Twitter Reports Q2 Losses of $145m, But Revenues Up 124 Per Cent

Twitter Bird Logo IRLTwitter has reported net losses of $145m for Q2 2014. Since the company went public late last year, it has yet to report a profitable quarter.

Thats despite a 124 per cent year-on-year increase in revenues in Q2, totalling $312m. The vast majority of this sum came from advertising, at $277m, up 129 per cent, while ad revenue per 1,000 timeline views exactly doubled year-on-year, reaching $1.60 in Q2.

Mobile accounted for 81 per cent of all ad revenues during the quarter. Interestingly, this is actually slightly ahead of the proportion of users accessing Twitter on mobile – the social network has 211m mobile MAUs (Monthly Active Users), 78 per cent of its total MAUs.

“Our strong financial and operating results for the second quarter show the continued momentum of our business,” said Dick Costolo, CEO of Twitter. “We remain focused on driving increased user growth and engagement, and by developing new product experiences, like the one we built around the World Cup, we believe we can extend Twitters appeal to an even broader audience.”

Madbits acquisition
Twitter has also acquired Madbits, a company working on image search software, for an undisclosed sum.

“Over this past year, we’ve built visual intelligence technology that automatically understands, organizes and extracts relevant information from raw media,” reads Madbits statement on the acquisition. “Understanding the content of an image, whether or not there are tags associated with that image, is a complex challenge. We developed our technology based on deep learning, an approach to statistical machine learning that involves stacking simple projections to form powerful hierarchical models of a signal.”