On Tuesday, Twilio Inc. (TWLO.N) anticipated lower second-quarter revenue due to falling cloud service demand, sending its shares down almost 13% in extended trade.
During the pandemic, the San Francisco-based cloud service company had considerable demand from businesses trying to function under lockdowns. Still, its growth has slowed as clients optimize cloud expenditure amid economic turbulence.
The corporation cut 17% of its personnel and closed some operations in February to focus on profitability.
Refinitiv data shows analysts forecast $1.05 billion in second-quarter sales, but it expects $980 million to $990 million.
In the first quarter ending March 31, 2023, it had more than 300,000 active customer accounts, up from 268,000 a year earlier. Adjusted net income per share was $0.47, exceeding analysts’ average estimate of $0.21.