Twitter Q1 2019 earnings

on Apr23
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Jack Dorsey, co-founder and chief executive officer of Twitter Inc., speaks during an interview in New York, U.S., on Monday, May 1, 2017.

Michael Nagle | Bloomberg | Getty Images

Jack Dorsey, co-founder and chief executive officer of Twitter Inc., speaks during an interview in New York, U.S., on Monday, May 1, 2017.

Twitter is set to release earnings for its first quarter of 2019 Tuesday morning.

Here are the numbers Wall Street is expecting:

  • Earnings per share: 15 cents expected, per Refinitiv survey of analysts
  • Revenue: $776.1 million expected, per Refinitiv survey
  • Monthly active users (MAUs), excluding SMS users: 318 million expected, according to FactSet consensus estimate

This quarter will be the last for which Twitter will report Monthly Active Users (MAUs), the company announced during its last earnings report. As a replacement, Twitter began to report what it calls monetizable daily active users (mDAUs) last quarter, which it said would better reflect its audience. This metric includes “Twitter users who log in and access Twitter on any given day through Twitter.com or our Twitter applications that are able to show ads,” according to the company. The company said it had 126 million mDAUs in Q4 2018.

The shift to a new metric came after Twitter reported MAUs that fell short of analyst estimates for two straight quarters during its fiscal year 2018. Twitter previously blamed the shortfall in part on a July purge of “locked” accounts that was meant to get rid of bots and fake users, among other factors.

Twitter’s stock slid on its last earnings report when it provided light guidance for Q1, but it’s still up about 8% over the past 12 months. The company said at the time that it expects cash operating expenses to increase about 20% year over year in 2019 as it seeks to invest in “health, conversation, revenue product and sales, and platform.”

Twitter has been toying with the best way to optimize the experience on the platform for user well-being rather than purely based on engagement metrics. CEO Jack Dorsey told Rolling Stone in an interview published in January that his team has considered “what happens if we remove the ‘like’ counts from tweets.”

Twitter rolled out a public beta test through a separate app last month where it has tested new features, including hiding some replies by default to de-clutter conversations and hiding engagement options until a user taps on a tweet, TechCrunch reported.

This story is developing.

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