Twitter announced a $4 billion share buyback after the company said earlier that its fourth-quarter earnings fell short of expectations. The forecasts for the number of users were also not fulfilled.

Twitter's fourth-quarter revenue was $1.57 billion, up from an expected $1.58 billion. The company is forecasting revenue for the next quarter in the range of $1.17 billion to $1.27 billion, while analysts had expected around $1.26 billion. Net The company's fourth-quarter earnings were $181.7 million.

CFO Ned Segal explained that fourth-quarter revenue was affected by a decrease in advertiser spending in the last couple of weeks of the period, but this figure increased in the first quarter of 2022.

In the fourth quarter, the company added 6 million new users, and the average number of active users per day increased to 217 million people. This is 13% more than a year earlier, but less than the forecast of analysts who expected a figure of 218.5 million. Former CEO and founder of the company, Jack Dorsey, set a goal of reaching 315 million users by 2023. The new CEO of the company, Parag Agrawal, believes that this goal is still achievable. The company said it saw a 25% year-on-year growth in new account registrations.

Following the publication of the report, Twitter announced a new $4 billion buyback program for its shares, in addition to the $2 billion buyback program already underway approved in 2020. As Investing.com senior analyst Jesse Cohen explained, Twitter's share buyback plan is distracting investors from the company's relatively weak results and outlook.

bbabo.Net