Bloomberg News reported on December 12 (local time) that X (formerly Twitter), owned by Elon Musk, posted a net loss of over 800 billion won in the third quarter of this year, continuing to struggle with cost issues.
Quoting internal sources at X, Bloomberg stated that the company generated $752 million (approximately 1.11 trillion won) in revenue from July to September. This figure represents a 17% increase compared to the same period last year.
The company’s cumulative revenue for January through September this year reportedly surpassed $2 billion (about 3 trillion won).
However, X has grappled with cost issues for most of this year, and company officials said that due to restructuring costs and other factors, the third-quarter net loss reached $577.4 million (about 850 billion won).
Despite these significant losses, Bloomberg analyzed that X’s business, which experienced considerable turmoil immediately after Musk’s acquisition, is gradually showing signs of stabilization.
The company’s third-quarter earnings before interest, taxes, depreciation, and amortization (EBITDA) stood at approximately $454 million (about 670 billion won), up 16% from a year earlier.
Until Musk’s acquisition, X generated most of its revenue from platform advertising. Since Musk took over, however, the company has sought to diversify its revenue streams in recent years through subscription service sales and data usage agreements.
Nevertheless, the scale of X’s business still falls short of the revenue generated before Musk acquired Twitter in October 2022. In the second quarter of 2022, when Twitter last disclosed its earnings as a publicly listed company, it posted revenue of $1.18 billion (about 1.74 trillion won).
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