Twitter: The number of people who watch the show increased significantly in 2Q20, and Twitter users grew rapidly by 34%

The biggest highlight of Twitter's 2Q20 financial report is the astonishing user growth rate, which reached 34% year-on-year, mainly benefiting from the quarantine of people at home due to the COVID-19 pandemic, and everyone participating in hot discussions on social media driven by social events in Europe and the United States. However, weak demand from advertisers, coupled with a number of brand advertisers boycotting advertising because social networking sites did not handle racial discrimination information well, led to a 19% year-on-year decline in revenue.

[Daily active users increased by 34% year-on-year to 186 million] Twitter attributed the rapid growth of daily active users to people's active discussion and participation in social events, as well as product improvements. The number of daily active users in the US market increased by 24%, and the number of daily active users in international markets increased by 37%.

[Product improvements are mainly reflected in the Topic and List functions] Twitter currently offers more than 4,100 topics for users, with more news, localized content and higher content quality topics attracting more than 50 million followers. Twitter has also launched a set of features to help people discover lists related to their interests.

Twitter has also introduced the ability for users to post audio, while also giving users control over who can reply to their tweets.

[Revenue fell 19% to $683 million] To make matters worse, the COVID-19 pandemic and social events such as racial conflicts in the United States caused advertisers to suspend advertising and boycott activities, which further slowed Twitter's revenue recovery. However, thanks to the easing of the COVID-19 pandemic, revenue in some Asian markets has increased year-on-year, and Europe, the United States and other markets are also gradually recovering.

Twitter's advertising reconstruction has also made progress and has entered the second phase of testing. The test data is encouraging. Twitter expects that the reconstruction of the advertising system will be a long-term positive factor in boosting advertising revenue.

[Expense savings and obvious reduction in market expenses] In terms of costs and expenses, R&D expenses continued to be at a high level year-on-year, and market cost savings were quite obvious. Overall, costs and expenses increased by approximately 5% year-on-year to US$807 million.

[The company returned to losses due to the impact of the epidemic] The company's operating profit turned from US$76 million last year to a loss of US$124 million, with a loss rate of 18%.