Twitter beat analysts' earnings expectations Thursday before the bell, adding that it plans to lay off about 350 people, or 9 percent of its global workforce as part of a restructuring.
The stock climbed more than 4 percent in after the market opened.
The social media giant posted third-quarter adjusted earnings of 13 cents per share on revenue of $616 million.
The company said the restructuring is focused on reorganizing the company's sales, partnerships and marketing efforts, in order to help Twitter achieve GAAP profitability in 2017. It posted a third-quarter GAAP net loss of $103 million, or 15 cents per share.
@TwitterIR: This morning we announced a restructuring and reduction in force affecting approximately 9% of Twitter's positions globally. #TWTR
"Our strategy is directly driving growth in audience and engagement, with an acceleration in year-over-year growth for daily active usage, Tweet impressions, and time spent for the second consecutive quarter," said Jack Dorsey, Twitter's CEO.
Analysts expected the company to post earnings of 9 cents per share on $606 million in revenue, according to a Thomson Reuters consensus estimate.
Twitter's average monthly active users for the three-month period increased to 317 million, up 4 million from its second quarter.