Twitter Has Pulled Q1 Guidance Amid Coronavirus Outbreak

Social media company Twitter has decided to pull its first quarter guidance due to the coronavirus outbreak.

The company’s CFO Ned Segal said the COVID-19 pandemic has impacted Twitter’s global advertising revenue “more significantly in the last few weeks.”

“We have made solid progress on our consumer and revenue product priorities and we remain confident in our opportunity and strategy. We hope everyone stays healthy and safe,” Segal commented.

Twitter had previously predicted between $825 million and $885 million for its first quarter revenue and said its first quarter will be down versus the year-ago quarter and it expects a GAAP operating loss. The company said it will provide an update on its first quarter 2020 earnings call on April 30.

Twitter did point out however that users are still growing.

“While the near-term financial impact of this pandemic is rapidly evolving and difficult to measure, based on current visibility, the company expects Q1 revenue to be down slightly on a year-over-year basis,” the company stated. “Twitter also expects to incur a GAAP operating loss, as reduced expenses resulting from COVID-19 disruption are unlikely to fully offset the revenue impact of the pandemic in Q1.”

Shares of Twitter fell more than 2% in after hours trading on Monday.

Disclaimer: We have no position in Twitter Inc. (NYSE: TWTR) and have not been compensated for this article.