter, like adding support for U.S. TV shows in our new event infrastructure. This quarter’s strong results prove we can prioritize the long-term health of Twitter while growing the number of people who participate in the public conversation.
Ned Segal, Twitter’s CFO said:
Our third quarter results reflect our success with advertisers, delivering revenue growth of 29 percent and better than expected growth across most products and geographies. We are demonstrating Twitter’s unique value proposition for advertisers through innovative ad formats, better relevance and continued improvement in ROI. Advertisers are choosing Twitter to reach the most valuable audience when they are most receptive.