World Cup failed to save Weibo, two-quarter active user growth declines

Weibo active users are still growing, but quarter-on-quarter growth has slipped, according to a two-quarter earnings report released early this morning. and micro-blog revenue, advertising revenue, value-added services, such as financial data growth is still sound.

As of June 30, Weibo's monthly active users (MAU) and daily active users (DAU) were 156 million and 69.7 million, respectively, with a quarterly growth rate of 8.8% and 4.7% respectively, while the MAU and DAU growth rates for the previous quarter were 11% and 8.5% respectively. The microblogging activity has not been significantly boosted by the World Cup, compared with Twitter's glossy two-quarter earnings. Since the World Cup spans June and July, Weibo's three-quarter performance is not ruled out as benefiting from the World Cup knockout.

Several financial data on Weibo have achieved double-digit growth (up to three digits year-on-year), with revenue reaching $77.3 million, advertising and marketing revenue of $59.6 million, and microblogging value-added services of 17.7 million dollars. Among them, the growth rate of microblogging value-added services was higher than in the previous quarter.

The net loss, based on non-US general accounting standards, was $4.9 million, down 56% from a year earlier and a net loss of 3 cents for each common stock. Earnings are also expected to reach between 79 million and 82 million dollars in the next quarter. Weibo is likely to make a profit by the end of the year.