Musk: Twitter could break even on cash flow in the second quarter

Twitter Inc. could break even on a cash-flow basis in the second quarter and have a shot at turning positive, according to owner Elon Musk.

The company is working to make its advertising more relevant, Musk said, speaking at a Morgan Stanley conference in San Francisco. Musk, who bought Twitter last year for $44 billion, stressed that Twitter’s debt burden after the deal is relatively high and the cost of servicing the debt is about $1.5 billion per year, roughly equivalent to the current cash burn. its rate.

With all the attention Twitter is receiving, it’s “shocking” how little it’s making, he said, noting the opportunity.

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