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The social network Twitter announced Friday that it earned $243.3 million in the first half of 2022, 82% more than the same period of 2021.
But in the second quarter, the social network said it recorded a loss of $ 270 million, coinciding with the period in which Elon Musk’s contentious attempt to buy the company for 44,000 million began.
The company blamed the second quarter revenue decline, in part, on uncertainty related to the pending acquisition of Twitter by Elon Musk.
The release of these results comes after a U.S. court specializing in commercial disputes decided that the trial between Twitter and billionaire Elon Musk will be held next October and last five days.
Twitter sued the Tesla CEO and SpaceX founder before the court based in Wilmington (Delaware) to force him to buy the company after he gave notice of his intention to break the deal announced last April for $44 billion.
Between January and June 2022, the technology company had a turnover of 2,377.6 million dollars, an increase of 6.8%.
However, in the second quarter of this year, the data to which investors were paying most attention today, Twitter’s revenues fell to 1.18 billion dollars compared to 1.19 billion dollars a year ago.
Meanwhile, it missed analysts’ expectations that anticipated a second-quarter revenue of $1.32 billion.
The company reported a loss of $270 million, or 35 cents per share, compared with year-ago earnings of $65.6 million, or 8 cents per share.
Twitter’s number of daily active users rose to 237.8 million, up from 229 million in the first quarter.
The results were released before the opening of the New York Stock Exchange and following the announcement of the first-half data, Twitter shares were losing 0.20% in pre-market trading.
However, within 10 minutes of the trading floor opening, the social network’s shares were up nearly 1 %.
Musk has said his main reason for pulling out of the deal is a lack of faith in Twitter’s estimate that less than 5% of its monetizable daily active users are spam or fake accounts.
Nevertheless, Musk’s offer, despite being highly controversial, has helped keep the company’s stock price high amid a sharp sell-off in tech company shares.
Twitter’s share price is down less than 10% so far this year, while the Nasdaq Composite index, where major tech stocks trade, has lost more than 20%.
The deal for Twitter values the company at $54.20 a share. Twitter shares closed at $39.52 on Thursday.