By Yasin Ebrahim
Investing.com - Twitter reported fourth-quarter results Tuesday that topped Wall Street estimates even as daily active users fell just short of expectations.
Twitter (NYSE:TWTR) was up 1.4% in after-hours trade.
Twitter reported Q4 EPS of 38 cents on revenue of $1.29 billion compared with estimates for 29 cents on revenue of $1.18 billion.
Monetizable daily active users increased 27% to 192 million in the fourth quarter sequentially, just short of consensus estimates of 193.5 million.
"Advertisers are benefitting from new ad formats, stronger attribution, and improved targeting, resulting in a 31% year-over-year increase in total ad revenue and greater than 50% year-over-year growth in MAP revenue in Q4." the company said. "Our product changes to date are promoting healthier conversations for those who use our service, including advertisers and partners, and we are excited about our plans to continue innovating in 2021."
Looking ahead to Q1, the company forecast revenue to be between $940 million and $1.04 billion.
"Given the hiring and investment decisions made in 2020 and previous years, along with anticipated 2021 headcount growth, we expect total costs and expenses to grow 25% or more in 2021, ramping in absolute dollars over the course of the year," Twitter said.