Twitter Is Finally Accepting What It Is -- and What It Isn't

Twitter (NYSE: TWTR) is impressing investors today with its prediction that it could post its first profitable quarter ever in Q4. While the company posted record profitability in the third quarter on a non-GAAP basis, Twitter might just be able to squeeze out some black ink on a GAAP basis in the coming quarter.

Outlook for the fourth quarter calls for adjusted EBITDA in the range of $220 million to $240 million. At the high end of that range, Twitter says it "will likely be GAAP profitable." That's despite a top line that's been shrinking all year. A big part of the company's improving financial condition is due to coming to terms with what Twitter is -- and, more importantly -- what it isn't.

Image source: Twitter.

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Source: Fool.com