Twitter was having a good day Friday (July 26), and investors were reacting positively to the social media platform’s second quarter 2019 financial report, which showed 14 percent year-over-year growth in monetizable daily active use.
The number of monetizable daily active users (mDAUs) stood at 139 million in the second quarter, Twitter said. That growth came as Twitter during Q2 “continued our work to proactively identify and address malicious activity, resulting in an 18 percent drop in reports of spammy or suspicious behavior across all Tweet detail pages, which show the replies to any given Tweet on our service,” the firm said.
Twitter on Friday reported success in getting users to become valuable participants on the platform, at least according to CFO Ned Segal during the post-earnings conference call. He said Twitter has been “remarkably consistent” with bringing in users at the top of the funnel who visit the site for a specific purpose, according to CNBC. It’s focused on converting those people into mDAUs by helping them “find what they’re looking for faster,” he said.
In its Q2 financial statement, the company also said, “We continued to improve our machine-learning models in Q2 to make it easier for people to find what they are looking for when they come to Twitter by providing more relevant content in people’s Home timelines and notifications based on what they’re engaging with in near real time.” Not only that, but “We also started experimenting with new ways for people to customize their Home timeline, making it easier for them to follow what’s happening with their specific interests on Twitter using lists they’ve created or to which they’ve subscribed.”
Video, too, continues to play a bigger role for Twitter. “In Q2, we announced a number of new live and on-demand video content partnerships across the entertainment, news, sports, and esports verticals at our NewFronts event, highlighting our unique value proposition for content publishers, coupling compelling premium live video with real-time audience engagement.”
As for revenue, it increased 18 percent year over year in the second quarter, to about $841 million, the vast majority of which came from advertising, with the rest stemming from data licensing and other activities. Advertising revenue increased 21 percent year over year in the second quarter, Twitter said Friday.
Twitter’s total revenue growth was driven by the U.S market, Twitter said, and that revenue amount for Q2 reportedly beat analyst expectations of $829.1 million.
Twitter in the second quarter also topped analyst expectations of earnings per share, posting 20 cents per share compared to 19 cents anticipated by Wall Street.