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Twitter Shares Soar After Apple’s Privateness Adjustments Have Minimal Impression On Quarterly Earnings
27
Oct
Oct
Twitter stocks soar after Apple’s privacy changes have minimal impact on quarterly results
from Adam | October 26, 2021
Top line
Shares of Twitter rose after the social media company announced solid earnings for the third quarter – with revenue and user growth meeting analysts’ expectations, showing that Apple’s iPhone privacy changes had less of an impact on business than expected.
Twitter stocks rose nearly 4% after solid gains.
Prakash Singh / AFP via Getty Images
The most important facts
Twitter reported $ 1.28 billion in revenue for the third quarter, up 37% year over year. Daily active users increased by 5 million to a total of 211 million.
The company reported a loss in shares of 54 cents. This was higher than expected due to a one-time settlement paid out in September to settle a shareholders’ lawsuit.
Shares of Twitter, which had lost over 1% during Tuesday’s trading, rose nearly 4% after posting gains last week.
Although Apple’s new policy disrupts these two companies’ advertising businesses, Twitter said in its press release that the impact of the iOS privacy changes was minimal, with the company’s quarterly advertising revenue increasing more than 41% year over year to $ 1.14 billion. Dollars have risen.
For the fourth quarter, the company still expects a modest impact on total revenue from Apple’s recent iOS changes.
Key background:
Apple’s privacy changes for the iPhone iOS 14.5 update were rolled out in the third quarter, introducing a new feature called App Tracking Transparency, which reduces the effectiveness and profitability of targeted advertising. Snap, which runs almost entirely on mobile devices, admitted in its earnings report last Thursday that Apple’s privacy changes had a bigger-than-expected impact on ad sales in the third quarter: investors panicked and Snap’s shares tumbled immediately after the Gain by over 25%. Facebook, which reported earnings on Monday, also missed its sales estimates as CEO Mark Zuckerberg warned of “ongoing headwinds from Apple’s iOS 14 changes,” with stocks falling nearly 4% on Tuesday.
Big number: $ 14.5 billion.
That’s how much Twitter co-founder and CEO Jack Dorsey is worth, according to SME estimates.
Additional reading: (* (Here’s why Facebook, Twitter, and Google stocks are falling even though the market is near record highs ((* (SME
Snap Shares Down Over 25% After New Apple Policy Affected Quarterly Sales (SMBs.)
) Stocks close at record levels after Tesla hits $ 1 trillion in market value ((* (SME)
