While insisting he still has faith in Twitter, co-founder Ev Williams is selling a sizable stake in the struggling social network.
Williams just sold roughly $4 million worth of Twitter stock, according to a fresh SEC filing, while a company spokesperson says he could ultimately unload upwards of 30% of his holdings.
That said, Williams maintains in a new blog post that the “vast majority” of his assets will remain in the form of Twitter stock “for the foreseeable future.”
“I’m proud to be on the board and optimistic about the future of the company,” according to Williams. “It actually pains me to be selling at this point, but this sale is all about personal context, not company context.”
Translation? Williams say he needs some cash to invest in other endeavors.
“I like to invest a lot in things I care about,” he notes. “For example, I’m the largest LP at Obvious Ventures, which has invested in over 35 world-positive companies.” Along with his wife, Williams said he would like to increase his philanthropic giving and “political donations.”
Cynics, of course, may attribute the stock selling to Twitter’s worsening financial outlook.
In the fourth quarter, the tech giant saw revenue increase by just 1% to $717 million year-over-year, while monthly active users were up just 4% to 319 million. Worse yet, ad revenue totaled $638 million, down slightly year-over-year.
Analysts have recently expressed their frustrations with Twitter.
“Current quarter results were weaker-than-expected, with a big negative from what guidance implies about the coming quarter and the year,” Pivotal Research Group analyst Brian Wieser said in a recent investor note. “We are altering our long-term forecasts on the company and reducing our price target from $17 to $15 on a [year ending 2017] basis,” he said.