Social media giant Twitter (NYSE:TWTR) announced its quarterly results as it posted drop in revenue with the number of Twitter users each month has slowed down.
During the announcement Twitter (NYSE:TWTR) said average monthly active users in the last quarter was 328 million, the same as in the previous quarter.
Following the news company’s stock dropped 5% in pre-market trading as analysts had been predicting 328.8 million monthly users.
The company’s net losses also expanded as it took a $55 million impairment charge and revenue dropped by 4.7% to $573.9m. The 328 million users in the second quarter was a 5% increase year over year.
Twitter announced these numbers as key rival Facebook recently revealed towering revenues and profits.
Twitter is not only facing rivalry from Facebook, but also with the teens messaging app Snapchat.
A platform for public self-expression and discussion in real time, which became a publicly listed firm in November 2013, has been aiming to surge revenue through live-streaming deals.
Nevertheless, in April it lost a deal to live-stream Thursday night NFL games this year to Amazon.com.
Company’s advertising revenue dropped 8% to $489m, but still was above average analysts’ predictions.
The Twitter (TWTR) net loss expanded to $116.5 million from $107.2m year over year.
In the meantime, company’s CEO Jack Dorsey said: “We’re intensification our execution, which gives us self-assurance that our product advancements will continue to add to significant rise in daily active usage.
“We’re also optimistic by the development we’re making executing against our top revenue generating priorities as we focus on making Twitter the best place to see and share what’s happening, where you can see every side and perspective.”