Twilio shares jump 13% on better-than-expected earnings and buyback plans.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.
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