Twitter reported $361 million in Q3 revenue, up 114% YoY, toward the higher end of the $332-$378 million range predicted by Wall Street. (Read the release.)
Analysts however are still concerned about the engagement levels and growth rates of Twitter’s monthly active users (MAUs).
As always, the good news centered around Twitter’s revenue. Its advertising revenue (of which 85% was mobile) totaled $320 million, a 109% YoY increase.
“Today, we continue to drive nice growth and spend per advertiser as we improve the ROI we provide for them and offer new advertising products,” said CFO Anthony Noto. He added that product changes such as better dashboards – which improve clickthrough rates – encourage advertisers to spend more on the platform, even though Twitter’s ad load is lower than that of other social networks.
Twitter also saw strong growth in data licensing and other revenue (171% increase YoY to $41 million) and international revenue (176% increase YoY to $121 million).
International revenue was 34% of Twitter’s total revenue.
While Twitter’s short-term prospects seem pretty good, its average MAUs were only 284 million in Q3, a mere 23% YoY increase (80% of which were mobile). Last quarter, that number increased by 24% YoY. The Asia-Pacific region in particular was a problem area this quarter, due to a user authentication bug Noto claimed cost Twitter 1-2 million MAUs.