Business

Twitter estimates losses on Q1 due to the outbreak

Although during the lockdown Twitter's usage is up, uncertainty surrounds the social networking on how the pandemic will weigh on ad revenues

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  • Twitter is worried on how the pandemic will weigh on advertisement budgets;
  • Nasdaq reported that Q1 revenue may be down slightly on a YoY basis.

Twitter Inc. is expecting an operational loss in Q1 and quarterly revenue to be down slightly on a YoY basis due to COVID-19 pandemic impacts, according to Nasdaq. Although during this lockdown Twitter’s usage is up, uncertainty surrounds the social networking servicer of how the pandemic will weigh on ad budgets.

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When the company announced Q4 results last year, Twitter had expected operating income to be between breaking even and $30million and total revenue of up to $885 million for the Q1.

Ned Segal, Twitter’s Chief Financial Officer, said to Nasdaq that “Twitter had a strong start to the year before the effects of COVID-19 began spreading more broadly, it has impacted Twitter’s advertising revenue globally more significantly in the last few weeks”.