Twitter has beaten expectations for its financial results during the fourth quarter of 2014, with the company reporting today that it brought in $497 million in total revenue. That’s an increase of almost 20 percent year-over-year, and beats analyst expectations for the company’s performance by almost $26 million.
The social networking company’s earnings of 12 cents a share beat analyst expectations of 6 cents per share. That translates into a net profit of $79.32 million, up from $9.77 million during the same period in 2013.
While its financial results were impressive, Twitter’s slow user growth will likely lead to some concern among investors. The company reported that it had an average of 288 million monthly active users, an increase of just 4 million users quarter over quarter. That’s less sequential growth than the company saw in the third quarter of 2014, when it added 13 million users sequentially.
Part of the slowdown was caused by a change in third party client integrations, which led to a loss of 4 million reported monthly active users.
Twitter’s revenue generating business seems healthy, though: its ad revenue for the quarter was $432 million, up 97 percent year-over-year. Data licensing and other revenue reached $47 million, up 105 percent over the year-ago quarter.
The financial details:
The company’s stock was up more than 8 percent in after hours trading.