Twitter’s share value is taking an absolute beating today on news that user growth flatlined during the second quarter.
In its Q2 earnings report published Thursday, Twitter revealed that its monthly active user (MAU) base sits at 328 million – the exact same number it reached at the end of the first quarter. Upon closer inspection, we see slight user growth internationally but it was offset by the loss of domestic users.
Twitter seemed to be on the right track earlier this year when it added nine million MAUs to its community during the first quarter. The addition was paltry in comparison to what some other social networks like Facebook and WhatsApp are doing but it’s certainly better than zero growth.
The company blamed “lower seasonal benefits” as one contributing factor to its lack of MAU growth. On a bright note, daily active user growth was up 12 percent compared to the same period a year ago but even this growth had slowed from 14 percent in the prior quarter.
On the financial side, Twitter generated $574 million in revenue during the quarter. That was enough to beat Wall Street’s forecast but still represented a five percent loss year-over-year and did little to sway investor opinion.
As a result, Twitter’s stock is down nearly 14 percent, trading at $16.90 as of this writing. It closed at $19.63 Wednesday afternoon.