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Is a Beat in the Cards for Twilio (TWLO) in Q2 Earnings?
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Twilio Inc. (TWLO - Free Report) is likely to beat expectations when it reports second-quarter 2024 results after market close on Aug 1.
For the second quarter, the company anticipates revenues between $1.05 billion and $1.06 billion. The Zacks Consensus Estimate for revenues is pinned at $1.06 billion, indicating a marginal improvement of 1.7% from the year-ago quarter’s revenues of $1.04 billion.
Twilio anticipates non-GAAP earnings per share between 64 cents and 68 cents. The consensus mark for earnings is pegged at 71 cents per share, suggesting an improvement of 31.5% from the year-ago quarter’s 54 cents.
TWLO’s earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 59%.
Let’s see how things are shaping up for this announcement.
Twilio’s second-quarter results are likely to reflect gains from sustained digital transformation efforts as enterprises continue to reconfigure their setup for a hybrid operational environment. TWLO’s initiatives in expanding the network with independent software vendors and its global partners are likely to have favored the second-quarter performance.
The enhancement of Twilio’s Segment and Flex platforms with new products like Agent Colpilot, Linked Audiences and the Segment Data Graph is likely to have attracted more customers in the second quarter.
In the last reported quarter, Twilio added around 8,000 new clients, taking the total active customer count to 313,000 as of Mar 31, 2024. In the second quarter, the company’s growing scope among global enterprises is likely to have acted as a key tailwind.
Solutions like Twilio Conversations, SendGrid Ads and SendGrid’s Email Validation application programming interface are likely to have contributed to the second-quarter performance. Moreover, the company’s integration of artificial intelligence in several communication and segment products is likely to have favored its second-quarter 2024 performance.
TWLO’s bottom line is likely to have benefited from its cost-saving initiatives, which include workforce reduction and the closure of several offices. The company ended the first quarter with 5,582 employees, down from the previous quarter’s 5,867 staff and the year-ago quarter’s 6,766 personnel.
Earnings Whispers
Our proven model predicts an earnings beat for TWLO this earnings 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.
Earnings ESP: Earnings ESP, which represents the difference between the Most Accurate Estimate (73 cents per share) and the Zacks Consensus Estimate (71 cents per share), is +2.34%. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.
Zacks Rank: TWLO sports a Zacks Rank #1 at present.
Other Stocks With Favorable Combination
Here are some other companies worth considering, as our model shows that these also have the right combination of elements to beat on earnings in their upcoming releases:
Apple’s shares have gained 13.4% year to date. Apple is set to report its third-quarter 2024 results on Aug 1.
The Zacks Consensus Estimate for AAPL’s third-quarter 2024 earnings has been revised upward by a penny to $1.34 per share over the past seven days and indicates an improvement of 6.4% from the year-ago quarter’s earnings of $1.26. The consensus mark for revenues is pegged at $84.4 billion, indicating a 3.16% increase from the year-ago quarter.
Meta Platforms (META - Free Report) has an Earnings ESP of +1.35% and a Zacks Rank #3 at present. Shares of Meta Platforms have gained 34.7% year to date. META is set to report second-quarter 2024 results on Jul 31.
The Zacks Consensus Estimate for META’s second-quarter 2024 earnings has been revised upward by 2 cents per share to $4.68 over the past 30 days and indicates an improvement of approximately 45% from the year-ago quarter’s earnings of $3.23. The consensus mark for revenues is pegged at $38.19 billion, indicating a 19.4% increase from the year-ago quarter.
GoDaddy (GDDY - Free Report) has an Earnings ESP of +13.08% and a Zacks Rank #3 at present. GoDaddy’s shares have gained 36.8% year to date. GDDY is set to report second-quarter 2024 results on Aug 1.
The Zacks Consensus Estimate for GDDY’s second-quarter 2024 earnings has remained unchanged at $1.07 over the past 60 days, indicating an improvement of 69.8% from the year-ago quarter. The consensus mark for revenues is pegged at $1.11 billion, indicating a 6.3% increase from the year-ago quarter.
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Is a Beat in the Cards for Twilio (TWLO) in Q2 Earnings?
Twilio Inc. (TWLO - Free Report) is likely to beat expectations when it reports second-quarter 2024 results after market close on Aug 1.
For the second quarter, the company anticipates revenues between $1.05 billion and $1.06 billion. The Zacks Consensus Estimate for revenues is pinned at $1.06 billion, indicating a marginal improvement of 1.7% from the year-ago quarter’s revenues of $1.04 billion.
Twilio anticipates non-GAAP earnings per share between 64 cents and 68 cents. The consensus mark for earnings is pegged at 71 cents per share, suggesting an improvement of 31.5% from the year-ago quarter’s 54 cents.
TWLO’s earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 59%.
Let’s see how things are shaping up for this announcement.
Twilio Inc. Price and EPS Surprise
Twilio Inc. price-eps-surprise | Twilio Inc. Quote
Factors at Play
Twilio’s second-quarter results are likely to reflect gains from sustained digital transformation efforts as enterprises continue to reconfigure their setup for a hybrid operational environment. TWLO’s initiatives in expanding the network with independent software vendors and its global partners are likely to have favored the second-quarter performance.
The enhancement of Twilio’s Segment and Flex platforms with new products like Agent Colpilot, Linked Audiences and the Segment Data Graph is likely to have attracted more customers in the second quarter.
In the last reported quarter, Twilio added around 8,000 new clients, taking the total active customer count to 313,000 as of Mar 31, 2024. In the second quarter, the company’s growing scope among global enterprises is likely to have acted as a key tailwind.
Solutions like Twilio Conversations, SendGrid Ads and SendGrid’s Email Validation application programming interface are likely to have contributed to the second-quarter performance. Moreover, the company’s integration of artificial intelligence in several communication and segment products is likely to have favored its second-quarter 2024 performance.
TWLO’s bottom line is likely to have benefited from its cost-saving initiatives, which include workforce reduction and the closure of several offices. The company ended the first quarter with 5,582 employees, down from the previous quarter’s 5,867 staff and the year-ago quarter’s 6,766 personnel.
Earnings Whispers
Our proven model predicts an earnings beat for TWLO this earnings 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.
Earnings ESP: Earnings ESP, which represents the difference between the Most Accurate Estimate (73 cents per share) and the Zacks Consensus Estimate (71 cents per share), is +2.34%. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.
Zacks Rank: TWLO sports a Zacks Rank #1 at present.
Other Stocks With Favorable Combination
Here are some other companies worth considering, as our model shows that these also have the right combination of elements to beat on earnings in their upcoming releases:
Apple (AAPL - Free Report) has an Earnings ESP of +2.55% and carries a Zacks Rank #3 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
Apple’s shares have gained 13.4% year to date. Apple is set to report its third-quarter 2024 results on Aug 1.
The Zacks Consensus Estimate for AAPL’s third-quarter 2024 earnings has been revised upward by a penny to $1.34 per share over the past seven days and indicates an improvement of 6.4% from the year-ago quarter’s earnings of $1.26. The consensus mark for revenues is pegged at $84.4 billion, indicating a 3.16% increase from the year-ago quarter.
Meta Platforms (META - Free Report) has an Earnings ESP of +1.35% and a Zacks Rank #3 at present. Shares of Meta Platforms have gained 34.7% year to date. META is set to report second-quarter 2024 results on Jul 31.
The Zacks Consensus Estimate for META’s second-quarter 2024 earnings has been revised upward by 2 cents per share to $4.68 over the past 30 days and indicates an improvement of approximately 45% from the year-ago quarter’s earnings of $3.23. The consensus mark for revenues is pegged at $38.19 billion, indicating a 19.4% increase from the year-ago quarter.
GoDaddy (GDDY - Free Report) has an Earnings ESP of +13.08% and a Zacks Rank #3 at present. GoDaddy’s shares have gained 36.8% year to date. GDDY is set to report second-quarter 2024 results on Aug 1.
The Zacks Consensus Estimate for GDDY’s second-quarter 2024 earnings has remained unchanged at $1.07 over the past 60 days, indicating an improvement of 69.8% from the year-ago quarter. The consensus mark for revenues is pegged at $1.11 billion, indicating a 6.3% increase from the year-ago quarter.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.