Twitter stock tanks 20% after it misses Q3 financial estimates

SAN FRANCISCO: Twitter stock tanked nearly 20 per cent on Thursday after it missed Wall Street estimates but beat expectations on users’ growth in its third quarter of 2019.
The micro-blogging platform registered $824 million in revenue — an increase of 9 per cent year-over-year. The company posted net income of $37 million — or 5 cents a share — for its third quarter.
The stock nosedived as the company said it was working to resolve issues with its advertising platform.
Average monetizable daily active usage (mDAU) was 145 million, compared to 124 million in the same period of the previous year and compared to 139 million in the previous quarter.
“We drove strong growth in monetizable DAU (mDAU), up 17 per cent year-over-year, driven by ongoing product improvements. We’re continuing to improve relevance while testing ways to make it easier for people to find what they are looking for on Twitter,” Twitter CEO Jack Dorsey said in a statement.
Advertising revenue totaled $702 million, an increase of 8 per cent year-over-year.