Twitter lays off 9% of its workforce.
Twitter lays off 9% of its workforce
With Twitter’s acquisition hopes essentially dead, the company now seems it’s on its own to fend for itself and needs to figure out a way to build a reasonable and profitable business.
Today, it got a much-needed good Q3 performance by largely beating Wall Street’s expectations across the board. The company also confirmed that it would lay off roughly 9 percent of its staff as it looks to restructure itself into a company that can continue to run on its own and keep Wall Street happy. Those layoffs are targeted at sales, marketing and partnerships, the company said, confirming an earlier TechCrunch report.
Twitter reported earnings of 13 cents per share and revenue of $616 million, and the service grew to 317 million users. Analysts were looking for earnings of 9 cents per share on around $606 million in revenue, as well as 315 million monthly active users. Last quarter, the company had 313 million monthly active users. Earlier this week it was reported that the company would lay off as much as 8% of its workforce — or 300 people — according to Bloomberg. We reported that, in these layoffs, the sales team in particular was being targeted. While for a long time business head Adam Bain was seen to have built a strong business, in recent quarters Twitter’s ability to grow its sales have become a question mark, especially as Facebook continues to add new users at a healthy clip and emerging platforms like Snapchat are growing like crazy and enticing advertisers.