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27 April 2017, 02:14 | Maryann Sutton
Donald TrumpImage AP REX Shutterstock
NEW YORK (AP) You'd think Twitter would be able to milk its status as President Donald Trump's megaphone.
The company said monthly users - a key statistic for social media companies - grew by 6pc in the first quarter of the year, the fastest for two years. By contrast, Facebook has 1.89 billion and Facebook-owned Instagram has 600 million monthly users as of December, the latest available.
There may have simply been a delay.
Twitter's Q1 revenue totaled $548 million, down 8% year-over-year. Video was Twitter's best performing ad format in Q1.
Twitter has finally broken out of its negative earnings cycle with signs that its user numbers are on the rise.
"There also is some evidence that we've benefitted from our new and resurrected users following more news and political accounts in Q1, particularly in the USA", he said.
Twitter said it still expects revenue growth to lag audience growth in the rest of the year and it was clear it had more work to do on boosting sales.
At the same time, Twitter has enjoyed even greater relevant thanks to Trump, who continues to use his personal account to put his political opponents in the hot seat and bash media outlets.
In an April 26 statement, Twitter CEO and co-founder Jack Dorsey acknowledged the company's challenges but remained optimistic about its long-term health.
But Twitter says it was a result of changes it has made to the way it displays a user's timeline, such as showing tweets a user may have missed, instead of displaying them chronologically.
Year-over-year, average monthly active users jumped 6% from 319 million to 328 million, during the first quarter. "We've received positive early feedback from our ad partners as we highlight the improved return on investment from our audience growth and better pricing".
So is this the new norm? Recode postulates that the engagement he brought could potentially be the reason Twitter's growth.
User growth in Q1 may have been strong, but Twitter has rigorous plans to continue growth.
The good news helped push Twitter'sstock (twtr) up by more than 11% on Wednesday following the report, the largest increase since the company was the subject of takeover speculation in October.
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