Twitter shares were rallying on Thursday after the company released its fourth quarter financial results that revealed the first quarterly profit.
This is the first time the social network site has seen a quarterly profit since its IPO back in 2013.
Twitter shares roared to their highest level the stock has seen in over 2 years.
For the fourth quarter, Twitter reported a profit of $91 million. A year earlier this number had been a loss of $167 million. Revenue was $732 million, a 2% increase from the year ago quarter.
Twitter’s CEO Jack Dorsey remarked, “We did what we said we were going to do. Our focus and self-discipline continues to improve.”
An analyst at BTIG, Rich Greenfield, commented, “The user growth is kind of astounding. They were barely growing two years ago.”
“If you show the right tweets to the right person at the right time, it creates user happiness. That means more time spent on the site, which means more opportunities for advertising,” Greenfield also said.
Twitter has now seen double digit growth in its daily active users for five quarters in a row.
Disclaimer: We have no position in Twitter Inc. (NYSE: TWTR) and have not been compensated for this article.