Boston, MA 12/27/2013 (wallstreetpr) – Twitter Inc (NYSE:TWTR) came out with its Initial Public Offering in November 2013, with a share trading at $26. Currently the stock is trading around $73.30 per share. The company in business for around seven years now and it remains one of the biggest and most storied social networking platforms.
Twitter Inc (NYSE:TWTR)’s user count
The company boasts about 230 million monthly active users worldwide. According to report by Mashable, Twitter Inc (NYSE:TWTR) has about 53 million active users in the U.S., which is just around one-fifth of the Internet users in the country. This means that the company is still far from maturing up and it lags far behind rival Facebook Inc (NASDAQ:FB) by a significant margin.
Globally, the company is facing decline in users on quarterly and annual basis. Perhaps this suggests that the management has to embark on an aggressive marketing and improved platform to attract more global users to the site.
Financials
In its history, Twitter Inc (NYSE:TWTR) has never posted profit and this is a gap in the company’s profile. It is however, important to note that this year the company registered almost double the revenue compared to what it collected in 2012. However, losses have gone up this year. The company posted loss of $133 million in the first nine months of the fiscal 2013, compared to that of $79 million in 2012.
The future
Although Twitter Inc (NYSE:TWTR) still remains in a loss-making position, it has made significant steps in its operations and it seems ready to turn into profits in the upcoming quarters. In particular, the company is attracting brand advertisers, while enriching its platform for better ad placement and improved user experience.
Twitter Inc (NYSE:TWTR) has the potential to make profits easily and quickly, by attracting more global users and boosting its position among the U.S. Internet users. In the same vein, the company needs to attract more advertisers to boost its revenue and reduce its operating cost to boost earnings.
