San Francisco/Bengaluru — Twitter says it could turn its first profit in the fourth quarter, after making sweeping cuts in expenses and finding sources of revenue beyond the advertising that dominates social media. Shares of the company jumped nearly 8% to $18.50 in pre-market trading. Twitter has never had a profitable quarter based on Generally Accepted Accounting Principles (GAAP), but says "we will likely be GAAP profitable" in the fourth quarter if it reached the high end of its own estimates. It reported third-quarter revenue of $590m, down 4% from $616m a year earlier. It attributed much of the decrease to a decision to wind down its TellApart advertising product. The San Francisco-based company disclosed in its quarterly earnings report on Thursday that it had discovered an error in the way it had calculated the size of its user base since 2014 and revised its estimates downward, but the difference amounted to less than 1%. It had 330-million monthly active users in the quar...
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