Twitter Inc. (NYSE: TWTR) reported first-quarter financial results after the markets closed on Tuesday. The company had $0.15 in earnings per share (EPS) on $595 million in revenue versus Thomson Reuters consensus estimates that called for $0.10 in EPS on $607.84 million in revenue. The same period from last year had $0.07 in EPS on $435.94 million in revenue.

Revenue came in at the low end of the company’s guidance range as the result of brand marketers not increasing their spending as quickly as expected in the first quarter. Twitter sees a clear opportunity to increase its share of brand budgets over time. The company also believes that it has a strong product roadmap designed to tap into incremental brand-oriented online video budgets, and will deliver additional features for advertisers later this year.

Advertising revenue totaled $531 million, an increase of 37% from last year. Excluding the impact of year-over-year changes in foreign exchange rates, advertising revenue would have increased 39%. Mobile advertising revenue accounted for 88% of the total advertising revenue.

Average monthly active users (MAUs) totaled 310 million for the first quarter, up 3% from last year and up from 305 million in the previous quarter. Also mobile MAUs represented 83% of total MAUs.

In terms of the outlook, Twitter expects revenue to be in the range of $590 million to $610 million for the second quarter. There is a consensus estimate calling for $677.57 million in revenue.

For the quarter free cash flow totaled $99 million. On the books, cash, cash equivalents and marketable securities totaled $3.6 billion at the end of the quarter.

Shares of Twitter closed Tuesday at $17.75, with a consensus analyst price target of $21.03 and a 52-week trading range of $13.91 to $52.22. Following the release of the earnings report the stock was initially down about 9% at $16.12 in the after-hours trading session.

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