Although Twitter claims to declare that the company
has turned corners financially, the report from Gawker shows an entirely different image of the company's loss over the last two years.
"To collect total revenue of $28.5 million in 2010, for example, the company had to spend and write off more than three times that, leading to a net loss of $67.8 million, according to new financial data on the company provided by our source.
And 2011 hardly got off to a more promising start: Twitter posted a net loss of $25.8 million on revenue of $23.8 million through April 30, according to the same source. In that same period, Facebook took in 26 times as much revenue, converting nearly a third of it into profit—and that was only through the end of March.
Since then, Twitter's spending has only grown. Headcount, for example, doubled from around 450 in mid 2011—per our source—to nearly 900".
Twitter is a privately owned company, so the financial situation is not public
; rather, it was leaked to Gawker from a source close to Twitter. The spokesman for the company refused to make a statement on the current financial situation.