(CelebrityAccess) — On Thursday, social media marketing platform Twitter revealed the results of their first fiscal quarter for 2022, with revenue and net profits up ahead of a proposed acquisition of the company by Elon Musk.
According to Twitter, the company generated revenue of $1.20 billion for the quarter, up 16% year-over-year from the same period in 2021.
Advertising was key driver for Twitter, accounting for $1.11 billion of the company’s revenue in the first quarter, up 23% year-over-year. Advertising revenue was partially offset by a decline in subscription revenue, which slid by 31% year-over-year to $94 million.
Costs and expenses totaled $1.33 billion for the quarter, up sharply from the previous year by 35%. The increased expenses resulted in an operating loss of $128 million and -11% operating margin, compared to an operating income of $52 million or 5% in 2021.
Twitter reported that net income during the first quarter came in at $513 million, representing an impressive net margin of 43%.
Twitter also revealed that they have been providing investors with inaccurate data regarding the key metric of monetizable daily active users.
According to Twitter, a change in 2019 that allowed users to link multiple separate accounts together to quickly switch between accounts led to discrepancies in user data that resulted in all linked accounts being counted as individual users, leading to overstatements of mDAU from
Q1’19 through Q4’21.
Based on Twitter’s own assessment, the glitch padded the company’s global user base by 8.3 million during the period.