A new article on Social Media Today reports that Twitter has just released its Q2 earnings results, which show steady increases in both users and revenue, as the platform works to maximize growth in line with its ambitious expansion targets for the next three years.
There are some interesting results here:
First off, on users - Twitter's Monetizable Daily Active User (mDAU) count is now up to 206M, an increase of 11% YoY, and an additional 7 million on its Q1 figure.
All of that growth has come from international markets, with Twitter's mDAU count actually declining slightly in the US from last quarter (38m in Q1).
Twitter has also seen a 69% boost in international revenue, which alleviates some of that concern, but still, it'll be an element to monitor moving forward.
Twitter usage in India has surged some 74% during the pandemic, with the region's 18.8 million users now making it the company's third-biggest user market behind the US and Japan.
In terms of revenue, Twitter posted a strong result of $1.19 billion in Q2, a 74% increase YoY.
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"Total international revenue was $537 million, an increase of 69%, or 64% on a constant currency basis. Japan remains our second-largest market, growing 40% and contributing $151 million, or 13% of total revenue in Q2. Revenue from Japan declined on a sequential basis in Q2, reflecting typical country-specific seasonality."
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Most of Twitter's revenue was driven by ads ($1.05 billion), which have seen a surge in interest as a result of the pandemic-lead eCommerce boost.
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"[We saw] strong demand from advertisers looking to launch new products and services and connect with what's happening on Twitter across a number of key verticals, including technology, auto, media, entertainment, and fashion. Our strong momentum in MAP and performance ads also continued in Q2."
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Twitter also says that SMB customers increased their overall ad spend in the quarter, while total ad engagements increased 32% due to more users and more ad inventory.
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"Cost per engagement (CPE) increased 42%, primarily driven by like-for-like price increases across most ad formats due to the impact of COVID last year."
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Twitter Blue is the platform's new subscription offering and is currently being tested in Australia and Canada. The option is Twitter's first big move into direct user monetization, which could provide another revenue path - if users are willing to pay for tweet add-on elements. Twitter included this generic note on Blue take-up within its shareholder letter:
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"We've been encouraged by the initial response and look forward to further innovating and growing this new revenue stream with additional features, geographic expansion, and other offerings as part of our revenue durability strategy."
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