The latest quarterly earnings figures offered a glimpse into how the social media platform has performed during a months-long negotiation with billionaire and
It was worse than industry analysts had anticipated.
The company lost
Inflation has crimped advertising spending and that was a huge drag on Twitter's quarterly revenue, which slid 1% to
Twitter is holding no calls with analysts and will not publish a letter to shareholders, as is the norm, because of the pending acquisition.
The underlying numbers at Twitter, however, were good. The number of daily active users rose 16.6% to 237.8 million compared with the same period a year before.
Those numbers are particularly impressive in the wake of a quarterly earnings report late Thursday from the social media company Snap.
Snap also saw advertising tumble in the high-inflationary environment and shares plunged more than 30% Friday before the opening bell.
“When compared to the nightmare quarter of SNAP last night, it shows digital ad spending is not falling off a cliff like feared which is a positive for others in the space such as Facebook, Pinterest, and Google,” wrote
Shares of
The stock reaction may also be muted because the fight with Musk has overshadowed almost everything. Twitter is attempting to force Musk to make good on his April promise to buy the company for
The April-June fiscal quarter encompassed a tumultuous three months for Twitter, starting with the
Twitter argued in court that Musk’s actions in and his “repeated disparagement of Twitter and its personnel” created uncertainty that harmed Twitter’s business operations, employees and stock price.
It called for an expedited trial so the company could carry on with important business decisions, while Musk sought to wait until next year because of the complexity of the case and his demands for more of Twitter’s internal data about how it counts fake and automated “spam bot” accounts — which he’s cited as a chief reason for trying to terminate the deal.
A judge this week set the trial for October, siding with Twitter’s concerns that too much delay could cause the company irreparable harm. It will be held in Delaware’s
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