Feeds

Cash-blackhole Twitter will shower itself in gold by 2015, investors told

#Blabbergasm predicts yet more money to be sucked out of proper media. Yay!

The Essential Guide to IT Transformation

Twitter has never been able to secure any profit from its operation since its inception in 2006, but investors claimed today that the would-be ad platform's finances could change seriously over the course of the next two years – to the tune of $200m.

According to a report from USA Today, two investors, talking on condition of anonymity, have said that underwriters working on the micro-blogging company's IPO have laid out a sunny forecast for Twitter come 2015.

By then, it could be reeling in sales of around $1.24bn and adjusted earnings, before interest, tax, depreciation and amortisation of $200m, according to private predictions from one of Twitter's banks.

In 2014, revenue - it has seemingly been predicted - may hit $950m and adjusted EBITDA could shoot up to $80m.

Such details are, of course, crucial to helping banks pin an accurate valuation on outfits subject to high levels of investor interest in shares ahead of companies going public.

On Sunday, Twitter raised its IPO share price range to $23-$25, signalling a confident response from investors before it floats on to the New York Stock Exchange on Thursday.

At the debut of its initial public offering process, Twitter issued a more guarded stock price range when it said in a regulatory filing that it wanted $17 to $20 per share.

It also revealed that at the end of June this year its net losses stood at $69m and warned that revenue growth could in fact slow down as its user base of around 215 million monthly active peeps plateaus or, worse still, begins to tumble. ®

The Essential Guide to IT Transformation

More from The Register

next story
Sysadmin Day 2014: Quick, there's still time to get the beers in
He walked over the broken glass, killed the thugs... and er... reconnected the cables*
Auntie remains MYSTIFIED by that weekend BBC iPlayer and website outage
Still doing 'forensics' on the caching layer – Beeb digi wonk
Microsoft says 'weird things' can happen during Windows Server 2003 migrations
Fix coming for bug that makes Kerberos croak when you run two domain controllers
Cisco says network virtualisation won't pay off everywhere
Another sign of strain in the Borg/VMware relationship?
VVOL update: Are any vendors NOT leaping into bed with VMware?
It's not yet been released but everyone thinks it's the dog's danglies
prev story

Whitepapers

Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.
Why and how to choose the right cloud vendor
The benefits of cloud-based storage in your processes. Eliminate onsite, disk-based backup and archiving in favor of cloud-based data protection.
The Essential Guide to IT Transformation
ServiceNow discusses three IT transformations that can help CIO's automate IT services to transform IT and the enterprise.
Maximize storage efficiency across the enterprise
The HP StoreOnce backup solution offers highly flexible, centrally managed, and highly efficient data protection for any enterprise.