(Reuters) -Twilio Inc on Wednesday reported better-than-expected quarterly earnings and said the cloud communications platform will buy back shares worth $1 billion, sending its shares up 12% in extended trading.
The company said its active customer accounts rose by 13% in the fourth quarter, but rising fears of a recession are now pressuring demand.
Like other internet-focused businesses, Twilio’s revenue growth has slowed in the past year after a boom during the pandemic.
Twilio’s revenue grew 22% in the quarter ended Dec. 31 to $1.02 billion, the slowest pace in at least two years. But it was slightly higher than analysts’ estimates of $1.00 billion, according to Refinitiv.
The company recently said it was eliminating about 17% of roles in its second round of job cuts and closing some offices to focus on profitability.
It reported an adjusted profit of 22 cents per share, compared with expectations for a 9 cent loss.
The current-quarter revenue forecast of between $995 million and $1.00 billion was, however, below analysts’ average expectation of $1.02 billion.
(Reporting by Granth Vanaik in Bengaluru; Additional reporting by Manya Saini; Editing by Shinjini Ganguli)
