Twitter Financial Performance from Time to Time

Twitter Financial Performance From Time to Time

Twitter Financial Performance from Time to Time – Twitter is one of the most popular social media in the world. Most people used it to communicate with others and express their idea and criticism. Some people, public figures, and artists used Twitter to communicate and socialize with other people. Historically, this company was founded by Jack Dorsey, Noah Glass, Biz Stone, and Evan Williams on March 21st, 2006.  Along with the development of the active users of Twitter, this affects the revenue and income of the company. Officially, this company has its main office in San Francisco, California, U.S.

Twitter Financial Performance from Time to Time- Twitter Logo

Besides Facebook, Instagram, Pinterest, and others, Twitter still become a favorite of social media with 330 million monthly active users. Totally, the employee of Twitter is around 7,000 people across the world.

The Assets, Liabilities, and Equities of Twitter

YearsAssetsLiabilitiesEquities
Million US Dollars Million US Dollars Million US Dollars
2010
22435189
201172087633
2012831207624
20133,3664162950
20145,5831,9563,627
20156,4422,0744,368
20166,8702,2654,605
201774,122,3655,047
201810,1623,3566,806
201912,7033,9998,704
202013,3795,4097,970
202114,0596,7527,307
Source : Twitter Annual Report, 2003-2021

Financially, the financial position obtained from the Balance Sheet of Twitter from 2010 to 2021 showed stable conditions. In 2010, the assets of Twitter were just 224 million US dollars, with equities being 189 million US Dollars. Meanwhile, in 2021, the assets become 14 billion US Dollars with equities becoming 7 billion US Dollars.

The Revenue and Net Income of Twitter

Years RevenueNet Income / Loss
million US Dollarsmillion US Dollars
201028-67
2011106-128
2012316-79
2013664-645
20141,403-577
20152,218-521
20162,529-456
20172,443-108
20183,0421,205
20193,4591,465
20203,716-1,135
20215,077-221
Source : Twitter Annual Report, 2003-2021

Based on the financial performance from time to time obtained from the income statements from Twitter from 2010 to 2021, Twitter is still in the vulnerable phase. They sometimes generated profit but in the other years suffers a net loss. In 2010, Twitter generated revenue of 28 million US Dollars but suffered a net loss of around 67 million US Dollars. Meanwhile, in 2021, the revenue becomes 5 billion US Dollars and still suffered a net loss of around 221 million US Dollars.  Historically, from 2010 to 2021, Twitter just generated net income in 2018 and 2019 but suffered a net loss in 2010, 2011, 2012, 2013, 2014, 2015, 2016, 2017,2020, and 2021.

Twitter Financial Performance From Time to Time- The Debt Equity Ratio (DER) and Debt to Asset ratio (DAR)

As a social media company, Twitter has developed into the most valuable company in several years. Because of the significant users of Twitter from time to time, their financial performance also showed improvement. Based on the Balance sheet of Twitter from 2010 to 2021, the performance of Twitter in the Debt-to-Equity ratio (DER) and Debt-to-asset ratio can be calculated.

Financially, the average debt-to-equity ratio of Twitter is about 0.44 from 2010 to 2021.  Basically, this value means that the percentage of liability is about 40% of the equity. In the other interpretation, it can be implied that every 1 US Dollar of Equity contains a liability of about 0.44 US dollars. Based on the debt-to-asset ratio (DAR), the average value of the company is about 0.29. This value means that the percentage of liability is about 29% from equity, or every one US Dollar of assets can contain 0.29 US dollars of liabilities.


Bibliography of Twitter Financial Performance from Time to Time

Twitter. 2022. Annual Report. Accessed via 

https://investor.twitterinc.com/financial-information/annual-reports/default.aspx  on April 4th, 2022

Wikipedia. 2022. Twitter. Accessed via https://en.wikipedia.org/wiki/Twitter  on April 3rd, 2022

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