New York (CNN Business)Twitter’s once-hot stock is cratering in premarket trading after the company added plenty of new users but struggled to sell advertising to market to them.

It also forecasts revenue to remain significantly weaker than it originally anticipated for the remainder of the year because of its advertising problems.

Twitter expects to bring in just $940 million to $1 billion next quarter, mostly short of the $1 billion Wall Street analysts had expected. The company expects that it will earn $130 million to $170 million in the quarter, compared to the $207 million analysts had forecast.

    Profit also tumbled to $37 million, which is substantially lower than the $789 million it reported for the same period a year ago.

    Prior to Thursday’s open, shares were up 35% for the year. It’s now only up 9% for the year.

      But the platform is still attracting users: Twitter added 6 million users since the last quarter and 21 million users compared to the same period a year ago.

      EMarketer analyst Jasmine Enberg said in a note the company’s “momentum from the past several quarters has cooled.”



      Recommended For You

      Like it? Share with your friends!


      Your email address will not be published. Required fields are marked *

      This site uses Akismet to reduce spam. Learn how your comment data is processed.