Twilio’s revenue growth continues to accelerate
Cloud communications company Twilio (TWLO) announced its fourth-quarter earnings results on February 12.
Twilio announced stellar revenue growth in the quarter. During the quarter, the company generated total revenue of $204.3 million, up 77.3% from the fourth quarter of 2017. Wall Street had expected it to see revenue of $185 million.
As the graph above shows, Twilio’s revenue growth has accelerated quickly over the last few quarters.
However, Twilio’s net income fell compared to the previous year. The communications software maker posted net income of -$47.16 million during the quarter compared to its net income of -$18.92 million in the same quarter of 2017.
Twilio’s net income has fallen
On an adjusted basis, Twilio had EPS of -$0.04 in the fourth quarter, which met analysts’ estimates but were slightly lower than its level of -$0.03 in the fourth quarter of 2017.
For the whole of 2018, the company made $650.1 million, a 63% rise compared to 2017. Twilio posted net income of -$121.95 million in the year compared to -$63.71 million in 2017. The company expects to generate between $1.065 billion and $1.077 billion this year, higher than the $984 million Wall Street expects.
However, despite its stellar revenue growth, Twilio stock fell nearly 6% in after-hours trading on February 12. Why? The stock has had a spectacular run. It has corrected after a jaw-dropping 347% return in the last 12 months.