Despite garnering $5.08 billion in revenues tech-giant Twitter reported a net loss of $221 million in its fiscal year 2021 results.
The loss is related to the $766 million settlement of a class action lawsuit filed by shareholders alleging the company had misled investors about the growth of its user base and the intensity of user interaction with the platform.
The number of monetizable daily active users stalled at 217 million, just short of 218.6 million expected by analysts. According to the company’s internal goals it must reach 315 million monetizable daily active users by the end of 2023.
Twitter’s mediocre performance had little affect on its stock price unlike a 20% drop in the share price of Facebook’s parent company, Meta, when it announced its first quarterly decline in total users last week.