Quarterly Results and Outlook - Report on Twitter

Aug 11, 2015, 09:35 ET from www.aciassociation.com

NEW YORK, August 11, 2015 /PRNewswire/ --

ACI Association has initiated research coverage on Twitter, Inc. (NYSE: TWTR). Select highlights from the internally released reports are being made available to the general public (included below), with access to the entirety of the research available to new members.

Today, membership is open to readers on a complementary basis at the following URL: http://www.aciassociation.com/?c=TWTR

Highlights from our TWTR Report include:

  • Strong Revenue Growth - On July 28, 2015, Twitter, Inc. released results for the second quarter of 2015. The Company generated total revenue of $502.4 million, reflecting a significant increase of 61% from $312.2 million in Q2 2014. The revenue recorded was above the Company's forecast range of $470 million to $485 million. The Company informed that excluding the impact of year-over-year changes in foreign exchange rates, Twitter's revenue would have advanced by 68%. The Company's advertising segment revenue amounted to $452 million, higher than $277 million in previous year quarter. Data licensing and other revenue totaled $50 million, up by 44% YoY during the quarter. Further, revenue from U.S. stood at $321 million, an increase of 53% YoY and international revenue rose by 78% YoY to $181 million in Q2 2015.
  • Performance at Operational Front - In Q2 2015, the Company registered a net loss of $136.7 million, compared to a net loss of $144.6 million in prior year quarter. Consequently, the Company's diluted earnings per share decreased to $0.21, from $0.24 in same period last year. Adjusted EBITDA amounted to $120.2 million, higher than $54.1 million in previous year quarter. In addition, non-GAAP net income for the period stood at $48.5 million, higher from $14.6 million in Q2 2014.
  • Year-to-Date Financial Highlights - In first six months of 2015, the Company generated revenue of $938.3 million, an increase from $562.7 million in first six months of 2014. Net loss for the period was $299.1 million, compared to a net loss of $277.0 million in previous year period. As a result, diluted loss per share was $0.46, compared to diluted net loss per share of $0.47 in same period last year. In addition, adjusted EBITDA of the Company grew from $91.1 million in prior year period to $224.2 million in first six months of 2015. Further, non-GAAP net income for the period stood at $95.0 million, higher than $14.8 million in previous year period.
  • Outlook for 2015 - Twitter expects revenue of around $2.2 billion to $2.3 billion for full year 2015. Adjusted EBITDA is anticipated to be approximately $520 million to $540 million. The Company forecasts its capital expenditure to be in a range of $450 million to $550 million. In addition, Stock-based compensation expense is projected to be around $750 million to $790 million in 2015, excluding the impact of equity awards that may be granted in connection with potential future acquisitions.

To find out how this influences our rating on Twitter, Inc., read the full report in its entirety here: http://www.aciassociation.com/?c=TWTR

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