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Key Takeaways

• Twilio shares slumped Friday after the company gave a weak earnings forecast.

• The company reported a drop in data platform sales, and took a $16.8 million expense from a customer's slowdown in payments.

• Even with Friday's decline, the stock has more than doubled in value over the past year. 
  

Twilio (TWLO) shares slumped Friday after the company gave a weak earnings forecast as sales of its data platform fell and it took a hit from a key customer's slowdown in payments.

Twilio reported adjusted earnings per share (EPS) of $1 for the fourth quarter, slightly below analysts' estimates compiled by Visible Alpha. Revenue rose 11% year-over-year to $1.19 billion, topping forecasts.

The results came as Twilio's communications revenue jumped 12% to $1.12 billion. However, revenue from its customer data platform called Segment declined 1% to $74.1 million, with the unit posting a non-GAAP loss from operations of $10 million. The company also said it incurred $16.8 million in bad debt expenses related to Brazilian telecom firm Oi SA, “as a result of a slowdown in their ongoing payment activity.”

Twilio projected current-quarter EPS in the range of 88 cents to 93 cents, and revenue of $1.13 billion to $1.14 billion. Analysts had been looking for EPS of 99 cents and revenue of $1.14 billion.

Shares of Twilio were down about 16% in early trading Friday, though even with Friday's decline, they've more than doubled in value over the past year. 

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