With Twitter Inc TWTR 13.55% set to deliver earnings this week, now would be a good time to take a look back at the company’s most recent 10K filing for a few numbers that some investors might have overlooked.
1. Investors know that advertising is important to a company like Twitter, which offers free membership to its users. However, some may not know that a whopping 89 percent of Twitter’s revenue came from advertising in fiscal 2013.
2. Over 70 percent of Twitter’s advertising revenue in 2013 was generated from mobile devices.
3. Twitter is known for its innovation, but most investors probably don’t know that Twitter had 956 issued U.S. patents as of its last 10-K and another 100 patent applications on file.
4. One of the big reasons why Twitter stock is down more than 38 percent over the past year may have been buried inside the company’s last 10-K: 85.9 percent of Twitter’s total outstanding shares became “unlocked” and available for insiders to sell on the open market for the first time during 2014.
5. As of the company’s last 10-K filing, Twitter had more than 240 million monthly active users (MAUs) worldwide. Investors will be looking to see how much that number has grown when today’s report is released.
6. Twitter users created more than half a billion Tweets per day at the time, and the number has likely increased since then.
7. The company’s international presence is growing. In 2013, 26 percent of the company’s total revenue was international, up from 17 percent in 2012.
8. Twitter’s operations are expanding rapidly. The company increased the size of its full-time workforce by 86 percent in 2013.
9. The company endured $433.5 million of expenses in 2013 from employee stock-based compensation.
10. Data licensing is a small but meaningful part of Twitter’s bottom line, and in 2013, 7 percent of the company’s total revenue came from licenses sold to their five largest data partners.
During Twitter’s conference call, the headlines and attention will certainly be on earnings per share and total revenue.
However, there’s a lot more to the business than just two numbers, and big changes to any of these 10 overlooked areas could have an effect on Twitter’s long-term story.
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