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Twilio (TWLO) to Report Q2 Earnings: What's in the Offing?
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Twilio Inc. (TWLO - Free Report) is scheduled to report second-quarter 2022 results on Aug 4.
In the second quarter of 2022, Twilio anticipates revenues in the range of $912 million-$922 million. The Zacks Consensus Estimate for the same is pegged at $917.7 million, indicating an improvement of 37.2% from the year-ago quarter. We project Twilio to report revenues of $918.6 million.
The cloud-based communications platform-as-a-service provider expects a non-GAAP loss between 20 cents and 23 cents per share. The consensus mark for the non-GAAP loss stands at 20 cents per share, suggesting a drastic increase from the year-ago quarter’s loss of 11 cents. Our expectations for the company’s second-quarter earnings coincide with the Zacks Consensus Estimate.
Twilio’s earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 58.2%.
Let’s see how things have shaped up before this announcement.
Twilio’s second-quarter results are likely to reflect gains from accelerated digital transformation projects across several industries amid the ongoing pandemic. Organizations have been reconfiguring their setup for a hybrid operational environment.
The company’s revenues are likely to have witnessed the contributions of its latest buyouts, including Zipwhip and Segment. Since the buyout, Segment has been aiding TWLO in enhancing its capabilities in the cloud-based communications platform space and gaining significant customers. The strong uptake of Segment, the growing adoption of Twilio Flex and an increasing clientele base might have favored the second-quarter performance.
Solutions like Journeys, Twilio Conversations, SendGrid Ads and SendGrid’s Email Validation API might have contributed to the second-quarter performance. The company’s efforts to fortify its global footprint might get reflected in the to-be-reported quarter's results.
In the last reported quarter, Twilio added around 12,000 new clients, taking the total active customer count to more than 268,000. In the second quarter, the company’s increasing scope among leading enterprises is likely to have acted as a key tailwind.
However, increased spending and investments in enhancing the product portfolio and expanding across newer markets might have negatively impacted Twilio’s profitability. Also, elevated expenses for enhancing sales capabilities might have weighed on the second quarter’s bottom line.
What Our Model Says
Our proven model does not conclusively predict an earnings beat for Twilio this season. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat. However, that’s not the case here.
Though TWLO currently carries a Zacks Rank of 3, it has an Earnings ESP of 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Stocks With the Favorable Combination
Per our model, MRC Global (MRC - Free Report) , Grocery Outlet (GO - Free Report) and Alcon (ALC - Free Report) have the right combination of elements to post an earnings beat in their upcoming releases.
MRC Global is slated to report second-quarter 2022 results on Aug 8. The company sports a Zacks Rank #1 and an Earnings ESP of +10.35% at present. MRC's earnings beat the Zacks Consensus Estimate thrice in the preceding four quarters while matching the same in one, the average surprise being 140.8%. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for MRC’s quarterly earnings is pegged at 29 cents per share, suggesting a whopping year-over-year surge of 262.5%. Its quarterly revenues are estimated to increase 23.5% year over year to $847.3 million.
Grocery Outlet sports a Zacks Rank #1 and has an Earnings ESP of +5.62. The company is slated to report its second-quarter 2022 results on Aug 9. Its earnings beat the Zacks Consensus Estimate in each of the preceding four quarters, the average surprise being 4.8%.
The Zacks Consensus Estimate for GO’s second-quarter earnings stands at 24 cents per share, suggesting a year-over-year increase of 4.4%. Grocery Outlet anticipates revenues of $859.6 million, which suggests growth of 10.8% from the year-ago quarter.
Alcon carries a Zacks Rank #2 and an Earnings ESP of +1.08%. The company is expected to report second-quarter 2022 results on Aug 16. ALC's earnings surpassed the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 21.4%.
For the second quarter, the Zacks Consensus Estimate for Alcon’s earnings is pegged at 55 cents per share, indicating a 1.8% year-over-year decline. However, revenues are expected to grow 4.4% to $2.19 billion.
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Twilio (TWLO) to Report Q2 Earnings: What's in the Offing?
Twilio Inc. (TWLO - Free Report) is scheduled to report second-quarter 2022 results on Aug 4.
In the second quarter of 2022, Twilio anticipates revenues in the range of $912 million-$922 million. The Zacks Consensus Estimate for the same is pegged at $917.7 million, indicating an improvement of 37.2% from the year-ago quarter. We project Twilio to report revenues of $918.6 million.
The cloud-based communications platform-as-a-service provider expects a non-GAAP loss between 20 cents and 23 cents per share. The consensus mark for the non-GAAP loss stands at 20 cents per share, suggesting a drastic increase from the year-ago quarter’s loss of 11 cents. Our expectations for the company’s second-quarter earnings coincide with the Zacks Consensus Estimate.
Twilio’s earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 58.2%.
Let’s see how things have shaped up before this announcement.
Twilio Inc. Price and EPS Surprise
Twilio Inc. price-eps-surprise | Twilio Inc. Quote
Factors to Note
Twilio’s second-quarter results are likely to reflect gains from accelerated digital transformation projects across several industries amid the ongoing pandemic. Organizations have been reconfiguring their setup for a hybrid operational environment.
The company’s revenues are likely to have witnessed the contributions of its latest buyouts, including Zipwhip and Segment. Since the buyout, Segment has been aiding TWLO in enhancing its capabilities in the cloud-based communications platform space and gaining significant customers. The strong uptake of Segment, the growing adoption of Twilio Flex and an increasing clientele base might have favored the second-quarter performance.
Solutions like Journeys, Twilio Conversations, SendGrid Ads and SendGrid’s Email Validation API might have contributed to the second-quarter performance. The company’s efforts to fortify its global footprint might get reflected in the to-be-reported quarter's results.
In the last reported quarter, Twilio added around 12,000 new clients, taking the total active customer count to more than 268,000. In the second quarter, the company’s increasing scope among leading enterprises is likely to have acted as a key tailwind.
However, increased spending and investments in enhancing the product portfolio and expanding across newer markets might have negatively impacted Twilio’s profitability. Also, elevated expenses for enhancing sales capabilities might have weighed on the second quarter’s bottom line.
What Our Model Says
Our proven model does not conclusively predict an earnings beat for Twilio this season. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat. However, that’s not the case here.
Though TWLO currently carries a Zacks Rank of 3, it has an Earnings ESP of 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Stocks With the Favorable Combination
Per our model, MRC Global (MRC - Free Report) , Grocery Outlet (GO - Free Report) and Alcon (ALC - Free Report) have the right combination of elements to post an earnings beat in their upcoming releases.
MRC Global is slated to report second-quarter 2022 results on Aug 8. The company sports a Zacks Rank #1 and an Earnings ESP of +10.35% at present. MRC's earnings beat the Zacks Consensus Estimate thrice in the preceding four quarters while matching the same in one, the average surprise being 140.8%. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for MRC’s quarterly earnings is pegged at 29 cents per share, suggesting a whopping year-over-year surge of 262.5%. Its quarterly revenues are estimated to increase 23.5% year over year to $847.3 million.
Grocery Outlet sports a Zacks Rank #1 and has an Earnings ESP of +5.62. The company is slated to report its second-quarter 2022 results on Aug 9. Its earnings beat the Zacks Consensus Estimate in each of the preceding four quarters, the average surprise being 4.8%.
The Zacks Consensus Estimate for GO’s second-quarter earnings stands at 24 cents per share, suggesting a year-over-year increase of 4.4%. Grocery Outlet anticipates revenues of $859.6 million, which suggests growth of 10.8% from the year-ago quarter.
Alcon carries a Zacks Rank #2 and an Earnings ESP of +1.08%. The company is expected to report second-quarter 2022 results on Aug 16. ALC's earnings surpassed the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 21.4%.
For the second quarter, the Zacks Consensus Estimate for Alcon’s earnings is pegged at 55 cents per share, indicating a 1.8% year-over-year decline. However, revenues are expected to grow 4.4% to $2.19 billion.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.