- The social media firm now has 237 million daily users.
- Elon Musk offered to buy Twitter for $44 billion in cash, or $54.20 a share.
Elon Musk’s pending purchase of Twitter and a fall in advertising revenue were blamed for the social media company’s second-quarter loss of $270 million. According to the report, the company’s Q2 sales were $1.18 billion, a 1% decline from the previous year’s numbers. Comparing 2021 to today’s share price, the loss was 35 cents per share, and the company made $66 million in profit.
Despite the reduction in sales, experts had predicted that the company would earn $1.32 billion over time. After reporting 229 million daily active users in the first quarter, the social media firm now has 237 million daily users.
Trial Begins in October
Facebook and Instagram, owned by Meta, and TikTok, a fast-growing video-sharing network, has a far larger user base. Earlier this year, Elon Musk offered to buy Twitter for $44 billion in cash, or $54.20 a share.
On July 8, the world’s wealthiest man walked away from the transaction because of charges that Twitter had violated the merger agreement’s terms. There was a public disagreement between Musk and Twitter about the number of bot accounts on Twitter. Musk disputes Twitter’s assertion that bots make up less than 5 percent of its user base.
However, on July 12, Twitter began legal proceedings against Musk. While the trial is slated to start in October, Musk’s legal team is trying to postpone it until the spring. According to the results report, the purchase cost the company $33 million.
After rumors of a possible takeover by Tesla CEO Elon Musk surfaced, Twitter’s stock rose temporarily. As a result, the spike was short-lived, as Musk started to voice concerns about fraudulent accounts and bots users on the network. Musk-owned Tesla recently sold off its Bitcoin holdings as per the latest filing.
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