Twitter shares jump on first profit

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Twitter has reported its first quarterly net profit helped by an increase in video ad sales.

The news sent Twitter shares surge over 18% in early morning trading in New York.

That was despite the number of people using the social network coming in below expectations.

Twitter previous failure to make a profit, had confused investors given its widespread use and popularity among celebrities and politicians.

The net profit was $91.1 m (£65m) in the fourth quarter of 2017, compared to a loss of $167.1 m for the same period a year ago.

Twitter, which has recorded substantial losses since it became a public company in 2013, said that it should be profitable for the year 2018.

The company has found success with the video and the other changes, deepening the experiences on offer, James Erkine, director of marketing, The Social Circle, has told the BBC.

“Now you take a model that is scalable and to reach new groups of users to increase their user base,” he said.

“We hope that now that they have made a profit once, you should be able to do so in the next quarter and continue to do so.” Growth of the user

In October of last year, Twitter has suggested a profit it is likely that, as he has tried to cut costs, including by reducing the stock-based compensation.

Revenue in the quarter rose 2% to $732m, as international growth offset a decline in the US.

User growth, however, remained fairly flat.

The company has reported 330 million active users per month, an increase of 4% compared to last year, but no change compared to the previous quarter.

Monthly active users in the USA fell to 68 million euros compared to 69 million in the third quarter.

Twitter said the number of users had been hurt by changes made by Apple for its Safari web browser.

A crackdown on fake accounts also contributed to the sluggish growth, he said.

The company has addressed the controversy on the use of the platform during political events, including Brexit and the 2016 presidential elections in America.

The company shares trading have been around $32 per share in mid-morning trade.