Elon Musk is a regular user of the social media platform Twitter, with over 80 million followers. In June 2010, Musk sent out the first tweet from his personal account. Twitter recently announced 229 million daily users in its first earnings report after accepting a $44 billion takeover offer from Tesla CEO Elon Musk.
According to Hollywood Reporter, Twitter reported a 16 percent increase in revenue to $1.2 billion in the first quarter of 2022, marking the social media company’s first update to investors since Tesla and SpaceX CEO Elon Musk announced a formal purchase offer for the company for around $44 billion.
Twitter also reported a 23 percent increase in quarterly advertising revenue to $1.1 billion on Thursday. The company’s key subscriber metric, monetizable daily active users, hit 229 million in the quarter, up 16 percent from a year ago. This surpassed StreetAccount’s estimate of 226.9 million mDAU.
Twitter had 217 million daily active users at the end of its most recent fourth-quarter earnings and had previously reached 211 million DAUs in the third quarter of 2021. Twitter reported a net income of $513 million in the first quarter of 2022, up from $68 million the previous year, including a pretax gain of $970 million from the sale of MoPub for $1.05 billion and an income tax gain.
The quarterly results provided little insight into Musk’s potential management of Twitter. With the pending acquisition, the company announced that it will no longer provide forward-looking guidance and will “withdraw all previously provided goals and outlook.” In early April, the Tesla CEO revealed a 9.1 percent stake in Twitter, which was followed by a formal offer for the company on April 21.
Following Musk’s announcement of key financing, Twitter entered into direct negotiations, which resulted in a deal. Twitter, which has a lot on its plate, says the acquisition offer, which could still fall through, will close this year, pending approval from shareholders and regulatory agencies.
In the midst of a sale that will leave Twitter a private company, the social media company decided not to hold a post-earnings analyst call on Thursday to discuss its results. To get the latest updates, keep an eye on Thirsty.
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