Twitter's ad revenue grows by 12% to $885 million in Q4

• Twitter's advertising revenue has gone up by 12% to $885 million in Q4.
• While it earned $1.01 billion revenue in Q4, its revenue for fiscal year 2019 stood at $3.46 billion.
• For Q1, it expects its total revenue to be between $825 million and $885 million.

Twitter has released its quarterly earnings for Q4 and fiscal year 2019. As per its statement, its advertising revenue has gone up by 12% to $885 million in Q4. While it earned $1.01 billion revenue in Q4, an increase of 11% year-over-year (yoy), its revenue for fiscal year 2019 stood at $3.46 billion, a 14% yoy increase.

Twitter’s costs and expenses for the year totaled $3.09 billion, an increase of 19% year-over-year. This resulted in operating income of $366 million and 11% operating margin.

For the quarter, its total ad engagements increased 29% yoy and cost per engagement (CPE) decreased 13% yoy.

Stating its objectives for 2020, the microblogging site said that it will have four key focus areas - increasing development velocity and trust, increasing healthy public conversation, increasing revenue durability and enabling anyone, anywhere to work at Twitter.

For Q1, it is targeting a total revenue of $825-$885 million and operating incomes between $0 million and $30 million.

“2019 was a great year for Twitter. Our work to increase relevance and ease of use delivered 21% mDAU growth in Q4, with more than half of the 26 million mDAU added in 2019 directly driven by product improvements,” said Jack Dorsey, Twitter’s CEO. “Entering 2020, we are building on our momentum -- learning faster, prioritizing better, shipping more and hiring remarkable talent. All of which put us in a stronger position as we address the challenges and opportunities ahead.”

“We reached a new milestone in Q4 with quarterly revenue in excess of $1 billion, reflecting steady progress on revenue product and solid performance across most major geographies, with particular strength in US advertising,” said Ned Segal, Twitter’s CFO. “We continue to see tremendous opportunity to get the whole world to use Twitter and provide a more personalized experience across both organic and promoted content, delivering increasing value for both consumers and advertisers.”