Twitter Soars After Surprise Sales Gain, First Real Profit • Hacker News Board

Re: Twitter Soars After Surprise Sales Gain, First Real Profit

#21

Post by mv4 » Thu, Feb 08, 2018, 2:32 PM UTC

adventured wrote: post #19

indescions_2018 wrote: post #13

Whisper rumor is that $TWTR is shopping itself for an acquisition. With $DIS / FOX likely suitor. $30 stock price would place market cap approx $25B. Twitter Could Easily Be Acquired In 2018 https://seekingalpha.com/article/4135256-twitter-easily-acqu...

It's not a whisper rumor. That speculation has been extremely rampant for years at this point.

Last time they were shopping, there was a huge influx of fake users, almost as though all fraud detection checks were disabled.

This time is different, or is it. Just how much of their new revenue is due to fake users, ad fraud, and automation?

Re: Twitter Soars After Surprise Sales Gain, First Real Profit

#22

Post by r3bl » Thu, Feb 08, 2018, 2:34 PM UTC

indescions_2018 wrote: post #13

Whisper rumor is that $TWTR is shopping itself for an acquisition. With $DIS / FOX likely suitor. $30 stock price would place market cap approx $25B. Twitter Could Easily Be Acquired In 2018 https://seekingalpha.com/article/4135256-twitter-easily-acqu...

I first wondered why were you downvoted for such a comment when I saw it, since it seemed on topic.

Then I realized that I am unable to read the next three pages of the analysis without creating an account on a website that I hear about for the very first time and that I am probably never going to open again.

Also, there are no links to terms of services and the privacy policy in the pop up (just two text boxes and a button), which on its own probably breaks some law.

Re: Twitter Soars After Surprise Sales Gain, First Real Profit

#23

Post by adventured » Thu, Feb 08, 2018, 2:34 PM UTC

mv4 wrote: post #21

adventured wrote: post #19

Earlier quoted context omitted.

It's not a whisper rumor. That speculation has been extremely rampant for years at this point.

Last time they were shopping, there was a huge influx of fake users, almost as though all fraud detection checks were disabled. This time is different, or is it. Just how much of their new revenue is due to fake users, ad fraud, and automation?

They don't have any new revenue. Sales were only up 2%.

What changed is their expenses.

Negative $167m to positive $91m in net income, year over year for the quarter. That's nearly entirely from adjusting their expenses down. Dorsey is turning Twitter into the profit machine it should have always been by properly adjusting its expenses to the size of the business (rather than the size they hoped it would become years ago).

Re: Twitter Soars After Surprise Sales Gain, First Real Profit

#24

Post by jonknee » Thu, Feb 08, 2018, 2:35 PM UTC

sova wrote: post #20

Bloomberg claiming they know why the stock rose. You could cite any reason

Are you saying the giant move in the stock directly after they announced earnings is not related to the earnings?

Re: Twitter Soars After Surprise Sales Gain, First Real Profit

#25

Post by mv4 » Thu, Feb 08, 2018, 2:37 PM UTC

adventured wrote: post #23

mv4 wrote: post #21

Earlier quoted context omitted.

Last time they were shopping, there was a huge influx of fake users, almost as though all fraud detection checks were disabled. This time is different, or is it. Just how much of their new revenue is due to fake users, ad fraud, and automation?

They don't have any new revenue. Sales were only up 2%. What changed is their expenses. Negative $167m to positive $91m in net income, year over year for the quarter. That's nearly entirely from adjusting their expenses down. Dorsey is turning Twitter into the profit machine it should have always been by properly adjusting its expenses to the size of the business (rather than the size they hoped it would become years…

That's actually better than I expected.

Re: Twitter Soars After Surprise Sales Gain, First Real Profit

#26

Post by trs80 » Thu, Feb 08, 2018, 2:39 PM UTC

Steeeve wrote: post #18

Twitter loves Trump. It's not just twitter... the whole profit center around online communities is based on active communities. Most topics are cyclical - once the Superbowl is over, it's hard to keep a football community active. Only so many people are interested in the draft, in coaching changes, etc. But throw in some controversy and all of a sudden everything lights up again. The problem, or _a_ problem, is that…

>Twitter loves Trump.

Hidden camera investigations[1] into Twitter employees suggest otherwise.

[1]: https://www.youtube.com/watch?v=64gTjdUrDFQ

Re: Twitter Soars After Surprise Sales Gain, First Real Profit

#27

Post by adventured » Thu, Feb 08, 2018, 2:42 PM UTC

walshemj wrote: post #15

djhworld wrote: post #7

I wonder if the premium tier of the API has contributed towards this?

No just cut back on stock options aka a paycut for the staff.

A further quarter of a billion dollars in stock options per quarter is insane when stacked against a $15-$20b market cap. Practically no sustaining public companies operate like that, with that scale of constant dilution.

Re: Twitter Soars After Surprise Sales Gain, First Real Profit

#28

Post by andy_ppp » Thu, Feb 08, 2018, 2:42 PM UTC

I said a while back they were optimising their algorithm for rage and that The Donald would be good for business. I think they are probably still buy because I suspect they will be bought - such a feature of the Internet it is hard to imagine a conversation, TV show or live event without it.

Re: Twitter Soars After Surprise Sales Gain, First Real Profit

#29

Post by 4lch3m1st » Thu, Feb 08, 2018, 2:46 PM UTC

Steeeve wrote: post #18

Twitter loves Trump. It's not just twitter... the whole profit center around online communities is based on active communities. Most topics are cyclical - once the Superbowl is over, it's hard to keep a football community active. Only so many people are interested in the draft, in coaching changes, etc. But throw in some controversy and all of a sudden everything lights up again. The problem, or _a_ problem, is that…

While I expect a lot of people to not agree with what I am going to say, I believe this is much more linked to the political moment than to Twitter having a problem with "handling controversy". This just feels like an excuse to find a way to filter human communication, at this point.

Don't get me wrong, I'm a Brazilian and the latest years' politics headlines have been flooding Twitter around here too, but spurious political tweets tend to be much more boosted by people who don't agree with them -- they just feel that urge to answer it or create a hashtag against it -- than by people actually supporting said tweets.

Re: Twitter Soars After Surprise Sales Gain, First Real Profit

#30

Post by Bulk70 » Thu, Feb 08, 2018, 2:46 PM UTC

trs80 wrote: post #26

Steeeve wrote: post #18

Twitter loves Trump. It's not just twitter... the whole profit center around online communities is based on active communities. Most topics are cyclical - once the Superbowl is over, it's hard to keep a football community active. Only so many people are interested in the draft, in coaching changes, etc. But throw in some controversy and all of a sudden everything lights up again. The problem, or _a_ problem, is that…

>Twitter loves Trump. Hidden camera investigations[1] into Twitter employees suggest otherwise. [1]: https://www.youtube.com/watch?v=64gTjdUrDFQ

Twitter staff != Twitter Inc