Twitter this week reported another quarter of decelerating user growth.
The company’s quarterly earnings report prompted a sharp drop in its stock price, putting renewed pressure on the executive team to boost growth.
Twitter now has 284 million active users, up 23% over the prior quarter, which doesn’t seem terrible—but it’s the 12th quarter in a row where growth has gone down. Investors feel that there should be a lot more room to grow given that Facebook has 1.3 billion active users and Twitter agrees.
“We have an aspiration to build the largest daily audience in the world,” Twitter CEO Dick Costolo told Bloomberg.
Twitter generated $361 million in sales but lost $175 million. As the company’s revenues have risen, its losses have also increased. One promising area is mobile, however, where ad revenue skyrocketed 85%.
Next quarter, Twitter anticipates revenue of $440 million.