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Here's What Key Metrics Tell Us About Twilio (TWLO) Q2 Earnings

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Twilio (TWLO - Free Report) reported $1.04 billion in revenue for the quarter ended June 2023, representing a year-over-year increase of 10%. EPS of $0.54 for the same period compares to -$0.11 a year ago.

The reported revenue compares to the Zacks Consensus Estimate of $984.52 million, representing a surprise of +5.41%. The company delivered an EPS surprise of +86.21%, with the consensus EPS estimate being $0.29.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how Twilio performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Dollar-Based Net Expansion Rate: 103% versus 100.91% estimated by three analysts on average.
  • Number of Active Customers: 304000 versus 306350 estimated by two analysts on average.
  • Revenue- United States: $692.65 million versus $650.13 million estimated by two analysts on average.
  • Revenue- International: $345.12 million versus the two-analyst average estimate of $337.29 million.
View all Key Company Metrics for Twilio here>>>

Shares of Twilio have returned -8.7% over the past month versus the Zacks S&P 500 composite's +1.7% change. The stock currently has a Zacks Rank #2 (Buy), indicating that it could outperform the broader market in the near term.

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