Twitter Inc (NYSE:TWTR) posted quarterly revenue that topped analysts’ estimates in the Thursday morning, and the company announced its restructuring plan to cut 9 percent of its global workforce.
The social media company said revenue rose 8.2 percent to $615.9 million, topping analysts’ estimates of $605.5 million. But it marked the smallest revenue growth since the company went public and the ninth straight declining growth. The company also reported a net loss of $102.8 million, or 15 cents a share. Excluding certain items, the company made a profit of 13 cents a share, beating analysts’ estimate of 9 cents per share.
“We see a significant opportunity to increase growth as we continue to improve the core service,” Twitter’s CEO Jack Dorsey said in the company’s statement. “We have a clear plan, and we’re making the necessary changes to ensure Twitter is positioned for long-term growth.”
The stock jumped more than 4 percent in the premarket. Twitter’s monthly active users rose 1.7 percent to 317 million in the third quarter, topping analysts’ estimate of 315 million.
Mr. Dorsey had bet on livestreaming to turn around the company. The company signed deals with the National Football League to show Football games on Thursday Night. It also partnered with Bloomberg to broadcast the first presidential debate.Total advertising revenue rose 6 percent to $545 million year over year.
Twitter plans to cut 9 percent of its global workforce, or about 350 people, in order to lower expense costs. "We're focused on building the most useful, open and comprehensive news network on the planet," Dorsey said.