Twitter revenue drops further as user growth stalls

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Twitter’s revenue fell for the second quarter in a row as the social network struggled to attract new users.

The company said monthly users had stayed at 328m following a promising 6pc rise in the first quarter. Analysts had expected Twitter to add around a million new users over the period.

The slower than predicted user growth will raise fears that what had appeared to be a turnaround for Twitter, which posted its best monthly user growth in two years in April, was an anomaly.  

Twitter’s revenue was down 5pc year-on-year to $574m (£436m) for the quarter, while losses widened to $116.5m from $107.2m in the previous year. The company’s share price fell around 12pc in trading on Thursday.

The results come on the back of a strong performance from rival Facebook and competition from fast-growing photo-sharing outfit Snapchat.