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Twitter fails to get cash out of headlines

Twitter is set to disappoint investors as it flags expected earnings to be well below market expectations.

Twitter is struggling to convert its headline omnipresence into cash and its profit expectations going forward is sending investors scattering.

The social media website says it expects between $US75 million ($A98 million) and $US95 million ($A124 million) in adjusted earnings before interest, taxes, depreciation and amortisation, a far cry from the $US191 million Wall Street had been expecting, according to a survey of industry analysts by FactSet.

Company shares plunged 11 per cent before the opening bell Thursday

Twitter topped analyst expectations with adjusted earnings per share of 16 US cents in the fourth quarter, 4 US cents better than expected, but that was overshadowed by its outlook.

Shares of Twitter slumped $US1.96 to $US16.76.


1 min read

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Source: AAP



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